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Zimbabwe is paying $400 million Afreximbank debt with platinum exports (Business Insider Africa)
The southern African nation’s reliance on its platinum resources to secure borrowing reflects the difficulty Zimbabwe faces in getting loans from international financiers, Bloomberg reported. In February, the government inked a $400 million loan agreement with Afreximbank for budgetary assistance and the funding of trade-related infrastructure.
The funding agreement comes with a 10.2% interest rate and a six-year maturity period, with the borrowing cost surging to 12.2% if a default occurs. Repayment of the loan involves using 35% of Zimplats’ export proceeds, overseen by the Reserve Bank of Zimbabwe (RBZ).
Zimbabwe, burdened by $18 billion in debt, continues to face ineligibility for new lines of credit from multilateral lenders, including the World Bank, the International Monetary Fund, and the African Development Bank. Zimbabwe is the only regional member country of the African Development Bank currently under sanctions from the Bank and other multilateral financial institutions because of debt arrears amounting to over $2.6 billion.
Kenyan MPs want bigger say on EAC import tax decisions (Business Daily)
Kenyan lawmakers now want a bigger role in the country’s tax decisions on goods entering the East African Community (EAC) bloc to protect traders against arbitrary changes. The National Assembly’s Committee on Finance and National Planning says decisions on taxes on imported items should be subjected to public participation.
“The current practice means that whenever an amendment or application for a stay of execution is being canvassed parliamentary approval is never sought and as a result, there are cases of misalignment of tax laws as enacted by the Parliament,” it said in a report on the proposed National Tax Policy (NTP).
Application of stay is made by a member state to suspend the prevailing common external tariff (CET) for the eight members of the EAC. A CET is a tax applied to imported goods by a group of countries that have formed a customs union. Kenya is one of the members of the EAC where customs management is governed by the East Africa Customs Management Act, of 2004.
Amendment or application for stay of provision within the EACMA Act is done through the Council of Ministers an organ of EAC as provided in East Africa Customs Management Protocol. “Therefore, the NTP under Section 4.8 be amended to provide that, any amendment to the East Africa Customs Management Act or customs administration in general should undergo public participation and Parliamentary approval, prior to the government making proposals to the EAC and upon enactment, the regulations should also undergo Parliamentary approval as per the Statutory Instruments Act,” added the report of the Finance Committee headed by Molo MP Kimani Kuria.
Mozambique’s $80 billion energy transition strategy will leverage the country’s vast renewable resources to position the country as a sustainable investment destination and deliver energy to its people, President Filipe Nyusi said at the COP28 summit in Dubai.
Speaking on the third day of the COP28 UN climate conference, President Nyusi said Mozambique will still harness the potential of its offshore natural gas reserves in a diverse energy mix that will also exploit its abundant hydroelectric, wind and solar resources. While transitioning to a decarbonised future, Mozambique must continue to grow and meet the needs of the half of its population that does not have access to electricity, he said.
The World Bank Projects Modest Economic Growth Recovery in South Sudan (World Bank)
The World Bank’s latest South Sudan Economic Monitor (SSEM) reveals that South Sudan’s economy experienced stagnation in fiscal year 2023 (FY23) due to the lingering impacts of flooding on oil production. South Sudan’s economy contracted by 0.4 percent in FY23, less than the negative 2.3 percent growth outturn in FY22. Despite slower global growth and the lingering effects of recent catastrophic floods on domestic oil production, economic activity in South Sudan was supported by a stronger private sector, a return to relative peace, and increased government spending.
The SSEM report emphasizes the importance of investing in human capital development as a foundation for economic growth, particularly in light of the low literacy rate in South Sudan. Growth is projected to gradually rebound and reach over 2 percent in the medium term. This outlook is primarily due to an estimated 3 percent decline in oil sector growth in FY24, followed by a gradual stabilization and recovery as oil production and value-added investments gradually resume. Growth in the non-oil sector is expected to remain relatively resilient at around 6 percent in FY24, supported by higher government wage outlays, expanding domestic credit, and moderate inflation. Farm output is also expected to improve as floods recede. Inflation is expected to be below 10 percent in the medium term as monetary policy remains tight.
Nigeria urged to leverage AfCFTA’s trade-in-services (The Guardian Nigeria)
Stakeholders have said that Nigeria is not harnessing the opportunities trade-in service offers under the African Continental Free Trade Agreement (AfCFTA) as it accounts for about 60 per cent of the gross domestic product (GDP) of the country. They said this during a roundtable on the AfCFTA and trade-in-services organised by the Centre for International Private Enterprises (CIPE) in Lagos.
The consultant, Economic Community of West African States (ECOWAS), Common Investment Market, Prof. Jonathan Aremu, lamented that Nigerians are only familiar with the trade of goods, but not used to services, which contributes about 60 per cent to the country’s GDP.
“We are familiar with import duty, cross-border trade of goods and various processes in terms of exporting goods and documentation. Trade in services is becoming a dominant sector that is contributing very close to 60 per cent of GDP despite oil. That is the sector people know nothing about and where we have a huge comparative advantage when we talk of AfCFTA. It is a sector we need to encourage as a lot of people are not aware,” Aremu added.
40 Million People in Djibouti and Ethiopia to Reap Gains from Expansion of Digital Economy (World Bank)
How Angola is transforming its economy through commerce (Africa Renewal)
Zambia sees Lobito Corridor as a strong platform for linking nations (ANGOP)
Rwandan consumers upbeat as World Congress kicks off in Nairobi (The New Times)
More than 300 delegates including influential leaders from government, business community, and civil society have gathered in Nairobi, Kenya, to discuss the policy, good practice, and accountability required to protect consumers, globally, at the Consumers International Global Congress 2023.
The three-day Global Congress, which kicked off Wednesday, December 6, is held every four years as a pivotal event for people committed to improving consumers’ lives. The latest event themed “Building a resilient future for consumers” covers four cross-cutting areas: digital futures, fair finance, sustainable consumption, and strengthening consumer protection worldwide.
A February-April survey indicated that 48 percent of African micro, small, and medium enterprises (MSMEs) report that customers lack trust in online marketplaces and websites.
IATF2023 exceeds targets with recorded deals worth up to US$43.8 billion (Afreximbank)
African Export-Import Bank (Afreximbank) announces that the third Intra-African Trade Fair (IATF2023) held in Cairo from 9 to 15 November witnessed the conclusion of business deals and transactions valued at US$43.8 billion.
In final tallies released in Cairo, the organisers of the continental event said that the amount represented the value of 426 deals concluded in 21 sectors covering 52 countries. At a press conference to announce the results, Mrs. Kanayo Awani, Executive Vice President (Intra-African Trade Bank) at Afreximbank, also announced that 130 countries participated in the trade fair, which attracted 1,939 exhibitors and 28,282 participants who attended physically and through the IATF virtual platform.
One of the notable transactions included the Export Agriculture for Food Security Framework executed by several African countries (as Origin Countries) and ARISE Integrated Industrial Platforms, Arise IIP (as Anchor Investor) to which Afreximbank committed US$2 billion to boost production, processing, and intra-African trade in agricultural products and to provide African farmers and agribusinesses with opportunities to access larger markets across the continent.
EALA Women Caucus Seeks Support For First-Ever Strategic Plan (KT Press)
The East African Legislative Assembly Women Parliamentarians Caucus (EALA-WC) has launched its first ever strategic plan with a call for funding to actualise the plan aimed at bridging gender gaps in the community. The 5-year strategic plan (2022-2027) developed through consultations, outlines the Caucus’s strategic objectives around the theme of “Accelerating Economic Recovery through Climate Action and Enhancing Food Security for Improved Livelihoods”. These include: To achieve Gender-Responsive Governance: Through women’s equal political participation, advancing Women’s role in peace and security and promoting good governance, promote an inclusive, equitable and gender-responsive EAC Common Market process.
Paris roundtable: CEMAC surpasses funding target with €9.2bn for regional integration projects (Business in Cameroon)
CEMAC announced securing investment promises of €9.2 billion (about $10.04 billion) for thirteen regional integration projects during a roundtable held on November 28 and 29 in Paris. The funds pledged exceed the regional institution’s initial target of €8.8 billion to finance infrastructure projects aimed at enhancing regional integration and economic diversification.
Over two days, CEMAC officials presented thirteen “integrative” projects, including roads, a dry port, railway lines, and electrical interconnection infrastructures, to investors and techno-financial partners. These projects, part of the “infrastructure” component of the Regional Economic Program (PER), aim to boost regional trade, increase local processing of natural resources, further industrialize economies, and enhance resilience to future shocks.
Africa’s producers urged to consider the wider single market of AfCFTA (Ghana Business News)
Mr. Silver Ojakol, the Chief of Staff of the AfCFTA Secretariat, has called on producers on the African continent to consider the prospects of the African Continental Free Trade Area Agreement (AfCFTA). He said the vast resources of the Continent alongside its large human population should encourage producers to come onboard the single market being offered by the AfCFTA, Africa’s most ambitious continent-wide trade consolidation initiative in modern times.
Mr. Ojakol, who was delivering the keynote address at the opening of the 6th Volta Trade and Investment Fair in Ho said the AfCFTA was to drive the development of the continent and that its seven protocols covered all areas of trade facilitation. “The single market means local producers should up their game. They must scale up their trading game if they want to take advantage. “Producers should look at a wider single market with a predictable trade regime,” he said.
Opinion: AfCFTA can support the development of local OEMs, unlock economic growth on the continent (Engineering News)
African businesses are positive about the AfCFTA (African Business)
Claver Gatete makes push for Climate Financing and Accelerating SDG Implementation (UNECA)
At a roundtable on the Sustainable Debt Coalition, Mr. Claver Gatete, Executive Secretary, UN Economic Commission for Africa (ECA), stressed the need to ensure that climate finance from both public and private sectors flows at the appropriate scale and pace to expedite sustainable development aligned with the Paris Agreement and meet the SDGs without burdening the already stretched fiscal capacity of developing countries.
Africa requires $2.8 trillion between 2020 and 2030 to implement its Nationally Determined Contributions (NDCs) under the Paris Agreement but only receives $30 billion annually for climate finance, he said. He added that increasing the number of investable climate and SDG projects, as well as improving their visibility to potential investors and financiers, especially in developing countries, will play a crucial role in attracting more financial support to the continent. Yet, there remains a disconnect between investors and projects in need of investment.
Climate, debt, and development are closely intertwined. Projections by the Economic Commission for Africa show that some African regions could face GDP losses of up to 15% by 2050 due to global warming. “High debt servicing costs constrain countries from making critical investments in climate adaptation and resilience to mitigate some of these losses,” said Mr. Gatete noting that various governments, institutions, and leaders are advocating for change - chiefly among them the UN Secretary-General Mr. Antonio Guterres, who introduced his ambitious SDG Stimulus in February this year.
China to grant zero-tariff treatment to 6 least-developed African countries (Xinhua)
China will provide zero-tariff treatment for six least-developed African countries, the Customs Tariff Commission of the State Council said on Wednesday. Starting from Dec. 25, 98 percent of taxable products from Angola, The Gambia, the Democratic Republic of the Congo, Madagascar, Mali and Mauritania will be exempt from tariffs when entering China, the commission revealed in a statement. The move aims to embody the spirit of China-Africa friendship and cooperation, and facilitate a high-quality China-Africa community with a shared future, the commission said.
In the next step, China will expand its zero-tariff treatment to all the least-developed countries with which it has established diplomatic relations, according to the commission.
What lessons can Asia offer Africa in developing the green minerals value chain? (AfDB)
A new vision is needed for Africa to harness its significant advantage in green mineral resources, experts say, and collaboration with Asian nations and learning from their successful experience in developing green mineral value chains is a crucial next step.
Many African countries possess significant reserves of green minerals, including aluminium, chromium, copper, cobalt, lithium, graphite and rare earth elements that play a vital role in the development of renewable energy technologies, including solar panels, wind turbines, green hydrogen production, electric vehicles and battery storage.
To explore the potential synergies between Africa and Asia, the Asia External Representation Office and the African Natural Resources Management and Investment Centre of the African Development Bank last month organized an online policy dialogue event titled “Enhancing cooperation between Africa and Asia in developing Green Minerals value chains“.
U.S. Chamber of Commerce Unveils White Paper on Empowering African Smallholder Farmers (U.S. Chamber of Commerce)
Today, the U.S. Chamber of Commerce unveiled its white paper, “Enabling Ecosystems: Fostering environments that support agriculture development for smallholder farmers in Africa.” ‘Enabling Ecosystems’ offers actionable recommendations that can transform the lives of Africa’s smallholder farmers, and explores how the private sector can be better utilized to increase the continent’s crop yields.
Kendra Gaither, President of the U.S. Chamber’s U.S.-Africa Business Center, said, “The time is now for global efforts to fulfill Africa’s agricultural promise and support the continent’s efforts to become a major breadbasket that can help meet worldwide food needs today and in the future. The solutions explored in this white paper—including creative applications of blended financing, higher-quality inputs, mechanization strategies, leveraging digital farming technologies, and supply chain development—can achieve a positive chain reaction of increased employment, rising incomes, and better nutrition throughout all of Africa.”
Carbon Credits: $82bn at stake for Ghana, other African countries – UNECA (MyJoyOnline)
Ghana and other African countries could potentially generate around $82 billion annually from carbon credits, as indicated by the United Nations Economic Commission for Africa. The commission is urging African member states, currently convening at the 2023 United Nations Climate Change Conference COP 28 in Dubai, to establish a fully-fledged carbon market. The Government of Ghana has already authorized the transfer of mitigation outcomes for a second project to Switzerland during the ongoing Climate Change Conference (COP 28). This market could serve as a sustainable financing arrangement, replacing the traditional official development assistance.
At an official ceremony to sign the agreement, Minister for Environment, Science, Technology, and Innovation (MESTI) Dr.Kwaku Afriyie indicated that “Ghana is the only country in Africa to authorise two projects under the same agreement on Article 6 with Switzerland... The presentation of the letter of authorization for the “Integrated Waste Recycling and Composting for Methane Reduction in Ghana” project signifies the formal pre-approval of the project to achieve emission reduction, advance sustainable waste management and create green jobs”, he noted.
Speaking at the Africa Day sideline event at COP 28, Executive Secretary of the United Nations Economic Commission for Africa, Claver Gatete indicated that “there is a great potential in developing the African carbon Market carbon credit Market to unlock additional green financing for Africa.” He added that “Africa’s research shows that at $20 per ton of nature-based carbon credits could generate 82 billion on the annual basis which is about one and a half times the amount of money that we (Africa) get in terms of the official development aid.”
COP28: Panel discusses improving energy access in LDC and SIDS through renewables with storage (Emerging Technology News)
On Day 2 at COP28 in UAE, the International Solar Alliance (ISA) with the Asian Development Bank (ADB) in collaboration with India Energy Storage Alliance (IESA) and National Renewable Energy Laboratory (NREL) held a panel discussion on Universal Energy Access for LDC and SIDS through Solar and BESS: The Storage Perspective. The panelists deliberated on the challenge of energy access in the least developed countries (LDC) and Small Island Developing States (SIDS), shared learnings from projects, and discussed potential solutions.
Addressing the panel discussion virtually, Dr. Kuldeep Rana, Scientist/Director of Storage, Ministry of New & Renewable Energy (MNRE), Govt. of India highlighted the crucial role of energy storage technologies and the efforts made by the Indian government in encouraging storage deployment. Storage plays a key role in optimizing the utilization of renewable energy, expanding electricity availability in developing nations, and fortifying the resilience of the worldwide energy system. Speaking about the need for strong policies for encouraging storage, Rana said, “To achieve global sustainability, there is a need for strong policies that effectively utilize renewable energy through storage.”
Donors pledge $174 million to Least Developed Countries fund (The Independent Uganda)
Eight donor governments have pledged $174.2 million to the Least Developed Countries Fund (LDCF). The Least Developed Countries Fund helps countries like Uganda to address their short-, medium–, and long-term resilience needs and reduce climate change vulnerability in priority sectors and ecosystems.
The pledges were made by Belgium, Canada, France, Germany, Norway, Spain, Sweden, and the United Kingdom at the ongoing Un Climate Change Conference in Dubai. The amount pledged is higher than those pledged last year during COP27 in Sharm El-Sheikh. The Least Developed Countries Fund and Special Climate Change Fund (SCCF) are jointly managed by the Global Environment Facility (GEF).
The LDCF is the only dedicated climate adaptation fund for the urgent and immediate adaptation needs of Least Developed Countries (LDCs). To date, the LDCF has approved approximately $1.8 billion in grants for projects, programs, and enabling activities for high-impact adaptation projects.
Members deliver reforms to improve Goods Council functioning, adopt pandemic response report (WTO)
Showcasing “WTO reform by doing”, members approved on 30 November a report capturing 127 concrete steps taken since the 12th Ministerial Conference (MC12) in June 2022 to improve the functioning and efficiency of the Council for Trade in Goods (CTG) and its 14 subsidiary bodies. As a follow-up to the MC12 mandate, members also adopted a draft report on the WTO response to the COVID-19 pandemic and preparedness for future pandemics, including lessons learned. The Council addressed 44 trade concerns.
EU Should Join Africa on WTO Reform to Counter China – IW Study (US News & World Report)
The EU should join forces with African countries to reform the World Trade Organization’s (WTO) subsidy rules as a way to counter Chinese market distortions and diplomatic influence, the German Economic Institute (IW) argued in a paper on Wednesday. The IW, which is financed by prominent German business associations and carries weight among Berlin policymakers, published the paper ahead of an EU-China summit in Beijing on Thursday and Friday.
The issue of unfair competition is expected to top the agenda, three months after the European Commission launched an anti-subsidy probe into Chinese electric vehicles. Reform is to be a key topic at the WTO’s 13th ministerial conference (MC13) in February, although it requires a full consensus to make any substantive changes.
The WTO’s Africa negotiating group has proposed reforming current subsidy rules to better support developing countries – for example allowing them to have local content requirements and to grant subsidies for environmental protection. The IW argues in its new paper, seen by Reuters ahead of publication, that the EU should expand this initiative to also tighten subsidy rules on the world’s top trading countries.
Quick links
Africa: Making the most out of the climate negotiations
Climate Finance Infrastructure to Match Africa’s Green Bankable Solutions
Benefits of Accelerating the Climate Transition Outweigh the Costs
Related News
tralac Daily News
Economy moves ‘sideways’ with marginal 0.2% contraction in GDP (Engineering News)
Statistics South Africa (Stats SA) has reported a marginal 0.2% contraction in gross domestic product (GDP) for the third quarter, compared with the second quarter, and a contraction of 0.7% compared with the third quarter of 2022, prompting Stats SA economic statistics deputy director general Joe de Beer to call “very much a sideways movement” in the economy.
In terms of the percentage contribution of industries to the total value added to the economy, finance represented the largest slice of the pie at 24%. Second was personal services at 16%, with manufacturing at 15% and trade at 14%. Government represented 9%, with transport at 8%, mining at 7%, and electricity, gas, and water at 4%. Agriculture and construction each only represented 2% of the total contribution to total value added.
Net exports also contributed negatively to expenditure on GDP in the third quarter. Exports of goods and services increased by 0.6%, largely influenced by increased trade in vehicles and transport equipment, pearls, precious and semi-precious stones, precious metals, and vegetable products. Imports of goods and services decreased by 8.6%, which was largely influenced by decreased trade in machinery and electrical equipment, as well as chemical products, artificial resins and plastics, base metals and articles of base metals, vegetable products, and vehicles and transport equipment.
Trade Statistics for October 2023 (SARS)
South Africa recorded a preliminary trade balance deficit of R12.7 billion in October 2023. This deficit was attributable to exports of R170.3 billion and imports of R183.0 billion, inclusive of trade with Botswana, Eswatini, Lesotho and Namibia (BELN). The year-to-date (01 January to 31 October 2023) preliminary trade balance surplus of R28.5 billion was a deterioration from the R180.8 billion trade balance surplus for the comparable period in 2022.
SA agriculture exports rise 4% in the third quarter (IOL)
South Africa’s agricultural exports amounted to $3.9 billion in the third quarter, lifting by 4% over a year, according to data from Trade Map. Agricultural Business Chamber (Agbiz) chief economist Wandile Sihlobo said products that dominated the export list this quarter were citrus, maize, apples and pears, nuts, wine, soybeans, sugar, and fruit juices.
“This solid export activity was both a function of improvement in volumes and prices, specifically of fruits. This more than offsets the effects of lower grains and oilseed prices, which have declined notably from their 2022 levels. Overall, South Africa’s agricultural exports amounted to $10.2bn in the first nine months of the year, up 1% from the same period in 2022,” he said.
Agbiz said the export activity was mainly before the intensified challenges at the South African ports. However, given that the inefficiency challenges at the ports and on railway lines were not new, the agricultural exports’ success resulted from continued collaboration between the industry and Transnet to improve logistics at the ports.
Agbiz optimistic about market expansion to new Brics members (Engineering News)
Strong partnerships ‘at the core’ of Africa’s agrifoodtech transformation, say AAII forum panelists (AgFunderNews)
“Funding smallholder farmers in the current environment has become quite difficult, particularly when we are relying on external resources,” Chris Hart, executive chairman of Impact Investment Group South Africa, told attendees to the sixth annual African Agri Investment Indaba (AAII) forum.
Africa’s agricultural sector is a complex web of challenges, many which are currently exacerbated by global geopolitics and macroeconomic upheavals. While solving the myriad of challenges facing the sector is a herculean task, one factor has remained constant – agriculture is not short in terms of support.
Africa remains food insecure; about 20% of the population faces hunger. The continent also spends a staggering $80 billion of scarce forex on food imports annually. Another hard fact is that approximately 80% of Africa’s food supply still comes from small-scale farmers, many of whom are still practicing subsistence farming; yet the continent holds of 60% of the world’s uncultivated arable land.
During the AAII forum, it emerged that lack of partnerships and collaborations is one of the biggest missing links in transforming agriculture in Africa. In fact, the overarching theme of the AAII forum was “Achieving food security through private sector investment: The battle of narratives.”
Namibia: Govt reflects on ‘year of revival’; Green transition, job creation, aid provision (New Era)
With the end of 2023 drawing near, President Hage Geingob and his administration reflected on the events of the year yesterday. During a press briefing held in the capital, the government discussed both the achievements attained and the challenges that lie ahead. Central to these discussions is Namibia’s green transition, a matter which has attracted the attention of international energy stakeholders. Geingob pointed to this as a key highlight of the year.
In April this year, Geingob visited South Africa at the invitation of president Cyril Ramaphosa. The two governments addressed issues about the Southern African Customs Union (SACU). “That is also a problem; we are like beggars there. We had to discuss that seriously because we cannot industrialise. Look at the Peugeot plant, it is closing down. As long as these SACU tariff issues are not reconciled and democratically decided as South Africa is playing the game, we have to look at the future of SACU. Are we still together, or are people planning something else, and we are just sitting with our hands folded, not doing anything?” he asked concerned.
Trade information relevant in conducting successful business – AfCFTA (BusinessGhana)
Mr Divine Kutortse, Programme Officer at the National Africa Continental Free Trade Area (AfCFTA) Coordination Office, has emphasised the significance of trade information in conducting successful business. He said to give prospective investors and entrepreneurs the necessary and sufficient information to help them make decisions, AfCFTA had created a site called Ghana Trade Information Repository portal Mr Kutortse, speaking at the Second Volta Young Entrepreneurs Summit, urged the youth to position themselves well to increase their competitiveness in the business world.
He added that to investigate market prospects in other regions of the continent, such as Northern, Southern, and Eastern Africa, AfCFTA also instituted a project called Market Entry Expedition.
Ghana shining example in AfCFTA implementation – Secretariat (Modern Ghana)
UNCTAD eWeek 2023 kicks off to shape a better digital future for all (UNCTAD)
UNCTAD eWeek 2023 kicked off on 4 December, gathering in Geneva and online more than 3,000 participants from over 130 countries to address one of the major challenges facing the world: Turning digital opportunities into shared development gains. The week-long event convenes in a global context marked by a climate emergency, geopolitical conflicts and economic shocks that have reversed progress on the Sustainable Development Goals (SDGs), only 15% of which are on track to be met by 203
UNCTAD Secretary-General Rebeca Grynspan emphasized in her opening statement that the week’s theme, “Shaping the future of the digital economy”, is a call for urgent action. Time is of the essence, Ms. Grynspan said. “Countries at the frontlines of development are being left behind.” “Issues such as data privacy, ethical AI, and cyber security are not just technical issues, but societal ones,” she added. “Innovation is key, but so is regulation.”
Air Cargo Demand up 3.8% in October (IATA)
The International Air Transport Association (IATA) released data for October 2023 global air cargo markets indicating the third consecutive month of stronger year-on-year demand. Global demand, measured in cargo tonne-kilometres (CTKs*), increased by 3.8% compared to October 2022. For international operations, the demand lagged slightly at 3.5%. Capacity, measured in available cargo tonne-kilometres (ACTKs), was up 13.1% compared to October 2022 (11.1% for international operations). This was largely related to the growth in belly capacity. International belly capacity, for example, rose 30.5% year-on-year on the strength of passenger markets.
AGOA isn’t the political leverage Washington thinks it is (Ventures Africa)
On 9th June 2023, the US, with Australia, Canada, Japan, New Zealand, and the United Kingdom issued a statement that began with the sentence: “The use of trade-related economic coercion and non-market-oriented policies and practices threatens and undermines the rules-based multilateral trading system and harms relations between countries”.
Less than six months later, however, on 1st November, the US announced a plan to delist Gabon, Niger, Uganda, and Central African Republic (CAR) from a special trade scheme it has with up to 35 African countries known as the Africa Growth and Opportunity Act (AGOA). The announcement came a day before the start of the 2023 AGOA forum in South Africa, designed to discuss a potential renewal of AGOA from 2025 onwards. By blacklisting these countries the US was using AGOA as a stick, a tool of economic coercion to achieve political objectives. The problem is, not only was this hypocritical but AGOA has never been a big enough economic carrot. Both these factors – if not addressed – pose major challenges to US foreign policy going forward.
Fisheries subsidies chair opens final “Fish Week” of 2023 for crucial MC13 groundwork (WTO)
The chair of the fisheries subsidies negotiations, Ambassador Einar Gunnarsson of Iceland, on 4 December opened the final “Fish Week” of 2023 with the aim of advancing work towards an outcome by the 13th Ministerial Conference (MC13). The chair presented draft language in an effort to bridge members’ views on key provisions, noting that members’ efforts this week will be crucial to achieve the goal of completing text-based work this month ahead of MC13.
COP28 and related updates
UK-Kenya COP27 deals delivering by COP28 as UK backs new climate initiative (GOV.UK)
Flagship climate projects fast-tracked at COP27 between the UK and Kenya have reached milestone achievements ahead of COP28 with multiple projects making progress since last year’s climate summit. The UK has also supported the design and development of President Ruto’s new industrialisation initiative for Africa – the Africa Green Industrialisation Initiative (AGII). The projects support this initiative by creating jobs, increasing economic growth and boosting trade. The investments are flagship projects of the UK-Kenya Strategic Partnership – an ambitious five-year agreement which is unlocking mutual benefits for the UK and Kenya.
The KES 12.5 billion Menengai Geothermal project – which will generate 35MW of electricity, providing approximately 750,000 Kenyans with affordable, clean energy and create 200 jobs during construction, is proceeding to financial close with construction expected to begin shortly after. A KES 31 billion agreement has also been reached with the Kenyan Development Corporation and UK-funded investor United Green to establish an area bigger than Nairobi National Park for climate-smart farming – this will save Kenya $200m annually on food imports and help reduce Kenya’s trade deficit.
EAC rising carbon emission still low in global terms (Tanzania Daily News)
The region’s strong economic growth, which means expansion of economic activities, has also triggered the rapid growth of energy consumption and carbon dioxide emissions which however remains low in global terms. However, previous carbon accounting studies have never focused on the region. At the start of the 21st century, all the countries of East Africa were agrarian and actively exploring differentiated ways to revitalise their economies. Large economies such as Kenya and Tanzania set industrialisation as an important goal in their national economic development plans.
In the East African Community (EAC) region, Kenya and Tanzania, the two largest economies are also leading in carbon dioxide emission. Kenya is leading in carbon dioxide emissions the EAC region with annual emission of 19.88 million metric tonnes in 2021 followed by Tanzania with 13.06 million metric tonnes. The rest of the EAC member states follow the two economic power houses in a distant with Uganda at 5.78 million metric tonnes, DR Congo (2.61 million metric tonnes), Rwanda (1.75 million metric tonnes) and South Sudan (1.58 million metric tonnes).
However, carbon emissions from the region are still low in global terms. None of the EAC member states is in top ten carbon emitters led by South Africa contributing, contributing 435.9 million tonnes, followed by Egypt, with 249.6 million tonnes, and Algeria, responsible for 176.2 million tonnes.
Revolutionizing African Finance: Innovations explored at COP28 side event (AfDB)
As the climate crisis continues to grip the world’s attention, discussions at the COP28 UN climate conference have expanded beyond environmental strategies to include innovative financial solutions. A groundbreaking dialogue held as a side event at the conference shed light on the role of finance in shaping Africa’s future, with insights from speakers who are driving transformative initiatives on the continent.
Kicking off the discussion, Mr. Shonibare presented a visionary “moonshot” idea aimed at transforming Africa’s financial landscape. He proposed the establishment of a Bank of African Settlements and the introduction of a new currency backed by commodity reserves, including oil. Addressing concerns about the inclusion of oil, Shonibare noted, “While the inclusion of oil might raise concerns in the context of climate change discussions, it’s essential to understand that the proposal aims to leverage Africa’s commodity wealth to create a new financial architecture.”
Amplify the voice of African countries globally and provide a space and platform to highlight the continent’s challenges, opportunities and responses -- this was the focus of Africa Day on 2 December 2023. The day opened with a high-level session at which several African leaders called for “increasing climate finance and green growth in Africa”, the theme of the event.
The President of Senegal, Macky Sall, agreed fully: “African young people’s future is on the continent of Africa. Africa has a legitimate need for development and industrialization to become part of global value chains, rather than being merely a reservoir of raw materials. We must create added value to provide our young people with jobs.
The fundamental challenge in Africa is to be able to finance cheap energy, especially through green industry. The continent must benefit from a fair energy transition. Partners have to support this transformation towards a low-carbon economy. We need adequate funding to develop our potential,” concluded the Senegalese President.
Africa delivers powerful agenda at climate forum (People Daily)
When the leaders of African nations set out to attend the United Nations Climate Conference (COP28) in Dubai, UAE, they had a strong clear agenda. The African leaders’ agenda, spelled out at the inaugural Africa Climate Summit held in Nairobi, Kenya in September, called for urgent action by developed countries to reduce carbon emissions. The Nairobi Declaration also proposed a new financing mechanism to restructure Africa’s crippling debt and unlock climate funding, stressing the importance of decarbonising the global economy for equality and shared property.
African campaigners say emissions from factory farms worsening climate crisis (CGTN Africa)
The greenhouse gas emissions linked to intensive livestock production have escalated climate disasters in Africa and the larger global south, derailing the transition to a resilient and green future, campaigners said Tuesday. Speaking during the virtual launch of a report by World Animal Protection (WAP), an international animal welfare charity in Nairobi, campaigners urged a moratorium on factory-based livestock farming to curb the emission of planet-warming gases.
“Factory farming poses a core obstacle in achieving the targets laid out in the Paris Climate Agreement and casts a dark shadow over the prospect of a climate-safe future,” said Tennyson Williams, director for Africa at WAP. In its report, “How Factory Farming Emissions Are Worsening Climate Disasters in the Global South,” WAP states that attaining net-zero targets could be a mirage unless demand for animal-based protein dips significantly. The report notes that factory farming contributes at least 11 percent to global greenhouse gas emissions, escalating climate disasters like heatwaves, cyclones, droughts, and flooding.
COP28: First-ever ‘Trade Day’ puts focus on trade in climate action (UNCTAD)
Trade can be a powerful tool in the fight against climate change, global leaders said on 4 December as they launched “Trade Day” at the COP28 climate summit in Dubai, United Arab Emirates. This was the first time the UN’s annual climate conference dedicated an entire day to trade, highlighting the growing recognition of the need to put trade front and center in climate action.
The global production and distribution of goods and services contribute to roughly a quarter of all carbon dioxide emissions. Trade also plays a key role in tackling climate change by increasing the flow of green goods and services and making it easier for countries to access the technologies and knowledge needed in the low-carbon energy transition.
“Climate and trade policies need to work together,” UNCTAD Secretary-General Rebeca Grynspan said. “As the world is coping with the devastating effects of global warming, it’s time for trade to play its role in shaping climate action that fosters inclusive and sustainable development.” At Trade Day’s opening, Ms. Grynspan joined global leaders to outline a roadmap of trade policy options for a just and ambitious response to climate change. At the opening event, Ms. Grynspan underlined the need for a multilateral approach to avoid a “spaghetti bowl” of climate and environment regulations that small businesses and vulnerable countries cannot navigate.
DG Okonjo-Iweala: We need to use every weapon in our arsenal to fight the climate crisis (WTO)
Trade policy tools can help countries increase low-carbon goods uptake by reforming import tariffs, rethinking government procurement and promoting trade facilitation, said Director-General Ngozi Okonjo-Iweala on 4 December. Speaking at the launch of “Trade Day” at the United Nations Climate Change Conference (COP28) in Dubai, DG Okonjo-Iweala stressed this thematic day should inspire world leaders to make fuller use of trade as part of the climate action toolkit.
DG Okonjo-Iweala highlighted that the international community remains well short of the Paris Agreement targets. She said that the trillions of dollars of low-carbon investments needed to achieve those targets are now facing higher borrowing costs. Against that background, she stressed that trade can help deliver greater emission reductions for each dollar spent and repurpose harmful subsidies to assist climate action. “The fact is, we cannot get to net-zero without trade because it is indispensable for spreading low-carbon technology to everywhere it is needed,” she noted.
Trade negotiations have key role in addressing food security, climate change: DDG Paugam (WTO)
DDG Paugam: Fight against climate change can also bring trade opportunities for LDCs (WTO)
The effort to combat climate change is also an opportunity for least developed countries (LDCs) to leverage their advantages and benefit from trade opportunities offered by green specialization, Deputy Director-General Jean-Marie Paugam said on 3 December. Speaking at a Trade House event at the COP28 climate summit in Dubai, DDG Paugam noted that many LDCs enjoy significant potential in renewable energies, low-emission agricultural production and alternatives to fossil fuel-based products. But seizing these opportunities requires a strengthened WTO, he said.
‘Unintended consequences’: friction at COP28 over green trade (France24)
Inside the negotiating rooms and on the sidelines of the COP28 climate talks, simmering tensions over wealthy countries’ “green trade” policies have been bubbling to the surface, with developing nations fearful they will be penalised. A particularly sore point has been the European Union’s new carbon border tax, which sets a price on imported goods based on the emissions involved in creating them.
While the EU deems the tax necessary to ensure everything entering the bloc meet its climate goals, powerful emerging economies at COP28 have labelled such policies as protectionist, saying they disadvantage poorer trading partners.
Concerns have also been raised that these kind of climate policies may -- even though they cut emissions from one country -- make it harder for another nation to sell their goods or access clean energy technology. “Trade regulations can have unintended consequences, and we should be a little thoughtful about that,” World Bank president Ajay Banga told a side event packed with prime ministers, business executives, trade bosses and diplomats at the talks in Dubai.
Food systems shifts features prominently in COP28 agenda (Daily Maverick)
Food systems and land use present significant opportunities for both adaptation and mitigation. Governments globally have made commitments to transform food systems and mitigate the risk of exceeding the 1.5°C temperature target. Failure to overhaul global food systems could have severe consequences for food and nutrition security, as well as for livelihoods and income generation. The 2023 Intergovernmental Panel on Climate Change (IPCC) report underscored that effective solutions to mitigate and adapt to climate change can be achieved through climate-resilient development and holistic measures, particularly in the food and agriculture sectors.
Africa’s food systems are confronted with various obstacles and are exposed to external factors, which include climate change, severe weather conditions, pest and disease outbreaks, and insufficient access to and utilization of yield-boosting technologies. As a result, the capacity to cater to the food requirements of Africa’s expanding populace has been challenged, leading to a surge in malnourishment cases. Current FAO statistics indicate that around 670 million individuals (which makes up 8% of the world population) will still be struggling with hunger in 2030.
COP28: Women and climate advocates driving forward change together (UN News)
This year’s UN climate conference, underway in the United Arab Emirates’ largest city, Dubai, opened its second full week hearing a diverse cross-section of women leaders and activists raise their voices to call for ending existing gender gaps and mitigating the worsening impacts of climate change on women and girls.
Prevailing gender norms, existing inequalities and their unequal participation in decision-making processes often prevent women from fully contributing to climate solutions. Worryingly, a report launched today by UN Women suggests that by 2050, climate change may push up to 158 million more women and girls into poverty and see 236 million more face food insecurity.
But there is hope, however, as women can – and do – play an important role in climate solutions, as was highlighted on ‘Gender Equality Day’ at COP28, where women changemakers showcased how they are driving the action. A panel discussion on the ‘Women Rise for All’ platform was organized by the UN Office of Partnerships at Creator Hub, underscored the leadership of women in scaling up sustainable solutions aligned with the Paris Agreement.
Fossil fuel ‘phase out’ put on table for COP28 climate talks (The Business Standard)
Countries at the United Nations’ COP28 climate conference are considering calling for a phase-out of fossil fuels as part of the summit’s final deal, according to a draft negotiating text seen on Tuesday. Research published on Tuesday showed global carbon dioxide emissions from burning fossil fuels are set to hit a record high this year, exacerbating climate change and fuelling more destructive extreme weather.
A draft of what could be the final agreement from COP28, published by the UN climate body, kicks off negotiations around what is considered the summit’s defining issue: whether countries will agree to eventually end the use of fossil fuels. The draft text includes three options, which delegates from nearly 200 countries will now consider.
The Global Carbon Budget report, published on Tuesday said that CO2 emissions from coal, oil and gas are still rising, driven by India and China. Countries are expected to emit a total 36.8 billion metric tons of CO2 from fossil fuels in 2023, a 1.1% increase from last year, the report by scientists from more than 90 institutions including the University of Exeter concluded. The world’s overall emissions for this year, which reached a record high last year, have plateaued in 2023 due to a slightly better use of land, including a decline in deforestation. Emissions including land use are set to total 40.9 billion tons this year.
pdf Global Carbon Budget 2023 (12.65 MB)
Bangladeshi CSOs seek realistic commitments at COP28 (The Business Post)
Climate Justice Alliance- Bangladesh — a coalition of 30 CSOs — at COP28, urged for a swift and equitable transition from fossil fuels while demanding responsible actions like mobilising needs-based finance, ensuring obligatory loss and damage finance, and upholding human rights in climate efforts. The CSOs are firm in their stance that the first-ever global stock take at COP28 serves as a pivotal moment for a reality check on the world’s progress in combating climate change, read a press release on Monday.
They highlighted the imperative of bridging existing gaps, evaluating current strategies, and delineating unequivocal roles and contributions to achieve the crucial 1.5-degree Celsius goal. Moreover, emphasis is placed on extending support to the Least Developed Countries (LDCs) and Most Vulnerable Countries (MVCs) for their adaptation and survival in the face of climate adversity.
CSOs from around the world convened at COP28 with an unequivocal call to action, urging global leaders to prioritize immediate and realistic measures to combat the escalating climate emergency .With a critical eye on past negotiations, these CSOs are determined to forge a path toward a sustainable, equitable, and transformative resolution in Dubai.
COP28 Finance Day unlocked significant progress on international financial architecture reform to support low-income and vulnerable countries fight climate change. Major international financial institutions and countries made new commitments to offer climate-resilient debt clauses (CRDCs) in their lending. These clauses allow debt service to be paused to provide breathing space when countries are hit by climate catastrophes.
The UK, France, World Bank, Inter-American Development Bank (IDB), European Investment Bank (EIB), European Bank for Reconstruction and Development (EBRD) and African Development Bank (AfDB) made new commitments to expand CRDCs in their lending. In total 73 countries called on donors to expand the use of these clauses by 2025.
COP28: Over 60 countries pledge to slash cooling emissions amid rising temperatures (UN News)
Over 60 countries signed up to a so called ‘cooling pledge’ with commitments to reduce the climate impact of the cooling sector, that could also provide “universal access to life-saving cooling, take the pressure off energy grids and save trillions of dollars by 2050.”
The UN Environment Programme (UNEP) estimates that more than 1 billion people are at high risk from extreme heat due to a lack of cooling access – the vast majority living in in Africa and Asia. Moreover, nearly one-third of the world’s population is exposed to deadly heat waves more than 20 days a year. The cooling brings relief to people and is also essential for several other critical areas and services such as global food security and vaccine delivery through refrigeration.
But at the same time, conventional cooling, such as air conditioning, is a major driver of climate change, responsible for over seven per cent of global greenhouse gas emissions. If not managed properly, energy needs for space cooling will triple by 2050, together with associated emissions. In short, the more we try to keep cool, the more we heat the planet. If current growth trends continue, cooling equipment represents 20 per cent of total electricity consumption today – and is expected to more than double by 2050.
COP28 Presidency marks the launch of flagship initiatives to unlock the climate and socio-economic benefits of hydrogen (Hydrogen Council)
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White Paper on electric vehicles released (SAnews)
Trade, Industry and Competition Minister Ebrahim Patel has released a White Paper that outlines a comprehensive electric vehicle (EV) roadmap for South Africa and the structure of a suite of policy interventions tailored to the automotive industry. “It is a product of constructive engagement with stakeholders, including within government, industry and labour, to chart a viable and sustainable transition path for the industry,” Patel said on Monday.
At a media briefing in Pretoria, Patel said the primary goal of the White Paper is to set a course to transition the auto industry from primarily producing Internal Combustion Engine (ICE) vehicles to a dual platform that includes EVs in the production and consumption mix, alongside ICE vehicles in South Africa by 2035. “This vision is aligned with the foundational objectives outlined in the SAAM, a strategic framework implemented from 2021 to shape the nation’s automotive industry,” Patel said.
Patel explained that it also aligns with changing demand in export markets and South Africa’s commitment to reducing greenhouse gases.
Creecy launches SA’s R1.5 trillion green energy transition plan (City Press)
Border authority increases staff, hours for festive season influx (The Mail & Guardian)
Extended operating hours, the deployment of 380 additional personnel and generators at South Africa’s busiest ports of entry are part of the Border Management Authority’s (BMA) strategy to deal with managing the “legitimate” movement of people and goods into the country over the festive season. During a media briefing on Sunday, BMA commissioner Michael Masiapato said that the authority and its partners had developed a comprehensive festive period plan to deal with an expected six million people who would move through the country’s ports of entry. South Africa has 72 ports of entry, 53 by land, nine seaports and 10 entries for aviation.
Ethio-Djibouti Railway freight volume surge (Ethiopian Press)
Ethio-Djibouti Railway Share Company (EDR) stated that its capacity in terms of cargo and passengers transportation has shown close to 40% annual growth. Speaking to the Ethiopian Press Agency (EPA), Company Chief Executive Officer Abdi Zenebe (PhD) said that the rail freight and passengers transportation capacity have been registering a remarkable growth of 35%-40% per annum. The CEO further remarked that the rail service has reached its transport capacity of exceeding 2 million tons of cargo, he said, adding that preparations are underway to increase the number of railway stations keeping the existing 20 ones intact.
The corporate, which commenced service five years ago, has been contributing a lot to the trade facilitation and foreign exchange reduction, EPA learnt. He said: “Currently, rail transport is playing a pivotal role in strengthening regional connectivity and stabilizing the country’s economy. Besides, capacity building activities have been putting in place with two giant Chinese contractors to boost the rail transport capacity.” “Preparations are underway to increase the capacity of the rail service from 2 million tons to 4 million,” he added.
‘Where Is Our Future’: Uganda Declares War On Used Clothing (Barron’s)
For nearly three decades, the chaotic, overcrowded Owino secondhand market in Uganda’s capital has been the cornerstone of Hadija Nakimuli’s life, helping the widowed shopkeeper build a house and raise 12 children. But a potential government ban on the sale of used clothing threatens to sever this crucial lifeline for Nakimuli and tens of thousands of vendors like her.
“Other than students, my clients include ministers (and) members of parliament who call me to deliver clothes to their air-conditioned offices,” said Joseph Barimugaya, whose stall stocks menswear. “This trade should not be tampered with. Everyone benefits, including the government, which gets taxes,” the father of four told AFP.
“Everyone is into secondhand clothes. Only few people in Uganda can afford new clothes,” said Allan Zavuga, retail manager of Think Twice, which employs 30 staff across three branches in the country. “Banning it in Uganda is doing a disservice to the population and also the country at large,” he said, pointing out the environmental cost of producing new clothing instead of reusing items. East Africa imports about an eighth of the world’s used clothing, providing jobs for some 355,000 people who earn $230 million a year, according to a 2017 study by the US government’s aid agency, USAID. But the sector has also been a longstanding sore point for governments in Africa, who say the cast-offs harm the domestic textile industry.
Rwanda Climate Finance Partnership Powers Innovative Climate Action (IMF)
The Rwanda Climate Finance Partnership, which was launched at the Paris Summit for a New Global Financing Pact, will further power innovative climate action thanks to additional contributions from the Government of Rwanda.
The Rwanda Climate Finance Partnership aims to facilitate public-private partnerships to scale-up climate finance and has been made possible by the country’s Resilience and Sustainability Facility (RSF) arrangement with the International Monetary Fund. It is expected that the IMF will disburse an additional USD 48.5 million in budget support following the approval of Rwanda’s second review of the RSF arrangement by the IMF Executive Board in mid-December. To further demonstrate commitment to its RSF-supported climate agenda, the Government of Rwanda also announced two additional reform measures supported by the RSF, related to: (i) enhanced risk analysis of State-Owned Enterprises and Public-Private Partnerships that are vulnerable to climate change, and (ii) adopting a green taxonomy adapted to Rwanda’s NDC climate action plan.
Mainstreaming Climate Change into Mozambique’s Planning is Key to Building a Resilient Economy (World Bank)
Climate change impacts could drive up to 1.6 million additional people into poverty by 2050, further compounding drivers of fragility across most of the country, notes the World Bank Country Climate and Development Report (CCDR) for Mozambique, released today. This report evaluates how climate change and global decarbonization might impact the people of Mozambique and the country’s development in the next decades and suggests ways to respond.
The report outlines four priorities to boost climate adaptation, build resilience, and foster low-carbon growth in a context of tight fiscal space: (I) adopting economy-wide measures to enhance the country’s capacity to adapt to climate change, (II) prioritizing critical infrastructure development and management, (III) protecting the most vulnerable while promoting green, resilient, and inclusive growth, and (IV) leveraging Mozambique’s energy and mineral wealth.
Trade expert credits Nigeria’s non-oil exports for trade surplus with US (Businessday NG)
Titus Olowokere, President of the US-Africa Trade Council, elaborated on Nigeria’s favourable trade balance with the US, attributing this notable shift to the surge in non-oil exports. During an exclusive interview with BusinessDay on Wednesday, Olowokere underscored the significance of this transformation in trade dynamics. In 2022, Nigeria’s exports to the US surpassed US exports to Nigeria by $5.4 billion, marking the first time in over a decade that Africa’s largest economy experienced a trade surplus.
This monumental shift signifies a remarkable evolution in their trade relationship, potentially opening new avenues for economic growth and stability. “The key driver to this shift in the balance of trade is the growth of the non-oil sector,” Olowokere said. “Before now, when oil was the mainstay of the economy, attention shifted away from the non-oil sector.” The head of the US-Africa Trade Council highlighted that the oil and gas sector’s underutilization, plagued by systemic corruption, hindered the full potential of crude oil.
Nigeria must open its market to West Africa – Okudzeto Ablakwa (MyJoyOnline)
The Member of Parliament for North Tongu, Samuel Okudzeto Ablakwa has implored Nigeria to amend its import restriction policy and open its market to the rest of West Africa. He said Nigeria being the leading market in the sub-region, has a significant role to play in the intro-trade agenda being pushed, following the implementation of the African Continental Free Trade Area.
Speaking at the 2nd Volta Young Entrepreneurs Summit in Ho, the ranking Member of the Parliamentary Foreign Affairs Committee asserted that Nigeria’s stance is detrimental to the continent’s economic emancipation agenda.
“They concede that they can be more outward-looking. They have been too comfortable inward-looking, and very protective. They feel that they have the numbers, we don’t really need the others. At a time when we are talking about AfCFTA, increasing trade among ourselves, look at the tall list of items that Nigeria is protecting that even West African neighbors cannot trade with their Nigerian counterparts”, he said.
Standards excluding SMEs from export market (The Star)
Failure to understand and meet set product and service standards continues to lock out Small and Medium Enterprises from lucrative deals in intra-regional trade, according to experts. This coupled with other tariff and non-tariff barriers including lack of access to information on trade regulations, is being blamed for curtailing the small and medium businesses from participating in cross border trade.
According to the African Organisation for Standardisation (ARSO) and the East African Business Council (EABC), SMEs could also lose out in the 1.2 billion African Continental Free Trade Area (market) unless the challenges are addressed. SMEs account for up to 80 per cent of businesses in the region, creating up to 60 per cent of jobs and contributing about 50 per cent of the region’s GDP.
Small businesses have been struggling to comply measures such as sanitary standards, protection of public health, environment and phytosanitary measures and technical regulations, which not only lock them from regional markets, but also lucrative international markets mainly in the European Union. “We need to start having good agricultural practices...good manufacturing practices, before we even think of taking our products to the market,” ARSO Secretary General Hermogene Nsengimana said.
The United Nations Economic Commission for Africa (ECA) will, on December 5 to 7, 2023, convene a three-day Expert Group Meeting (EGM) of the AfCFTA-Anchored Pharma Initiative’s pooled procurement pillar of essential Sexual, Reproduction, Maternal, Newborn, Child Health (SRMNCH) products, in Addis Ababa, Ethiopia. The meeting will focus on the technical review of a Centralized Pooled Procurement Mechanism (CPPM) and its accompanying Legal Instrument.
This high-level meeting will comprise senior governmental officials and technical experts from 10 pilot Member States – Ethiopia, Kenya, Djibouti, Eritrea, Mauritius, Madagascar, Comoros, Rwanda, Seychelles and Sudan, along with technical experts from ECA, and development partners. The meeting aims to achieve consensus on the pooled procurement framework and its legal instrument. The deliberations and decisions from the EGM will guide the roadmap for establishment of the mechanism and its legal instrument for endorsement and signature at the proposed Ministerial Meeting scheduled for the first quarter of 2024.
The ECA Office for North Africa, in partnership with the Moroccan Ministry of Foreign Affairs, African Cooperation and Expatriates, held on Tuesday, November 28 a webinar on: “Addressing Gaps and Challenges in Africa’s Middle-Income Countries.” The meeting took place in preparation for the international conference on middle-income countries scheduled in Marrakech on 5-6 February 2024 and scheduled to be jointly organized by Morocco in its capacity as Chair of the like-minded group for Middle-Income Countries, ECA and UNDP.
The webinar provided policymakers, development practitioners, and academics with a platform to share their experiences and views on two critical challenges that African Middle Income Countries (MICs) are currently facing: 1) The issue of strengthening human capital, given that the lack of human capital is a key aspect of the middle-income trap. 2) The overwhelming public debt issue
pdf Africa’s quarterly economic performance and outlook July-September 2023 (1019 KB) (UNECA)
Are debt-for-nature swaps a viable solution for addressing the triple crises of debt, climate finance and nature conservation in Africa?
Many African countries are among the world’s most vulnerable to changes in ecological and climatic conditions. Moreover, nearly all countries of the continent are currently heavily indebted. They are thus caught in a vicious cycle: debt servicing reduces the fiscal space available for investments in climate change adaptation and mitigation or to address environmental degradation. Debt-for-nature and climate swaps allow countries with valuable biodiversity to charge others for its protection and provision as a global public good. Therefore, they could attract new funds or stakeholders and even generate additional revenue for these countries. However, despite their great potential, debt-for-nature and climate swaps remain, for the moment, a niche instrument in the financial market.
Accelerating middle-income countries’ progress towards sustainable development (UN)
Middle-income countries (MICs) are those whose incomes per capita lie between the levels used to define low- and high- income countries, with thresholds established by the World Bank. As of 1 July 2023, the group comprises 108 countries with a gross national income per capita of between $1,136 and $13,845. Together, MICs account for about 30 per cent of global GDP and make up 75 per cent of the world’s population, including 60 per cent of the world’s poor.
This UN DESA policy brief reviews current and longer-term challenges of MICs to achieve sustainable development; possible pathways to emerge from these challenges; and international development support for MICs. It puts forward recommendations for policy action at the national and international levels.
Members agree on draft MC13 decision on small economies’ integration into trading system (WTO)
WTO members agreed on 1 December 2023 on a draft decision to be submitted to trade ministers for approval at the 13th Ministerial Conference (MC13) in February 2024 to help further the integration of small economies into the world trading system. Adopted at a meeting of the Committee on Trade and Development’s Dedicated Session on Small Economies, it is the first draft decision for MC13 where consensus has been forged.
Submitted by the WTO’s Group of Small, Vulnerable Economies (SVEs), the draft decision calls for WTO members to address the issue of integrating small economies into the multilateral trading system by looking into issues such as the impact of non-tariff measures on trade costs, the link between trade policies and climate change adaptation, global supply chains, e-commerce and digital ecosystems.
COP28 updates
COP28 President recaps key wins from first four days of COP28.
COP28 has mobilized over $57 billion in the first four days to support priorities across the global climate agenda, setting the pace for a new era in climate. Eight new declarations have been announced that will help transform every major system of the global economy, including the first ever declarations on food systems transformation and Major declarations were also made on renewable energy and efficiency, as well as initiatives to decarbonize heavy emitting. The COP28 Presidency is the first to actively call on parties to come forward with language on all fossil fuels for the negotiated
Visit our COP28 Resources page for more info.
AfCFTA – an opportunity to pursue climate policies: Melaku Desta (UNECA)
“As we strive to harness the potential of the AfCFTA, it is essential that we do so in a manner that safeguards our natural ecosystem, promotes renewable energy and mitigates the impact of climate change” Mr. Claver Gatete, Executive Secretary of the United Nations Economic Commission of for Africa (ECA) has said in remarks made on his behalf by Melaku Desta, Coordinator of the ECA’s Africa Trade Policy Centre (ATPC) at a COP 28 side event themed: “Africa’s Trade and Green Transition: A Continentally Coordinated Approach.”
Mr. Desta said ECA and Centre d’Etudes Prospectives et d’Informations Internationales (CEPII) conducted a study - Greening the African Continental Free Trade Area Agreement’s Implementation - with a view to shedding light on important findings regarding the implementation of the AfCFTA Agreement and parallel adoption of climate policies. It examines how the implementation of AfCFTA agreement can be aligned with green principles, renewable practices and low carbon strategies.
COP28 ushers in a new era of trade-climate synergy: AfCFTA’s Sectary-General (ZAWYA)
Wamkele Mene, Secretary-General of the African Continental Free Trade Area (AfCFTA), stated that COP28 is the strongest edition in terms of representing the global trade sector. He emphasised that this is the first time the sector has been strongly represented at COP, acknowledging the importance of inclusivity in addressing climate challenges and maintaining trade that supports climate goals.
Speaking to the Emirates News Agency (WAM) on the sidelines of COP28’s fifth day, he said, “For the first time, there’s an appreciation for the link between trade, climate change, and the need for environmentally friendly trade.” He stressed the importance of integrating renewable energy into the trading system. Mene affirmed that this is a positive message for everyone as discussions about transitioning the global economy to sustainability gather pace in the coming decades. He pointed out that trade, alongside other sectors, can positively contribute to strengthening sustainability and environmental protection, highlighting various approaches to achieve this.
He mentioned that shipping and transportation can become sustainable and environmentally friendly by using either sustainable fuels or adopting electric vehicles. He noted that several African countries possess rich lithium resources, a key component in electric vehicle batteries.
African leaders urge robust financing for continent’s climate adaptation (AfDB)
Global leaders attending this year’s global climate change conference in Dubai on Friday urged a more global response to the continent’s adaptation financing needs to tackle the impact of climate change and build resilience.
Speaking during the Adaptation Finance Summit for Africa on the second day of the COP28, the leaders said climate adaptation funding, currently at 39% of all climate finance flows to Africa, must rapidly increase.
In his remarks, the President of the African Development Bank Group, Dr Akinwumi Adesina, highlighted initiatives by the institution in response to the climate adaptation needs of Africa, including the launch of a Climate Action Window to mobilise up to $14 billion to support adaptation for 37 low-income countries.
African Development Bank’s $1 billion insurance facility to protect millions of farmers in Africa (AfDB)
The African Development Bank Group has presented its planned $1 billion facility to provide insurance to more than 40 million farmers across the continent against severe impacts of climate change. The facility was widely praised by the World Food Programme (WFP), development agencies, insurance companies and the private sector during a side event at COP28 in Dubai.
African Development Bank President Dr Akinwumi Adesina said the Africa Climate Risk Insurance Facility for Adaptation (ACRIFA) aims to mobilise $1 billion of concessionary financing, high-risk capital and grants to support the African insurance industry. The Facility is designed to protect farmers and countries against catastrophic weather-related events and to stimulate private sector investment in agriculture by mitigating risks.
Adesina said over 97% of farmers in Africa do not have agricultural insurance. “Their only insurance is to pray… when they plant that it will rain. Pray when they harvest that there will not be rains or pest devastation and pray when they market their crops that prices will not collapse.”
COP28 must be a ‘game changer’ for agrifood systems, FAO Director-General urges (FAO)
Agrifood systems solutions deliver triple wins for climate, people and nature, the Director-General of the Food and Agriculture Organization of the United Nations QU Dongyu told a high-level event this Saturday at the UN Climate Conference COP28 in Dubai. “We are at an important moment in COP history. We have agrifood systems at the top of COP. It is a turning point…use this COP28 to work together in relevant partnerships and make it a ‘game changer’”, he told participants urging nations to walk the talk.
Reiterating his message to world leaders at the World Climate Action Summit, Qu underscored that achieving the 2030 Agenda and the SDGs is only possible by transforming agrifood systems to be more efficient, more inclusive, more resilient and more sustainable. He added that a transformation is urgently needed taking into account that eight billion people don’t have access to healthy diets, over 700 million people are currently living in hunger, and 80% of the global rural poor depend indirectly on agrifood systems for their livelihoods.
WTO Secretariat launches trade policy toolkit at COP28 to support action on climate goals (WTO)
The WTO Secretariat on 2 December launched a 10-point set of “Trade Policy Tools for Climate Action” at the 28th United Nations Climate Change Conference (COP28) in Dubai to present governments with a toolkit to draw from in their efforts to meet global climate targets. The new publication explores how integrating the trade policy options, such as reviewing import tariffs on low-carbon solutions, into national strategies can help economies mitigate the effects of climate change and adapt to its consequences.
“In this publication, the WTO Secretariat explores 10 trade policy tools that can accelerate progress towards climate goals. Each element could be integrated into nationally determined contributions (NDCs) and national adaptation plans (NAPs) as economies look to ratchet up the ambition of their climate strategies,” Director-General Ngozi Okonjo-Iweala says.
pdf Trade Policy Tools for Climate Action (5.89 MB)
COP28: Extraction of minerals needed for green energy must be ‘sustainable and just’, says Guterres (UN News)
UN Secretary-General António Guterres on Saturday announced his plan to set up a panel aimed to ensure the move from fossil fuels towards renewable energy is just, sustainable and benefits all countries. Mr. Guterres, who has been a strong proponent of moving away from fossil fuels, told leaders of the Group of 77 Developing Countries, which includes China, that the availability and accessibility of critical energy transition minerals is crucial to reach the goals set by the 2015 Paris Agreement.
“COP28 must commit countries to triple renewables capacity, double energy efficiency, and bring clean energy to all, by 2030,” stated the UN chief, stressing that the phase out fossil fuels with a roadmap that is equitable and with a timeframe compatible with 1.5 degrees is also essential.
The green energy boom is an opportunity for commodity-rich developing countries to transform and diversify their economies. However, a lack of global guidance to manage these resources could exacerbate geopolitical risks and environmental and social challenges, including impacts on water, biodiversity, health and indigenous peoples’ rights. “The extraction of critical minerals for the clean energy revolution – from wind farms to solar panels and battery manufacturing – must be done in a sustainable, fair and just way,” the UN chief said, adding that the demand for minerals, such as copper, lithium and cobalt, is set to increase almost fourfold by 2030.
Clean energy minerals: Developing countries must add value to capitalize on demand (UNCTAD)
As the COP28 climate summit unfolds, an UNCTAD report sharpens the focus on trade in critical minerals that are essential for clean energy technologies. It examines trade flows of lithium, cobalt and graphite through global value chains for electric vehicle (EV) batteries, highlighting opportunities and challenges for resource-rich developing countries. In a net-zero emissions scenario, demand for these minerals is expected to surge – for example, 454% for lithium and 115% for cobalt from 2022 to 2030.
Developing countries, especially in Africa, which boasts 19% of global mineral reserves needed for EVs, stand to benefit from the green boom if they can process the minerals locally. The energy transition is an opportunity for mineral-rich developing countries to strengthen their emerging industries and bolster their position in global value chains, UNCTAD Secretary-General Rebeca Grynspan said at a COP28 event on critical minerals and the energy transition.
COP28: Methane pledge by the ‘giants behind the climate crisis’ falls short, says Guterres (UN News)
As the fourth day of this year’s UN climate conference got underway, the UN chief stated: “The fossil fuel industry is finally starting to wake up, but the promises made clearly fall short of what is required.” Reacting to the pledge announced on Saturday by several major oil and gas companies to reduce methane leaks from their pipelines by 2030, Mr. Guterres said it is a “step in the right direction”, but the promise failed to address a core issue, namely, eliminating emissions from fossil fuel consumption.
Methane (CH4) is a primary component of natural gas and is responsible for about a third of the planetary warming we see today. It is short-lived but is more powerful than carbon dioxide, the greenhouse gas most responsible for climate change. Without serious action, global anthropogenic methane emissions are projected to rise by up to 13 per cent between now and 2030.
pdf Bending the Curve: A Triple Win Blueprint for Global Methane Reduction (2.84 MB)
Leading international agencies form task force on net zero policy (UNCTAD)
Leading representatives from within the community of international regulators and experts have today announced their participation in a new task force with the aim of aligning global policy with net zero. Launched today at the COP28 climate conference in Dubai, United Arab Emirates and building on the work of United Nations Secretary-General’s High Level Expert Group (HLEG) on Net-Zero Emissions Commitments of Non-State Entities, the Task Force on Net Zero Policy will aim to help realize its recommendations.
The focus of the task force will be to ensure the credibility and accountability of 1.5°C-aligned net zero emissions commitments by non-state actors is underpinned with coherent policies and regulatory certainty. The announcement of the task force was made at UN Secretary-General António Guterres’s high-level meeting for non-state actors at COP28 and comes one year after the release of the HLEG’s recommendations contained in the group’s “Integrity Matters” report during last year’s COP27 in Sharm El-Sheikh, Egypt.
UNCTAD Secretary-General Rebeca Grynspan said: “The Task force on Net Zero Policy embodies our collective commitment to transforming net zero ambitions into tangible policy actions. It marks a pivotal moment in our journey towards a sustainable future, ensuring that the Integrity Matters recommendations are not just visionary statements but catalysts for real-world change.”
Multilateral development banks attending the 2023 UN Climate Change Conference (COP 28) today affirmed their commitment to a concerted, global action, including increasing co-financing and private sector engagement to address climate change, felt acutely in Africa.
In a joint statement released in Dubai, United Arab Emirates, the banks committed to collaborating on “socially inclusive, gender-responsive and nature positive climate and development actions,” leveraging their unique expertise and networks. For impact, the MDBs will collaborate to attract private capital at scale for countries, expand the scope of reporting climate results and impact, and help countries identify priorities and investment opportunities.
pdf COP28 Multilateral Development Banks (MDB) Joint Statement (169 KB)
Enhancing access and increasing impact: the role of the multilateral climate funds (Global Environment Facility)
The need for collective, urgent, and ambitious action on climate is greater than ever before. As the results of the first global stocktake make clear, the world is not on track to meet the goals of the Paris Agreement. While progress is seen in some areas, much more is needed to reach net zero and adapt to climate impacts. A rigorous “all of economy, all of society” approach is needed across all systems and sectors.
Climate finance for developing countries plays the key role in this transition. Simplified and improved access to climate finance can allow for the more rapid deployment of urgently needed finance while also better serving local needs. The current international climate financial architecture needs to develop to keep “fit-for-purpose” to deal with the growing multiple challenges. A shift to a system-wide climate finance architecture where all actors work together and better in a more synergized and harmonious way is needed.
Measuring Climate Impact: A Draft Approach for Going from Inputs to Outcomes (World Bank)
Existing reporting of the Multilateral Development Bank (MDB) climate finance commitments does not tell the whole story. The MDBs have made significant progress in scaling up climate finance commitments. However, climate finance neither measures the results nor the outcomes of climate actions. While more climate financing may lead to better climate and development outcomes, the relationship is not necessarily one to one. There is a need for a common approach to reporting climate results that could be adopted across the MDBs, and potentially more widely across financial markets, to better signal what works and should be scaled and replicated, versus what does not and requires course correction to mobilize the financing needed to support the goals of the Paris Agreement.
pdf Measuring climate impact: A draft approach for going from inputs to outcomes (1.39 MB)
The United Nations Economic Commission for Africa (ECA) Executive Secretary Claver Gatete, has commended COP27 for setting up the Loss and Damage Fund, a process started nearly three decades ago that concluded at the start of the ongoing COP 28.
Speaking at a side event on Assessing loss and damage: methodological challenges and prospects he said, “COP28 has started positively, with the adoption of the recommendations of the Transitional Committee on Loss and Damage; The loss and damage fund, with funding pledges amounting to over $400 million dollars so far, marks the beginning of a very important era in our efforts to address climate change and its impact. The side organized by the Economic Commission for Africa (ECA) and African Union on the side lines of COP 28 in Dubai on 3 December 2023.
Quick links
Africa is finally at the climate negotiations table
UKEF joins new international alliance to help export finance reach net zero
Climate change: AI tool to harmonise global carbon trade
New climate and tax taskforce must make rich polluters pay
For the Poorest Countries, Climate Action is Development in Action
COP28: UAE and Gates foundation pledge millions to combat climate health risks
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South Africa: Cape Town Port Fully Operational After Delays In Container Offloads (allAfrica)
Operations have returned to normal at the Port of Cape Town after reported delays experienced in the past two weeks. A presentation by Western Cape Finance MEC Mireille Wenger last week reportedly stated that vessels were experiencing delays of between 12 and 14 days. Some vessels have been bypassing Cape Town port due to the port’s under-performance. Shipping giant Maersk had its vessels sail to Mauritius for smaller consignments of containers to be offloaded and shipped to Cape Town to avoid the delays. However, Western Cape Transnet Port Terminals managing executive Andiswa Dlanga said that as of Tuesday, November 26, the backlog had been cleared after the introduction of more equipment into the system.
There are still delays in loading and offloading of containers at Durban and Richards Bay ports. The delays are costing the economy up to U.S.$6 million per day, according to the South African Freight Forwarders Association. The crisis has seen President Cyril Ramaphosa and Public Enterprises Minister Pravin Gordhan visit the Richards Bay port on November 23, 2023 where the president received a briefing from Transnet leadership on the current challenges at the port and the interventions under way to reduce congestion and improve efficiency, a government statement said.
Kenya mulls increased cotton production, woo Indian investors (The Star)
The government through the ministry of Industry is seeking for more investors in the textile industry to drive local production while creating more jobs for its citizens. Speaking on Thursday during the India International Textile and and Machinery exhibitions, Industry PS Juma Mukhwana urged the exhibitors in the summit to leverage the opportunity gap that Kenya offers in the sector.
“We are largely seeking for synthetic fibre manufacturers, as the country has none currently. The product makes the largest proportion of textiles we produce, about 70 per cent, compared to cotton which only does 30 per cent,” Mukhwana said.
He added that Kenya is still doing badly in terms of manufacturing, noting that with more Indian investors in the sector, it will mean increased production of cotton, further benefiting the local farmers. To achieve this, he noted that the government has also set aside Sh100million for purchase of cotton seeds in the current Financial Year, compared to the Sh25million in the previous year.
We cannot industrialise, thanks to Sacu – Geingob (The Namibian)
President Hage Geingob has credited the Southern African Customs Union (Sacu) for the fall of the Peugeot assembly plant, saying this is why Namibia is struggling to industrialise. Geingob was addressing the media yesterday in an effort to highlight the service delivery achievements of his administration during the past year.
French automaker Peugeot has filed a lawsuit against the government for its alleged failure to ensure that Peugeot’s joint venture, Peugeot Opel Assembly Namibia, would be exempt from excise and customs duties, taxes and levies for exporting vehicles assembled at Walvis Bay to other Sacu and Southern African Development Community (SADC) countries, according to the particulars of claim. Peugeot signed an agreement in February 2018 with the Namibian government, represented by the Namibia Industrial Development Agency and the Ministry of Industrialisation and Trade, committing to support Peugeot’s investment in the country, the documents state.
Maritime agencies to chart path for trans-border trade (The Guardian Nigeria)
Heads of maritime agencies and other stakeholders are set to brainstorm on the most viable options available to Nigeria to make its trans-border trade more profitable. This is just as Nigeria controls over 70 per cent of cargo throughput in the West and Central African region, which accounts for the largest volume of trade by any country in the region and also holds the potential to influence trade.
The heads of the agencies and stakeholders are expected to dialogue at the 2023 yearly conference and awards of the Association of Maritime Journalists of Nigeria (AMJON), scheduled on December 14, 2023 in Lagos. The Comptroller General of Customs, Bashir Adewale Adeniyi is expected to chair the event with the theme: “Rebuilding Nigeria’s Economy Towards a Viable Transborder Trade,” while the heads of agencies in the maritime sector will make presentations regarding their roles in promoting trans-border trade in the country
18 Tanzanian firms access AfCFTA (Tanzania Daily News)
Eighteen Tanzanian companies have managed to access and sell products to the African Continental Free Trade Area (AfCFTA) market in this financial year. This is above the target set of ten companies previously planned to sell their products to the market, thus exceeding the target by 80 per cent.
Minister of Industry and Trade Dr Ashatu Kijaji said this on Thursday in an interview concerning the Second Conference of Women in Business under the African Free Trade Area (AfCFTA) which will be held next week. “Tanzania was among the first eight countries that were given priority to send ten products that will be the first to enter the AfCFTA market from July this year, but in less than six months we have been able to have 18 companies participate,” said Dr Kijaji.
Uganda Not Well Positioned to Exploit AfCFTA Benefits, Experts Say (allAfrica)
Speaking during a meeting to share information and perspectives on the current state of play of the AfCFTA negotiations organised at Fairway Hotel in Kampala, SEATINI Executive Director, Jane Nalunga said despite the enormous benefits presented by AfCFTA, Uganda seems not prepared to reap them.
“It is a great opportunity because it offers a bigger market for us as Uganda but the biggest challenge is that we need to position ourselves to be able to profit from it. We haven’t produced the right quantity and quality as Uganda,” Nalunga said. “We have failed miserably in the area of quality and quantity. It is the reason some of our products like maize flour have been rejected by Kenya and South Sudan. The issue of quality is affecting our efforts to exploit the benefits of the continental market. The market is available but we don’t have the required quantity to sell in this market.”
According to the SEATINI Executive Director, on many occasions, Uganda has entered agreements with various countries to export a given number of products but the country has fallen short of meeting these targets.
Supercharging Africa’s battery, electric vehicles ambitions (New Business Ethiopia)
A global transition towards green energy and rapid decarbonization has exponentially increased demand for Electric Vehicles (EVs) as well as investment in battery-powered storage systems. To advance Africa’s role in meeting this demand, the Economic Commission for Africa (ECA), Africa Finance Corporation (AFC), and the African Union Commission (AUC) will jointly convene a high-level panel discussion on the theme Supercharging Africa´s Battery and Electric Vehicle ambitions on Sunday, 3rd December at the Africa Pavilion in the Blue Zone at COP28 in Dubai.
The High level panel discussion will enable African Heads of State engage with fellow policy makers, the private sector, global investors, business communities and heads of multilateral agencies to identify the type of investments and policies needed to spur the creation of a sustainable and inclusive African value chain for the production of battery electric vehicles. They will also discuss the repositioning of the continent in the global supply chain of value-added metals and minerals, essential for the world´s transition to renewable energy.
The session is designed to be a “call to action” to investment and business communities, policymakers and all major stakeholders, to collaborate and invest in the rapid realization of an African Battery Electric Vehicles (BEV) value chain.
We have capacity to meet local demand and compete favourably – AGI (MyJoyOnline)
The Association of Ghana Industries (AGI) has indicated that it has the capacity to meet local demand for goods, if given the level playing field and allowed to operate within a conducive environment. The Chief Executive of the association, Seth Twum-Akwaboah said a lot of their members are currently producing enough to meet local demand. He expressed worry that cheap and inferior goods have been allowed to flood the market through imports.
He refuted accusations that the AGI is being overly protected by government by introducing a Legislative Instrument to restrict the importation of some selected items According to him, “data on the ground doesn’t support the argument that industries are being lazy and don’t want to play in a very competitive environment”.
PM Ngirente commends intra-EAC trade growth (The New Times)
Prime Minister Edouard Ngirente has said the East African Community (EAC) registered commendable progress in intra-regional trade, since the coming into force of its customs union more than a decade ago. Ngirente made the observations on November 29 while addressing a special sitting of the East African Legislative Assembly (EALA), on behalf of President Paul Kagame in Parliament.
“Allow me to take this opportunity to acknowledge our Community’s achievements since the operationalisation of the EAC Customs Union, 18 years ago,” Ngirente said while addressing the regional lawmakers. “The results are commendable and show a significant increase in intra-EAC trade from $5.8 billion in 2013 to $10.9 billion in 2022. This is a big achievement,” he observed.
Debt, Inflation, Currency Depreciation Slow Down ECOWAS Economies – President (News Agency of Nigeria)
The President of the ECOWAS Commission, Dr Omar Touray, on Thursday said debt, currency depreciation, inflation and other indices have slowed down the economies of countries in the sub region. This is contained in the 2023 Annual State of the Community Report he presented to the ECOWAS Parliament in Abuja. Touray said even though some member states have posted impressive economic growth, inflation, deteriorating fiscal balance and mounting public debts have continued to erode the welfare and standard of living of citizens.
“The period under review was characterised by the continuation of geo-political conflicts, persistent inflationary pressures, high and rising public debts as well as tightening of monetary policies in most regions. “In this context, the global economic output growth is expected a slowdown to 3.0 per cent in 2023, compared to 3.5 per cent in 2022... The performance of the ECOWAS economies in 2023 mimicked that of the global economy due to the strong linages, especially by trade, investment and financial services.
Gambian National Digital Transformation Strategy (UNECA)
The Gambia, in collaboration with the United Nations Economic Commission for Africa (ECA) and the Ministry of Communication and Digital Economy (MOCDE), proudly announces validation of its groundbreaking Digital Transformation Strategy and the Digital ID Strategy that has culminated in over 9 months of work . The validation will take place on the 19th to 20th December in the Gambia.
The validation workshop will be a significant step towards modernization and inclusive development and marks the culmination of collaborative efforts between the government of The Gambia and UNECA. The comprehensive strategy is poised to propel The Gambia into a new era of digital innovation, fostering economic growth, social inclusion, and government efficiency.
Accelerating Digital Transformation in West Africa (World Bank)
The World Bank today approved a $266.5 million (in IDA financing) game-changing program aimed at improving internet access in The Gambia, Guinea, Guinea Bissau, and Mauritania, and to promote a single digital market in West Africa. The regional initiative will also partner with the African Union, Smart Africa, and the Economic Community of West African States (ECOWAS) to strengthen institutional capacities for managing and promoting digital markets.
The Digital Transformation for Africa/West Africa Regional Digital Integration Program (DTfA/WARDIP) will bridge the digital divide, making internet services in the region more affordable, promoting competition among service providers, and improving the underlying infrastructure to unlock new opportunities for employment, access to services for 1.3 million individuals, including 50% women, and people with disabilities.
Despite progress in mobile broadband coverage, West Africa still faces significant gaps in digital connectivity, access, and usage. The adoption of mobile broadband services remains below 40%, primarily due to high retail prices acting as a barrier. Infrastructure deficits, especially in international connectivity and resilient fiber optic backbone, remain major obstacles to meeting the growing demand for data and online services.
From Vision to Action: A policy blueprint for channeling $130 trillion private capital into Africa’s sustainable business future (Center on Global Energy Policy at Columbia University)
Africa’s story is one of abundance and, as we enter the era of decarbonization, the continent is endowed with critical minerals, sunshine, large rivers, forests and grasslands. All of these are key ingredients in the Fourth Industrial Revolution, powered by clean energy. The role of the business community is now more important than ever in order to complement Governments’ efforts at economic empowerment and create an environment that enables the public and private sectors to achieve the United Nations 2030 Agenda for sustainable development for all and the African Union’s Agenda 2063 goal of wealth creation.
The Agenda 2063 financing strategy is articulated around three dimensions: (a) domestic resource mobilization; (b) intermediation of resources into investment and (c) access to finance facilitation, including through project development funds, viability gap funding, capitalization funds and bankability and investment-readiness support for projects, firms/SMEs, entrepreneurs and other parties.
Just transition in Africa: The case for climate-resilient development (Daily Maverick)
Climate change is negatively affecting food harvests and pushing up prices in Africa, leaving 18 million people in Ethiopia, Somalia and parts of Kenya facing the risk of severe hunger. A major debate is unfolding within countries and between the major players in the climate change debate on how to respond to the systemic impacts of climate change. Divergent approaches are also reflected in the narratives and perspectives of these different stakeholders on the concept of what is known as a “just transition”.
Multilateralism key to dealing with climate change (SAnews)
President Cyril Ramaphosa has urged global leaders to continue working together in efforts to tackle climate change as unilateralism can have detrimental result on developing economies. “Multilateralism must remain central to global climate action. Unilateral, coercive and trade-distorting measures, such as carbon adjustment measures are detrimental to developing economies,” the President said on Friday.
“African countries are among the most vulnerable to the effects of a rapidly changing climate, and have to adapt and build resilience within the context of historically low levels of development and a severely limited capacity. “Innovative financing instruments, such as special drawing rights are needed to ensure that funding does not increase the debt burden of countries that are already struggling to service their debt. “There can be no substitute for new predictable at scale and appropriate public finance to help developing economy countries build climate resilience. Climate change adaptation and mitigation technologies should be regarded as a global public good,” the President said.
Ahead of COP 28, ECA releases policy advise on economic diversification amid crisis and uncertainty (UNECA)
The Economic Commission for Africa (ECA) has published findings on how to promote economic diversification during times of crisis and uncertainty. The policy report, “Exogenous shocks and commodity dependence: how diversification can fuel the green economy in Africa”, intends to assist policy makers in harnessing natural resource endowments, particularly minerals which are growing in importance due to the global energy transition, to fuel industrialization and job creation.
The findings are based on an analysis of trade and economic diversification data leading up to and following the impact of the COVID-19 crisis. This analysis revealed that Africa witnessed a diversification of its export basket in 2020, with five countries witnessing significant diversification. A closer examination, however, notes that this reflects both a fall in traditional commodities, such as oil and gas, and a rise in the role of gold as global gold prices spiked. This reveals the risk of continued commodity dependence, which can be exacerbated by the effects of exogenous shocks.
UAE commits $30 billion to climate change action vehicle ALTÉRRA at COP28 (ETEnergyworld.com)
The United Arab Emirates has announced a substantial commitment of US$30 billion to the newly established climate finance vehicle, ALTÉRRA, during the COP28 summit. This move positions ALTÉRRA as the world’s largest private investment initiative aimed at climate change action, with a target to mobilize US$250 billion globally by 2030.
Focused on rectifying the current challenges in climate finance, particularly in the Global South, ALTÉRRA intends to guide private investments towards climate change projects in emerging markets and developing economies. These regions have traditionally seen minimal investment due to perceived higher risks. The COP28 summit has identified the reformation of climate finance as a crucial component of its Action Agenda. ALTÉRRA is a direct response to this agenda, aiming to improve the availability, accessibility, and affordability of climate finance.
Decarbonizing shipping: How to speed up the transition and ensure it’s fair (UNCTAD)
Maritime transport is in the spotlight at COP28, the UN’s annual climate change conference that kicked off on 30 November in Dubai. The sector, which carries around 80% of the world’s merchandise trade, is under pressure to decarbonize. The shipping industry emits around 3% of global greenhouse gas emissions. Over the past decade, its emissions have risen 20% – a trajectory the world “simply cannot afford”, UNCTAD Secretary-General Rebeca Grynspan said.
“Our message at COP28 is very clear. Bold global action is necessary to decarbonize shipping,” Ms. Grynspan said. “But shipping cannot decarbonize on its own,” she added. “It requires action across the entire ecosystem.” A new UNCTAD policy brief calls for bringing together carriers, ports, manufacturers, shippers, investors, energy producers and distributors to collectively help the industry decarbonize and ensure the process is just, fair and equitable.
Fossil Fuel Subsidy Reform meeting advances work in lead-up to MC13 (WTO)
WTO members participating in the Fossil Fuel Subsidy Reform (FFSR) talks focused on the process of elaborating the next steps under the initiative, including a prospective work plan, at its fourth meeting held on 24 November. In the lead-up to the 13th Ministerial Conference (MC13) in February 2024, co-sponsors are working on an updated ministerial statement and a set of concrete options to advance fossil fuel subsidy reform.
In the past year, the initiative has made solid progress under the high-level work plan set by the Joint Ministerial Statement at MC12. Participants committed to work over the coming weeks to finalise a set of options for undertaking concrete follow-up actions, with the intention of presenting them for ministers’ consideration at MC13. Co-sponsors will also develop a timetable for the more in-depth work anticipated through 2024.
The cost of support measures for the production and consumption of fossil fuels increased sharply in 2022, as countries sought to cushion the impact of surging energy prices on households and firms, according to analysis released today by the OECD and IEA.
New OECD and IEA data show that the fiscal cost of global support for fossil fuels in 82 economies almost doubled to USD 1 481.3 billion in 2022, up from USD 769.5 billion in 2021, as governments instituted measures to offset exceptionally high energy prices, driven in part by Russia’s war of aggression against Ukraine.
The OECD Inventory of Support Measures for Fossil Fuels estimates that direct transfers and tax expenditures associated with support measures for fossil fuels amounted to USD 427.9 billion in 2022. In addition, the IEA calculates that fossil fuels sold below market prices amounted to USD 1 126.6 billion. Increases were significant across petroleum, electricity and natural gas.
Earth’s vital signs are failing: record emissions, ferocious fires, deadly droughts and the hottest year ever. We can guarantee it even when we’re still in November. We are miles from the goals of the Paris Agreement — and minutes to midnight for the 1.5°C limit. But it is not too late. We can — you can — prevent planetary crash and burn. We have the technologies to avoid the worst of climate chaos — if we act now. The Intergovernmental Panel on Climate Change has charted a clear path to a 1.5-degree world. But we need leadership, cooperation and political will for action. And we need it now.
The diagnosis is clear. The success of this COP depends on the Global Stocktake prescribing a credible cure in three areas. First, drastically cutting emissions. Second, we cannot save a burning planet with a firehose of fossil fuels. Third, climate justice is long overdue.
Director-General welcomes Steel Standards Principles for decarbonization, launched at COP28 (WTO)
Director-General Ngozi Okonjo-Iweala welcomed on 1 December the endorsement by standard setting bodies, international organizations, steel producers and industry associations of a set of principles aimed at aligning how greenhouse gas emissions are measured in the steel sector. This novel partnership was announced at a Business and Philanthropy Climate Forum roundtable on the first day of the COP28 UN Climate Change Conference in Dubai, United Arab Emirates.
WTO members review farm policies, discuss food security, technology transfer (WTO)
At a meeting of the Committee on Agriculture on 27-29 November, WTO members exchanged views on a range of issues under the committee’s work mandate, with the issue of food security once again a main focus of the discussions. Members also carried out their regular review of each other’s farm policies to ensure compliance with WTO disciplines.
Representatives from the UN Food and Agriculture Organization (FAO), the World Food Programme (WFP) and the UN Conference on Trade and Development (UNCTAD) updated members on recent market developments and food insecurity during the committee meeting. In their informal discussions on 27 November, members exchanged views on the following four themes: agricultural notifications and transparency; the role of transfer of technology in resilience building; the functioning of the committee; and the work programme on food security for LDCs and NFIDCs.
Heads of WTO, FAO sign agreement to boost cooperation on trade, food and climate change (WTO)
The WTO and the UN Food and Agriculture Organization (FAO) agreed on 1 December to boost cooperation and collaboration on a range of issues in the area of food and agricultural trade and climate change. The initiative comes at a time of growing crises affecting global food security and sustainable agriculture production.
Under the MoU, the WTO and FAO will strengthen collaboration in 17 areas of common interest, including support for the WTO’s ongoing negotiations on agricultural reform, the implementation of the Agreement on Fisheries Subsidies adopted at the WTO’s 12th Ministerial Conference (including on projects funded through the Fisheries Funding Mechanism Trust Fund), and hosting the annual World Cotton Day celebration on 7 October of each year.
COP28: Global agrifood systems are the climate solution, FAO Director-General tells world leaders (FAO)
Food security and climate change are interlinked and global agrifood systems are the climate solution, the Director-General of the Food and Agriculture Organization of the United Nations (FAO), QU Dongyu, told Heads of State and Government reunited at the World Climate Action Summit in Dubai, United Arab Emirates (UAE).
At the COP28 Presidency’s first Leader’s Event focused specifically on food and agriculture, Qu expressed FAO’s support for the newly launched Emirates Declaration on Sustainable Agriculture, Resilient Food Systems, and Climate Action, already endorsed by 134 countries.
“Implementation of the Emirates Declaration guided by the FAO Global Roadmap on achieving SDG2 without breaching the 1.5C° threshold, are key instruments for achieving the Sustainable Development Goals (SDGs) targets under the Four Betters, leaving no one behind”, he said.
A Critical Matter by Evans, Santoro and Stuermer (IMF)
A scramble by competing powers to secure strategic minerals could add to price pressures and increase the costs of the climate transition. New trade restrictions in commodity markets more broadly have doubled since Russia’s invasion of Ukraine as producers impose curbs on shipments. Critical minerals used to make everything from electric vehicles (EVs) to solar panels and wind turbines are highly vulnerable to more severe trade restrictions. A slide toward opposing trading blocs could substantially delay the energy transition.
Even without the added complication of geopolitically motivated export controls, countries will need unprecedented supplies of critical minerals to stave off the worst effects of climate change and reach net zero emissions. The International Energy Agency predicts that demand for copper will need to grow by a factor of 1.5, for nickel and cobalt to double, and for lithium to increase six times by 2030 (Chart 1). This will drive up prices and could make these minerals as important as crude oil for the world economy over the next two decades
Economic outlook: A mild slowdown in 2024 and slightly improved growth in 2025 (OECD)
Global growth is set to remain modest, with the impact of the necessary monetary policy tightening, weak trade and lower business and consumer confidence being increasingly felt, according to the OECD’s latest Economic Outlook. The Outlook projects global GDP growth of 2.9% in 2023, followed by a mild slowdown to 2.7% in 2024 and a slight improvement to 3.0% in 2025. Asia is expected to continue to account for the bulk of global growth in 2024-25, as it has in 2023.
The Outlook lays out a series of policy recommendations, underlining the need to continue policies aimed at bringing down inflation, reviving global trade and adapting fiscal policy to meet long-term challenges.
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Despite no consensus on global plastics instrument, South Africa is making progress (Engineering News)
While the third meeting of the Intergovernmental Negotiating Committee (INC), held in November, could not reach a consensus on the zero-draft text for a legally binding instrument to coordinate global efforts to end plastic pollution, South Africa continues to make progress in addressing plastic pollution, said Forestry, Fisheries and the Environment Minister Barbara Creecy.
In a speech at the South African Plastic Pact CEO engagement breakfast event, she said that government had put a restriction of a minimum of 50% recycled content as part of the product design measures for plastic carrier bags in 2023, with the intention that by 2027 plastic carrier bags and black refuse bags should be made from 100% recycled material.
“The inability to reach a consensus at the INC-3 in Nairobi is disappointing news and reflects the difficult road which lies ahead for effective action at a global level to combat plastic pollution. I am, however, pleased to say today that through the SA Plastics Pact and other forms of government action, our country is making progress in addressing plastic pollution.”
South Africa: Cabinet welcomes measures put in place by Transnet (SAnews)
Cabinet has welcomed measures and plans put in place by Transnet to resolve the backlog at ports in Durban and Richard’s Bay. Briefing the media on the Cabinet meeting that took place on Wednesday, Minister in the Presidency, Khumbudzo Ntshavheni, said Transnet is making intensive efforts to mobilise equipment, such as cranes, from all over the world to ensure a successful execution of its implementation plan.
“The progress made by Transnet in clearing most of the backlog at the Cape Town Container Terminal, with only one vessel at anchorage, is encouraging. Transnet remains committed to working with all role-players to address the challenges within the logistics sector,” the Minister said on Thursday.
The key to SA’s small business growth is technology (IT Web)
Doing business in South Africa comes with a side serving of challenges – as anyone who does business here knows. But South African business owners are also courageous and resilient, and technology is helping them thrive in a post-pandemic world.
South Africa is one of the most entrepreneurial countries in Africa, with businesses optimistic despite the difficult conditions of the past few years. A recent report entitled: ‘Small Business, Big Opportunity’, revealed that confidence in South African small to medium-sized businesses is 10% higher than the global average, and that most of these enterprises expect both their employee numbers and revenue to increase this year.
Technology, and the many opportunities it enables, is set to fuel business growth. In fact, the ‘Small Business, Big Opportunity’ report said business owners see technology as a crucial part of their success. Nearly half of the South African small and medium businesses surveyed said they intend to increase their current investment in technology – specifically into areas like 5G, artificial intelligence and robotics.
Kenya: 818 cargo consignments marked for destruction (Business Daily)
The Kenya Revenue Authority (KRA) is holding 818 consignments of condemned cargo marked for destruction, including motor vehicles and sugar. The taxman said the consignments seized by various regulatory agencies include 80 motor vehicles and 48 containers of sugar.
The KRA said in a submission to the National Assembly’s Trade, Industry and Cooperatives Committee says the condemned sugar consignment was imported from Swaziland by eight companies including M/S Spicy Ventures, Wakalisa Holders, Krishna Allied Industries Pvt, and Sharaf Shipping Agencies. Others are Messina Limited, Wilyan traders, Igaal trading, and Mediterranean Shipping Company. “The sugar consignment is unfit for human consumption and has been condemned for destruction,” said the taxman in its submission to MPs.
Kenya relies on sugar shipments from the Common Market for Eastern and Southern Africa (Comesa) to bridge a deficit in local production. The Comesa Council of Ministers last week gave Kenya the seventh extension against an allowable limit of five years under the bloc’s trade rule.
Ghana to accelerate trade integration in Africa with digital tools (GhanaWeb)
Minister of Communications and Digitalization, Ursula Owusu-Ekuful, has said Ghana is poised to use digital tools to accelerate the integration of the continent through trade. She stated that the establishment of the Africa Continental Free Trade Area (AfCFTA) in Ghana formed part of efforts to make Ghana the digital gateway in Africa.
Speaking at the first global conference on cyber capacity building in Accra on Wednesday, November 29, 2023, Ursula Owusu-Ekuful noted that government’s goal is to bridge the digital divide, facilitate digital transformation, and energize Ghana’s economic growth.
By eliminating barriers to trade in Africa, the objective of the AfCFTA is to significantly boost intra-Africa trade, particularly trade in value-added production and trade across all sectors of Africa’s economy.
“Our major goal is to bridge the digital divide, facilitate our digital transformation, to energize Ghana’s economic growth. This is designed to establish Ghana as the continent’s digital gateway and it is no accident that we host Africa Continental Free Trade Area and are poised to use digital tools to accelerate the integration of the continent through trade,” the Communications and Digitalization Minister said.
Recurrent shocks, including a prolonged 2020/23 drought, disrupted Somalia’s growth, devastating crops, livestock, and exports. Many fled their homes in search of food and water. The severe drought, coupled with global commodity price surges, intensified inflation, hampering household consumption. Consequently, GDP growth slowed to 2.4% in 2022 from 3.3% the previous year.
Somalia’s economic outlook is improving as effects of these shocks wane, but it remains subject to significant risks. The World Bank projects GDP growth to pick up to 3.1% in 2023 and gradually reach 3.8% by 2025. These improvements are expected to bring about positive, although very modest per capita income growth. As the reforms for Heavily Indebted Poor Countries (HIPC) completion start to bear fruit, growth prospects are likely to improve further. However, the outlook is subject to significant risks including climatic shocks, security threats, and global economic shocks.
COP28 Presidency unites the world on Loss and Damage (COP28 UAE)
COP28 President Dr. Sultan Al Jaber today gaveled the first major milestone of COP28 delivering a historic agreement to operationalize the Fund which will assist developing countries that are particularly vulnerable to the adverse effects of climate change, known in the negotiations as ‘loss and damage’
The Fund was first agreed upon during COP27, held in Sharm El Sheikh, Egypt, and becomes operational today following the agreement reached by parties during 5 transitional committee meetings. The 5th transitional meeting hosted earlier this month in Abu Dhabi was added by the COP28 Presidency following the impasse reached at the 4th meeting, where Parties reached a resolution.
Loss and Damage is essential even if the world meets climate mitigation goals because a “locked-in” level of warming already impacts particularly vulnerable communities being hit by extreme weather events, such as storms and floods, reduced agricultural productivity, and rising sea levels. This decisive action on Loss and Damage will enable the Parties to focus on the strongest possible response to the Global Stocktake, the world’s report card on progress toward Paris Agreement goals.
The UAE announced today its commitment of $100 million to the Fund, which aims to provide financial assistance to countries at extreme risk from climate change, to support climate change mitigation and recovery. Other countries making notable commitments included Germany, which committed $100million, the UK, which committed £40million for the Fund and £20million for other arrangements, Japan, which contributed $10million and the U.S., which committed $17.5million.
Agreement on loss and damage deal reached on first day of Cop28 talks (The Guardian)
Carbon credits may top agenda as UN climate forum begins (The Standard)
Kenya’s move to cede millions of acres of land to Blue Carbon, a young Dubai firm, for creation of carbon credits just days to the highly awaited Cop 28 is a clear demonstration of how the controversial emission offsetting programme will feature as one of the biggest agendas at the summit.
“The FOC (Framework of Collaboration) was signed with the State Department of Environment and Climate Change and underlined Blue Carbon’s commitment to explore and support Kenya’s Article 6 readiness as per the Paris Agreement, whereby carbon credits are generated in the form of Internationally Transferable Mitigation Outcomes (ITMOs) and aligned with national climate targets,” said Lesia Buinoza, a spokesman for Blue Carbon.
Although the Kenyan government is yet to make the deal public, FOC agreement between Blue Carbon and the Kenya’s Ministry of Environment is being treated as big news by major news networks in the United Arab Emirates (UAE). The contract is set to be announced as one of the deals that will be made in Dubai by the host nation for Cop 28.
COP28’s debatable influence on shipping stirs controversy (Splash247)
Dubai airport has rolled out the red carpet today for a host of dignitaries flying in for COP28, the annual United Nations Climate Change Conference. The shipping industry will be watching on to see what concrete comes out of the 12 days of talks. The sector has had a growing presence in recent COP meetings, most notably the green shipping corridor initiative at the meet-up in Scotland in 2021, however, campaigners argue that this year’s showcase in the oil-rich emirates is unlikely to deliver meaningful direction on shipping’s path to decarbonisation.
“COP28 being held in the UAE this year is the antithesis for any meaningful progress, especially in regards to reducing the carbon footprint of the maritime industry. The UAE is a major oil exporter – 40% of the global shipping fleet is employed to move fossil fuels. It’s like asking turkeys to vote for Christmas,” commented Diane Gilpin, founder of Smart Green Shipping, a UK-based wind-assist solutions provider. “High-profile, feel-good events hosted by major oil exporters won’t reduce emissions.”
Trust deficit hangs over COP28, where humanitarians aim to play a bigger role (The New Humanitarian)
The COP28 climate summit opens today in Dubai with phasing out fossil fuels, new funding for the energy transition, and loss and damage among the urgent issues – while campaigners warn that a crisis of mistrust threatens to divide countries at a crucial time. Humanitarians head to the UN-backed summit in unprecedented numbers and under the long shadow of Gaza: Israel’s siege of the Palestinian territory “will be front and centre”, said Tasneem Essop, executive director of Climate Action Network International (CAN-I).
“Levels of trust have not been doing well in these [climate] negotiations between the Global South and the Global North”, and the war “certainly will play into what is a growing divide”, Essop said at a pre-summit press briefing. Like major crises before it, the conflict also brings into sharp relief one major difficulty: The resources required to address climate change – political, social, and financial – are delivered through fragile and complex multilateral processes that are frequently diverted to other urgent and immediate concerns.
But this year’s backdrop is grim: Latest predictions suggest the world has only a 14% chance of limiting global warming to the relatively safe limit of 1.5°C this century – even under the most optimistic scenarios. “As we get deeper into this [climate] crisis, these COPs become more relevant to work that we do,” said David Nicholson, chief climate officer at humanitarian response NGO Mercy Corps. “It’s no longer about how to avoid this crisis, but how to manage the crisis.” And as the climate crisis pushes up the humanitarian agenda, some observers say its institutions face key strategic decisions around how best to respond and position themselves for a future set to be dominated by extreme weather events, and finite funding.
Climate action for Africa in 2023: 3 big developments (The East African)
Africa Day at COP28 to focus on financing climate action and green growth (UNECA)
The African Union Commission, in collaboration with the United Nations Economic Commission for Africa (ECA), the African Development Bank (AfDB), African member states and other regional partner will mark the African Day on 2 December 2023 at COP28 in Dubai
The 2023 edition of Africa Day, will be held under the theme Scaling up Financing for Climate Action and Green Growth in Africa” which aims to amplify Africa’s voice at the UNFCCC COPs and to provide the space and platform to highlight Africa’s challenges, opportunities and responses to Climate Change.
The theme of this year’s Africa Day builds on insights and outcomes from the Africa Climate Summit (ACS) that was convened by the African Union and hosted by President William Samoei Ruto in September 2023 under the theme” Driving Green Growth and Climate Finance Solutions for Africa and the World”. In this regard, Africa Day at COP28 will provide a platform for Africa to pitch a strong case for leveraging investment capital from supporting business and ecosystems to leapfrogging to climate-compatible growth for sustainable development.
China’s low-carbon economic journey: What can developing countries learn? (UNCTAD)
As the world’s second-largest economy and biggest greenhouse gas emitter, China’s shift to green and low-carbon growth has a significant bearing on global efforts to meet the Paris Agreement to curb climate change. Ahead of this year’s UN climate conference (COP28), an UNCTAD report examines China’s experience in “greening” its development while sustaining its economic growth, marked by rapid industrialization and urbanization over the past four decades.
The analysis helps shed light on challenges that other developing countries could similarly face to green their economic structures and policy strategies that could facilitate the transformation. “How China pursues the dual economic and climate goals not only presents a new dimension of its development story but also enriches peer-learning among developing countries,” said UNCTAD economist and lead author Dawei Wang while launching the report on 5 November at the 6th Hongqiao International Economic Forum in Shanghai.
23rd EAC Micro, Small and Medium Enterprises Trade Fair set for Bujumbura, Burundi (EAC)
The 23rd edition of the annual EAC MSMEs Trade Fair, which will be held under the theme “Connecting East African MSMEs to enhance Intra EAC Trade,” is expected to attract more than 1,000 artisans from all the seven (7) EAC Partner States. The exhibition will run from 5th – 15th December, 2023 at the Cercle Hyppique Grounds in Bujumbura, Burundi.
The main objective of the Trade Fair is to contribute towards the realisation of the region’s development goals and aspirations by lending support to this budding sector of the economy, which needs public patronage and Government support to make it sustainable. The Trade Fairs further create considerable impact on the image of the sector, which is today seen as the panacea to the daunting question of unemployment and poverty alleviation in the region.
EAC Court throws out Eacop challenge (The East African)
A regional court on Wednesday threw out a legal challenge to a multi-billion dollar oil pipeline project in Tanzania and Uganda that has been condemned by environmental and human rights campaigners. The East African Court of Justice ruled that it did not have the jurisdiction to hear the challenge by several civil society groups because it was filed too late. The pipeline is part of a $10 billion project led by French energy giant TotalEnergies to develop Ugandan oilfields and ship the crude to Tanzania for export.
The scheme has come under fire from activists who say it will harm fragile ecosystems in areas rich in biodiversity as well as the livelihoods of tens of thousands of local people.
SADC Convenes a Stakeholder Consultative Workshop on Challenges at Kasumbalesa Border Post (SADC)
The Southern African Development Community (SADC) Secretariat in collaboration with the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) successfully held a 3-day stakeholder consultative workshop for delegates from the Democratic Republic of Congo (DRC) and Republic of Zambia, in Lusaka, Zambia on 22-24 November 2023.The workshop was attended by representatives of the two Member States responsible for trade, trade facilitation, customs, security, infrastructure, transport, migration, private sector, transporters associations and International Cooperating Partners (ICPs).
Director of Industrialisation and Trade Department at the SADC Secretariat Mr. Dhunraj Kassee, informed participants that the workshop was being convened in response to the decision of the 43rd SADC Summit of the Heads of State and Governments, in August 2023 in Luanda, Angola, that directed the Secretariat to “constitute an Inter-Ministerial Task Force to find a lasting solution to the continued challenges faced by transporters and drivers at the Kasumbalesa border post,”
Mr. Dhunraj Kassee underscored the strategic importance of the Kasumbalesa border post in facilitating the cross-border movement of goods in the SADC region given its location at the confluence of several trade corridors in the region. These include the North-South Corridors, Dar es Salaam Development Corridor, Walvis Bay-Ndola-Lubumbashi Corridor, Beira Development Corridor, and the Lobito Development Corridors. This, he said, indicates how much benefit the region can accrue by resolving the recurring challenges at Kasumbalesa.
Visa-free travel for Africans: why Kenya and Rwanda have taken a step in the right direction (Daily Maverick)
President William Ruto of Kenya recently announced that Kenya’s borders would be open to visitors from the entirety of Africa, with no visas required, by the end of 2023. He said: When people cannot travel, business people cannot travel, entrepreneurs cannot travel, we all become net losers. A few days later, President Paul Kagame of Rwanda followed suit, saying all Africans would be able to enter Rwanda without visas.
Within the broader East African Community, Uganda, Rwanda and Kenya allow cross-border travel without passports. Botswana and Namibia recently signed a similar agreement. Neither Kenya nor Rwanda will be the first. By the end of 2022, Benin, The Gambia and Seychelles had already implemented a system of visa-free access for all Africans. Perhaps more will follow soon. Some regions, some sub-regional groups and some bilateral arrangements have also resulted in visa-free access and even passport-free access in certain cases.
Resource-rich Africa has no excuse to remain poor, says African Development Bank president (AfDB)
With $6.2 trillion worth of natural resources, 65 percent of the world’s uncultivated arable land, and a vibrant youth population, Africa has no excuse to be poor, African Development Bank Group President Dr Akinwumi Adesina said on Tuesday. He said the continent must look inward urgently to solve its many challenges and urged citizens to hold governments accountable for poverty.
“If we manage our natural resources well, Africa has no reason to be poor. We have $6.2 trillion in natural resources,” he said. “So how in the world are we still poor? We simply need to pull up our socks, stamp out corruption, and manage our resources in the interest of our countries and our people,” added Adesina.
Driving food security with appropriate conformity and compliance standards across Africa and beyond (Africa.com)
Bureau Veritas, a world leader in testing, inspection, and certification services and with a large global and African footprint of some 35 countries, proudly shared expertise in support of agricultural productivity and export trade at the Intra-Africa Trade Fair (IATF) in Egypt which ran from on 9th to 15th November.
Touted to generate $43 billion worth of trade and investment deals according to the African Development Bank Group (AfDB), The African Export-Import Bank (Afreximbank)-organized event drew some 1600 exhibitors from 75 countries, and pointed a sharp needle on exchange of expertise, news on developments in trade and industry on the content and the driving of foreign direct investment.
Providing a platform for businesses to access an integrated African market of over 1.3 billion people with a GDP of over US$3.5 trillion created under the recently formulated African Continental Free Trade Area agreement, Bureau Veritas participated in discussions on agriculture, harmonization of standards and compliance and regulation at the event.
Panelists were unified in their support of the “Made in Africa” product being as readily respected and recognized internationally as any other brand. Furthermore, there was alignment between speakers on the need for consistency of standards across the board to ensure that consumer trust would be instilled. To this end, Bureau Veritas discussed a need to ensure products are tested to international standards to ensure acceptance in global markets.
African Development Bank Revises Economic Forecast for Africa downwards amid continued global shocks (AfDB)
The African Development Bank has revised its short to medium-term macroeconomic forecast for Africa, for 2023 and 2024 downwards to 3.4% and 3.8%, from 4.0% and 4.3%.
The slightly lower figures reflect the persistent long-term effects of COVID-19, geopolitical tensions and conflicts, climate shocks, a global economic slowdown, and limited fiscal space for African governments to adequately respond to shocks and sustain post-pandemic economic recovery gains. The updated data were published on Thursday, 29 November in the 2023 Africa’s Macroeconomic Performance and Outlook (MEO) update, a follow-up to the Bank Group’s 2023 Africa Economic Outlook released in May.
ECA convenes Member States to strengthen development planning processes (UNECA)
Development planning experts from countries across Africa concluded a Peer-Learning Workshop to exchange ideas on strengthening development planning processes in support of the implementation of SDGs and Agenda 2063. The workshop was also attended by development partners and representatives from various divisions within the Economic Commission for Africa (ECA).
In his intervention, Adam Elhiraika, the Director of the Macroeconomics and Governance Division at ECA emphasized the significance of development planning in the context of resource utilization, mobilization, allocation, monitoring, and reporting. He further applauded the regained prominence and advancements achieved by Member States in the areas of development planning and financing.
New research analyses how trade and labour market polices can support decent work (ILO)
New research on how trade policies and labour market tools can be used to reduce inequalities and poverty and support sustainable development, has been unveiled at a high-level ILO event. The two-volume publication was launched at the seminar, Integrating Trade and Decent Work: What Works and Why, organized to throw light on the role played by trade policies, strategies, and labour market institutions in promoting all aspects of decent work – including income, labour rights and working conditions.
Volume I: Has Trade Led to Better Jobs? Findings Based on the ILO’s Decent Work Indicators, examines trade’s impact on labour and employment in various countries and policy options. It includes an analysis of the role of women in export-driven industries, the uneven distribution of trade benefits, the role of labour market institutions and analysis of some specific countries. Volume II: The Potential of Trade and Investment Policies to Address Labour Market Issues in Supply Chains, delves into how trade policies can address labour market challenges, particularly structural imbalances, and looks at how integrating labour standards into trade and investment policies can balance economic and social goals.
Expert opinions differ on how much of an impact G20 membership will have for Africa (Global Voices)
On Saturday, September 9, under the presidency of India, the G20 announced its decision to welcome the African Union (AU) as its newest permanent member. As highlighted by the DW News Delhi Bureau Chief Amrita Chima, India led this initiative to enhance representation, with all G20 countries unanimously supporting the decision, as they emphasized the importance of reflecting both emerging and established economies within the G20. The AU’s inclusion transforms the G20 into “G20 plus one,” and its membership is backed by 55 countries.
Assoumani highlighted that the AU’s inclusion would amplify the global majority’s voice within the G20, providing the African continent with an opportunity to advance its agendas on the world stage. Acknowledging Africa’s internal challenges, he stressed the importance of multilateralism and collaboration with other G20 countries to address these issues.
Why is international development so important now? (GOV.UK)
It is no longer possible, if it ever was, for a country to determine its future alone. Climate change does not respect national boundaries, nor do pandemics. Conflicts are becoming more numerous, frequent, and longer lasting. War in one country can affect security thousands of miles away. Poverty, conflict, and climate change often go hand in hand and drive flows of refugees.
Our interconnectedness also has many benefits. Global trade and finance lead to growth and jobs. When we collaborate, we can create changes that ripple out across the world. And when, alongside other countries, we spend a small proportion of our income on international development, it is not only the right thing to do; it is also the wise thing to do.
IOE&IT leads UNCTAD panel exploring e-commerce inclusivity (Institute of Export & International Trade)
Next Thursday (7 December), the Institute of Export & International Trade’s (IOE&IT) director general Marco Forgione will chair an UNCTAD e-week panel. Joined by Professor Sangeeta Khorana, academic board chair and international trade policy professor at Aston University, ‘Unlocking potential: Addressing inclusivity barriers in e-commerce trade to deliver sustainable impact in communities everywhere’ will explore barriers businesses face when trying to use e-commerce platforms and the potential for public private partnerships (PPPs) to promote adoption.
The E-Commerce Trade Commission, launched by IOE&IT in June with the aim of encouraging more SMEs to export through e-commerce, is an example of such a venture. Looking ahead to eWeek, commission secretariat lead Susan Roe said the panel presents a great opportunity “to unpack some of the key challenges and obstacles that small businesses face with e-commerce”.
Remittances: Boosting the impact on poverty reduction through consumer protection (UNCTAD)
Remittances, a critical lifeline for millions of people in developing economies, reached nearly $800 billion in 2022. Approximately 80% of these funds, sent by migrants to their home countries, went to low and middle-income nations. This amount, about four times greater than last year’s official development assistance from all advanced economies, highlights the potential role of remittances in poverty reduction. Also, studies show that a 10% increase in international remittances as a share of a country’s GDP can lead to a 1.6% drop in poverty rates.
But high transaction costs, averaging around 6.2% globally, greatly reduce their effectiveness. And vulnerable migrants often face exploitation and financial losses in the remittance process. UNCTAD Secretary-General Rebeca Grynspan has called for governments to bolster consumer protection for both senders and recipients.
Members discuss ways for developing economies to benefit more fully from global trade (WTO)
WTO members discussed ways for developing economies and least-developed countries (LDCs) to benefit to a greater extent from their participation in the multilateral trading system during meetings of the Committee on Trade and Development held on 17 and 24 November. Dedicated sessions on regional trade agreements, preferential trade arrangements and the Monitoring Mechanism on Special and Differential Treatment were also held on 17 November.
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100 000 containers now stuck outside three SA ports – as new penalties and price hikes loom (Engineering News)
In recent weeks, container ships have been bypassing the congested and delay-ridden Cape Town harbour to berth at the Port of Port Elizabeth in Gqeberha and the Ngqura (Coega) port, reports the South African Association of Freight Forwarders (SAAFF). But the influx of vessels has created massive congestion off the Eastern Cape coast, with some 46 000 containers stuck outside the two ports. Meanwhile, 79 vessels and 61 968 containers remain stuck outside the Durban port as of Friday last week.
This is according to the latest data from the SAAFF. Durban and Port Elizabeth are now among the top seven most congested ports in the world, according to global shipping data site Linerlytica. Vessels have been waiting 215 hours (nearly nine days) and 32 hours to enter Port Nqura and the Port Elizabeth port, respectively. Meanwhile, vessels are waiting 227 hours to enter the Durban port, the SAAFF reports. The backlog at the Cape Town port, however, has been cleared, says Transnet.
South African ports have been marred by congestion and delays due to equipment failures, a lack of maintenance on port infrastructure, and adverse weather. An estimated R7-billion worth of goods currently cannot berth into ports.
“This season will be much easier than the previous” (FreshPlaza)
The upcoming citrus season will be much easier from a commercial point of view for Egyptian exporters, helped by improved sizes and low competition, according to Eslam Gelila, CEO of Gelila. “Last season was very challenging to navigate. However, everything has improved this year - size, quality, and demand - for all citrus fruits. This promises to be an easier campaign than the season before. Two weeks from harvest, brix is currently at 12% and higher, and should reach 13 as we harvest. Coloration has reached 80-90% in many farms.”
The Egyptian season is starting as the South African season finishes, and Morocco and Spain have had a failed start to their campaign due to drought, which is likely to impact their entire season. “We remain in the market with Turkey, which has more citrus volumes than last season but has quality concerns, judging by the complaints we’re currently seeing on the market, and Greece, with low volumes.”
Kenya: The East African gateway’s balancing game (Africa Aviation News)
On August 19, 2023, President of South Sudan Salva Kiir visited the Kenyan capital Nairobi and met his counterpart William Ruto at the State House for bilateral talks. The recent meeting between the two presidents highlights at least two important facts about the country Kenya.
First, Kenya is a key nation from the logistics perspective for the landlocked nations including South Sudan. For instance, all the discussion between the two leaders was dominated by regional trade and the infrastructure that supports it. Second, Kenya and its landlocked neighbour want to diversify their trade from the congested Port of Mombasa. During their joint talk, both leaders committed themselves to a specific infrastructural project which is not only crucial for Kenya and South Sudan but also for Ethiopia: Lamu Port-South Sudan-Ethiopia-Transport (LAPSSET) Corridor, also called Lamu Corridor, which makes Lamu Port the gateway to the world instead of Mombasa.
Rwanda’s economy shows resilience amid global challenges (Xinhua)
Rwanda’s economy remained resilient in the 2022-2023 fiscal year despite the global economic slowdown, the National Bank of Rwanda said in its latest report. The central bank’s report for 2022-2023, presented to parliament Monday in the Rwandan capital of Kigali, said that the economic resilience primarily stemmed from a robust performance in the services sector.
It noted that Rwanda’s external trade continued its recovery path, witnessing a 29.8 percent increase in merchandise exports. This growth was attributed to the strong performance of domestic manufacturing exports and traditional commodities.
Rwanda Recognized for Implementing Malabo Commitments (KT Press)
An African Union research-based evaluation report has indicated that Rwanda continues to make progress in implementing the Malabo Commitments especially in agriculture financing and policy implementation. The seven Malabo commitments set in 2014 are; recommitting to the Principles and Values of CAADP processes, Investment finance in agriculture, ending hunger by 2025, halving poverty by 2025, boosting intra-African trade in agricultural commodities and services, enhancing resilience to climate variability, mutual accountability for results and actions.
The Regional Strategic Analysis and Knowledge Support System (ReSAKSS) 2023 Annual Trends and Outlook Report (ATOR) aimed at giving a look into progress made and post Malabo agenda was unveiled in Kigali November 27, 2023 during the ReSAKSS conference that brought together state and non-state actors to deliberate on the key findings and policy recommendations of the report.
Tanzania to host second AfCFTA conference on Women in Business (The Citizen)
The government has finalised the preparation of the Draft Protocol on Women and Youth in Business within the African Continental Free Trade Area Agreement (AfCFTA). The protocol is now awaiting the approval of the AfCFTA trade ministers to come into effect in 2023/24.
The minister for Industry and Trade, Dr Ashatu Kijaji, said this today, November 29, 2023, when briefing the media, where she explained about the conference with the theme “Strengthening Women’s Participation in Business and Accelerating the Implementation of AfCFTA,” organised by the ministry in collaboration with the AfCFTA Secretariat, where Tanzania will be the host.
She stated that, in addition to the protocol’s success, the conference provided the right ways to solve various obstacles and challenges faced by women and young people in business in order for them to fully participate in business in Africa, such as limited access to finance, market information, inputs, use of technology, marketing and the limited ability to comply with standards and other legal requirements.
Ghana leads way in AfCFTA’s Guided Trade Initiative (Modern Ghana)
Ghana has emerged as a leader in the African Continental Free Trade Area (AfCFTA) agreement’s Guided Trade Initiative (GTI), showcasing 14 companies actively engaged in 40 trades across AfCFTA member countries. This was disclosed by Mr Appiah Adomako, the West Africa Regional Director of CUTS International, at a Public-Private Dialogue on the GTI in Accra on Tuesday.
He stated that Ghana has solidified its commitment to the AfCFTA by actively participating in the GTI since its inauguration in October 2022. “Out of 29 nations that submitted tariff offers, Ghana stands among the eight most committed participants, including Cameroon, Egypt, Kenya, Mauritius, Rwanda, Tanzania and Tunisia,” he added.
According to him, some notable Ghanaian companies engaged in the GTI are alcoholic beverage producer Kasapreko and cosmetics manufacturer Ghandour Cosmetics. He announced that Kasapreko had successfully exported a 20-foot container of drinks to South Africa by air. Meanwhile, Ghandour shipped a similar consignment of beauty products to Guinea. “Additionally, palm oil company Benso Oil Palm Plantation exported goods to Kenya and ceramics firm KEDA Ghana sent products to Cameroon,” he announced.
The African Development Bank has launched a three-year research and outreach initiative in Ghana to enhance the cereal value chain development in the country. The Grain Quality Grading and Certification Project is being implemented by the Microeconomics, Institutional and Development Impact Division of the African Development Bank, in partnership with the School of Agriculture of the University of Ghana.
The project examines whether the proper grading and certification of grains in sub-Saharan African countries could be leveraged to promote investments in grain quality enhancement to increase consumption of safe and healthy food locally, and open opportunities for grain exports into global markets.
Climate Action will Boost Tunisia’s Economy, says World Bank Report (World Bank)
Water scarcity, coastal erosion and more frequent flooding are among Tunisia’s most pressing climate challenges, says a new World Bank Group report, which suggests a series of urgent adaptation and decarbonization actions that would help boost Tunisia’s economic recovery and create jobs.
The World Bank Group’s Tunisia Country Climate and Development Report (CCDR), released ahead of COP28, identifies policy actions and investment opportunities that could reduce the impacts of climate change on people and businesses and enhance Tunisia’s economic competitiveness.
The report says combined adaptation and mitigation measures to address climate change and decarbonize the electricity sector could boost GDP growth to 8.8 percent by 2030, reduce poverty and slash energy-related emissions. On the flip side, failure to act could result in GDP losses of up 3.4% by 2030, leading to projected annual losses of around 5.6 billion dinars ($1.8 billion).
Some measures for enhancing foreign exchange earnings (Ethiopia Press)
Ethiopia’s foreign exchange earnings may be improved using strategies that boost its export capabilities. It also needs to attract foreign direct investment (FDI) for production of goods for export. These export items have to be competitive in the global markets. Such measures may improve the overall balance of trade of the country.
There are, however, several appropriate strategies that Ethiopia may apply for improving its foreign exchange earnings. Some of these strategies would be: diversification of exports; agricultural sector development; manufacturing and industrialization; services sector growth; trade facilitation and policy reforms; foreign direct investment (FDI); enhanced financial instruments; skills development and innovation; regional economic integration; risk mitigation strategies. The uses and benefits of each of the above strategies have to be considered seriously by the Ethiopian government policy makers.
The strategy of diversification of exports focuses on the promotion of non-traditional exports. This requires identification and promotion of new export products beyond the traditional ones. Experienced entrepreneurs have to be attracted to invest in the production of export items. Of course, identifying proper investors and markets for the new exports is of the essence. New products imply adding value and improving on existing products in the country.
Ministry strives to edible oil import substitution (Ethiopia Press)
The Ministry of Agriculture said that it has been working on increasing oilseeds production to enable the nation cut importing edible oil through supplying local factories with required inputs. Agriculture State Minister Melese Mekonnen (PhD) told The Ethiopian Herald that Ethiopia has been focusing on increasing oilseed production to substitute edible oil locally.
The sector is one of the government’s priority areas in the ten years’ flagship programs in the agriculture sector, he indicated. The objective is to produce inputs for local oil factories thereby cutting edible oil imports, Melese expressed. According to the State Minister, factories that produce cooking oil have been expanded in the country. Therefore, he said, the government has been working focusing on producing grass pea, sunflower and groundnut to supply these factories with necessary inputs.
Despite great potential, resources, Nigeria not where it should be (Tribune Online)
The former minister of finance, under former President Goodluck Jonathan, Olusegun Aganga, has explained why Nigeria and Nigerians are not where they should be irrespective of the country’s numerous resources and potential. Aganga, who is also the former minister of industry, trade and investments, and the former chairman of the World Bank made this known during a book chat session with Joseph Ike (a psychotherapist and a creative arts enthusiast) at the recently concluded 2023 Ake Festival in Lagos.
Afreximbank, APPO to Inaugurate African Energy Bank in June 2024 (The Energy Republic)
The African Export-Import Bank (Afreximbank) says it is set to inaugurate the African Energy Bank in June 2024 to mitigate the crisis in the African energy sector. Afreximbank disclosed this during a session on “Africa’s Energy Transition and Financing”, at the Inter-African Trade Fair (IATF) 2023 Trade Conference in Cairo, Egypt covered by The Energy Republic. Based on our findings, the African Energy Bank will fund energy-related projects for the development of the African continent.
Speaking at the event, Rene Awambeng, director of client relations at Afreximbank, said the bank had partnered with over 700 banks in Africa and its partners to chart a profitable pathway for the African energy sector. “In addition to what the bank is doing with its partners, the management of Afreximbank, working on the sidelines with African Petroleum Producers Organisation (APPO), has decided to create another agency that will engage in financing the energy Africa requirement,” Awambeng revealed.
Climate change leads to higher GDPs in the North and declines in the South (EL PAÍS)
“Climate change is exacerbating existing global inequalities, with many high-income countries currently experiencing net gains, including an average increase of 4.7% to the GDP of European countries,” said one of the findings of the study, which contrasted this improvement with Southeast Asia and Southern Africa countries losing an average 14.1% and 11.2% of their GDP, respectively. Interestingly, Europe is seeing economic benefits from climate change overall, but southern European countries like Spain Greece, Portugal and Italy have experienced slight GDP losses.
Africa urges a spotlight on climate finance as the world heads to COP28 (AfDB)
The African Development Bank will mobilize financing for climate action at this year’s UN Climate Change Conference, COP28, and amplify Africa’s calls for robust commitments by wealthy countries to meet the continent’s urgent needs in addressing climate change.
The Bank Group, led by its President, Dr Akinwumi Adesina, will launch and cement several climate action initiatives during the global event. The delegation, including vice presidents, senior management and sector experts, will aim to increase the Bank’s visibility within the global climate change community, and mobilize additional resources for climate funds and facilities.
During the two-week conference, the Bank will advance partnerships and resource mobilization for its Africa Climate Risk Insurance Facility for Adaptation (ACRIFA) as a vital tool to raise the billions needed to foster climate adaptation, resilience, and sustainable development within Africa’s agricultural sector.
Article 9 of the Paris Agreement (PA) provides that developed country parties take the lead in mobilizing climate finance based on developing country needs and priorities. There is a wide range of estimations on the needs and priorities of developing countries, but the flow of finance has fallen far short of all of these assessments. This includes the 2009 political target of $100 billion per year by 2020, subsequently extended to 2025, which has never been reached and was not based on a robust analysis of needed resource.
As per Decision 1/CP21 Paragraph 53, countries decided to deliberate on a new collective quantified goal (NCQG) to raise the floor on climate finance above the current $100 billion annual target, taking into account the needs and priorities of developing countries. This report explores lessons from the ongoing challenges with climate finance and more specifically the $100 billion goal, proposing a set of considerations and structure for the NCQG to ensure it is an improved target.
IEA to seek ‘achievable’ 4% a year global energy efficiency improvement goal at COP28 (Engineering News)
Global body the International Energy Agency (IEA) will seek to secure commitments from all governments to improve the global average rate of energy efficiency from 2% a year to 4% a year at the United Nations Climate Change Conference of the Parties (COP) 28 to be held in Dubai from November 30.
This goal of doubling yearly energy efficiency improvement is not only achievable but will help to address a significant amount of the greenhouse-gas emissions reductions targets and improve energy security and help to reduce energy prices, IEA executive director Dr Fatih Birol said during the launch of the IEA ‘Energy Efficiency 2023’ report, on November 29.
What COP28 means for the Global South (The Annapurna Express)
Is turning the 1.5°C target from the Paris Climate Accord into reality still possible? The answer seems to be a resounding no. Despite strides in renewable energy, global temperatures and greenhouse gas emissions persist in shattering records.
The most recent Emissions Gap Report by the UN Environment Program (UNEFP) paints a stark picture, highlighting the urgent need for global low-carbon transformations. To achieve a 28 percent reduction in predicted 2030 greenhouse gas emissions for a 2°C pathway and a 42 percent reduction for a 1.5°C pathway, substantial action is required. Shockingly, global greenhouse gas emissions hit a new high of 57.4 Gigatonnes of Carbon Dioxide Equivalent, marking a 1.2 percent increase from 2021 to 2022.
It’s evident that major countries aren’t doing enough to cut the emissions. The UN report says: “Countries with greater capacity and responsibility for emissions—particularly high-income and high-emitting countries among the G20—will need to take more ambitious and rapid action and provide financial and technical support to developing nations.”
100 Million People in Eastern and Southern Africa Poised to Receive Access to Sustainable and Clean Energy by 2030 (World Bank)
A new World Bank program is set to exponentially accelerate sustainable and clean energy access and provide life-transforming opportunities for 100 million people in up to 20 countries across Eastern and Southern Africa over the next seven years.
In a region where only 48% of the overall population—and just 26% in rural areas—has access to electricity, the Accelerating Sustainable and Clean Energy Access Transformation (ASCENT) Program will be a game-changer. Lack of energy access hinders the region’s economic recovery, resilience, and faster progress toward poverty reduction. It also results in significant food spoilage owing to lack of refrigeration, particularly in countries already plagued with food insecurity, and plays a role in poor health outcomes given that less than half of all hospitals in the region have reliable electricity access.
Digital Technologies Fast Track Climate Solutions (World Bank)
Digital technologies are transforming the way the world works and addresses climate change, from cutting emission across industries, to facilitating greener transport networks and mitigating impacts with early warning systems. As governments are looking for solutions that match the urgency and scale of the climate crisis—digital technologies are a key tool in this effort.
A World Bank report, Green Digital Transformation: How to Sustainably Close the Digital Divide and Harness Digital Tools for Climate Action, underscores how digital tools can boost sustainability across industries but must also reduce their own carbon footprint. For example, WEF estimates show that digital technologies could cut emissions by up to 20 percent by 2050 in the three highest-emitting sectors: energy, materials, and mobility. And two thirds of countries include technology as part of their national climate plans to help adapt to or mitigate the impacts of climate change.
Three keys to enhance African trade potential in the digital age (Trade Finance Global)
Europe remains one of the most important continents for African trade, but recent years have seen a decline relative to other regions, with a notable uptick in flows from China and MEA regions. Prior to COVID-19, Africa’s trade finance gap was closing, decreasing from $120 billion in 2011 to around $81 billion in 2019.
However, the macroeconomic disruptions and geopolitical uncertainties that followed have caused that gap to widen again. In the years following, Africa’s recorded cross-border trade has grown relatively modestly in recent decades and currently accounts for between 2-3% of global trade. Trade agreements are key. The EU maintains open and transparent trade policies, albeit they can be somewhat fragmented.
Post-Brexit, the UK has actively sought to negotiate or refresh trade agreements, resulting in several Economic Partnership Agreements with African nations. In early 2024 the UK will host the UK-African Investment Summit with the aim of strengthening UK-Africa ties further, another significant indicator of the optimism and opportunity surrounding the continent.
East African Community to establish creative and cultural industry body (The Citizen)
A creative and cultural industry body will be created in East Africa to develop and tap the full potential of the sector. A bill to the effect will be tabled before the regional Parliament currently holding a session in Kigali, Rwanda. The proposed legislation intends to promote the creative and cultural industries in the East African Community (EAC) bloc.
The EAC Creative and Cultural Industries Bill is one of the three key bills set for tabling in the Eala session which extends to December 7th. Under it, an entity called the Creative and Cultural Industries Development Council will be established to serve the industry in East Africa. The body will provide an environment that is conducive for enhancement and stimulation of creativity and innovation endeavours among the EAC citizenry. Available statistics had it that the EAC bloc earns a whopping $2 billion from the creative industry every year.
Smart Africa Alliance offers support to African fibre project (Developing Telecoms)
The Smart Africa Alliance has signed a memorandum of understanding (MoU) with pan-African digital connectivity solutions company Bayobab and infrastructure investment platform Africa50 to support the fibre optic cable initiative Project East2West with regulatory and policy engagements. The Smart Africa Alliance currently represents 39 member countries across Africa and is tasked with the agenda to drive and accelerate the digital transformation of the continent.
As we reported at the time, Bayobab and Africa50 signed a partnership in May to develop Project East2West, a terrestrial fibre optic cable network connecting the eastern shores of Africa to those on the continent’s west.
Low-income countries still struggle to close digital divide: ITU report (Developing Telecoms)
New statistics from the International Telecommunication Union (ITU) suggest that while internet connectivity and usage is on the rise, it’s barely making a dent in the digital divide as low-income countries continue to be left behind. According to the ITU’s latest Facts and Figures report released on Monday, 5.4 billion people are now online – that’s around 67% of the global population and a 4.7% increase from 2022. Consequently, the number of unconnected people dropped slightly to an estimated 2.6 billion people.
New Report Reveals Large Presence of State-owned Businesses in Competitive Sectors in Developing Countries (World Bank)
Almost 70% of businesses with state ownership operate in competitive markets such as manufacturing and tourism, where the private sector could deliver more efficiently, says a new World Bank report.
The report, The Business of the State, examines 76,000 companies in 91 countries with at least 10% state ownership. Revenues from these businesses are equivalent to 17 % of GDP on average, where data is available, revealing the true extent of the presence of state in the economy. The report points out that a larger state footprint can result in lower business dynamism and higher market concentration, discouraging new market entrants and curbing private investment leading to slower growth.
The ECOWAS Commission convened the Fourth (4th) Meeting of the ECOWAS Regional Trade Facilitation Committee (RTFC) in Abuja, Nigeria, from November 20th to 22nd, 2023. The objective of the meeting was to review the implementation of trade facilitation reforms within the framework of the WTO Trade Facilitation Agreement (TFA) and the African Continental Free Trade Area (AfCFTA), as well as consider emerging issues related to the free movement of goods in the ECOWAS region.
Mr. Kolawole Sofola, Acting Director of Trade at the ECOWAS Commission, speaking on behalf of Madame Massandjé TOURE-LITSE, Commissioner for Economic Affairs & Agriculture, recalled the important role that trade facilitation plays in mitigating the disruptive effects of external shocks on supply chains. He further highlighted the efforts undertaken by the Commission to improve the movement of goods within the region, in line with the ECOWAS Vision 2050 and the Management’s “4×4” Strategic Objectives, with interventions in the areas of Transit, Transport and Institutional strengthening, amongst others.
Open borders are Africa’s path to economic boost (TechCabal)
RECs help by implementing open-border policies and regional agreements that encourage trade and mobility, which reduce fringes in mobility for net-positive skilled workers, and allow African collective economies thrive from new technology knowledge, access to financial technologies and infrastructure for cross-border remittance, tourism growth, and increase in communities’ economies through economic migration . With the recent trend of open borders seen across the continent, particularly in Rwanda, Kenya, Uganda, and Ethiopia, analysts have now predicted the continent to benefit more than ever from cross-border technology and knowledge transfer, the net present value (NPV) of skilled workers, labour quality, and intra-African trade.
Tema Port to become first port of call in West Africa (GhanaWeb)
The Chief Executive Officer of Meridian Port Services (MPS) Ltd. Mohamed Samara, has confirmed that beginning January 2024, the Port of Tema will become the first port of call in West Africa under a Maersk-CMA-CGM West Africa Express (WAX) service on the Far East-West Africa maritime trade route. This adds up to an existing direct call by the world’s leading shipping line, Mediterranean Shipping Company (MSC) at the Port.
According to the MPS CEO, who was speaking on the niche Eye on Port TV program, these milestones reflect the faith these shipping majors have in the world-class Terminal 3 in Tema, Ghana. Mr. Samara is intimidated that this move will shorten the time it takes for transhipped goods to reach Ghana as well as transit time for landlocked countries using Ghana’s ports.
“Basically, what this means is that the ship leaves TPT in Malaysia and lands in Tema in 21 days which is the shortest transit time for a port in Africa with the Far East and that is quite an achievement enabled by infrastructure at Terminal 3,” Mo stated.
Carriers’ earnings drop to pre-pandemic levels (Africa Aviation News)
All major shipping lines that report financial results have recorded sharp YoY revenue drops in Q32023. “In fact, the smallest contraction was of -51.8 percent,” according to the latest report by Sea-Intelligence. “While this does sound alarming, we have to remember that the YoY comparison is against a period of high rates.
“To counter this volatility, we instead compare Q32023 against 2019 on an annualised basis, and see that the contraction in Q3 is an artefact of the abnormal growth in 2021-2022. The revenues are now really only dropping to the pre-pandemic levels.
Mini-ministerial on agriculture seeks political guidance for negotiators ahead of MC13 (WTO)
The ministerial gathering was hosted by the UAE Government, also the host of MC13, with the support of the Director-General and the WTO Secretariat. In an invitation letter to ministers, Minister Al Zeyoudi and DG Okonjo-Iweala said that the Senior Officials Meeting held at the WTO on 23-24 October clearly recognized that the ongoing agriculture negotiations have failed to achieve the progress members have called for.
“We are at a crossroads,” Minister Al Zeyoudi, the Chair of the meeting, said at the beginning of the meeting, emphasizing the urgent need for agricultural reform. The sector faces numerous challenges, including growing food insecurity due to adverse weather events, the COVID-19 pandemic and conflicts, he said.
He continued: “The food security package achieved at MC12 constituted a significant emergency response, but far more remains to be done to structurally address the expected devastating impacts of climate change and how to feed sustainably and equitably a growing world population which is estimated to reach 10 billion by 2050. The sector also has to adapt as it is a significant source of greenhouse gas emissions.”
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South Africa’s logistics crisis: lion’s share of economy at risk (Freight News)
Sixty per cent of South Africa’s economy is at risk because of the “high inefficiencies and infrastructural collapse” that have led to the country’s current crisis of state-owned logistics capacity, says Dr Juanita Maree of the South Africa Association of Freight Forwarders (Saaff).
The association’s CEO said trade and goods represent a major portion of the national economy but with the interrupted movement of freight, this isn’t possible. Moreover, data shows that South Africa hasn’t had a functioning logistics network over the last decade. Cargo throughout at the country’s ports, Maree says, is one of the biggest contributors to economic strain.
“Our terminal efficiency has declined by 28% compared to our internal targets. Benchmarked against globally recognised best practices for ports of a similar size, current throughput at 84% of demonstrated capacity is 50% below norm.” The current situation of vessels waiting at sea to enter the country’s ports, and export trucks battling to gain fast enough access to offload at terminals, intensified in the 3rd and 4th quarters of this year, Maree says. Capacity issues reaching crisis point at key ports, resulted in severe backlogs of freight and costly delays, she adds. “The national logistics crisis is our own ‘inconvenient truth’.”
South Africa’s ports and rail system facing imminent ‘collapse’ (The East African)
South Africa seeks re-election to council of global shipping regulator (Engineering News)
The Department of Transport (DoT) has announced that it has launched a campaign to get South Africa re-elected to the Council of the International Maritime Organisation (IMO), for the period 2023 to 2024. The IMO is the specialised United Nations agency responsible for regulating shipping and setting global standards, including for safety, security and environmental compliance, for the sector.
In its campaign, the DoT is supported by the Department of International Relations and Cooperation and by key national maritime sector agencies. These latter are the South African Maritime Safety Authority, Transnet National Ports Authority and the Ports Regulator of South Africa.
“South Africa with its rich maritime heritage, is committed to [the IMO’s] ideals and believes that its continued presence in the IMO Council is essential to furthering the organisation’s goals,” affirmed the DoT. “South Africa is a champion of maritime safety with its proven track record of managing and maintaining a robust system of Aids to Navigation, including lighthouses and a fully-fledged Marine Hydrographic Service.”
Mombasa Port to beat performance target (The East African)
Container traffic through the Mombasa port is set to surpass its annual target of 1.5 million twenty-foot equivalent units (TEUs), having clocked 1.32 million within the first 10 months of 2023, the Kenya Ports Authority said.
The performance to October means that the container throughput has grown 10.2 percent compared to a similar period in 2022 when it handled 1.2 million TEUs—a feat the port operator attributed to improved efficiency. This comes as the outlook for the next 14 days indicates 42 cargo vessels will call the Port of Mombasa during this period with 25 accounting for container ships.
KPA Managing Director William Ruto attributed the improved performance to increased efficiency in operations. “These initiatives include the expansion of container handling berths, increased automation of services, acquisition of modern ship and cargo handling equipment, and improved partnerships with key government agencies and stakeholders,” he said.
Optimism over Nigeria’s new broadband blueprint (CAJ News Africa)
The new Strategic Vision Plan (2023-2025) is anticipated to accelerate Nigeria’s attainment of its broadband penetration target of 70 percent in the next two years. The aim is also to deliver data download speeds of a minimum of 25mbps in urban areas and 10mbps in rural areas by 2025. The Nigerian Communication Commission (NCC) recently unveiled the blueprint, which is a unified document of the Strategic Management Plan 2020-2024 and Strategic Vision Plan 2021-2025 reports.
FBNQuest, the merchant banking and asset management group, believes the West African country is on track. It noted the new SVP document is on the back of the successful implementation of initiatives outlined in the SVP 2015-2020 report, which drove significant growth in the telecoms sector. “Notably, the new report is designed to provide strategic direction towards the attainment of the commission’s policy targets for the next two years,” FBNQuest stated.
Longstanding non-tariff barriers constitutes 63% of those currently unresolved (COMESA)
Longstanding Non-Tariff Barriers (NTBs) constitute 63,6% of total outstanding NTBs with some of these remaining unresolved for an average period of 5 -8 years with the longest being above 12 years and the shortest being 2-4 years. The long standing NTBs are categorised into Technical and Non-technical NTBs; costly additional taxes, import licensing numerous/complex documentation and registration procedures, and Customs valuation.
Subsequently, COMESA Secretariat has facilitated bilateral and trilateral meetings to resolve NTBs amongst countries involved which include DR Congo, Egypt, Kenya, Malawi, Mauritius, Uganda, and Zambia. In considering the outstanding NTBs in the Time Bound matrix, Member States have raised concerns over the long periods taken by Focal Points and National Monitoring Committee to undertake internal consultations to resolve them.
In its meeting on 23 November 2023, the COMESA Council of Ministers’ meeting noted that relevant officials failed to attend to the reported NTBs promptly and that majority of the consultations were undertaken during the regional NTB meetings. The meeting therefore urged National Monitoring Committee members to prioritize processing and resolution of the reported NTBs without necessarily having to wait to make consultations during the NTB Forum.
Trade in services portal launched to support online negotiations (COMESA)
COMESA has launched a Trade in Services Portal to facilitate online negotiation of offers and requests between Member States under the COMESA trade in services liberalization programme. The launch was conducted during the 44th Meeting of the COMESA Council of Ministers on 23 November 2023 in Lusaka, Zambia.
The portal provides tools to ensure the technical quality of the offers being made and exchanged are transparent and confidentiality in information sharing. It also provides messaging tools for users to interact safely and support the provision of trade in services data collected from all Member States.
The need to develop the portal followed the COVID-19 pandemic, which restricted travels and curtailed the ability to organise physical meetings. Subsequently, COMESA Secretariat requested for technical assistance from the African Export-Import Bank (Afreximbank) on capacity building in Trade in Services to help speed up negotiations and to harmonize the Trade in Services processes at regional and continental level which was granted.
“The platform is not meant to replace, but rather to support and enhance physical trade in services negotiations,” COMESA Secretary General Chileshe Kapwepwe said at the launch and assured that it will be hosted on the Secretariat’s servers to ensure its security and confidentiality.
Geingob calls for a re-evaluation of the SACU trading model (Windhoek Observer)
President Hage Geingob has expressed concerns about the current Southern African Customs Union (SACU) trading model and called for a reevaluation of its approach, citing the challenges posed by the existing system. The President made these remarks during an end-of-year briefing at the State House in Windhoek. He emphasized the need to revisit SACU’s model, which he believes is hindering Namibia’s industrialization efforts.
Geingob pointed out that Namibia cannot directly import cars and other goods from Europe or other regions; instead, it must go through South Africa. He argued that this current approach should be reconsidered for the future of SACU and the Southern African Development Community (SADC) to thrive democratically.
EALA to hold EAC Partner States accountable for poor contribution remittance (The New Times)
The East African Legislative Assembly (EALA) seeks to hold the East African Community (EAC) Partner States accountable in terms of timely payment of due contributions to address the current practice marred by delays and non-remittances. The observation was made on November 27 by the members of this EAC legislative organ at a press conference about its meeting in Kigali, Rwanda.
During the meeting, regional lawmakers will discuss a motion calling for the EAC Council of Ministers to implement mechanisms to enforce Articles 143 and 146 of the Treaty for Establishment of the East African Community. The motion will be moved by MP Godfrey Maina Mwangi from Kenya.
MP Fatuma Ndangiza, from Rwanda, said the motion seeks to address an issue of poor remittance of contributions to the bloc, which was presented by journalists at the press conference. EALA Speaker Joseph Ntakirutimana said that inadequate and delayed contributions had become a big issue in the East African Community, but expressed hope that the Summit of EAC Heads of State’s decision on a new way of financing the bloc could help solve the problem – if effectively implemented.
EAC states grapple with low tax revenue (Tanzania Daily News)
East African Community (EAC) member states, like many African countries, struggle to collect an adequate amount of tax revenue to support needed investments in public services. Only one EAC member state, Rwanda, collected tax to GDP ratio of 15 per cent in 2022/2023 financial year, which is widely considered as a tipping point to make a state viable and put it on a path to growth.
World Bank (WB) says countries collecting less than 15 per cent of GDP in taxes must increase their revenue collection in order to meet basic needs of citizens and businesses. Other member states had below 15 per cent ratio which indicates that a significant part of the economic activity is untaxed and that there are fewer actors contributing to the country’s tax revenue.
ITUC-Africa demands workers inclusion in AfCFTA implementation (Tribune Online)
The African Regional Organisation of the International Trade Union Confederation (ITUC-Africa) has called on all stakeholders: governments, businesses, trade unions and civil society, to ensure that African workers are not left behind in the implementation of the African Continental Free Trade Area (AfCFTA). The regional organisation noted that, “Together, we can make trade a catalyst for economic growth, job creation and equitable development across the African continent.”
ITUC-Africa also called on AfCFTA member states to ensure that women, youth and persons with disabilities are represented in all activities, in connection with issues on trade and investment (with a specific focus on the AfCFTA), industrialisation and structural transformation in Africa. These formed part of resolutions reached at the end of a three-day capacity building and engagement workshop for Informal economy actors on AfCFTA held in Nairobi, Kenya.
U.S. and African Development Bank Collaborate to Accelerate Africa’s Digital Transformation (AfDB)
The U.S. Commercial Service and the African Development Bank have announced a new strategic collaboration in a move to drive digital transformation across Africa, Unveiled on the sidelines of the Africa Tech Festival held in Cape Town, South Africa, this collaboration paves the way for a series of dialogues on how U.S. digital innovation can support development goals across Africa.
Head of ICT Operations Nicholas Williams from the African Development Bank said, “Africa has made significant investments in pivotal infrastructure and policy enhancements to create an innovative digital economy. As Africa’s premier development finance institution, the African Development Bank will help push Africa’s digital boundaries even further by forging strategic relations, building on historical investments and, more importantly, tapping into the energy of our young population, who are digital natives. We value the insights that the U.S. private sector may bring.”
African ministers rally more action to bridge the digital divide and inequalities (AU)
Ministers in charge of Communication and Information Communication Technology sectors have adopted far-reaching decisions to accelerating Africa’s Digital Transformation and boost socio-economic development, create jobs and improve people’s lives.
At the just concluded 5th Specialized Technical Committee (STC) on Communication and Information Communication Technology (ICT), the ministers committed to promote the nexus between digitalisation, climate change, infrastructure, and energy to maximise the benefits of digital solutions. At the African Union Summit in 2024, the ministers will also rally for the adoption of the Digital Transformation Strategy for Africa & its Implementation Framework as a flagship project of the AU Agenda 2063.
The viability of the media industry also topped the agenda of the ministers as they explore avenues to ensure the media industry benefits of the booming technological growth. They also underscored the importance of securing press freedoms and a conducive environment that allows for media to reframe the African narrative with solutions-oriented perspectives.
To scale up startup investments across the continent to continue growing tech entrepreneurs, the AU Commission will develop the African Green Digital Transformation Pact that promotes data-driven technology projects and initiatives that support environmental quality improvement, climate action, energy efficiency, and bolster resilience while promoting citizens engagement. The Pact will inform the deliberations of the Global Digital Compact scheduled for 2024.
The Government of Cote d’Ivoire, through the Ministry of Finance and Budget, launched the technical workshop for institutional investors from the West African Economic and Monetary Union (WAEMU) in Abidjan on 13 November. For her part, Ms Sonia Essobmadje, Head of Section, Innovative Financing and Capital Markets at the ECA, pointed out that “Infrastructure in Africa in general, and in West Africa in particular, is crucial to economic and social development”.
In his speech at the opening ceremony, Mr Bamba Vassogboa, representative of Cote d’Ivoire’s Minister of Finance and Budget, said that “Africa is still constrained by huge infrastructure deficits, with an estimated annual financing requirement of between 136 and 170 billion dollars and an annual financing gap of between 68 and 108 billion dollars”.
“Of the $85 billion committed to infrastructure development in Africa in 2019, $22.5 billion went to West Africa. In 2020, out of $81 billion committed, West Africa received $22.3 billion”, explained the representative of the Côte d’Ivoire Minister of Finance and Budget.
How Africa can industrialise, integrate, finance its dev’t – ECA (21st CENTURY CHRONICLE)
The Economic Commission for Africa (ECA), says Africa can industrialise, integrate, and finance its development without depending on foreign support. Mr Adam Elhiraika, the Director, Macro Economic Policy Division at ECA, told the News Agency of Nigeria (NAN) that the continent could not afford to continue receiving aid.
“We have the momentum and historical opportunities provided by the African Continental Free Trade Area (AfCFTA) and the growing integration of African economies. Now is the time for African policymakers and economists to move beyond orthodox, mainstream economics theories that used to tell us that we cannot integrate.
World Needs More Policy Ambition, Private Funds, and Innovation to Meet Climate Goals (IMF)
With each passing year, the stark reality of a hotter planet becomes clearer and the ensuing risks to the global economy intensify. But as the world is waking up to the scale of the climate crisis, geopolitical tensions and fragmentation risks are undermining our ability to coordinate global actions to solve this planetary problem.
Eight years on from the Paris Agreement, policies remain insufficient to stabilize temperatures and avoid the worst effects of climate change. Collectively, we are not cutting emissions fast enough and are falling short on the needed investment, financing, and technology. The window is closing, but we still have time—just—to change our trajectory and leave a healthy, vibrant, and livable planet to the next generation.
African Union Commissioner for Infrastructure and Energy Dr Amani Abou-Zeid addressed the International Vienna Energy and Climate Forum (IVECF) which brought together thousands of delegates in the Austrian capital to discuss solutions to promote green industrialization and establishing sustainable value chains for low carbon technologies. The forum took place 2-3 November 2023.
Speaking at the high-level plenary session “Solutions for Advancing Green Industrialization and Sustainable Value Chains”, Commissioner Abou-Zeid highlighted that Africa is perusing sustainable energy development trajectory mentioning that the continent is already generating 45% of its energy through renewables.
”Switching to renewable energy in Africa was made out of the necessity to achieve energy self-sufficiency and to face the devastating effects of climate change”. Despite being in the front-line of the dire consequences of climate change, the continent only receives about 2%-3% of global climate finance, a situation Commissioner Abou-Zeid blames on unfair interest rates inflicted on the Africa.
Report suggests $13.5 trillion investments for carbon-neutral future (New Business Ethiopia)
Transitioning to a more sustainable and carbon-neutral future, $13.5 trillion in investments will be needed by 2050, particularly in the production, energy and transport sectors, according to a new World Economic Forum report.
The Net-Zero Industry Tracker 2023, published in collaboration with Accenture, takes stock of progress towards net-zero emissions for eight industries – steel, cement, aluminum, ammonia, excluding other chemicals, oil and gas, aviation, shipping and trucking – which depend on fossil fuels for 90% of their energy demand and pose some of the most technological and capital-intensive decarbonization challenges.
The report, published the same week as the United Nations called at COP28 for “dramatic climate action” to close an “emissions canyon”, outlines pathways to accelerate the decarbonization of emission-intensive production, energy and transport industries. While the pathway to net zero in these sectors will differ based on unique sectoral and regional factors, investments in clean power, clean hydrogen and infrastructure for carbon capture, utilization and storage (CCUS) will be needed to accelerate industrial decarbonization across most sectors.
COP28: Rich countries must commit more climate finance for adaptation of African livestock sector, say experts (Down to Earth)
High-income countries at the 28th Conference of Parties (COP28) to the United Nations Framework Convention on Climate Change must agree to increase investments to assist Africa in adapting its livestock systems, African leaders, scientists and experts have said in an open letter. The funding is necessary to sustain the fastest-growing population on the planet, they said.
The document described livestock as a “climate solution with legs” for 800 million herders and smallholder farmers across sub-Saharan Africa. More than 50 organisations and individuals, including Josefa Sacko, African Union commissioner for agriculture, rural development, blue economy and sustainable environment, have signed the open letter.
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African countries urged to make research, innovation the cornerstone food systems transformation (Businessamlive)
African countries must accelerate the adoption of climate adaptation technologies and practices in agriculture in order to protect their economies from the increasingly severe impacts of climate change, according to 2023 Regional Strategic Analysis and Knowledge Support System (ReSAKSS).
The report finds that climate-smart agricultural practices can mitigate the negative economic impacts of climate change, if scaled up and implemented properly, considering that extreme weather and climate shocks are major contributors to food insecurity in the continent.
The ReSAKSS report emphasises the importance of data in transforming African food systems, and highlights the need to improve data collection and analysis to inform evidence-based policymaking. Additionally, the report identifies the need for better coordination between different sectors, including agriculture, health, nutrition, and water and sanitation, in order to create an enabling environment for food systems transformation.
India, South Africa, Egypt Introduces Paper On WTO Dispute Settlement Reform (BQ Prime)
India, South Africa and Egypt have introduced a paper regarding ongoing discussions on the reforms of the World Trade Organisation’s (WTO) dispute settlement body, an official said. The paper - Reflections on the Reform of the WTO Dispute Settlement System - was introduced in a meeting of the body in Geneva.
In the meeting, “India took the floor to introduce the joint communication from Egypt, India and South Africa,” the Geneva-based official said, without disclosing details of the paper. It was circulated among the WTO members on Nov. 24.
The introduction of the paper assumes significance as India is batting for starting formal negotiations by WTO members to reform the dispute settlement body, as the present informal deliberations are creating hindrances for several nations to participate in the talks.
Agriculture negotiations intensify ahead of mini-ministerial meeting (WTO)
WTO trade officials discussed new negotiating submissions on agricultural market access and cotton during meetings held on 20-22 November ahead of a mini-ministerial meeting on agriculture scheduled for 28 November. They also held in-depth discussions on domestic support to the farm sector, the purchase of food at administered prices under public stockholding programmes, and export restrictions on food. The Chair, Ambassador Alparslan Acarsoy of Türkiye, said he hoped the upcoming mini-ministerial would “deliver strong support” to the Geneva negotiating process.
Members consider seven regional trade agreements, discuss improvements to Committee’s work (WTO)
Under the Transparency Mechanism for RTAs, the Committee considered five RTAs between the UK and its trading partners aimed at maintaining the continuity of previous trade arrangements before the UK’s withdrawal from the European Union.
The Economic Partnership Agreement between the United Kingdom, the Southern African Customs Union (SACU) and Mozambique (Goods) entered into force on 1 January 2021. The Agreement maintains most commitments under the Economic Partnership Agreement (EPA) between the European Union and its Member States and the Southern African Development Community (SADC) EPA States. The UK will eliminate duties on all but 4.7% of its tariffs for imports from South Africa and 0.2% for imports from the other parties. SACU members will maintain duties on 13.5% of the common external tariffs for imports from the UK while Mozambique will maintain duties on 59.7% of its tariffs for imports from the UK.
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Importance of regional integration in Africa highlighted
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President Cyril Ramaphosa visits Port of Richards Bay (South African Government)
President Cyril Ramaphosa on Thursday, 23 November 2023, visited the Port of Richards Bay to assess the state of the port and efforts underway to address congestion. The President received a briefing from the leadership of Transnet on the current challenges at the port and the interventions underway to reduce congestion and improve efficiency.
The National Logistics Crisis Committee (NLCC) has established five Corridor Recovery Teams (CRTs) comprising Transnet managing executives, rail and port users, and independent experts focused on five strategic corridors which are crucial to support the country’s exports, including the Northern Corridor which runs to Richards Bay. These teams meet on a weekly basis to accelerate the delivery of key actions to improve the volume of goods transported on the network. Transnet has put in place a short-term plan to ramp up operations on the corridor, including the injection of four additional locomotives by the end of November 2023; an increase in the length of trains from 40 to 50 wagons; and the return of a conveyor belt at the Richards Bay Dry Bulk Terminal on an expedited basis by December 2023.
The African Development Bank, Libya strengthen cooperation, sign funding agreements
The African Development Bank has signed three technical assistance grant agreements with the government of Libya, reaffirming its commitment to the North African country. The agreements were signed in Tripoli, the Libyan Capital, on 21 November 2023, the first day of a consultation mission by an African Development Bank delegation led by Mrs Malinne Blomberg, deputy director general for the North Africa region and country manager for Libya.
The grants include $1m in emergency support which will be channelled through the United Nations Children’s Fund in collaboration with the Libyan government and used to procure much needed wash and hygiene kits and emergency materials for temporary learning spaces and rehabilitated classrooms. The supplies, which were swiftly arranged by the bank, became necessary following the Derna floods which devastated the eastern part of the country. The three parties to the agreement will make the funds speedily available for the worst-affected people, especially women and children.
Parliament Petitioned By GUTA And Other Groups Against Plan To Ban Imports Of “Strategic Products” (Yen.com.gh)
Six prominent business associations have jointly submitted a petition to Parliament, urging the rejection of the government’s proposed import restrictions bill. The controversial bill, which is being sponsored by the Ministry of Trade and Industry on behalf of the Nana Akufo-Addo administration, seeks to ban the importation of certain goods labelled “strategic”. The trade ministry says the ban will improve local production of such goods and thereby improve the local economy. However, the Ghana Union of Traders Associations (GUTA) and six other interest groups say the bill should not be passed.
According to the trade minister, KT Hammond, the Legislative Instrument is designed to restrict the importation of specific strategic products like rice, poultry, and sugar, among others.
Seychelles’ trade officials brush up on negotiating skills with WTO experts (Seychelles News Agency)
Officers and partners of the Seychelles Department of Trade will improve their negotiating skills through a one-week training programme starting Monday, facilitated by the World Trade Organisation (WTO). The training is expected to give the participants the required skills to negotiate for Seychelles, other nations and organisations on trade issues.
“This training will help all the participants to better understand how trade negotiations work and will do both theory and practical sessions during the workshop,” Veronique Brutus, a senior trade officer, told reporters. The Trade Department is mandated to negotiate trade agreements for Seychelles, an archipelago in the western Indian Ocean.
Enabling Business Environment: AfCFTA supports private sector bill of rights (Vanguard)
In a bid to work in close partnership with the private sector, the African Continental Free Trade Area (AfCFTA) Secretariat has thrown its weight behind the Private Sector Bill of Rights (PSBoR) for an Enabling Business Environment in Africa.
AfCFTA secretariat made the commitment when it hosted a private sector session in collaboration with Africa Private Sector Summit (APSS), which led an Ecosystem based side event at the just concluded Intra-African Trade Fair (IATF) 2023 in Cairo. The parties also emphasized the importance of the Charter on Private Sector Development, Rights and Protection Environment in Africa. PSBoR, a pioneering initiative proposed by the APSS in partnership with PACCI. This bill is designed to establish a conducive trade and investment climate for the vast opportunities in intra-African trade across the continent.
According to the Secretary General of the AfCFTA Secretariat, H.E. Wamkele Mene, “The private sector is the core pillar for achieving the AfCFTA goals, because the private sector creates jobs, fosters innovation and enables fair competition for business in the continent.”
Implementing the African Continent Free Trade Agreement: Evidence from Southern Africa (AfDB)
In light the limited and persistently intra-Africa trade and investment flows, the launch of the African Continent Free Trade Agreement (AfCFTA) is believed to be a ‘game changer’ for enhanced investment and trade flows on the African continent. But as in all reforms, some countries and sectors gain more than others. Using a computable general equilibrium (CGE) modelling, we [AfDB] investigate the impact of the implementation of AfCFTA on import and export trade in addition to producing economy-wide effects on growth, employment and welfare in Southern Africa. Our [AfDB] simulation analyses are based on three policy scenarios focusing on the liberalisation of tariff and non-tariff barriers (NTBs) in the time window of 2020 – 2031. Our findings show an overall positive aggregate export growth in all countries despite differences when we look at the estimates by each of the 20 commodity sectors.
India: ‘Work in progress to remove trade barriers in sub-Saharan African nations’ (Business Standard)
The Indian commerce ministry is working to address issues related to non-tariff barriers and market access for domestic products in sub-Saharan African countries like Nigeria, Ethiopia, Ghana and Gulf nations to boost India’s exports, an official said. The official said meetings have been held with Indian missions of the sub-Saharan African countries with which India has significant bilateral trade.
The major trading partners of India in that region in 2022-23 were South Africa (total trade USD 18.9 billion, exports USD 8.5 billion); Nigeria (USD 11.85 billion, exports USD 5.15 billion); Togo (USD 6.6 billion, exports USD 6 billion), and Tanzania (USD 6.5 billion, exports USD 3.93 billion). The other countries were Mozambique (USD 5 billion, exports USD 2.5 billion); Angola (USD 4.22 billion, exports USD 621 million); and Kenya (USD 3.4 billion, exports USD 3.2 billion).
“A virtual meeting with Indian Mission of top 10 countries (bilateral trade-wise) in sub-Saharan African region was held in September to discuss the overall economic and commercial relations with those countries, export performance and non-tariff barriers which are acting as impediments to bilateral trade and enhance exports,” the official said.
Senators fault state of Malaba and Busia customs posts (The Star)
The Senate Trade committee has criticised the government for neglecting operations services at Malaba and Busia One Spot Border Point (OSBP), despite the significant revenue generated by the busy East African gateway. Despite Malaba and Busia OSBPs generating over 10 billion annually, the two customs offices face with numerous challenges among them leaking roofs in the server rooms, regular power outage, water shortage, poor hygiene and understaffing.
The committee led by Busia senator Okiya Omutata, Kiambu senator Karung’o Wa Thang’wa and Crystal Asige, visited Malaba and Busia to ascertain how best the government can improve the operation efficiency to boost revenue collection. “We are here on a fact finding mission to establish how best we can improve the operations at OSBPs to boost revenue collection from 10 billion to 15 billion per year. The two entry points need urgent intervention and upgrade to match international standards,” said Thang’wa.
Electrical and Electronics Sector standard compliance Critical for global trade (Capital Business)
Stakeholders in the electricals, electronics, and related technologies field have been urged to embrace the use of established International Electrotechnical Commission (IEC) standards to gain a competitive edge in the global market, thus driving economic growth and innovation. The Kenya National Committee of the IEC (KNCIEC), and the International Electrotechnical Commission (IEC), the KEBS Director, Legal and Corporation Secretary, Miriam Kahiro emphasized the need for experts’ participation in the standards development process at IEC to make it easier for adoption at the National level.
From February 2022, Kenya started participating in the IEC System of Conformity Assessment Schemes for Electrotechnical Equipment and Components, popularly known as the IECEE, Certification Body Scheme for Destination Inspection of electrical and electronic products. The scheme requires that national standards are fully harmonized with the IEC standards.
Comesa grant Kenya another sugar import safeguard (People Daily)
The Council of Ministers of the Common Market for Eastern and Southern Africa (COMESA) has granted Kenya a two-year extension of the sugar safeguard measures. This decision comes amid ongoing efforts to protect the domestic sugar sector from external competition and ensure the stability of the industry. “These measures are meant to protect vulnerable industries and in our case, sugar from adverse effects of trade liberalisation.” The sugar companies were among those marked to be sold by the state, but activist and politicians and farmers have opposed the move.
These safeguard measures, initially implemented to shield Kenya’s sugar producers from the potential negative effects of increased imports within the COMESA region, have been a longstanding feature of the country’s trade policy. The extension, which secures the measures for an additional two years, underscores the continued importance placed on safeguarding the local sugar industry.
Sugar Prices Rise after El Nino Damages Crops (Voice of America)
The sudden and large increase in sugar prices left Ishaq Abdulraheem with few choices. Raising the cost of bread would mean decreasing sales, so the Nigerian baker decided to cut his production by half. For other struggling bakers in the West African nation, it was the latest of many problems they have faced. Many bakers just closed their shops.
Sugar is needed to make bread, the daily food for Nigeria’s 210 million people. For many, bread offers a less costly source of calories, or energy. Rising sugar prices — an increase of 55 percent in two months — means fewer bakers and less bread. “It is a very serious situation,” Abdulraheem said.
East African Community continues on a trajectory of expansion as Summit admits Somalia into the bloc (EAC)
The East African Community has once more expanded its borders and market size with the admission of the Federal Republic of Somalia as the 8th member of the bloc. The Summit of the East African Community (EAC) Heads of State at their 23rd Ordinary Meeting held in Arusha, Tanzania on Friday, 24th November, 2023 considered the Report of the EAC Council of Ministers on the Negotiations with the Federal Republic of Somalia into the EAC, and resolved to admit Somalia as a full member of the Community.
The Summit further designated the Chairperson of the Summit, H.E. Salva Kiir Mayardit, the President of the Republic of South Sudan, to agree with Somalia on when to sign the Treaty of Accession of the Somalia into the Community.
Will new financing model end EAC cash woes? (The Citizen)
The long-awaited sustainable financing mechanism for the East African Community (EAC) is here at last. This time around mandatory contributions will partly depend on the size of the partner state’s economy.. The new funding plan was adopted at the Summit of the regional Heads of State held here on Friday. The leaders agreed on a hybrid system of equal contributions and remittances which will be based on each country’s economy.
Another 35 percent will be assessed as a contribution formula which will largely depend on the size of the economy. The sustainable financing project for the EAC was mulled and made public in 2011 and was aimed to address financial challenges facing the organization.
For about a decade, EAC annual expenditure has revolved around $100 million, about a half through remittances by the partner states and the rest from the development partners. For instance, of $103 million EAC budget for 2023/24 financial year, some $59 million (25 percent) would come from the partner states. The remaining $44.8 million will be sourced from an array of the development partners supporting the Community.
Communiqué Of The 23rd Ordinary Summit Of The East African Community Heads Of State
Accession hands EAC mandate to fix Somalia’s security (The East African)
The Horn of Africa needs more trade - but not at the cost of more war (Ethiopia Insight)
The Horn of Africa and the adjacent Red Sea is a strategically important area that has been ravaged by instability. Sudan is torn apart by a civil war, while Somalia continues to grapple with al-Shabaab, an extremist Salafist group which controls large swathes of territory. Meanwhile, Ethiopia has only recently overcome a devastating war in Tigray that resulted in the loss of countless lives, and remains embroiled in low-level conflicts in Amhara and Oromia.
And now, concerns are mounting that Prime Minister Abiy Ahmed may lead Ethiopia towards another war, this time with Eritrea, as he endeavors to secure a port near one of the world’s busiest shipping routes, casting a pall of uncertainty over what the future holds. Another Ethio-Eritrean war would be disastrous for both countries and the entire region, so must be avoided at all costs. Ethiopia should instead consider peaceful diplomatic routes to secure better access to a port.
Why Kenya failed to give world much awaited global plastics treaty (The East African)
Negotiations seeking to deliver the first global plastics treaty ended with no solid plan, rippled by oil-producing countries and major plastic manufacturers. Endless disagreements over the wording and punctuation of some key sections of the zero-draft took centre stage during the third session of the Intergovernmental Negotiating Committee (INC-3) with major oil-producing countries, led by Saudi Arabia, Iran and Russia, determined to make it impossible for the world to birth the plastics treaty.
The oil-producing countries and major plastic producers like the United States ganged up and insisted that the revised draft text must give emphasis to plastic recycling and reuse. Kenya, Canada and the European Union insisted on limiting plastic pollution.
A day before the final day of the negotiations, Saudi Arabia, one of the biggest sellers of polymers in the world, had threatened to withdraw from the talks after it rejected any ambitious language in the text.
Mozambique approves $80bn energy transition strategy (Engineering News)
Mozambique’s government approved a strategy to reduce the nation’s dependence on fossil fuels that it estimates will cost $80-billion to implement by 2050, a step aimed at winning finance to develop the economy.
The first steps envisioned in the Energy Transition Strategy, approved by the Council of Ministers on November 21, include the addition of 2 000 MW of hydropower capacity by 2030 and expanding the transmission grid to allow for the addition of more renewable energy, the government said. The full program will be announced by President Filipe Nyusi at a Dec 2 event at the COP28 international climate summit in Dubai, it said in a statement sent to Bloomberg.
“Mozambique has major potential to be a global leader in climate-aligned development,” it said. “The ambitious ETS lays out a clear pathway for harnessing these assets to enable sustainable nationwide growth while supporting emissions reductions.” Mozambique is the latest developing country to seek international funding to finance an energy switch. South Africa, Indonesia, Vietnam and Senegal have won pledges of billions of dollars from some of the world’s richest nations to reduce their reliance on coal and other fossil fuels.
South Africa needs to leverage global goodwill at COP28 (Engineering News)
The upcoming 2023 United Nations (UN) Climate Change Conference, or Conference of the Parties to the UN Framework Convention on Climate Change, more commonly referred to as COP28, will be an important opportunity for South Africa to develop global goodwill in support of the country’s energy transition and translate it into flows of investment to fund the infrastructure needed to transition South Africa’s economy, private sector lobby group Business Leadership South Africa (BLSA) CEO Busisiwe Mavuso has said.
“We are a unique country – vulnerable to climate change given our water scarcity and ecology, and yet largely still economically dependent on coal and other fossil fuels. We must transition our economy but do it in a way that ensures justice for those whose jobs and livelihoods are at risk in a transition. “We must do so while also solving our electricity crisis and lifting the most vulnerable out of poverty. This is a difficult set of objectives to achieve simultaneously, calling for all of us to work together,” Mavuso said in her weekly newsletter on November 27.
South Africa’s Just Energy Transition Investment Partnership (JET-IP), first tabled at COP26 two years ago, envisages about $8.5-billion worth of investment support from the world’s largest economies being funnelled into South Africa’s transition.
UNCTAD: A levy on fuels or a carbon price vital to support the green transition (SAFETY4SEA)
UNCTAD published a new policy brief focusing on the twenty-eighth session of the Conference of the Parties to the United Nations Framework Convention on Climate Change provides an opportunity to assess progress in decarbonization efforts in the shipping sector and adds further momentum to carbon reduction actions. As noted in this policy brief, taking swift measures to reduce the carbon footprint of this sector is instrumental, given the economic role of the sector and the potential for the current carbon footprint to grow in tandem with global economic growth and trade expansion.
Shipping connects world economies and underpins global supply chains, with over 80 per cent of the world’s merchandise trade by volume transported by sea. About 40 per cent of seaborne trade volume is made up of energy-related commodities, including coal, oil and gas. The sector contributes around 3 per cent of global greenhouse gas emissions. Emissions per cargo unit and per distance travelled (ton-mile) have declined in recent years, partly due to economies of scale, yet the total global emissions of the sector have increased by 20 per cent in the past decade.
Africa: Climate Crisis Exposes Vulnerabilities of Africa’s Weak Infrastructure (allAfrica)
Extreme weather events such as floods, droughts, and heatwaves are becoming more frequent and intense. These events are displacing millions of people and causing significant damage to roads, power grids, and other vital infrastructure, disrupting essential services, and costing economies billions of dollars. This is particularly concerning for Africa, already one of the most vulnerable continents to the climate crisis.
Africa’s infrastructure investments are at risk from the climate crisis, and leaders must urgently implement measures to make them more resilient, according to South Africa’s Forestry, Fisheries, and Environment Minister, Barbara Creecy. The minister spoke at the inaugural Africa Climate Summit held in Nairobi, Kenya in September. She warned that if the impacts of the climate crisis are not taken into account now, the current and next generation of infrastructure in Africa could be locked into designs that are inadequate for the future and costly or impossible to modify later. She called for planning new infrastructure for climate resilience and adapting existing infrastructure to reduce risks, saying that there is a high probability that the climate crisis offsets or reduces the economic and developmental benefits of these investments.
Report unveils USD21 Trillion climate losses (Standard Media)
Developing countries in tropical regions are losing ten per cent or more annually of their national income due to climate change. When Gross Domestic Product (GDP) and capital losses are combined, a new analysis has found that low and middle-income countries have experienced a total loss of USD 21 trillion since the Rio Convention was adopted in 1992.
The University of Delaware released a new report on the impacts of climate change on output and capital ahead of Cop 28. As agreed at COP27, countries are expected to adopt a framework for the new UN fund to assist nations in recovering from “loss and damage” caused by climate change. As the report comes, final talks earlier this month to agree on a proposal for a new climate disaster fund have avoided a deadlock ahead of a climate summit, but tough new questions still remain about who will pay and when.
How will the EU’s carbon border tax affect Africa? (EUobserver)
African and European officials are heading for a confrontation over the costs of a new carbon tax which could cut trade levels and complicate wider negotiations at the UN COP28 Climate Summit in Dubai starting on Thursday (30 November). South Africa and India, with the discreet support of the United States, are challenging the new tax at the World Trade Organization arguing that it constitutes a discriminatory trade barrier.
At issue is the European Union’s Carbon Border Adjustment Mechanism (CBAM) which came into force in October. The first bill for companies will land on 31 January 2024, and the new system of taxation will take full effect by 2032.
Goods barometer shows trade volumes returning to trend amid high uncertainty (WTO)
The latest quarterly WTO Goods Trade Barometer issued on 27 November indicates that the volume of global merchandise trade is recovering after its recent slump, with automobile sales and production and electronic components trade driving the recovery. However, mixed economic results coupled with increasing geopolitical tensions make the near-term outlook highly uncertain.
The current reading of 100.7 for the barometer index is above the previous reading of 99.1 from last August and close to the baseline value of 100. This suggests that merchandise trade volume will gradually revert towards its medium-term trend in the second half of 2023, although uncertainty remains high due to mixed economic data and rising geopolitical tensions.
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Kenya has vast growth potential in aviation and technology (The Standard)
The air transport industry in Africa is on the resurgence, and aviation is definitely the next infrastructure growth frontier. One of the largest aviation hubs and businesses will be the 1.3-billion-dollar deal by Qatar to develop and partner with Rwanda as an expansion of the airport business for passenger, cargo, and global centre of aviation excellence.
Kenya is moving fast, with Nairobi, JKIA airport, enjoying expanded brand new terminals and connected to the expressway, has major strategic expansions integrated into the new investments planned for passenger and Cargo business. Kenya is integrating roads, railways, and expanding terminals and runaway for airports to become the world-class hub of business and creating master plans for airport cities infrastructure.
NCC seeks to identify competitiveness gaps (The Herald)
The National Competitiveness Commission (NCC) is developing the Zimbabwe Competitiveness Report (ZCR) to identify critical competitiveness gaps and productivity issues hindering economic growth. The comprehensive report will also provide actionable policy recommendations aligned with the objectives of the National Development Strategy 1 (NDS1), the commission said.
The ZCR will serve as a valuable platform for participants to reflect on recent progress, share insights into the current economic landscape, and explore innovative approaches to enhance national productivity and competitiveness, fostering sustainable development for the future. “Strong growth is key for sustainable development, and there is need to address systemic structural changes that can boost investment, enhance competitiveness, strengthen risk resilience and harness opportunities arising from technology adoption in all sectors of the economy,” said NCC.
New rail line boon for Zim-Mozambique trade (The Herald)
Zimbabwe, as a land-linked country, continues to benefit from use of Mozambican ports, railways and road infrastructure for the movement of both imports and exports, and, in that regard, the commissioning of the newly rehabilitated US$200 million Beira-Machipanda railway line will reduce transportation costs of cargo between the two countries and the region, President Mnangagwa has said.
Speaking at the commissioning of the railway line in Manica, Mozambique, yesterday, the President, who was guest of honour at the event, said not only will the rehabilitated 318-kilometre railway line reduce transport costs but will also ease congestion at Forbes Border Post in Mutare, which is presently handling between 300 to 500 trucks per day.
Not just hot air: Realising the potential of the EU-Namibia green hydrogen partnership (ECFR)
Renewable hydrogen is expected to be a key fuel in the green transition – the European Union estimates that it could make up 20 per cent of its energy mix by 2050. As such, the EU is strengthening its strategic renewable hydrogen partnership with Namibia, a country rich in renewable energy resources and able to produce clean hydrogen at competitive prices.
This partnership hinges on their different priorities: the EU needs to secure access to alternative energy sources, in part, through importing renewable hydrogen from price competitive sources while upholding sustainability standards. Namibia, on the other hand, wants the export of renewable hydrogen to lead to increased industrialisation, economic growth, and development through greater access to energy and water, job creation, and skills training. The partnership became more concrete with the recent launch of the operational roadmap in October, making Namibia the only African country with such agreement.
Ghana highlights agro-export potential (The Peninsula)
Ghana aims to increase its horticulture and agro-export to Qatar and the Gulf Cooperation Council (GCC) as part of its economic drive to boost the agricultural sector and promote the ‘grow in Ghana and export from Ghana’ initiative. During a conference on ‘Agribusiness opportunities in Ghana within the context of Agritech’ hosted by Ghana as part of the International Horticultural Expo 2023 (Expo 2023 Doha) yesterday, stakeholders discussed the latest technology and innovation in Ghana’s agricultural sector, building entrepreneurship and opportunities for investors.
“The agri-business industry in Ghana offers intriguing investment opportunities in modern agriculture, technology, and sustainability for potential investors,” Samuel Dentu, Deputy Chief Executive Officer (DCEO) of the Ghana Export Promotion Authority (GEPA), said.
Agriculture remains an overwhelming priority for Ghana, as it employs around 45% of the labour force. In 2022, agriculture contributed 18.78% to Ghana’s gross domestic product (GDP). According to Dentu, Ghana’s strategic location makes it a prime location for firms looking for inroads into the African market. Besides, the country’s reputation as a secure and hospitable nation that welcomes businesses and investment opportunities is an added incentive to prospective investors.
High food import reliance threatens Ghana’s growth prospect – ISSER Report (MyJoyOnline)
Ghana remains highly dependent on imports including staple foods like grains, meat and poultry to meet local demand, posing severe risks of external shocks destabilising the economy. This is according to a report on the 2023 Mid-Year Budget Review put together by University of Ghana’s ISSER.
The report shows that food items still dominate Ghana’s monthly import bill in the first half of 2023, led by produce from Asia and Europe cautioning that with high inflation already biting consumers from looming global recessions, unrest and climate pressures, further volatility in international food prices could severely impact Ghana. The researchers say self-sufficiency in key staple foods through increased domestic production should be a national priority.
Côte d’Ivoire to Benefit from Climate Finance as Key Growth Sectors Threatened by Climate Change: World Bank Report (World Bank)
After more than a decade of growth, key economic sectors, cocoa and energy, are at risk of underperforming if urgent measures to tackle climate change are not taken, according to the new Country Climate and Development Report (CCDR) for Côte d’Ivoire discussed today at the council of ministers.
Côte d’Ivoire now stands at a crossroads to meet its development ambitions. Climate change is already taking a toll on Côte d’Ivoire with rising temperatures, unpredictable weather patterns, and sea-level rise posing significant threats. About 80% of Ivorian companies surveyed mentioned already feeling the effects of climate change through impact on revenues, costs, and investments.
“The CCDR for Côte d’Ivoire is a wake-up call for the nation. Authorities must take immediate and decisive action to address climate change while fostering sustainable development. The choices to make today will determine the future of the country and the well-being of all Ivorians, including the most vulnerable”, says Marie-Chantal Uwanyiligira, World Bank Country Director for Côte d’Ivoire, Benin, Guinea, and Togo.
ECA’s African Trade Policy Centre (ATPC), the Ethiopian Chamber of Commerce and Sectoral Associations (ECCSA), and the Ethiopian Leather Industries Association (ELIA) co-organized the first workshop on “the Ethiopian Leather Industry and the African Continental Free Trade Area (AfCFTA): Opportunities and Challenges” at the Hilton Hotel, Addis Ababa, Ethiopia, on November 21, 2023.
Ethiopia has an established leather industry, dating back to the early 20th century. Ethiopia is home to the largest livestock population in Africa that guarantees plentiful supply of raw materials for its leather industry. There are also many businesses operating across different segments of the industry in Ethiopia, both foreign and domestic. The industry has enormous potential to, among others, boost export revenues, create more job opportunities, support women economic empowerment, and contribute to Ethiopia’s overall development.
That Ethiopia is also a State Party to the AfCFTA means that its leather products have access to a large and growing market of over 1.4 billion people, increasingly free of duties and other barriers.
Somalia embraces the AfCFTA, validates its National Strategy (UNECA)
The Ministry of Commerce and Industry of Somalia, in collaboration with the Economic Commission for Africa (ECA), convened a validation meeting of its African Continental Free Trade Area national implementation strategy on 15 November 2023 in Mogadishu. The purpose of the meeting was to solicit feedback and inputs from various stakeholders on the draft document that articulates Somalia’s vision and actions for harnessing the potential of AfCFTA.
Mr Mohamed Saney Dalmar, Director General of the Somalia Ministry of Commerce and Industry, opened the workshop. “This validation workshop is a testament to our collective commitment to fostering economic growth and regional collaboration.” He further highlighted that the the private sector plays a pivotal role in this transformative process, acting as a catalyst for growth by driving innovation, creating job opportunities, and facilitating the integration of Somali businesses into the broader African market.
The AfCFTA Agreement has received the approval of the Somalia Cabinet and is now awaiting ratification by Parliament. Members of the parliament who attended the meeting said that the Agreement will likely be ratified in the next few months.
“With ECA support 31 African countries and two regional economic communities have completed, validated and launched their national or regional AfCFTA Implementation Strategies, while around ten others are at different stages in the process of developing their strategies”, said Mr Melaku Desta, the coordinator of the African Trade Policy Centre.
Why Zambia needs the AfCFTA (Frontpage)
Though Zambia has made progress in diversifying its export sector, it is still dependent on its copper exports. The implication is that Zambia’s economy only does well when the copper price is high and can become sluggish when it drops. Thus, it was bad news when the world market price started to slide fast last summer. It did not recover fully, so this autumn, the Ministry of Finance expected gross domestic product to grow by a mere 2.7 % in 2023 after 4.7 % in 2022.
This trend shows that Zambia’s trade needs to shift its focus away from mining. It must generate more foreign-exchange revenues from other industries, including manufacturing, agriculture, information and communication technology (ICT), energy and tourism. Achieving that will require policies to open the economy to more international trade. In this context, the African Continental Free Trade Area (AfCFTA) should prove most helpful. The AfCFTA can positively contribute to the responding to Zambia’s debt problems by triggering international investment and economic expansion throughout the region.
UNCTAD outlines actions to boost production of essential antibiotics in East Africa (UNCTAD)
As World Antimicrobial Awareness Week is marked from 18 to 24 November, UNCTAD has launched three advisory reports spelling out how pharmaceutical companies, governments and procurers can ensure appropriate access to antibiotics in East Africa. The studies recommend ways to improve the investment landscape for local production of essential antibiotics in Ethiopia, Kenya and Uganda.
“It is imperative that every patient has access to the right antibiotics at the right time, no matter where they live,” the reports say. Lack of access to antibiotics is acute in developing nations, especially in least developed countries, where antibiotics are often not even registered by pharmaceutical companies with national regulatory bodies, preventing entirely their access. Since 2020, UNCTAD has implemented a project on investment incentives for local production of essential antibiotics in East Africa.
African airlines to engage states on opening air space (The East African)
A total of 570 delegates from the aviation sector yesterday resolved to engage their home governments to liberalise and open up air spaces within Africa to ease movements. During the closure of the 55th African Airlines Association Annual General Assembly (Afraa) in Kampala, Uganda on Tuesday, delegates unanimously agreed that opening up air spaces within African countries is a game changer for the sector.
“So far, 37 out of 54 countries have subscribed to the Single African Air Transport Market (SAATM) but majority have not fulfilled the commitment. The problem is that most countries are protective and as Afraa, we have engaged them to open up their air spaces because it is a good initiative. For example, Morocco who opened up its air space to Europe at first were hit hard but in the long run got a lot of traffic,” Afraa Secretary General Abderahmane Berthe said. “Another major problem we have is visa restriction which is a complex thing and as Afraa we cannot do much about it, but we are still engaging governments to facilitate free movement of people as this will facilitate trade and tourism,” he added.
African leaders called upon to tackle non-tariff barriers at Global Logistics Convention (The Star)
African states have been urged to embrace the Africa Continental Free Trade Area (AfCFTA) Agreement in a bid to enhance commercial activities. This was during the 4th Global Logistics Convention that was held in Nairobi on Wednesday for two days under the theme ‘Connecting Continents: Strengthening Global Supply Chains’.
Freight Logix Kenya Managing Director George Kidenda said in an effort to increase free trade within the continent, in the next 10 years, African governments aim to reduce up to 97 per cent of the tariffs to zero thus enabling different players to enter and trade in new markets. “We need proper infrastructure and free movement of cargo to effect this. Most of our roads do not cross effectively into other countries in Africa. Our airlines do not have free landing rights. We need to come together to improve intra-Africa trade,” Kidenda said.
Kidenda noted that African leaders now target to have a free trade area by 2063. He called for proper infrastructure to make the free trade area a success. He said roads and rail links should be constructed to cross into other African countries. ”The challenge we face in Africa is that there is no network connectivity,” Kidenda said.
EU Ink Finance Agreements Worth Almost €50 Million (RegionWeek)
The Common Market for Eastern and Southern Africa (COMESA) and the European Union (EU) signed two financing agreements on Monday, Nov. 20 worth a total of 48.2 million euros ($53 million). These new grants will focus on improving the overall trade competitiveness of COMESA member states and enhancing their market access.
For COMESA Secretary General Chileshe Kapwepwe, the support is part of a wider cooperation aimed at strengthening economic development, trade facilitation and regional integration within Africa’s largest trading bloc. “Despite the region’s comparative advantage linked mainly to its natural resources and its potential in the agri-food, textile and clothing sectors, trade remains low compared to other regions, with many traded products having low added value,” she said
Karolina Stasiak, EU Ambassador to Zambia and Special Representative to COMESA, said the two organizations shared the same objectives of facilitating regional integration, connectivity and trade. She said that in view of global challenges, the EU was calling for trade to be made fairer and more sustainable. “We need to make our economies greener, make local, regional and global value chains more circular, and significantly reduce the negative impact of our economies on the climate,” Stasiak said.
EAC to revise economic targets to attain monetary union dream (The East African)
After missing the first deadline for the attainment of a monetary union, the East African Community (EAC) secretariat is seeking to revise the macroeconomic convergence targets set in 2013 as pre-requisites to the roll-out of a single currency in the region The monetary union dream, the third pillar of the EAC economic integration, was planned to be realised by November 2023, setting the precedent for the issuance of a common currency in the region, but this has been missed. Ministers of finance last year extended the deadline by ten years as all of the four core prerequisites to the establishment of the monetary union, including attaining macroeconomic convergence targets, are yet to be realised.
Pantaleo Kessy, principal economist in charge of monetary affairs at the EAC secretariat, told journalists that they are currently doing new studies to see if the set macroeconomic targets are still attainable within the ten-year window set for the achievement of the desired one-currency area. “We’re giving ourselves until 2031, but if the criteria are not attainable, 2031 will come and we’ll give ourselves another 10 years. So, we need to do another study, taking into account what has happened between 2013, when we were negotiating the protocol, and now.”
Somalia officially admitted into EAC (The East African)
Somalia has been admitted as the eighth member of the East African Community on Friday November 24, 2023, just over a year after the latest entrant, the Democratic Republic of Congo (DRC) was admitted into the bloc. Mogadishu’s admission into the bloc was approved by the region’s leaders during the 23rd ordinary summit of the heads of state held in Arusha, Tanzania, on the same day, after successful negotiations that lasted close to a year.
Somalia first expressed interest in joining the EAC in 2012, but was turned down due to its internal troubles with Al-Shabaab and lack of a stable legal and political environment at the time. However, Mogadishu’s hopes of joining the regional bloc were rekindled when equally troubled South Sudan was admitted in 2016, and later DRC, which also has multiple conflicts within its borders, in 2022.
Somalia’s entrance into the EAC will now pave way for the admission of its neighbours, Eritrea and Djibouti, which have also been targeted in EAC’s expansion plan to include the entire horn of Africa, including Ethiopia and possibly Sudan.
The Summit of the East African Community (EAC) Heads of State is in agreement that increased investment in climate smart agriculture and renewable energy is the best approach to mitigate the impact of climate change, and improving access to and availability of food for their citizens. The Heads of State who spoke during the EAC High-Level Forum on Climate Change and Food Security in Arusha, Tanzania on Thursday further noted the importance of establishing a platform to share experiences on environmental sustainability, disaster management and cross-border management of natural resources.
In his remarks, EAC Secretary General Hon. (Dr.) Peter Mathuki underscored the importance of EAC having a common position as it goes to COP 28. Dr. Mathuki said that no country should have to choose between its development aspirations and climate change mitigation, adding that there was need for complementarity as opposed to competition among Partner States.
Tanzania urges EAC common stance on foreign carbon trading firms (The East African)
The rapid pace of technological innovation and the increase in volume of online services requires adaptive policy and regulation, International Telecommunication Union (ITU) Regional Director for Africa Anne-Rachel Inne said. Addressing the 5th Ordinary Session of the African Union Specialized Technical Committee (STC) on Communication and ICT today, the regional director said digital transformation is central to the work of the ITU and aligns with its strategic goals of universal connectivity and sustainable digital transformation.
Highlighting that change is needed in policy and regulation, she said regulatory expertise needs to be developed continuously to integrate new technologies, competencies and skills to allow for data and evidence-based decision making. “We all recognize and appreciate how quickly technology advances and as such regulatory frameworks need to evolve and adapt to remain effective and ensure that they are functioning as intended new overlapping emergencies call for a strategic approach to digital policy.” For the regional director, the rapid pace of technological innovation and increase in volume of online services requires adaptive policy and regulation.
What’s stopping e-commerce from thriving in Africa? (Mobile World Live)
According to a recent study by the GSMA Mobile for Development (M4D) team and the UK Department of Business and Trade, micro enterprises make up the bulk of African businesses. The research cited there were more than 44 million formal Micro, Small and Medium Enterprises (MSMEs) in Africa as of 2018, 90 per cent of which were identified as micro and small. The amount is estimated to be much higher if informal businesses are included, and today, the sector accounts for 80 per cent of jobs in the region.
This also means that MSMEs play a significant role in Africa’s economic position. In Ghana, the sector generates 70 per cent of GDP, and the increasing adoption of online platforms is believed to have been instrumental to the growth of this ecosystem. M4D’s research, which surveyed more than 1,500 MSMEs in Egypt, Ethiopia, Kenya, Ghana, Nigeria and South Africa, highlighted how online channels have slashed the barriers to entry by helping small businesses expand operations with little cost, while encouraging informal enterprises to blend into the wider economy.
However, given the recent progress in internet penetration and mobile adoption rates, M4D believes African businesses have “a notable opportunity” to leverage sales and contribute to job creations via e-commerce, pointing to a gap in the usage of social media and online marketplaces.
Sustainable and harmonized land policies needed in the acceleration of the AfCFTA (UNECA)
African countries should promote sustainable land governance in the acceleration of the implementation of the African Continental Free Trade Area (AfCFTA), agreed panelists during a panel session at the ongoing 2023 Conference on Land Policy in Africa.
“Issues of land play an important part in this equation, because manufacturing and value addition will require raw materials to be produced on land; investments in value added sectors will also need access to land,” said Stephen Karingi, Director of the Regional Integration and Trade Division at the Economic Commission for Africa (ECA) in the panel session, themed Land Governance, Regional Integration and Intra-Africa Trade: Opportunities and Challenges.
Report highlights committee work on preferential rules of origin for least developed countries (WTO)
A new report from the WTO’s Committee on Rules of Origin highlights the work of members in addressing the concerns of least developed countries (LDCs) with regards to preferential rules of origin in favour of LDCs. It urges further work to facilitate the use of these trade preferences by LDCs.
The report, which was adopted by the Committee on 24 November, will be forwarded to a 14-15 December General Council meeting for consideration. It calls on the Committee to continue its work to ensure that preferential rules of origin applicable to imports from LDCs are transparent and simple and contribute to facilitating market access, in line with the Uruguay Round Decision on Measures in Favour of Least Developed Countries as well as the subsequent 2013 Bali and 2015 Nairobi Decisions on Preferential Rules of Origin for LDCs.
Zambia on track with WTO policy reforms (Zambia Daily Mail)
Plastics Pollution Dialogue makes further headway on draft MC13 statement (WTO)
At the 23 November meeting of the Dialogue on Plastics Pollution and Environmentally Sustainable Plastics Trade, WTO members and stakeholders discussed the latest revised draft of a potential statement on plastics pollution to be issued at the 13th Ministerial Conference (MC13) in February 2024. Members also considered a compilation document of trade-related practices already being adopted to tackle plastics pollution.
Navigating trade and the role of WTO at COP 28 (Mongabay)
Rise of Global South: Africa-backed new tax regime carried successfully in vote with India’s support (Firstpost)
UN General Assembly Member States have voted with a majority of 125 in favor of adopting a Convention on International Tax Cooperation. India was among the 125 countries to vote in the United Nations General Assembly for the organisation to develop a global tax framework. The historic resolution was tabled by the Africa Group and a host of Western countries or OECD nations, including UK, US, and the entire European Union bloc, voted against it. The resolution was tabled by the African Group under the title: “Promotion of inclusive and effective international tax cooperation at the United Nations”.
As per the African Union, the resolution represents a beacon of hope for developing nations. “It will facilitate the access of much needed financial resources, crucial for responding to the current debt crises and facilitate the pursuit of achieving sustainable development. It is also in line with African aspirations as outlined in the AU Agenda 2063, reinforcing the commitment by Member States, to strengthening tax systems and fostering tax equity,” the African Union said.
Guterres urges G20 to lead the way in financial and climate justice (UN News)
António Guterres said the world, particularly developing countries, is facing “a perfect storm”, with growing inequalities, climate chaos, conflicts and hunger. Meanwhile, fiscal space is tightening for many, with crushing debt burdens and skyrocketing prices. “This is a recipe for global instability and suffering,” he said, speaking from Santiago, Chile.
The UN chief called for G20 members to help lead the way in financial justice and commended their support for his $500 billion annual stimulus plan to accelerate achievement of the Sustainable Development Goals (SDGs).Mr. Guterres said he will establish a Leaders Group to monitor the implementation of the SDG Stimulus to enable $500 billion in additional long-term development finance.
G20: Leading it is Brazil’s top global responsibility, says Lula (MercoPress)
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Media Release: First Climate Change Legislation Underway in Parliament, Speaker Tells SADC Counterparts (Parliament of the Republic of South Africa)
The Speaker of the National Assembly, Ms Nosiviwe Mapisa-Nqakula, has informed the parliaments of the SADC region that the South African Parliament is actively advancing the climate change Bill, which represents the initial legislative step of its kind, in direct response to the challenges posed by climate change.
The Speaker was delivering South Africa’s country report during the second day of the 54th Plenary Assembly of the SADC Parliamentary Forum, currently underway in Port Louis, in Mauritius
“The Bill is the first legal framework in South Africa to respond to the impacts of climate change. It seeks to enable the development of an effective climate change response and a long-term, just transition to a low-carbon and climate-resilient economy and society for South Africa,” the Speaker said. She added that gender mainstreaming is a key component of the country’s climate change response.
Kenya in talks to set up dry port in Uganda (The East African)
The Kenya Ports Authority (KPA) on Wednesday started talks with Uganda to establish a dry port in Kampala, the capital of Uganda. KPA Managing Director Capt William K Ruto who held talks with the visiting delegation from Uganda’s Parliamentary Committee on Finance, Planning and Economic Development, said the facility to be named KPA-Uganda, a joint venture between the two nations aimed at streamlining business operations for Ugandan importers.
“We want to make doing business easy for the Uganda importer such that if you have cargo, you just go and collect it from Kampala and then return your empty container there,” Ruto said in a statement issued in the coastal city of Mombasa after the talks.
Ruto lauded Uganda’s continued utilisation of the rehabilitated Kisumu Port, saying that a significant portion of oil products destined for Uganda are transported from Mombasa to Kisumu, where they are loaded onto ships for onward delivery to Kampala. He also hailed the important role played by Uganda in terms of cargo volumes handled through the Port of Mombasa, saying with an annual cargo volume of about 35 million tonnes Uganda accounts for 25 percent.
Museveni urges China to expand market for Uganda goods (The East African)
Uganda’s President Yoweri Museveni has appealed to China to expand market access for the country’s finished goods, emphasizing the importance of trading in processed products rather than raw materials. Museveni made the plea on Wednesday during a meeting with a delegation from the National People’s Congress (NPC) of China, led by the standing committee’s Deputy Chairman Luosang Jiangcun at state house Entebbe.
In a statement released by state house on Thursday, Museveni highlighted significance of China’s market for Uganda’s prosperity, urging for an increased focus on finished products.
“Africa’s challenge has been the export of raw materials, resulting in less income and job loss. It is important for China and Africa to engage in trading finished products more,” Museveni said.
The African Development Bank’s Country Strategy Paper (CSP) for Tanzania has been implemented over the last two years with the programmed operations during the period producing results that exceed expectations, according to the mid-term review of the CSP 2021-2025 published on 9 November.
“The support of the African Development Bank Group was aimed at enhancing the quality and sustainability of Tanzania’s infrastructure by creating high-quality, multimodal transport facilities, improving electricity production as well as transmission and distribution grids, and developing water supply and sanitation systems. The mid-term review found that significant results have been achieved for the first part of the CSP implementation period,” said Jacob Oduor, the African Development Bank’s Chief Country Economist in Tanzania.
Dar reinstates commitment to trade tie with Delhi (Tanzania Daily News)
TANZANIA has reinstated its commitment to strengthen economic ties with India to exploit further business and investment opportunities in both countries. Tanzania has a market share of 61.7 million population and member of the East African Community (EAC) and Southern Africa Development Community (SADC) boosting a market of some 417 million people. The Deputy Minister of Foreign Affairs and East African Cooperation, Amb Mbarouk Nassor Mbarouk, said on Tuesday that investing in the country will guarantee the growth of both countries.
Tanzania’s main exports to India are cashew nuts, gold, tanzanite, legume, beans, pigeon peas and chickpeas, cloves, wood and sesame seeds. Dar es Salaam’s major import from India are mineral fuels, pharmaceutical products, vehicles and parts, sugar and sugar confectionery, machinery and building materials. India’s Minister of State for External Affairs Parliamentary Affairs, Mr Vellamvelly Muraleedharan said in Dar es Salaam that Dar and New Delhi share a longstanding and close relationship, particularly in trade, dating back centuries. “It is fitting to declare that, whether or not India is the largest trade partner, India is undoubtedly the best trade partner of Tanzania,” The Minister, who is visiting the country, said.
According to Indian statistics, the bilateral trade between the two countries has reached 6.4 billion US dollars in 2022/23.
Nigeria Hopeful of Economic Boom Following Investment Deals (Voice of America)
Nigerian President Bola Tinubu is welcoming new trade agreements with Germany, including a deal that calls for the West African nation to export liquid natural gas. The signing Tuesday of two memoranda of understanding between Nigerian companies and their German counterparts was the latest in a flurry of investment deals clinched by the Tinubu-led administration in recent months. The signings come less than two weeks after Nigeria and Saudi Arabia agreed to a deal to revive the country’s nonfunctional refineries.
Under one deal, Riverside LNG of Nigeria will supply 850,000 tons of liquefied natural gas to Germany each year, working with German firm Johannes Schuetze Energy Import AG. The first delivery of gas is expected in 2026, and the president’s office said gas exports may increase in future years.
30 countries to begin trading under AfCFTA next year (GhanaWeb)
Thirty countries in Africa will begin trading under the African Continental Free Trade Area (AfCFTA) next year as part of measures to implement the AfCFTA agreement, Senior Advisor to the Secretary-General of the AfCFTA, Peter Joy Serwornoo, has stated. He said currently seven countries have been trading under the AfCFTA Guided Trade Initiative, a programme to help African countries to start trading under the trade pact.
Mr Serwornoo, who disclosed this in an interview with the Ghanaian Times on the sidelines of the Regional Forum on AfCFTA for Anglophone West and North Africa to discuss progress made in the implementation of the trade pact which opened in Accra on Monday, mentioned the seven countries as Ghana, Kenya, Tanzania, Egypt, Cameroon, Rwanda and Mauritius.
Mr Serwornoo said the seven countries had received their certificate of origin, and put in place their customs procedures.
He said trading under AfCFTA was currently being piloted, and full trading would begin next year. “A lot more countries would come on board and trade next year,” Mr Serwornoo stated. Asked about the value of trade between the seven countries, the Advisor to the Secretary-General of AfCFTA said, “It was too early to tell.”
Over 80% of African Executives Optimistic about AfCFTA’s Impact (Dailynewsegypt)
The Africa CEO Trade Survey Report 2023, an initiative by the Pan-African Private Sector Trade and Investment Committee (PAFTRAC), reveals that more than 80% of African senior executives are optimistic about the impact of the African Continental Free Trade Area (AfCFTA) on their businesses. The report, now in its third edition, is based on a survey of over 1,000 senior executives from across Africa. It provides insights into the continent’s private sector’s views on trade, Africa’s economic outlook, and the impact of the AfCFTA.
A majority of respondents (56%) expect the AfCFTA to have a very positive effect on their businesses, while 24% believe it will have a moderately positive effect. Only 1% anticipate a negative impact. The respondents, primarily representing small and medium-sized enterprises (SMEs), were located in 48 countries, 44 of which were in Africa.
The survey identifies information as the most critical form of support companies need to capitalize on the AfCFTA’s opportunities. Greater access to credit and an improved trading landscape through training, investments, and trade-friendly regulations are also seen as beneficial but fall short of addressing the information deficit. “Access to information, credit, and improving the trading landscape are crucial for SMEs to take advantage of the AfCFTA,” emphasized Prof. Utomi.
Increased market size, potential for new investments, and better access to raw materials are identified as the main perceived benefits of the AfCFTA. However, the erosion of both tariff and non-tariff barriers is also seen as a potential threat due to the increased competition it could bring, as cited by 27% of respondents.
Key accomplishments in focus as COMESA Ministers meet (COMESA)
The 44th COMESA Council of Ministers conducted today in Lusaka, Zambia provided an opportunity for the Secretariat of the regional bloc to highlight some key accomplishments of its regional integration agenda. These focused on its key pillars: market integration, physical connectivity, productive integration (industry and agriculture) and gender and social integration.
Secretary General of COMESA Chileshe Kapwepwe, who addressed the ministers underlined the enhanced growth in global and regional trade. In 2022, COMESA’s exports to the world increased by 15% while the value of intra-COMESA exports increased by 10%. Imports sourced from the COMESA market were ranked in fourth position and increased by 27% in 2022.
The uptake and utilization of trade facilitation programmes has notably been successful in terms of automated and digitalized customs systems, the Simplified Trade Regime and the Tripartite online Non-Tariff Barriers reporting, monitoring and eliminating mechanism.
COMESA has also continued to facilitate the smooth movement of vehicles, goods and persons within its Member States and between COMESA and other regions through the implementation of the Yellow Card and the Regional Customs Transit Guarantee (RCTG) Scheme.
Local content: The power of partnerships in driving MSMEs growth (The Citizen)
African MSMEs hold immense potential to drive innovation in Africa’s systems, representing 60 percent of the population under 25. However, limited access to resources and information poses barriers to their entry. Addressing these challenges is crucial to empower their engagement in productivity.
According to the African Development Bank, the AfCFTA possesses the transformative potential to establish a consumer market encompassing 1.3 billion individuals. Projections from The World Bank indicate that by 2035, the AfCFTA is expected to contribute an incremental income of $450 billion to Africa’s economy, alongside a substantial surge of more than 81 percent in intra-African exports.
In order for homegrown MSMEs to fully benefit from the agreement, they need to be equipped with the right tools and strategies to take advantage of the opportunities AfCFTA presents with a key entry point being in first optimizing local content within internationally funded projects so as to build local competitiveness. Financial Institutions have the responsibility, given their standing, to prepare Tanzanian communities and locally owned SMEs, to be able to take advantage and participate in projects like the EACOP, its cross-cutting sectors, as well as other strategic projects and investments.
Tripartite protocol on Single Port Window signed in Lobito (Angop)
A protocol on the Single Port Window to facilitate trade was signed on Monday in Lobito (Benguela) between the Maritime and Port Authority of Singapore, the International Maritime Organisation and the local port.
JUP is a digital platform launched with the aim of speeding up commercial activity between ports and their partners. It aims to facilitate the processing of processes, mainly goods clearance, in that unit of the transport sector.
Port of Lobito’s Chairman of the Board, Celso Rosas recalled that the Port of Lobito has signed up to a series of international conventions, which shows that the IMO believes in Angola, particularly in the port company that is going to implement the JUP project.
“Many commercial activities (import and export) are carried out from the ports and they have to be based on parameters and rules, and we are complying with them,” he said.
Celso Rosas said that the Port is preparing for the project to take place smoothly and transparently, above all in a very competent manner. According to him, after the test in Lobito, the project will be extended to the rest of the country’s ports.
‘Namibia’s corridors key to Africa free trade’ (The Namibian)
Deputy works and transport minister Veikko Nekundi says the development and security of Namibia’s trade corridors are crucial for the successful realisation of the African Continental Free Trade Agreement and the socio-economic health of the nations sharing these corridors. The country’s corridors offer intra- and international trade access to several landlocked nations in southern Africa.
According to Nekundi, Namibia is particularly important to its landlocked members because of the port of Walvis Bay. He was speaking at the launch of the 13th Trans Kalahari Corridor Management Committee (TKCMC) Joint Law Enforcement Operation at Swakopmund on Tuesday, under the theme, ‘Safer Corridor #Brighter Future: Navigating the TKC to Safety’. During the event, law enforcement agents from Namibia, South Africa and Botswana, representing various stakeholders in trade facilitation, converged to establish checkpoints along the Trans Kalahari Corridor (TKC).
Trans Kalahari Corridor launches joint security operation (Freight News)
Cross Border traders commend price stability measures (NewZimbabwe)
The Zimbabwe Cross Border Traders Association (ZCBTA) has commended authorities for employing holistic mechanisms which yielded price stability. The remarks come after monetary authorities maintained a tight Monetary Policy environment which is ring-fenced by instruments such as Open Market Operations Bills which have gone a long way to mop up excess ZWL liquidity and in the process prevent it from flowing into the parallel market.
Fiscal authorities have also complimented the efforts by scrapping duty payment requirements on all basic commodities with inflated prices locally resulting in price stability. Such measures have diluted the impact of errant price hikes which are hinged on the culture of profiteering as exhibited by local retailers.
“It is only through decent markups that Zimbabwean products will end up with a pricing structure which resonates with pricing models in the region and other competitive markets,” he said.
African countries still face significant capacity gaps in macroeconomic modeling, despite the huge strides they have made in terms of forecasting, analysis, and effective policy management, a new African Development Bank Group study has found.
The report, Benchmark Macroeconomic Models for Effective Policy Management in Africa, was launched in the Ethiopian capital Addis Ababa by the Bank Group’s African Development Institute on 18 November on the sidelines of the African Economic Conference 2023.
Prof. Kevin Chika Urama, the Bank’s Chief Economist and Vice President for Economic Governance and Knowledge Management, said the report provides an inventory of models and modelling capacity in African countries and examines their relevance to development realities as the continent faces recurrent challenges. He stressed the importance of macroeconomic models as tools for countries to effectively understand and predict the behaviour of their economies.
Evaluating African, Asian DFIs’ Drive for Climate Funding (This Day)
The African Development Bank (AfDB) recently noted that Africa needs to spend $250 yearly to meet its climate finance needs not only to comply with a greener world nicety but as a strategy for to grow its economy. Climate spending and economic growth, according to reports, have converged in recent years, with the World Bank arguing that every dollar spent on climate adaptation has a multiplier effect of $4 in economic benefits.
To address the huge funding gap, developed countries committed to a collective goal of mobilising $100 billion per year by 2020 for climate action in developing countries, including Africa, at the 15th Conference of Parties (COP15) in Copenhagen in 2009.
The goal was formalised at COP16 in Cancun and COP21 in Paris, it was reiterated and extended to 2025. Total funding mobilised by developed countries almost doubled in the past decade, hitting $89.6 billion in 2021. Yet, different clusters of advocacy groups are seeking a common voice ahead of COP 28, to be held in the United Arab Emirates (UAE) from November 30, to raise the bar.
But African and Asian development financial institutions (DFIs) are more inward-looking in their approach to the debate on mobilising funding for climate actions in developing countries. Through their associations – the Association of African Development Financing Institutions in Africa (AADFI) and the Association of Development Financing Institutions in Asia and the Pacific (ADFIAP) – the institutions are exploring how the developing countries could smartly create home-grown financing options to tackle the challenges.
Blue Africa Summit lauds King Mohammed VI’s Tangier Declaration (KBC)
The inaugural Blue Africa Summit took place in Tangier from November 16–17, and attendees praised Moroccan King Mohammed VI’s “strong ocean commitment. “ The nations along the African Atlantic coast were urged to “join Morocco’s initiative of a coalition of united countries” in the Tangier Declaration, which was released following this summit, which was convened for the first time on African soil. They also called on all national and local authorities on the African continent to devise plans or strategies for sustainable development of their coastlines and exclusive economic zones, support the creation of maritime space plans nationally and internationally to develop a sustainable blue economy, and promote, among other things, the protection of these spaces and their precious biodiversity up to 30% by 2030.
New report: Africa’s priorities for COP28 (Mo Ibrahim Foundation)
The Mo Ibrahim Foundation has released a comprehensive report titled Africa on the road to COP28: reconciling climate & development. The report outlines three pivotal priorities for the African continent as it gears up for the 28th Conference of the Parties to the UN Framework Convention on Climate Change (COP28), scheduled to take place in Dubai from 30 November-12 December, 2023.
The report defines three key priorities crucial for Africa’s sustainable future: Focus on adaptation: build resilience and climate-proof development – from ensuring food security through climate-resilient food systems to fast-tracking renewables and incorporating climate resilience into city infrastructure, this section provides a roadmap for climate resilience. Unlock the potential of Africa’s green assets: add value locally and focus on governance – the second priority calls for unlocking the potential of Africa’s green assets by adding value locally and enhancing governance. This includes building green supply chains, responsible resource governance, and stressing the global responsibility of preserving Africa’s forests. Break the debt-climate nexus and grow Africa’s domestic revenues – the third priority addresses the critical issue of the debt-climate nexus, offering strategies to break the cycle of structural debt challenges and boost revenues through initiatives like new Special Drawing Rights (SDRs) and a global carbon tax.
Africa’s call for action on adaptation at COP28 (SDG Action)
G20 meeting reiterates urgent needs for reforms in global financial institutions : Peoples Dispatch (Peoples Dispatch)
A virtual meeting of the members of the G20 countries was held on Wednesday, November 22, which reviewed the progress on the decisions taken during the summit in India earlier this year. Participants reiterated their commitment to implement crucial decisions regarding the reforms in the global financial institutions and climate financing among others.
Indian PM Narendra Modi chairs the meeting of G20 leaders
Modi asked the world leaders to take serious steps to implement decisions related to climate financing, reforms in multinational development banks, and for the creation of a framework for ethical and artificial intelligence, AP reported. Chinese Premier Li Qiang criticized the “politicization of development issues” by some countries without taking any names.
“It is necessary to coordinate and cooperate more closely, revitalize multilateralism, continue to strengthen macro policy cooperation, and pay more attention to the concerns of developing countries in the reform of the World Trade Organization and the International Monetary Fund,” Qiang said.
G20-led Africa summit stresses ‘colossal’ investment need (DW)
The need for internal investment among African nations is “colossal,” according to African Union (AU) Chair Azali Assoumani. Speaking at the G20 Compact with Africa (CwA) summit in Berlin on November 20, Assoumani said that while investment in African nations from G20 countries is inching above pre-pandemic levels, it still falls “far short” of the record amount of almost $53 billion (€48.4 billion) reached in the 2017-2018 fiscal year.
Aiming to spark greater private investment in Africa, the CwA initiative brings 13 African members together with representatives from the G20 major economies, the World Bank, the International Monetary Fund and the African Development Bank.
Jean-Michel Sama Lukonde, the Prime Minister of the Democratic Republic of the Congo, said his country was “greatly satisfied” to be accepted as the initiative’s 13th member. CwA members need to demonstrate willingness to undertake the reforms necessary to attract investment, something that DR Congo has “clearly showed,” Lukonde told DW at the summit. “This membership, in fact, marks a kind of recognition of all these efforts that [DR Congo] is making,” he said. “Now we’re calling for investment.”
Launched in 2017, during Germany’s G20 presidency, the CwA has been running for six years now. “The results are hotly debated,” said Alex Vines, the Africa Program director at Chatham House, a London-based policy institute, adding that it’s unclear if initiative members are experiencing more
The global minimum tax spurs need for faster investment agreement reforms (UNCTAD)
In a big step towards tax standardization, nearly 140 countries agreed in December 2022 on a 15% global minimum tax for large multinationals – a landmark deal to prevent "a race to the bottom” as governments compete to attract foreign companies. UNCTAD research shows that in one-third of tax jurisdictions, profit-based fiscal incentives allow multinational affiliates to often pay less than this rate.
The global tax deal will target particularly low-taxed income investment hubs. Under the new rules, for example, a multinational benefitting from a low-tax agreement with the local government could face higher taxes in its parent company's jurisdiction. “Such a change shows how global tax reforms interact with existing investment frameworks,” said Hamed El-Kady, an UNCTAD expert working on the issue.
An UNCTAD report published on 23 November explores the potential legal challenges under international investment agreements (IIAs) and the likelihood of investor-state disputes as countries align to the new global tax regime. The report underlines the need to accelerate IIA reforms to ensure they support the global minimum tax deal and other internationally agreed policies on issues like climate change and health.
Committee on Market Access holds first thematic session on supply chain resilience (WTO)
The Committee on Market Access held on 21 November the first of a series of thematic sessions on supply chain resilience. The objective of this introductory session, which included speakers from the WTO and other international organizations, was to improve understanding of what is meant by supply chain resilience so that members have a conceptual framework from which they can take up certain topics and develop them among themselves within the framework of the Committee.
Second Committee Approves Nine Draft Resolutions, Including Texts on International Tax Cooperation, External Debt, Global Climate, Poverty Eradication (United Nations)
The Second Committee (Economic and Financial) today concluded its seventy-eighth session, approving nine draft resolutions and two draft decisions on a range of topics, voting on a draft addressing international tax cooperation.
By that text, titled “Promotion of inclusive and effective international tax cooperation at the United Nations” (document A/C.2/78/L.18/Rev.1), the Assembly would stress that efforts in international tax cooperation should be universal in approach and scope and fully consider the different needs and capacities of all States, in particular developing countries and countries in special situations.
The representative of Nigeria, introducing the draft resolution on behalf of the African Group, said it represents a beacon of hope for developing nations. “It resonates with our aspirations as outlined in both the AU [African Union] Agenda 2063 and 2030 Agenda [for Sustainable Development], reinforcing our commitment to strengthening tax systems and fostering tax equity,” he added.
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Raising South Africa’s Economic Prospects by Curbing Crime (World Bank)
The impact of crime on South Africa’s economic prospects is high and broad-based, according to a World Bank report released today. The report aims to contribute to a better understanding of the impact of crime on South Africa’s economic growth. The research is intended to support the government in the design and implementation of policies to combat and mitigate the costs of crime on the economy and society. This aligns with the government’s objectives to initiate reforms aimed at enhancing the fight against crime, as outlined by South Africa’s President Cyril Ramaphosa, in the 2023 State of the Nation Address.
The fourteenth edition of the South Africa Economic Update, entitled Safety First: The Economic Cost of Crime in South Africa estimates that crime costs the economy at least 10 percent of Gross Domestic Product (GDP) annually, in terms of stolen property; protection costs – encompassing security and insurance; and missed economic opportunities. The report investigates the economic impact of high crime rates on households, businesses, and the public sector, focusing on economically motivated crimes. The study is informed by official statistics from South Africa, and as well as data recognized in international sources.
“With this new edition of the Economic Update, the World Bank aims to contribute to the policy debate and support the government’s action to reduce the incidence of crime, by quantifying its economic impact. This comes at a time when South Africa needs to address structural constraints that have locked the economy in a low growth-low employment trajectory,” says Marie Francoise Marie-Nelly, World Bank Country Director for South Africa, Eswatini, Botswana, Lesotho, and Namibia.
Ugandan SMEs missing out on African Continental Free Trade initiative (The Independent Uganda)
Uganda’s small entrepreneurs have very little information about the opportunities presented by the African Continental Free Trade Agreement (AfCFTA). The agreement, which took effect two years back is yet to see Ugandans benefit from it, according to business leaders and entrepreneurs, despite other countries already venturing into trade under it.
At a training organized by the East African Women in Business Program of the East African Business Council (EABC ) and GIZ, most women entrepreneurs hardly knew AfCFTA and other initiatives of which Uganda is a member. Adrian Njau, the Trade and Policy Advisor at the EABC says this is one of the reasons that they decided to launch training, especially on how the entrepreneurs can use the provisions of the agreement to import or export.
The lack of knowledge is also attributed to either the lack of interest in doing simple research or the preference, especially by Ugandan entrepreneurs, to work in isolation. There were hardly any women entrepreneurs who had ever used the national trade portals of the different countries in the region, which were created as an initiative of the EAC to make cross-border trade easier.
Uganda registers Shs35 billion trade surpluses with EAC states (Monitor)
Uganda traded at a surplus worth $9.45 million (Shs35.4 billion) with the East African Community member states in September, which is a shift from a deficit of $49.9 million in the previous month. The Ministry of Finance, Planning and Economic Development said in its economy report dated November 17 that this surplus was on account of both a reduction in imports (by $41.94 million), which is about Shs157.3 billion and an increase in exports (by $17.41 million), which is about (Shs65.328 billion).
On the other hand, the Ministry of Finance said imports from the region declined to $240.69 million (about Shs903.1 billion) in September from $ 282.63 million (about Shs1.060 trillion) in August 2023. “The reduction was majorly attributed to lower imports from Tanzania and Kenya which declined by $52.71 million (about Shs197.7 billion) and $7.76 (about Shs29.1 billion), respectively,” said the Ministry of Finance.
It said within EAC, Uganda sources most of her imports from Kenya and Tanzania with the two nations contributing 87.73 per cent of total imports in September, unlike in August where the share stood at 96.37 per cent.
The Ministry noted that Uganda exported merchandise worth $632.06 million (about Shs2.3 trillion) to the rest of the world in September, 2023.
2024 Budget: Waiving taxes on electric vehicle imports ‘useless’ (GhanaWeb)
Minority Leader in Parliament, Dr Cassiel Ato Forson, has kicked against some of the tax reliefs announced in the government’s 2024 Budget and Economic Policy. He argued that some of the tax reliefs spelt out in the budget will not cushion Ghanaians while describing the entire budget statement as empty following the presentation on the floor of parliament on November 15, 2023.
Speaking in an interview on Accra-based JoyNews, Dr Ato Forson particularly described the government’s quest to waive import duties on electric vehicles as ‘useless’ while contending that not many Ghanaians can afford to use EVs in addition to a lack of enough electric charging spots in the country.
Ghana will unveil its Electric Vehicle Policy at the COP28 Summit in the UAE.
The African Union joined the rest of the continent on 20th November, 2023 to commemorate the African Industrialization Day under the theme: “Accelerating Africa’s Industrialization Through the Empowerment of African women in Processing for an Integrated Market”. The event in New York, was commemorated in the Mandela Hall of the African Union (AU) Permanent Observer Mission to the United Nations.
Addressing participants during the commemoration, H.E. Amb. Fatima Kyari Mohammed delivered the AU, UNECA and UNIDO Joint Statement. Focus was put on the critical role women in processing play in various industries and service sectors, which has contributed significantly in agriculture, industry and tourism in Africa. Involving women is not only imperative for gender equality, it is also important in fostering accelerated socio-economic development.
The Joint Statement further underlines that, African women in processing have the potential to contribute in the implementation of the Agreement and Protocols of the African Continental Free Trade Area (AfCFTA). This will be leveraged by coming up with a separate protocol on women focused on their involvement in intra-African trade through the AfCFTA. Their involvement will contribute not only to trade but also the areas of product diversification, spatial development, job creation, inclusive growth, and, among others, cross-border industrial clustering.
From these, economic integration is an important lever for promoting inclusive sustainable industrialization in Africa. By fostering collaboration among African nations, Africa breaks down trade barriers. Africa is also better positioned to improve infrastructure and open more opportunities for inclusive growth and sustainable development which are critical to the attainment of both the UN SDGs and AU Agenda 2063.
De minimis policy to boost intra-African trade – NAHCO (Businessday)
Olusola Obabori, group executive director, Business & Corporate Service, NAHCO Plc, has said “de minimis”, which is a policy referring to the minimum value of goods that can be imported duty-free and without cumbersome customs procedures, is what will drive intra-African trade. He said this on Tuesday at the BusinessDay 2023 Logistics Conference held in Lagos.
“If you order things from US, UK, for example, there is a minimum price under which nothing is charged,” he explained. “Try and imagine what happens within West Africa for example, if there’s a de minimis of say, $500. It means”, anything that you’re importing within $500 range, customs will not charge anything on it. “So when you’re talking about intra-African trade, that’s what is going to drive it, which means I can sit down in my house and be ordering for shoes and clothes that are made in Ghana and it’ll come easily.”
Experts push for ‘smart borrowing’ for projects, not consumption (The East African)
Countries in the East African region should entice taxpayers with elaborate policies that put public money in proper use, combining taxation with transparent expenditure in a single loop. And as authorities in the region place more emphasis on local revenue generation to dodge the debt burden, experts say the idea of introducing new taxes without sufficient clean-ups and revenue leakage seals could prove counterproductive. The proposals emerged this week from the Africa Economic Conference (AEC) in Addis Ababa, where experts pored over the twin problem of raising money, improving business environment and dodging the debt bullet.
Ruto grants Africa citizens visa-free access to Kenya (People Daily)
As part of a broader effort to promote regional integration and economic development in Africa, President William Ruto has announced that all African citizens will be granted visa-free entry to Kenya by the end of 2023. He has already taken steps to implement the policy, granting visa-free entry to citizens of several countries on a reciprocal basis.
The countries whose nationals are exempted from obtaining a visa are ranked as Category 1 countries by the Kenyan government. According to Immigration Services department, Africa countries in this category are Botswana, Burundi, Ghana, Lesotho, Malawi, Mauritius, Namibia, Rwanda, Sierra Leone, Swaziland, Tanzania, Uganda, Zambia, Zimbabwe, South Africa, Djibouti, Eritrea, Congo-Brazzaville, Comoros, the Democratic Republic of Congo, Senegal and Angola.
On Friday Ruto continued his campaign to rally the African continent, which is a constituency of the Global South, to unite so that it can address the various challenges that it is facing and safeguard its interests. Ruto noted under the current global order, millions of Africans remain poor due to overburdening fiscal measures taken by powerful economies and supply chain disruptions on account of conflicts, high-interest rates driving nations in debt distress.
“The overdue economic renaissance of the Global South is held off by systematic marginalisation and exclusion from multilateral discourse in terms of effective participation and benefits. It can no longer be business as usual when the people of the Global South are unfairly punished by extreme climate for the economic sins of others,” Ruto told the Voice of Global South Summit.
COMESA policy organs meetings underway this week in Zambia (COMESA)
The 44th COMESA Policy Organs’ meetings are underway this week in Lusaka, Zambia comprising the Intergovernmental Committee (IC) and the Council of Ministers meetings. The IC meeting begun today attended by senior government officials and experts led by Permanent/Principal Secretaries.
The two day IC meeting takes stock of the implementation of regional integration programmes including the consideration of the budget and work plan for 2014 for the COMESA Secretariat and institutions. The report of the IC with recommendations on various issues will be presented to the Council of Ministers’ meeting on Thursday 23, November 2023 for decision-making.
Integrating women’s land rights into the African continental Free Trade Area (AfCFTA) represents a significant opportunity to advance gender equality, empower women economically, and drive sustainable development in Africa, according to leaders and land experts attending the ongoing Fifth Conference on Land Policy in Africa (CLPA) in Addis Ababa, Ethiopia, November 21 - 24, 2023
They say by addressing the unique challenges faced by women in accessing and owning land, the AfCFTA can create an enabling environment for women entrepreneurs, facilitate their participation in cross-border trade, and contribute to poverty reduction and inclusive growth.
National legal frameworks should be strengthened, aligned with international human rights standards, and effectively enforced to protect women’s land rights. This requires addressing discriminatory laws and practices, raising awareness of women’s land rights, and providing legal aid and support services to women facing land-related disputes.
More than 40% of African financial institutions want single African currency (Engineering News)
News publication African Business and the Pan-African Private Sector Trade and Investment Committee (Paftrac) have jointly launched the third yearly Paftrac Africa CEO Trade Survey, which showed that 40.3% of African financial services industry participants want to develop a single African currency akin to the euro.
“This will exponentially increase the speed of transactions, as well as cut down on the difficulties in going from one currency to another while engaging in cross border trade, both for operators as well as for their financial counterparts,” financial services provider Afreximbank policy consultant Patrick Utomi said while presenting the findings at the survey’s launch on November 21, In addition to multiple currencies hindering African economic growth – at least from the financial sector’s point of view – a more open pan-African banking system was called for by 42.79% of respondents.
In the latest survey, a majority of the respondents were small- to medium-sized enterprises (SMEs). Most of the companies surveyed had been in operation between one and five years, employing on average of between one and 50 people. “This speaks to the fact that a majority of businesses across Africa are SMEs – about 80%,” Utomi said.
Debt Distress: CSO Seeks Relief For Nigeria, 10 Others (Leadership News)
A civil society organisation, the African Network for Environment and Economic Justice (ANEEJ), is seeking debt relief for Nigeria and 10 other Economic Community of West African States (ECOWAS) countries currently in distress based on recent debt sustainability analysis. Speaking to our newsmen, the executive director, ANEEJ, Rev David Ugolor stated this during the two-day International Hybrid Conference on Special Drawing Rights (SDRs) with the theme; “Making Special Drawing Rights work for the people.” yesterday in Abuja.
Ugolor stated that this has becomes even more worrisome when viewed against the backdrop that Nigeria remains the world poverty capital as designated by the World Poverty Clock report of 2023 it means debt will drive more Nigerians and indeed, West Africans into extreme and multidimensional poverty if urgent and drastic steps are not taken by our governments and the international community. He further reinstated that the conference is in furtherance of the implementation of our “Tracking Special Drawing Rights Funds and Raising Citizens Voices to end Debt Crisis in West Africa” and project being supported by the Open Society Foundation
Under the auspices of the Office of the Secretary General and General Secretariat, in collaboration with the Regional Development Complex, the African Development Bank hosted a High-level Member States Engagement Framework Workshop in Abidjan on November 16 and 17, 2023. This provided an opportunity for the Bank to reaffirm its commitment to collaborate with its 54 regional member countries to support and implement projects and programs for inclusive development.
In his welcome remarks, the Bank Group’s Secretary General Vincent O. Nmehielle stressed the importance of the framework. “It will not only strengthen relations between your countries and the Bank, but also establish a network for protocol directors and Bank focal points to facilitate the exchange of knowledge.”
To implement this framework, workshop participants created a network of focal points and directors of protocol units. The network will serve as a platform for exchanges between the Bank and African member countries, boost awareness of its mandate and agreements, and as a means to help build the capacity of protocol directors and focal points.
AU official calls for additional investments in Africa’s digital technology (CGTN Africa)
African Union (AU) Commissioner for Infrastructure and Energy Amani, Abou-Zeid has urged African public and private sector actors to embrace digital technology advancements to promote the continent’s socio-economic development. Abou-Zeid stated that the African continent needs to invest in digital infrastructure and skill development to stay at the forefront of digital technology advancements.
She made the call ahead of the AU’s biennial ministerial meeting, which will be held later this week to advance Africa’s digital agenda. According to Abou-Zeid, any digital transformation strategy in Africa must begin with the people and communities it seeks to serve. The AU official believes that digital technologies such as mobile money, e-commerce, and e-learning have the potential to create new opportunities if designed with African users in mind.
The Draft Conceptual Framework of the Continental Strategy on Artificial Intelligence (AI) is projected to contribute a staggering 15.7 trillion dollars to global GDP, with 6.6 trillion dollars coming from increased productivity and 9.1 trillion dollars from consumption effects by 2030.
Ghana to achieve continuous progress towards sustainable, eco-friendly digital future (GhanaWeb)
First Lady, Rebecca Akufo-Addo, has said Ghana will continue to emphasize on the importance of making significant strides in advocating for sustainability across various sectors of the economy. She cited the energy sector as an area that Ghana has excelled in West Africa with the establishment of a floating Hydro Solar Hybrid plant as part of efforts in diversifying the country’s energy mix.
Delivering remarks virtually at the 2023 Sustainability Forum organised by ICT giant Huawei, Rebecca Akufo-Addo said the plant will fuel a cashew factory in Bono Region while creating employment for about 800 citizens including women. “The cashew plant will not only provide employment opportunities but also equip beneficiaries with the necessary skills set to make a living. The world is going green and projects such as the Hydro Solar Hybrid plant shows that Ghana is on the right path towards the realization of a sustainable and eco-friendly digital future,” she noted.
The theme for the forum was; ‘Thrive Together with Tech: Realizing Sustainable Development’.
Rwanda, Burundi & 2 Other Countries Join Uganda in Opposing Kenya’s Oil Deal (Kenyans.co.ke)
Kenya is likely to lose billions of shillings in oil trade after landlocked East African countries started showing reluctance to import their fuel through Kenya. Uganda has already resolved to stop importing fuel through Kenya due to the controversial government-to-government deal between the Kenyan government and Gulf countries that has seen fuel prices increase significantly.
A Kenyan oil firm CEO speaking to BBC revealed that Rwanda, Burundi, the Democratic Republic of Congo, and South Sudan were also considering their oil business dealings with Kenya. The four countries due to lack of a seaport import most of their petroleum products through Kenya.
Government to restrict the importation of rice, ‘yemuadie’ and other products (GhanaWeb)
The Government of Ghana is set to lay before Parliament a Constitutional Instrument (C.I) seeking to restrict the importation of certain strategic products into the country. The C.I, which is expected to be laid before Parliament on Tuesday, November 21, 2023, will include items such as rice, diapers, tripe [popularly known as ‘yemuadie’, among other imported products. In all, government is targeting to restrict the importation of about 22 items into Ghana as part of efforts to boost local production and curb high importation.
Minister of Trade and Industry, Kobina Tahir Hammond, addressing journalists in parliament said government had to put up about $164 million towards the importation of ‘yemuadie’ and other related items.
Russia’s first grain shipment heads to Burkina Faso, Somalia (The East African)
Russia’s Agriculture minister said on Friday that Moscow had begun free shipments of grain totalling up to 200,000 tonnes to six African countries, as promised by President Vladimir Putin in July. In a statement posted on Telegram, Dmitry Patrushev said that ships headed for Burkina Faso and Somalia had already left Russian ports, and that additional shipments to Eritrea, Zimbabwe, Mali and the Central African Republic (CAR) would soon follow.
Putin had promised to deliver free grain to the six countries at a summit with African leaders in July, soon after Moscow withdrew from a deal that had allowed Ukraine to ship grain from its Black Sea ports despite the war with Russia.
The deal, known as the Black Sea grain initiative, had helped lower prices on the global market. But Putin argued it was failing to get supplies to the countries in most urgent need. Since quitting the arrangement, Russia has repeatedly bombed Ukrainian ports and grain storage facilities, and Kyiv says hundreds of thousands of tons of cereals have been destroyed.
Why agrifood systems must be at the core of climate action: a COP28 preview with FAO climate expert (FAO)
Amid growing climate impacts and slow progress on cutting greenhouse gas emissions, sustainable agrifood systems practices can help countries and communities to adapt, build resilience, and mitigate emissions, ensuring food security and nutrition— in a world where around 735 million people are going hungry — and while reversing environmental degradation and its impacts. While a non-negotiated expected outcome of COP28, the Emirates Declaration on Resilient Food Systems, Sustainable Agriculture, and Climate Action, provides welcome impetus for increasing investment in and scaling up agrifood system solutions to climate change that can build resilience and reduce emissions at the same time as addressing food security.
Most climate-vulnerable countries could lose over 100% of GDP in insurable disasters (Insurance Business)
A study from the University of Cambridge Institute for Sustainability Leadership (CISL), supported by risk analysis from the global insurance group Howden, indicates that the smallest and most vulnerable nations could lose more than their entire GDP due to extreme climate events in the coming year. These risks, primarily faced by Small Island Developing States (SIDS) and other susceptible countries, point to the urgent need for effective financial solutions.
The findings have highlighted the potential of risk-sharing systems to offer financial security to countries vulnerable to climate-related disasters. This research focuses on the economic effectiveness of such systems in mitigating financial impacts on these nations.
The report also proposes a model for loss and damage (L&D) implementation, suggesting that the financial risks faced by these countries could be significantly reduced through the use of insurance and capital markets. The model indicates that potential losses could be brought down to only 10% of GDP.
Climate loss-and-damage funding: how to get money to where it’s needed fast (Nature)
How climate change endangers global trade (Arab News)
As we approach the beginning of the much-anticipated 28th UN Climate Change Conference, known as COP28, which will be held in Dubai from Nov. 30, we must yet again bring into sharper focus the risks posed by climate change, particularly to international trade. It is no secret that runaway climate change has the potential to disrupt global trade significantly, affecting supply chains both directly and indirectly.
This is no distant threat — it is already happening. Extensive research and forecasts have consistently demonstrated the cascading domino effect on trade precipitated by rising global temperatures. Extreme weather disrupts supply chains, damages transport infrastructure crucial for trade, restricts travel and remodels patterns of comparative advantage. The effects can be especially devastating for regions that are heavily reliant on climate-vulnerable sectors, such as the Maghreb.
Seaborne reefer trade to contract for 2nd consecutive year (Africa Aviation News)
G20 Leaders’ Summit: New Delhi Declaration, enhanced co-operation key focus areas (Indian Express)
As the New Delhi Summit had drawn to a close in September, Prime Minister Narendra Modi had proposed a virtual session in November before the end of India’s presidency – Brazil will take over the G20 presidency from December 1.
Development and enhanced co-operation on critical challenges along with a review of the New Delhi Leaders’ Declaration from September are expected to be the key focus areas on the agenda of the virtual G20 Leaders’ Summit to be held Wednesday before the end of India’s Presidency. G20 Sherpa Amitabh Kant, while speaking at a curtain raiser briefing for the Virtual G20 Leaders’ Summit Tuesday, said development will be the core agenda, while leaders may discuss many other issues.
“Since our successful hosting of the G20 Leaders’ Summit on September 9-10 and the unanimous adoption of the New Delhi Leaders’ Declaration, the world has actually witnessed a succession of events and several new challenges have emerged. While development will be the core agenda and we will focus on the development issue, the leaders may discuss many other issues and the virtual summit will provide an opportunity not only to discuss the implementation of the Leaders’ Declaration but also for leaders to share views and enhance cooperation on critical challenges that we confront and address gaps in global governance, reaffirm our existing commitments towards the Sustainable Development Goals, and move towards a reinvigorated multilateral system that is better positioned to positively impact people’s lives,” he said.
G20 virtual Summit: ‘We have to work together on global regulations for AI’, says PM Narendra Modi (Mint)
India thinks that the world have to work together on the global regulations for artificial intelligence, Prime Minister Narendra Modi said while addressing the G20 virtual Summit on 22 November.
PM Modi said, as news agency ANI quoted, “The world is worried about the negative effects of AI. India thinks that we have to work together on the global regulations for AI. Understanding how dangerous deepfake is for society and individuals, we need to work forward. We want AI should reach the people, it must be safe for society.”
Not only this, PM Modi also spoke on the dangers posed by deepfakes to society and individuals. Apart from this, PM Modi stressed the importance of mutual trust to deal with challenges. “In today’s world which is full of challenges, it is mutual trust that binds us, connects us with each other.”
Remarks by von der Leyen at the G20 Leaders’ Summit (European Commission)
Secretary-General’s remarks to the virtual G20 Summit [as delivered] (United Nations)
The 2023 UN Women UN DESA Gender Snapshot report, reveals persistent gender disparities: women dominate the informal sector, spend three times more on unpaid domestic tasks, earn less than half of men for comparable work, face maternal health risks, and experience high rates of gender-based violence. Global challenges, such as COVID-19 and climate change, exacerbate these inequalities.
“Gender equality is not a women’s issue, it’s a development issue,” said Dr. Maxime Houinato, UN Women Regional Director for East and Southern Africa and Regional Director for West Africa, highlighting that providing women with equal opportunities boosts the productivity of countries, and the region.
Through a Communique, participating governments summarized recommendations on enhancing women’s access to resources and fair employment conditions, investing in feminist technology, bolstering women’s involvement in peace and security efforts, prioritizing funding for women’s health, and addressing gender-based violence.
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South Africa: Major Crisis at South Africa’s Ports (allAfrica)
Delays in container offloading at Durban port, Richards Bay port and Cape Town port is once again highlighting the crisis at Transnet, the state-owned enterprise that oversees rail, ports and pipelines in the country. Transnet has been at the centre of South Africa’s rail and port woes for a number of years.
Since submitting a turnaround plan set for the next two years, costing U.S.$5,2 billion, Transnet is now taking responsibility for not maintaining its equipment at some ports - compromising their lifespan. This has contributed to the massive backlog at ports - with thousands of containers stuck ahead of the festive season where demand for goods spike, IOL reports. Transnet is also citing bad weather as a contributing factor to delays.
There are 70,000 goods containers stuck at Durban port, and there’s a 21-day waiting period before offloading can take place. Meanwhile, at Richards Bay port, the failed rail system was blamed for the congestion of heavy trucks on the road leading to the port, Eyewitness News reported the Road Freight Association as saying.
The crisis also hit Cape Town port, where there are delays of up to 14 days to offload cargo from docked ships, leading to shipping giant Maersk moving from Cape Town port to Mauritius. The company said it would offload in Port Louis, then send cargo in smaller shipments to Cape Town.
No ‘overnight’ solution to vessel congestion at Durban container terminal (Engineering News)
Kenya resumes cargo rail services to Mombasa port (The East African)
Kenya has resumed cargo rail services to and from the port city of Mombasa following an interruption due to heavy rains and landslides along the coastal region, the state-owned operator announced Monday. The Horn of Africa region has experienced intense rainfall and flash flooding linked to the El Nino weather phenomenon in recent weeks that has claimed dozens of lives, including at least 46 in Kenya.
Kenya Railways said on Saturday that a landslide along the freight rail line had forced the closure of a section of track, leading to delays in the evacuation of cargo from Mombasa and Nairobi as well as in the delivery of cargo to Mombasa’s port.
On the 20th of November, annually, Africa commemorates Africa Industrialization Day (AID). This is a significant activity agreed upon by the African Union Heads of State and Government in July 1989 through Resolution AHG/Res. 180 (XXV) and the United Nations General Assembly in December 1989 through Resolution 44/237. This day serves as a global platform for African Union Member States and the rest of the world, through the United Nations institutions to reaffirm their commitment to Africa’s industrialization.
The theme for this year: “Accelerating Africa’s Industrialization through the Empowerment of African Women in Processing for an Integrated Market,” underscores the importance of empowering women in processing to propel inclusive sustainable industrialization in Africa.
Despite the fact that women represent the majority of the African population, their involvement in the overall development process, especially in industrialization, is limited. According to a UNIDO report, women in Africa constitute only 38% of the manufacturing workforce, despite being responsible for up to 80% of food production and processing. Moreover, women are estimated to make up to 70% of the informal economy in some African countries.
Women in processing play a crucial role in various industries and services sectors. They contribute significantly in the sectors of agriculture, industry and tourism in Africa. Further involving women is not only imperative for gender equality. It is also important in fostering accelerated socio-economic development. The OECD estimates a 12% increase in Gross Domestic Product by 2030 if women’s participation rates match those of men.
Empowering African Women in Cross-Border Trade: A Differentiated Approach for Success (Modern Ghana)
African Commodity Exchanges unite to boost trade and combat food insecurity (BusinessGhana)
The AfCFTA Association of Commodity Exchanges represents a collective commitment to harness the power of structured marketplaces to connect farmers, producers, and buyers, fostering economic growth and addressing food insecurity. We are here to discuss how the infrastructure of Commodity Exchanges facilitates cross-border trade mechanisms between different African markets, linked to the African Continental Free Trade Area (AfCFTA) Guided Trade Initiative.
Africa can leap into the Fourth Industrial Revolution (4IR) to drive sustainable industrialization, employment and transformation by investing in human skills and implementing policies supporting digital technologies, experts attending the African Economic Conference 2023 said.
The 4IR is the ushering in of digitalization, artificial intelligence (AI), cloud computing, robotics, and 3D printing among other innovative digital technologies, succeeding the first, second and third industrial revolutions.
But could Africa leapfrog the third, moving from the second to the fourth industrial revolution, and what are the implications of this for the continent’s development? Raymond Gilpin, Chief Economist at the Regional Bureau for Africa, United Nations Development Programme (UNDP), said the 4IR was not exclusively about industrialization in Africa but it is about how changes in the use of technology could disrupt, revitalize and spark exponential growth.
Experts from academia, the private sector and development finance institutions have agreed that African countries must leverage the African Continental Free Trade Area (AfCFTA) and expand intra-continental trade to provide critical support for small and medium enterprises (SMEs) and drive the continent’s industrialization.
The plenary session, on Fostering African Industrialization Through Linkages of Small and Medium Enterprises to Global Value Chains, took place during the 18th Africa Economic Conference.
Mr. Jonathan Nzayikorera, African Development Bank Executive Director for Rwanda, Kenya, Eritrea, Ethiopia, Tanzania, Uganda, Seychelles, South Sudan and Somalia served as moderator. He framed the conversation around a series of questions including: “How can African SMEs shift from exporting primary commodities to engaging in global manufacturing networks? What policy mechanisms can upgrade SME capabilities?”
African Ministers of ICT and Communication will convene in Addis Ababa, Ethiopia on 23rd November 2023 for the 5th Ordinary Session of the African Union Specialized Technical Committee on Communication and ICT (STC-CICT), a biennial African Union ministerial meeting aiming at driving Africa’s digital agenda forward. The Ministerial Session will be preceded by the meeting of experts to be held from 20-22 November 2023.
Africa is at the cusp of a digital transformation that has the potential to greatly improve lives across the continent. The African Union’s Digital Transformation Strategy provides a vision and roadmap for harnessing technology and innovation to meet Africa’s development goals.
Ahead of the meeting H.E. Dr Amani Abou-Zeid, AU Commissioner for Infrastructure and Energy mentioned that African Union is leading human & community-centric digital transformation. “Africa must and will be at the forefront of shaping how technologies are developed and deployed to meet the needs of the people. This will require investments in digital infrastructure, skills development, entrepreneurship, and research and development. That’s what we are striving to harness at the African Union”.
Tax experts set to meet in Ghana over Domestic resource mobilization and illegal financial flows (BusinessGhana)
Key stakeholders in Africa’s tax sector are set to meet in Ghana to unpack domestic resource mobilisation and illicit financial flows issues in Africa. The 11th Pan-African Conference on Illicit Financial Flows and Taxation (PAC) conference provides a platform for tax stakeholders to explore ways in which African countries can take the lead on international conversations that are beginning to have direct implications on domestic resource mobilisation and illicit financial flows.
According to a statement copied to the Ghana News Agency in Accra the conference is organised by Tax Justice Network Africa (TJNA) and The African Tax Administration Forum (ATAF and would bring together officials working on tax issues from Pan-African.
Organizations, tax administrations, ministries of Finance, civil society organisations, parliamentarians, and academia/researchers from Africa and beyond, on the theme “Making Global Tax Governance Work for Africa.
KAM pushes for tech-driven industries in race for Africa market (The Star)
Kenya must embrace technology in driving industrial growth and output, the Kenya Association of Manufacturers now says, as the country moves to tap opportunities under the African Continental Free Trade Area (AfCFTA). This, in addition to continued research and development, will ensure the country grows qualitative and quantitative offerings of goods to increase competitiveness, and continue to benefit from the continent, which is its biggest export market.
Data by the Kenya National Bureau of Statistics shows Africa remains the dominant destination for the country’s exports, accounting for 41 per cent of the total export earnings in 2022.Total exports to Africa increased by 15.7 per cent to Sh357.7 billion in the review period. This growth was mainly occasioned by a 17.7 per cent increase in exports to the East African Community (EAC) economic bloc, which accounted for 63.3 per cent of the total exports to Africa.
Speaking on Wednesday at the inaugural Kenya Industrialisation Conference in Nairobi, Kenya Association of Manufacturers (KAM) chief executive Anthony Mwangi said technology and skills drive industrial growth. “Technological advancements serve as a key driver of industrial development and economic growth,” Mwangi said during a panel discussion. He further called for collaboration in research between government, academia and the industry, in relation to industrial growth and economic progress.
Cold storage facility to spur exports of produce (Monitor)
The government has commissioned the construction of a perishable cargo handling centre at Entebbe airport that it says will improve the quality of fresh produce exports. The $10 million (about Shs37.8 billion) solar-powered hi-tech facility is expected to pre-test fresh produce such as flowers, tomatoes, cucumber, and green peppers to ensure they are free of pests and diseases and meet export standards. The State Minister for Trade, Mr David Bahati, while speaking at the commissioning of the construction works on November 17 said the cold storage facility will be a game changer for Uganda’s horticulture sector.
“As we speak, our export value stands at $5.4 billion and our import value stands at $7 billion. So as a country, we have a trade deficit. And one of the reasons why we can’t export more has been lack of facilities like these,” he said. Statistics indicate that Uganda’s horticulture exports are worth about $35 million per year, making Uganda the second-largest producer of fresh fruits and vegetables in Sub-Saharan Africa, after Nigeria. However, only about 20 percent of horticultural production is exported.
“Horticulture plays an important role in the economic landscape of our country. It stands as the fourth most important export sector, trading only behind coffee, fish and fish products, and dairy. This is a remarkable achievement, especially considering the challenge that the sector has faced, including issues related to post-harvest handling and cold storage,” Mr Bahati, who represented the Prime Minister, Ms Robinah Nabbanja, said.
EAC state currencies depreciated against US dollar in October (Monitor)
Uganda’s Ministry of Finance has reported “a general depreciation of all currencies within the East Africa Community (EAC) partner states in October 2023. The risks of currency depreciation can significantly impact individuals and the businesses, as it can erode the value of savings and investments and make imports more expensive, affecting the country’s balance of payment.
On the performance of the economy report for October, the ministry says the Rwandan Francs and Kenyan Shilling had the highest depreciation rates at 1.82% and 1.81%, respectively. “The Tanzanian Shilling, Ugandan Shilling and Burundian Francs also registered depreciation rates of 0.74%, 0.45% and 0.16% respectively. The global strengthening of the dollar and higher portfolio outflows ensued by better rates in advanced economies have greatly contributed to the depreciation of EAC currencies,” the report showed.
India encourages trade in local currencies with Tanzania (The Citizen)
The Indian government has called on Indian and Tanzanian banks, as well as business leaders, to support and promote the innovative approach of trading using local currencies, as few transactions have taken place so far. The call was made on November 2, during the Tanzania-India Business Forum by Indian Minister of State for External and Parliamentary Affairs Shri Muraleedharan, who is in the country for an official visit. Accompanied by 30 Indian businesspeople, the minister highlighted that this new trade mechanism will provide an alternative avenue for businesses on both sides.
Mr. Muraleedharan emphasized that India actively promotes trade in local currencies and that Tanzania is among the earliest partners in this endeavor. However, he noted that only a few transactions have been conducted using the mechanism of payments in Indian Rupees and Tanzanian Shillings. “This new trade mechanism will provide an alternative avenue for businesses on both sides,” he reiterated.
EAC Council of Ministers gets underway (Tanzania Daily News)
The 44th Ordinary Meeting of the East African Community (EAC) Council of Ministers is currently underway at the EAC Headquarters in Arusha. The five-day meeting, which began on Saturday, is being conducted through the session of senior officials that ended yesterday, the session of the coordination committee set for today and the ministerial session that will take place tomorrow.
Among the items on the agenda of the meeting are considerations of various reports, including those on the implementation of previous decisions of the Council; the Office of the Secretary General; sustainable financing of the community; hosting of EAC organs and institutions; and customs, trade, and monetary affairs.
Other matters to be considered are reports on infrastructure, productive, social and political sectors; finance matters; human political matters; customs and trade; and finance and human resources matters.
EAC Deputy Secretary General in charge of Infrastructure, Productive, Social, and Political Sectors, Andrea Ariik Malueth, informed the senior officials that since the last Council meeting in Bujumbura, Burundi, in March 2023, a number of developments have unfolded, including consultations on the EAC Political Confederation Constitution in the Republic of Kenya and the long-awaited negotiations with the Federal Republic of Somalia for its admission into the EAC.
How EAC countries shoulder dependency burden (Tanzania Daily News)
East Africa enjoys robust growth as the economies continue with post-COVID-19 recovery since 2021. The future looks bright amid global uncertainties and the region is expected to post the highest growth in the continent. African Development Bank says in its 2023 East Africa Economic Outlook report that the region will register the highest regional economic performance on the continent in 2023 and 2024, with growth figures at over 5 per cent.
However, despite the impressive growth prospects, the region faces major challenges including widespread poverty, and rapid population growth from decades of high fertility. Here is a snapshot of age dependency ratio in East African Community member states.
Diversification of Tourism products a catalyst to regional tourism growth (EAC)
Whereas we are quite competitive in terms of beach and wildlife safari tourism, we are urging all EAC Partner States to diversify their tourism products,” said the Deputy Secretary General. Speaking while officially launching the forum, Kenya’s Cabinet Secretary in charge of Tourism and Wildlife, Dr. Alfred Mutua, who was also the Chief Guest, said that the Expo has brought together over 100 hosted buyers and 300 exhibitors providing an opportunity for the region to jointly showcase its unique resources.
Participants at TWN-Africa’s Regional Forum on AfCFTA: Free Movement of Persons Still a Major Headache (African Eye Report)
Participants at a three-day regional multi-stakeholder forum on the African Continental Free Trade Area (AfCFTA) organised by Third World Network-Africa (TWN-Africa) for Anglophone West Africa in Accra say the Protocol on Free Movement of persons is still a major headache despite some years into the implementation of the African Continental Free Trade Agreement. According to them, AfCFTA which is a free trade area encompassing most African countries is yet to address the decades-old problem of the free movement of persons within the African continent
The state of ratification is slow and disappointing as the protocol is aimed at facilitating regional integration in general, and the implementation of the AfCFTA, in particular, they lamented. Officials of the AfCFTA Secretariat admitted that it would take a long time for the free movement of persons to be achieved.
The Director of Trade in Goods and Competition at the AfCFTA Secretariat, Mohamed Ali noted that the AfCFTA is one of the innovative ways of transforming Africa’s economies and creating the biggest single market in the world, however, the delays in the implementation of the free movement of person protocol are affecting the smooth operations of AfCFTA.
In his words: “If the problems of free movement of persons are not addressed, they would affect the implementation of the Agreement”. He said trades would not occur if people didn’t move and therefore called on African governments to work assiduously to cut down the barriers impeding the movement of persons on the continent.
Germany eyes Africa’s ‘hearts and minds’ (EURACTIV)
German Chancellor Olaf Scholz called for closer trade ties with African countries and announced new investment funds for the continent, as European leaders vied for Africa’s “hearts and minds” at the G20-led Summit for Africa in Berlin on Monday. At the summit in Berlin, Scholz reaffirmed that Germany and the EU want to intensify cooperation with the resource-rich continent, especially in sustainable energy production.
“Africa is our partner of choice when it comes to boosting our economic relations and taking the joint path towards a climate-neutral future,” he told reporters. African countries are rich in natural resources such as lithium and hydrogen, which are key to sustainable technologies and energy production. But Europe may be a bit late to the party when it comes to investing in closer ties with the continent, as China has been pursuing its business interests in the region for decades, while countries such as Russia and Turkey are also jostling for influence.
Launched under the German G20 presidency in 2017, the G20 Compact with Africa summit aims to connect private businesses from G20 states with investment projects in Africa. Thirteen African countries are affiliated with the scheme, while more have indicated their interest in joining.
Support Africa’s call for reform of international financial architecture - AU chair tells G20 (Africanews)
The head of the African Union (AU) has told a conference bringing together G20 and African nations that shortcomings in the financial system hinder the mobilization of capital for African economies. Speaking in Berlin, Azali Assoumani asked the AU’s G20 partners to support Africa’s call for reform of the international financial architecture, and for more fair and more inclusive global economic governance.
Assoumani also called on the Compact with Africa initiative to be extended to all African countries, “for a stronger, more inclusive partnership, to the benefit of the entire continent and our continent crossed with Europe and other continents.”
“The potential of the Compact with Africa initiative can only be fully realized if a number of challenges are met. Indeed, even if investment flows from G20 countries to adhering African countries exceed pre-pandemic levels, as in 2019, they still fall far short of the record amount of almost $53 billion reached in the fiscal year 2017/2018 and yet, the countries’ internal investment needs still remain colossal.” The G20’s Compact with Africa initiative is being hosted by Germany with the aim of supporting African countries in their economic development. Leaders from more than a dozen African countries are taking part in the two day conference began the two day conference in Germany.
AU Urges ‘Positive Competition’ From Europe On Investment (Barron’s)
The African Union on Monday defended past investments from China that have drawn criticism for saddling poor countries with huge debts while calling for “positive competition” from Europe. AU chairman Azali Assoumani was addressing a meeting in Berlin of a G20 initiative aimed at mobilising more private, sustainable investments in African countries.
There was a need for “positive competition. There is no monopoly anywhere... Everyone has a place,” he said at the “Compact for Africa” initiative, launched in 2017 when Germany held the G20 presidency. “The problem we sometimes have in Africa is that we are unable to invest because we are paying debts”.
The “Compact for Africa” brings together the G20 and 13 African countries, with support from organisations including the World Bank and International Monetary fund. The G20 itself comprises 19 of the world’s largest economies plus the European Union and the AU.
China calls for ‘consensus’ to address global challenges as India set to host G-20 virtual summit (Anadolu Ajansı)
China on Tuesday called for building “consensus” to address global challenges as India is all set to host a virtual G-20 leaders’ summit on Wednesday, which will be chaired by Indian Prime Minister Narendra Modi.
“In the face of the volatile international situation and sluggish economic recovery, it is all the more important for the G20 to reinforce partnership, address global challenges through cooperation and make positive contribution to world economic recovery and global common development,” Chinese Foreign Ministry spokesperson Mao Ning said in a news conference. “China hopes that the virtual summit can pool consensus and send positive signal to this end,” she added.
Leaders of all G-20 Members including the chair of the African Union, as well as nine guest countries, and heads of 11 international organizations, have been invited to the summit, which is expected to push for “effective implementation” of various G-20 decisions, according to the Indian Foreign Ministry.
Global South Summit: Nepal pitches for inclusive and sustainable global growth (The Annapurna Express)
Prime Minister Pushpa Kamal Dahal on Friday addressed the second Voice of Global South Summit organized by India. Addressing the session, PM Dahal said that the world is facing unprecedented crises generated by the COVID-19 pandemic, climate change, and deepening geo-political complexities. They have impacts on food and nutrition, health and education, economy and environment, and peace and security, he said. More than 125 countries from the Global South attended the Summit.
Developing countries especially the LDCs are the most affected ones by these crises. Rising food and energy prices, tightening financial conditions, and persistent cycles of vulnerabilities continue to add to their worries, PM Dahal said, many countries of the Global South are under unsustainable debt burden which is straining investments in health, education, social justice, and other pressing national priorities.
We believe that in order to address the challenges facing the world, the international community must focus on common goals of peace, progress and prosperity. For this, building of trust, promoting partnership and collaboration and working in solidarity remain crucial, PM Dahal said. We need to champion inclusive and sustainable global growth, in which the Global South receives a fair share to eradicate poverty and give their people a decent life, PM Dahal said
Access to EU market boosts sustainable growth in low-income countries (European Commission)
A new joint report by the European Commission and the High Representative for the Common Foreign and Security Policy on the Generalised Scheme of Preferences (GSP) – the EU’s main trade policy tool to support developing countries’ exports to the bloc – has confirmed that the system continues to support economic stability and sustainable development in low-income countries, even in times of uncertainty. The report also highlights that GSP+ – the special incentive arrangement for sustainable development and good governance – has been effective in improving standards on human and labour rights, environmental and climate protection, and good governance.
US$1.5 Trillion Blue Economy potential untapped in Africa (Engineering News)
This is according to the organisers of the Ocean Innovation Africa summit, an international event set to bring together Blue Economy policy makers, stakeholders and entrepreneurs in Cape Town in February next year. Alexis Grosskopf, founder of Africa’s first ocean-impact startup accelerator OceanHub and co-founder of Ocean Innovation Africa, says African investors and entrepreneurs are not moving fast enough to capitalise on the opportunities open to them in the Blue Economy.
As global leaders prepare for the 2023 United Nations Climate Change Conference (COP28), the President of the African Development Bank, Dr Akinwumi Adesina, says their deliberations must support a new climate finance architecture that prioritises Africa’s needs. Adesina also urged wealthy nations to fulfill their commitments to provide $100 billion annually in climate finance.
In its latest Africa Economic Outlook report, the Africa Development Bank estimates that the continent requires as much as $2.8 trillion through 2030 to implement its climate commitments as set out in countries’ recently submitted Nationally Determined Contributions (NDCs). However, Africa’s inflows of climate finance remain very low (only 3% of global climate finance), and tend to focus on small-scale, fragmented and uncoordinated operations primarily concentrated in middle-income countries.
Dr Adesina said urgent responses to the climate emergency were needed at several levels. “At the global level, the developed economies must meet their commitment to provide $100 billion annually in climate finance. The global climate financial architecture must be changed to prioritize the needs of Africa. At the national level, we must accelerate actions on climate adaptation,” he reiterated.
Investing in the energy transition: Countries need more balanced policies (UNCTAD)
Ahead of the 28th UN climate change conference, COP28, UNCTAD underscores the need for more balanced policy frameworks – especially in developing nations – to catalyze much-needed investments in the global shift from fossil fuels to more sustainable energy sources.
Its latest Investment Policy Monitor, released on 21 November, dives into the key tools utilized to promote investment in the transition to low-carbon energy, based on a review of 798 renewable energy policies covering 192 economies. It finds that developing countries face challenges in formulating and adopting policies and strategies specific to renewable energy.
Members advance discussion on addressing challenges in implementing SPS Agreement (WTO)
WTO members have discussed progress in undertaking the Work Programme of the MC12 Sanitary and Phytosanitary (SPS) Declaration aimed at identifying and addressing challenges in the implementation of the SPS Agreement. At a meeting of the SPS Committee on 15-17 November, members agreed to continue efforts to build consensus on the report to be presented to the 13th Ministerial Conference (MC13) in Abu Dhabi in February 2024 on challenges and opportunities facing international trade in food, animals and plants. The Committee also addressed a record number of specific trade concerns.
Quick links
Trade and Development Board, 74th executive session (Opening Session)
Climate crisis biggest threat to global economy – Al Gore
France, US to propose ban on private finance to coal-fired plants at COP28
UN urges dramatic climate action as records keep tumbling
Hopes rising for historic treaty to curb plastic pollution
From Mangroves to Seagrass, Blue Carbon Ecosystems Are Critical to Tackling Climate Change
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Climate Action Key to Kenya’s Upper-Middle-Income Country Aspirations (World Bank)
Kenya remains vulnerable to frequent climatic shocks that pose significant economic risk. Without adaptation measures, the impact from climate change could not only disproportionately affect the poor, but also result in real GDP losses of up to 7% from the baseline by 2050. Kenya is a relatively low emitter of greenhouse gases (GHGs) generating less than 0.1% of global GHG emissions although its emissions have more than doubled since 1995.
The inaugural Kenya Country Climate and Development report notes that not acting to address climate change will set back Kenya’s poverty reduction gains and increase inequality. Inaction against climate change could result in up to 1.1 million additional poor in 2050 in a dry and hot climate future scenario. Kenyan households are already experiencing the effects of climate change. To cope with climate and other shocks, 37% of affected households reduce food consumption and 33% look for additional income sources, taking a toll on Kenya’s human capital.
Multiple key sectors critical for Kenya’s economic transformation are also impacted by climate change. Today, 70% of disasters from natural hazards are attributable to extreme climatic events. A considerable portion of public infrastructure is vulnerable to hazard risk.
Kenyan maize farmers urged to diversify, shift to high value crops (CGTN Africa)
Kenya wants farmers throughout the country to add more diversity to the types of crops they grow. The government believes more crop diversity will not only boost household food security, and improve overall nutrition among Kenyans, but will also increase income, especially for small-scale farmers. The Uasingishu County Executive Official for Agriculture, Edward Sawe highlights difficulties faced by maize farmers, in particular, including low returns, high input costs, and market saturation during harvest seasons.
“Some of the challenges we encounter with cereals is the problem of the market, Sawe says. Now cereals are rainfed and most of the crop is offloaded at the same time during which time the produce floods the market.” He says, that if farmers (especially those producing maize) would allocate part of their large tracts of land to other high-value crops such as coffee, avocado, macadamia, and apples, this would go a long way in boosting their incomes and better utilization of land.
Additionally, Sawe says that maize and wheat farming are capital intensive, farmers invest throughout the year, but returns come once a year. This depletes their [ farmers’] resources and for that reason, brokers or middlemen capitalize on the fact that farmers do not have cash flow, thus they access the produce at low prices.
Unoc monopoly leaves $270m oil logistics company on knife edge (The East African)
With the passing of the Petroleum Supply (Amendment) Bill 2023 this week, Kampala inched closer to sealing the deal that gives a monopoly to the state-owned Uganda National Oil Company (Unoc) as the sole importer and supplier of fuel products into the country via a multimillion partnership with Swiss-based Dutch energy and commodity trading giant Vitol.
As the falling-out between Uganda and Kenya over the fuel supply deal unravels, uncertainty has gripped new investors in the industry as well as old players who fear that the new arrangement gives advantage to some oil marketing companies (OMCs) over others.
Among these is Mahathi Infra Uganda Ltd, a $270 million oil logistics investment and recent entrant in the industry, operating fuel storage facilities near Kampala. Its management is on knife-edge as directors wonder how, if at all, they fit in the new arrangement. The company also operates four barges on Lake Victoria, which move petroleum products from Kisumu Port to its reserves in Kawuku on the shores of Lake Victoria, 18km from Kampala. “All oil marketing companies, including us, will now be buying from one supplier, Unoc. We should have been given a chance to compete [because] buying from one supplier is a shift and creates a monopoly. We would wish to sit down with Unoc on the logistics framework,” said Mike Mukula, chairman of Mahathi Infra Uganda.
Will mobile money render cash less dominant over time in Africa? Can it promote financial inclusion? We shed light on these questions by exploring individual-level and nationally representative survey data for Uganda, a country in a region that pioneered mobile money in the world. IMF Staff use the Propensity Score Matching method to robustly compare mobile money users and non-users across a range of indicators that capture individuals’ perceptions about cash, and the extent to which they remit, save, and borrow money. They present the first evidence that mobile money users, compared to non-users, are more likely to perceive cash as risky and less likely to prefer carrying large amounts of cash. They also confirm that mobile money users are more likely to receive and send remittances, save, and borrow, and in larger amounts.
Ethiopia Sets 2026 Deadline For WTO Accession (The Reporter Ethiopia)
The Ethiopian government has set 2026 as a deadline for its decades-old effort to join the World Trade Organization (WTO). Official documents obtained by The Reporter reveal that around half of the preparations necessary for accession have been finalized, with officials planning to go two-thirds of the way by the end of this year. The preparations include 181 separate queries and demands from WTO member countries. According to the report from the Ministry of Trade and Regional Integration, the federal government is re-aligning legislation based on the requests
Officials are “revising avenues for goods and services” and “finalizing negotiation documents”, according to the document. Once these preparations, along with responses to the demands from WTO members, are wrapped up, the proposal will be tabled to the national negotiation affairs steering committee for approval. Officials foresee this will happen in the upcoming quarter.
EU-Angola sign first-ever Sustainable Investment Facilitation Agreement (European Commission)
The EU and Angola signed today a Sustainable Investment Facilitation Agreement (SIFA), the first EU agreement of its kind, during the EU-Angola Business Forum in Luanda. It responds to Angola’s ambition to diversify its economy beyond the oil and gas sectors, which historically attracted most foreign investment.
The agreement, with its commitments to improve business climate and sustainability across the economy, is expected to attract new EU investment to sectors where Angola’s potential is currently untapped. The EU-Angola Business Forum confirmed opportunities for investments notably in green energy, agri-food value chains, digital innovation, fisheries, logistics, and critical raw materials. The main objective is to increase sustainable investment by EU businesses in Angola, while Angolan businesses will benefit from facilitation measures and from improved linkages between foreign investors and domestic suppliers.
IMF Concludes Article IV Consultation with Cameroon (IMF)
“The Cameroonian economy has remained resilient in the face of a difficult external environment, including tight global financial conditions and high oil price volatility. Following an increase of 4 percent in 2023, real GDP growth is expected to accelerate to 4.3 percent in 2024. Headline 12-month inflation is expected to moderate from 7.2 percent in 2023 to 5.9 percent in 2024
“The overall deficit is expected to decline from 1.1 percent in 2022 to 0.7 percent in 2023 while the non-oil primary deficit is expected to fall from 3.9 to 2.5 percent over the same period. At the same time, the stock of public debt is expected to fall from 45 percent of GDP at end-2022 to below 42 percent at end-2023. Budget execution was supported by a significant increase in non-oil revenues. However, it also faced pressures from fuel subsidy in 2022, which was substantially higher than expected and carried over to 2023. A substantial portion of subsidy is also likely to be carried over from 2023 to 2024.
Africa Industrialisation Week 2023
Africa Industrialization Day, 20 November (United Nations)
Industrial development is of critical importance for sustained and inclusive economic growth in African countries. Industry can enhance productivity, increase the capabilities of the workforce, and generate employment, by introducing new equipment and new techniques. Industrialization, with strong linkages to domestic economies, will help African countries achieve high growth rates, diversify their economies and reduce their exposure to external shocks. This will substantially contribute to poverty eradication through employment and wealth creation.
Within the framework of the Second Industrial Development Decade for Africa (1991-2000), the United Nations General Assembly, in December 1989, proclaimed 20 November “Africa Industrialization Day”. Since then, the United Nations System has held events on that day throughout the world to raise awareness about the importance of Africa’s industrialization and the challenges faced by the continent.
The 2023 African Economic Conference (AEC), jointly organized by the African Development Bank (AfDB), the Economic Commission for Africa (ECA), and the United Nations Development Programme (UNDP) was held in Addis Ababa at the UN Conference Centre and in hybrid format from 16 – 18 November 2023. The theme of this year’s conference was “Imperatives for sustainable industrial development in Africa”.
Innovation, technology and industrialisation in Africa (UNECA)
African nations can collectively drive industrialization by embracing technological diversity and fostering regional collaboration, researchers at the African Economic Conference 2023 in Addis Ababa, Ethiopia, have said.
During a research session on day 3, about innovation, technology and industrialisation in Africa, moderated by Mr Bartholomew Armah, Chief of the Development Planning Section, Macroeconomics and Governance Division at the UN Economic Commission for Africa (ECA), researchers pointed out the diversity in technological capabilities across African nations as a strength, rather than a challenge.
This diversity is marked by some countries showing robust technological prowess, with others playing catch up, and emerging contenders entering the scene. This landscape sets the stage for cross-country knowledge transfer, creating a conducive environment for collaborative endeavours.
Public-private partnerships needed to bridge Africa’s infrastructure development gap (AfDB)
Public-private partnerships (PPPs) are crucial to closing the financing gap for infrastructure development in Africa, and governments and the private sector should work together to create effective PPPs, said Dr Robert Lisinge, Acting Director of the Private Sector Development and Finance Division at the UN Economic Commission for Africa (ECA).
He was speaking on Thursday at a plenary session of the African Economic Conference 2023 on Public-Private Partnerships to catalyse infrastructure development and innovative financing for industrialization in Africa.
“Financing Africa’s infrastructure is still a big challenge faced by many countries on the continent. To bridge the infrastructure gap, public-private partnerships are essential for infrastructure development in Africa,” said Dr Lisinge. He noted that the African Development Bank estimates that between $130 and $170 billion is needed for infrastructure development every year, leaving a substantial financing gap of $68 to $108 billion.
If fully implemented, the Africa Continental Free Trade Area (AfCFTA) will considerably increase African trade without adding significant pressure on climate change, according to experts who presented their research findings at a session on AfCFTA and industrialization in Africa. They agree that whether establishing a single or several carbon markets in Africa, continental coordination through AfCFTA around carbon pricing is desired. The research session was held on day 2 of the African Economic Conference taking place in Addis Ababa, Ethiopia.
“Although there is a trade-off between reducing GHG emissions and spurring economic benefits, establishing an African carbon market is particularly effective at reducing GHG emissions, while largely preserving foreseen economic benefits from AfCFTA,” said Mavel. He added that an African carbon market is more efficient than existing NDCs in meeting Africa’s climate objectives.
Seutame Maimele, an economist at Trade & Industrial Policy Strategies (TIPS), explained that to mitigate the impact of the European Green Deal (EGD) in Africa, countries need to advance climate-resilient development through the creation of a regional green industrial policy for the continent, utilizing the AfCFTA and creating transformative industrialization. “The African Union within the AfCFTA could lead to the creation of a regional carbon market which can be utilized for selling carbon credits. This market can also be used to retain the funds collected by the EU from the continent,” said Seutame in his research paper.
Cashing in on Africa’s ‘youth dividend’ (UNECA)
With skills development and supportive policies that avail entrepreneurship opportunities, Africa’s ‘youth dividend’ can give a good return on investment by driving economic transformation and sustainable industrialization on the continent. “Young people are the driving force behind what we see today as Africa’s economic transformation, they are creative, they are resourceful, they are energetic, and they are resilient and successful,” Bakare said in a summation of the discussion which called on governments to consider the youth in policy and entrepreneurial development.
New DR Report Unveils how to unleash Africa’s Untapped Potential on Environmental Goods Manufacturing (Development Reimagined)
On Africa Industrialisation Day, Development Reimagined is proud to release its latest report, Unleash Africa’s Untapped Potential on Environmental Goods Manufacturing. This comprehensive analysis shines a spotlight on Africa’s capacity to lead in environmental goods (EG) manufacturing, offering actionable strategies for sustainable development. Please click here for the report infographic.
Africa, despite contributing a mere 3.8% to global greenhouse gas emissions, bears the weight of severe climate hazards. Environmental goods, integral to environmental protection and sustainability, play a crucial role in mitigating these challenges. In 2020, Africa spent US$26.22 billion on EG imports, constituting 77.5% of its overall EG trade volume, raising concerns about potential dependency on EG imports in the long run combat against climate change. While Africa is at a crucial junction in its industrial journey, the report underscores that local manufacturing of environmental goods is not only economically prudent but vital for Africa’s climate and manufacturing resilience, positioning the continent as a key player in the global market for environmental goods.
The findings reveal Africa’s untapped potential for EG manufacturing, leveraging its rich natural resources, renewable energy, and mineral wealth. Integrated markets and regional collaboration can drive economic growth, competitiveness, and sustainability, supported by eco-friendly production policies.
Minister: Work towards maximising AfCFTA benefits (Tanzania Daily News)
Zanzibar Minister for Trade and Industries Development Omar Said Shaaban has called on Zanzibaris, particularly members of the business community, to secure the full benefits of the African Continental Free Trade Area agreement (AfCFTA). Mr Shaaban made the revelation at the climax of the week-long celebrations of the African Statistics Day-2023 held at the Tourism College Hall, Maruhubi where he emphasised on the use of data in developing trade.
Comoros, Tanzania and Uganda gear up for AfCFTA implementation with ECA’s support (UNECA)
A series of trainings were organized by the Economic Commission for Africa (ECA) in collaboration with the Governments of Comoros, Tanzania and Uganda to strengthen the capacity of public and private sector stakeholders to implement the African Continental Free Trade Area (AfCFTA) Agreement effectively. Maximizing the benefits of the AfCFTA for businesses: Strategies and tools for accessing the market was the key theme of the training, which covered topics such as market access opportunities, rules of origin, tariff concessions, trade facilitation, non-tariff barriers, dispute settlement and digital trade.
Why Tanzania is hesitant of EAC single tourist visa plan (The East African)
Tanzania continues to dilly-dally on the operationalisation of the East African single tourist visa, which would make the region a single tourist destination. Dodoma is still reluctant to be part of the East African Community (EAC) Single Tourist Visa (STV) on grounds that the bloc is yet to address security and financial implications of the scheme. Tanzanian officials raised the matter at the EAC Council meeting held in June this year. The major issues are security, revenue sharing, the efficiency of the single visa regime and visitor screening.
At a Tourism and Wildlife Management Sectoral Council meeting held on October 19, 2023 in Arusha and chaired by Burundi Minister for Environment Prosper Dodiko, the EAC resolved to seek consensus on STV before implementation next year. “The EAC Treaty provides for cooperation in the sector whereby partner states undertake to develop a collective and coordinated approach in tourism promotion and management of wildlife resources. I urge you to have fruitful discussions on this matter,” Mr Dodiko said. The current STV is issued to persons travelling to and within Kenya, Rwanda and Uganda for tourism. The arrangement, which Tanzania argues is a Northern Corridor affair, makes Kenya the first point of entry.
EA’s family businesses face challenges, study says (The East African)
East African family-run businesses have not prioritised research and innovation in a move to help them recover from the post-Covid-19 economic challenges. The latest survey by consultancy firm PricewaterhouseCoopers (PwC) shows that only 12 percent of the sampled family-owned businesses in the region have put significant focus on, investment and resources into innovation or research. In addition, the survey shows that the on-going wave of business digitalisation that is sweeping across the region is yet to take root in family-owned businesses, with only 46 percent of them saying they have strong digital capabilities.
Family-owned businesses in the region have strong growth ambitions over the next two years, with 75 percent them saying they expect to see growth. “There is great optimism even in the face of significant challenges and disruption, which speaks to the resilience of these family businesses and their owners, stakeholders and communities,” the survey says.
According to the survey, family businesses in the region are rising to the economic challenges with 64 percent experiencing growth with only 13 percent seeing a sales reduction. This is a significant departure from the 46 percent who reported experiencing growth and 31 percent sales reduction in 2021, largely as a result of the Covid-19 pandemic.
Dry Bulk in Africa Through the Eyes of an African Shipping Line (The Maritime Executive)
With Africa increasingly exploiting its vast mineral resources, its demand for carriage of dry bulk commodities is on the rise. From rich deposits of iron ore in West Africa to coal in the Southern African region, the heterogenous mineral distribution across Africa gives it a unique potential. Africa also has in abundance critical elements such as lithium, cobalt and nickel, whose demand is rising to support manufacturing of today’s clean energy technologies.
However, these commodities have to be moved from mines to their destination markets, mainly in China and India. Unfortunately, the capacity of road, rail and port infrastructure in some parts of Africa is a major impediment for exports. This, coupled with a dearth of African shipping lines, has made the situation dire.
This is the gap that Arise Shipping and Logistics company hopes to fix. As a Pan-African shipping line, Arise Shipping is working to fulfill new demand for integrated maritime and logistics services for mining and industrial clients operating in Africa. It is now a year since Arise Shipping launched. To give an update on the progress of the past year, Arise Shipping CEO Cpt. Pappu Sastry sat down with TME African Correspondent Brian Gicheru.
Sugar prices are rising worldwide after bad weather tied to El Nino damaged crops in Asia (AP News)
Skyrocketing sugar prices left Ishaq Abdulraheem with few choices. Increasing the cost of bread would mean declining sales, so the Nigerian baker decided to cut his production by half.For scores of other bakers struggling to stay afloat while enduring higher costs for fuel and flour, the stratospheric sugar prices proved to be the last straw, and they closed for good.
Sugar is needed to make bread, which is a staple for Nigeria’s 210 million people, and for many who are struggling to put food on the table, it offers a cheap source of calories. Surging sugar prices — an increase of 55% in two months — means fewer bakers and less bread. “It is a very serious situation,” Abdulraheem said.
Sugar worldwide is trading at the highest prices since 2011, mainly due to lower global supplies after unusually dry weather damaged harvests in India and Thailand, the world’s second- and third-largest exporters. This is just the latest hit for developing nations already coping with shortages in staples like rice and bans on food trade that have added to food inflation. All of it contributes to food insecurity because of the combined effects of the naturally occurring climate phenomenon El Nino, the war in Ukraine and weaker currencies. Wealthier Western nations can absorb the higher costs, but poorer nations are struggling.
Tackling illicit financial flows through technology (The Guardian Nigeria)
Maida, represented by the Director, Public Affairs, Reuben Mouka, believed that robust ICT systems remained critical for preventing/investigating financial crimes or mitigating the risks associated with virtual assets in financial markets, saying that these systems facilitate compliance with established standards or regulations and also provide a platform that allows the monitoring, tracing, and analysing of digital transactions in real-time. Precisely, it is believed that the value has been worth more than official development assistance from Organisation for Economic Cooperation and Development (OECD) donor countries according to the Global financial integrity report.
Nigeria rallies support for fight against illicit financial flows in West Africa (Premium Times Nigeria)
Nigeria on Monday called on the Action Group Against Money Laundering in West Africa (GIABA) to develop an institutional framework for the enforcement of financial crimes regulations in the sub-region. The Attorney-General of the Federation and Minister of Justice, Lateef Fagbemi, made the appeal at the inauguration of the 27th Meeting of the Ministerial Committee of GIABA, in Abuja.
Mr Fagbemi, who is also the Chairperson of the GIABA Ministerial Committee, said member countries should prioritise their national systems on Anti-Money Laundering and Combating Financing of Terrorism. “Our collective commitment to put in place legislative policy and institutional frameworks is necessary to protect the integrity of our financial systems from threats of money laundering, terrorist and proliferation financing. “As we come to the close of the second round of mutual evaluations, I believe we need to take some time for introspection and an assessment of where we have fallen short.
“As we begin preparations for the next round of mutual evaluations, our goal must be to greatly strengthen results and outcomes being achieved by our regulatory, supervisory, law enforcement and prosecutorial authorities.
Dollar scarcity is pushing more African countries to crisis (Moneyweb)
African governments are scrambling for dollars, and that’s creating a new dividing line for investors. Amid a deepening shortage of hard currency on the continent, governments are turning to bartering, currency devaluations, central bank exchange controls, and help from the International Monetary Fund and Middle East to shore up their balance sheets.
Investors are rewarding nations whose efforts to boost dollar liquidity are paying off. But they’re punishing those that can’t guarantee access to the currency they need to invest and repatriate returns, and are steering clear of countries without adequate reserves to cover import costs or debt repayments. African currencies are the worst performers in the world this year, with about a dozen sliding at least 15% against the dollar.
Experts from Member States strengthen their capacity in Energy Information Systems (ECOWAS)
Energy experts from ECOWAS Member States strengthen their capacity in Energy Information System (EIS) during a workshop held in Abidjan, Côte d’Ivoire, from 14 to 17 November 2023.
The ECOWAS Energy Information System which was officially launched in March 2023 in Bissau, Guinea Bissau during the 14th meeting of ECOWAS Ministers in charge of Energy. This programme is implemented by the ECOWAS Commission, with the financial support of the European Union within the framework of the 11th European Development Fund. Its overall objective is to “contribute to poverty reduction through increased regional integration in the energy sector in West Africa”.
During his statement at the opening of the workshop, Mr Bayaornibè Dabire, ECOWAS Director of Energy and Mines highlighted the importance of the EIS system to provides ECOWAS and Member States with credible, consistent, reliable and regularly updated data and information on the energy situation of the region and the states. These data are essential for better planning, design and monitoring of energy sector strategies and policies. He urged participants to actively participate during the sessions, to provide the ECOWAS Commission with the most recent national data, and to formulate appropriate proposals to consolidate this tool and ensure its sustainability
Climate finance surpasses $1trn a year (Energy Monitor)
Six years on from the Paris Agreement, annual climate finance flows across the globe surpassed the $1trn mark in 2021, according to new research from US non-profit the Climate Policy Initiative (CPI). However, that level still needs to increase fivefold by 2030 for the world to avoid the worst impacts of climate change, the group warns.
The average annual flows in 2021 and 2022 hit $1.3trn, double the level of 2019 and 2020, according to the CPI’s report, Global Landscape of Climate Finance 2023, released this month. However, 28% of the increase was a result of the increased availability of data.
“While crossing the $1trn threshold is undeniably good news, it is important to emphasise that this represents just 1% of global GDP,” said Barbara Buchner, global managing director at the CPI, at a press briefing for the report’s launch. “All actors must accelerate investments now to significantly reduce future economic and social costs, but it is not just about costs – there are immense opportunities for businesses to pursue low-carbon and climate-resilient pathways.”
Climate finance provided and mobilised by developed countries for climate action in developing countries reached USD 89.6 billion in 2021, according to the OECD’s sixth assessment of progress towards the goal for developed countries to provide and mobilise USD 100 billion of climate finance annually for climate action in developing countries under the UN Framework Convention on Climate Change.
This shows a positive trend, representing close to an 8% increase over 2020, which is significantly higher than the 2.1% average annual growth observed from 2018 to 2020. However, one year after the 2020 target, developed countries remain just over USD 10 billion short of the goal to mobilise USD 100 billion a year.
Largest fossil fuel firms on hook for trillions in damages: study (Daily Maverick)
A landmark report released by climate research group Climate Analytics contains a staggering finding: The world’s largest fossil fuel companies, known as the “carbon majors”, are responsible for a combined $15-trillion (about R275-trillion) in damages caused by climate change. This figure represents just a fraction of the total economic and human costs incurred as a result of their unabated emissions. The report also notes that “economic damages from climate change will reach $1.7-trillion per year by 2025, and roughly $30-trillion [R551-trillion] per year by 2075 if the current warming trend continues”.
The report, titled “Carbon Majors’ Trillion Dollar Damages”, delves into the historical emissions of these companies and their associated financial gains. It finds that the 12 highest-emitting fossil fuel companies, both state-owned and private, collectively amassed $21-trillion in profits from their operations between 1985 and 2018. Yet, these same companies have simultaneously caused an estimated $15-trillion in damages due to their role in exacerbating climate change.
Making most of Africa’s strategic green minerals to build the continent (The East African)
With the global transition to cleaner technologies underway, Africa has the natural resources to race ahead. The continent is a major producer of the raw materials that will fuel the green revolution – including, for example, 70 percent of the world’s cobalt, which is essential for electric-vehicle batteries. According to the United States Geological Survey, Africa also has some of the world’s largest untapped mineral reserves.
If harnessed sustainably and strategically, these resources could foster green industrialisation and increase electrification, while building a better future for all Africans. At the moment, African countries are mainly involved in mineral exploration and extraction, and the few with processing facilities often generate low-value products. Meanwhile, countries outside of Africa are scrambling to develop their own critical-minerals strategies.
Climate action slowed significantly in 2022 while severe weather events increased (OECD)
National climate policy action across the countries that produce nearly two thirds of total greenhouse gas emissions only increased by 1% in 2022, the lowest annual growth recorded since 2000, and reflecting a deceleration in ambitions to meet the Paris Agreement temperature goals amid growing energy security concerns. In contrast, between 2000 and 2021, national climate policy action increased by an average of 10% a year, according to new OECD analysis of policy adoption and policy stringency of the 50 countries covered by the Climate Action and Policies Measurement Framework.
The Climate Action Monitor 2023 shows that climate action differs substantially across countries, with those with more stringent policies showing faster increases in climate mitigation action. The report also shows that, while the adoption of market-based policy instruments has slowed, actions on governance, international co-operation, targets and climate data are picking up pace.
G20-led summit for Africa highlights renewed interest in fast-growing continent (ETEnergyworld.com)
Leaders from more than a dozen African countries will gather in Germany over the next two days for the G20 Compact with Africa conference, which aims to help bolster private investment in the world’s poorest, but fast-growing, continent. Underscoring renewed interest in Africa, European Commission President Ursula von der Leyen, French President Emmanuel Macron and Dutch Prime Minister Mark Rutte will be among those attending the summit in Berlin, hosted by German Chancellor Olaf Scholz, according to German government officials.
The Compact with Africa, which was created in 2017 under the German G20 presidency, aims to bring together reform-minded African countries, international organizations and bilateral partners to coordinate development agendas and discuss investment opportunities.
Scholz Promises €4 Billion for EU-Africa Climate Initiatives (Bloomberg)
German Chancellor Olaf Scholz pledged €4 billion ($4.4 billion) for the Africa-EU Green Energy Initiative through 2030 and said Europe’s biggest economy will import “a large proportion” of its green hydrogen needs from the continent. “This is not about development aid according to the outdated patterns of donors and recipients,” Scholz said Monday in a speech marking the opening of a Group of 20 investment summit in Berlin.
“This is about investments that pay off for both sides,” Scholz told delegates. “For example, on the road to climate neutrality in 2045, we in Germany will need large quantities of green hydrogen and will import a large proportion of it from Africa.”
Openness crucial for APEC economies (China Daily)
Korea turns to Africa as China tightens graphite export curbs (Korea Times)
Korean companies and the government are shifting their focus to Africa from China to secure graphite, as Beijing attempts to control exports of the core mineral for rechargeable batteries next month, according to industry officials, Thursday. In an apparent retaliation against Washington’s trade restrictions, Beijing announced last month that Chinese exporters will be required to apply for permits to ship high-purity, high-hardness and high-intensity synthetic graphite, natural flake graphite and products made using the mineral.
Although the leaders of the U.S. and China met on Wednesday on the sidelines of the APEC Summit in San Francisco, they maintained different views regarding the export controls targeting rival countries. Given that Korea has relied heavily on Chinese graphite, lingering uncertainties have led to various efforts to diversify suppliers of the mineral.
China’s policy strategies for green low-carbon development: Perspective from South-South cooperation (UNCTAD)
In 2022, UNCTAD published the volume of “China’s Structural Transformation: What can developing countries learn?”. The purpose of the volume was to facilitate peer learning among countries in the Global South by sharing policy experiences. That publication examined diverse policy aspects including macroeconomic framework, trade, industrialization, digital transformation and debt management, shedding light on the factors contributing to China’s economic transformation.
This “updated” volume, China’s Policy Strategies for Green Low Carbon Development: Perspective from South-South Cooperation, adds some valuable insights to the ongoing discussions on this topical issue. It aims to make a substantial contribution to the current discourse on China’s transition process, encompassing both economic and climate aspects. Furthermore, it will enhance the understanding of the binding constraints developing countries encounter at national level, and how to advance green structural transformation through proper policy strategies formulation.
WTO members examine proposals to deepen discussions on trade and environment (WTO)
WTO members welcomed the progress made in strengthening the role of the Committee as the main forum for dialogue on trade and environment. The Committee considered several proposals on improving its functioning, including through greater transparency and experience-sharing; the role of technology transfer to address climate change as well as several proposals on trade-related environmental measures. Several members expressed an interest in examining the effects on environmental measures on market access and its impact on developing countries and least-developed countries (LDCs). In this regard, the importance of technical assistance and capacity building was acknowledged.
Intermediate goods exports continue to fall in second quarter of 2023 (WTO)
World exports of intermediate goods (IGs) fell by 8% year-on-year in the second quarter of 2023 to US$ 2.3 trillion, continuing the slump recorded since last year amid stagnating commodity prices and a marked contraction in global consumer demand due to high inflation and interest rates. The decline affected all regions and most IG product categories.
IGs refer to inputs used to produce a final product and are an indicator of the activity in global supply chains. All regions posted year-on-year declines in IG exports in the second quarter of 2023. Asia recorded a decline of 13%, followed by Africa (-12%), North America (-8%), South and Central America.
UK unveils White Paper to set approach to global development (GOV.UK)
The UK has today set out a re-energised approach to international development in a White Paper, aimed at working with partners to tackle global challenges in the years up to 2030. It sets out how the UK will take action alongside spending aid and put renewed focus on prioritising partnerships, mobilising international finance and driving global policy change. It also leads on harnessing science and innovation to address extreme poverty and climate change.
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Gas-supply cliff is South Africa’s next crisis, energy body says (Engineering News)
South Africa’s supply of natural gas is set to plunge within the next three to four years and there’s a risk of a shortfall triggering the country’s next economic crisis, the head of an industry body warned.
With Sasol set to curb production of the fuel from its fields in Mozambique between 2026 and 2027 as reserves dwindle and retain more output for its own operations, 300 000 to 400 000 jobs at firms that use gas for industrial purposes are endangered, said James Mackay, the chief executive officer of the Energy Council of South Africa.
“We have a supply cliff coming,” Mackay, whose organisation represents companies including Sasol and Glencore, said in an interview on Thursday. “There isn’t currently a supply alternative that will readily be available in the time frames needed.”
Bank of Kigali unveils two agriculture finance products (The New Times)
Bank of Kigali (BK) has introduced two new agriculture finance products as part of its commitment to finance the agricultural sector. The bank’s intervention is timely given that the agriculture sector is often regarded as a high-risk financing sector with many business people decrying the lack of access to credit from the banks, yet the sector holds a bigger share of the economic activities in the country, with more than 70 percent women engaged in it.
Alexis Bizimana, the Head of Agri-business in Bank of Kigali said that the two products - Coffee Working Capital and Agriculture Inventory Facility-aim to finance coffee industry, and aggregators / processors of food crops.
“The Coffee Working Capital product targets coffee value chain actors, especially the traders that collect coffee cherries from farmers and process them into green coffee for export,” he said. On the other hand, the “Agriculture Inventory Facility” targets different value chain actors in rice, maize, soybean and other cereals.
New standards for sweet potato and pecans to facilitate international trade (FreshPlaza)
The adoption of a UNECE recommendation for sweet potatoes this week will ensure product quality and fairness in trade, thus enhancing sustainable development outcomes. The standard was initiated by Germany and South Africa. Sweet potatoes are becoming an important part of our cuisine: mashed sweet potatoes (American cuisine), sweet potato fries (international fusion), sweet potato gnocchi (Italian cuisine), roasted sweet potato and chickpea salad (Mediterranean cuisine).
“Sweet potatoes play a significant role in food security and poverty alleviation. It is a staple food for millions of people around the world, especially in developing countries, providing a source of affordable and accessible nutrition,” explained said Cyril Julius, Chairperson of the UNECE Specialized Section on Standardization of Fresh Fruit and Vegetables, and Chief Operations Officer of the Perishable Produce Exports Certification Agency of South Africa. “That said, it has significant importance in trade as well, creating income opportunities and contributing to economic growth in agricultural sectors. Having a standard for sweet potatoes levels the playing field, allowing growers, exporters and importers to trade with confidence.”
Over the past 5 years the value of trade in sweet potatoes has increased by 33% globally, from USD 564 million in 2018 to USD 753 million in 2022. The value of sweet potato imports to the European Union increased by 40% in the same period from USD 278 million to USD 388 million.
The UNECE Working Party on Agricultural Quality Standards (WP.7) also adopted two new standards for pecan kernels and in-shell pecans. Pecans rank as one of the top 15 foods with the highest levels of antioxidants. They are loaded with vitamins and minerals like manganese, potassium, calcium, iron, magnesium, zinc, and selenium.
Mtwara Port puts smile on cashew farmers (Tanzania Daily News)
The cashew season in 2023/2024 has started with a bang in the Southern Tanzania regions of Lindi, Mtwara and Ruvuma. Mtwara Region is the central meeting point for cashew farmers and stakeholders who meet in Mtwara to ensure that their cashew shipments leave the country for markets in various parts of the world. The port of Mtwara has been given the big responsibility to be the only link to transport all the cashews from the Southern Regions of Tanzania by ship abroad according to the needs of customers and stakeholders of the product.
The government’s order regarding the transportation of all cashews from the Southern Regions of Tanzania to be carried out through the Port of Mtwara was issued by the President of the United Republic of Tanzania, Dr Samia Suluhu Hassan on 15th September 2023 when she made a visit to inspect the development of the Mtwara Port Improvement Project.
Since the start of this cashew season two weeks ago, hundreds of vehicles carrying cashews have been seen entering Mtwara Region and the port of Mtwara to follow the procedures set by the cashew board and the port of Mtwara before starting the loading of the cashews in warehouses and being loaded onto ships ready for shipping. The first ship to leave with cashew cargo MV Kailas, which left the port on 11th November with 51 boxes of cashew to India Currently, the second ship, MV Groton has docked and is loading cashews and is expected to leave with 309 boxes of cashews to different countries across the globe
IMF Concludes 2023 Article IV Consultation with Kenya (IMF)
“The tightening global financing conditions for frontier economies and global geopolitical tensions are compounding the challenges from the legacy of the pandemic and multi-season drought, further straining Kenya’s balance of payments and fiscal financing requirements. The authorities’ strong reform program aims to enhance macroeconomic stability and restore confidence to ensure access to the international bond markets.
“The economy has displayed resilience, with real GDP expanding by 5.4 percent in the first half of 2023, primarily due to a robust recovery in the agriculture sector following the return of rains. In the fiscal year 2022/23, the primary deficit came in as expected at 0.6 percent of GDP, reflecting tight expenditure management in light of tax revenue shortfalls. Financing conditions continue to be challenging. With a tightening of monetary policy in June, and tighter liquidity conditions, yields on government bonds have experienced a notable upward trend. The external current account deficit has narrowed, driven by a recovery in the tourism sector to pre-COVID-19 levels, resilience in remittances reductions in imports and a real exchange rate depreciation. Headline inflation has fallen within the target range of 2.5–7.5 percent since July.
Economists propose key areas to spur Tanzania’s economic growth (The Citizen)
Economists have proposed some critical areas to spur economic growth in the country. The target areas include human capital development, changing the organisation of production, formalising the currently large informal sector, as well as augmenting labour with innovation and technology to reach larger markets. Other areas include improvement of trust between the public and the private sector to spur growth, and capitalise on the available savings to fund investments.
This was discussed during the 27th Annual Research Workshop held in Dar es Salaam from 8-9 November 2023 under the theme of Promoting Inclusive and Sustainable Economic Growth through System Change. The workshop also saw the launch of REPOA’s 5-year Research Programme on Structural Transformation & Development Trajectory in Tanzania – and was organised by REPOA in collaboration with the Central Bank of Tanzania (BOT), President’s Office – Investment & Planning, and Gatsby Africa.
Parliament passes law giving government exclusive right to import fuel (Uganda Business News)
Parliament has approved legislation granting the government exclusive rights to import and supply fuel and petroleum products in a deal to be implemented with the Dutch-registered Vitol Group. The government argues that the law — which, if assented to by the president, is expected to come into force on 1 January 2024 — will lead to lower fuel prices by removing Kenyan middlemen from the fuel supply chain. Uganda currently imports 90 per cent of its petroleum products through Kenya.
“Uganda imports 90 per cent of its petroleum products through Kenya and 10 per cent through Tanzania. The system currently imposes three layers of middlemen from overseas refineries to the Ugandan oil marketing companies. Each of the middlemen companies adds a profit margin which is ultimately fed into the final pump price,” said Emmanuel Otaala, chairperson of the parliamentary committee on environment and natural resources, while presenting a report on the bill on Tuesday.
How Nigeria Can Enhance Foreign Exchange Earnings - Customs CG (News Agency of Nigeria)
The Nigeria Customs Service (NCS) says the African Continental Free Trade Agreement(AfCFTA) stands as a golden opportunity for Nigeria to significantly enhance its foreign exchange earnings. The Comptroller General of Customs (CGC), Comptroller Adewale Adeniyi, said this at the Distinguished Lecture Series organised by the Nigerian Institute of International Affairs (NIIA), on Thursday, In Lagos.
The lecture had the theme: “Nigeria’s Economic Growth and Development: Reforming and Positioning the Nigeria Customs Services for the AfCFTA and other Emerging Challenges.”
According to Adeniyi, the expansive marketplace created by AfCFTA can serve as a catalyst for increased trade, attracting diverse businesses and stimulating economic growth. He said Nigeria, with her rich array of sectors from agriculture to technology, had the potential to capitalise on this opportunity by strategically positioning herself within the continental trade framework.
The CG said that Nigeria should focus on targeted sector-specific initiatives, invest in infrastructure to facilitate seamless trade, and actively engage in cross-border collaborations to solidify its position as a key player in the African trade landscape.
Improving Agriculture, Human Capital, and Infrastructure - Key to Take on Poverty in the Central African Republic (World Bank)
Rwanda: Irembo discusses protection of national infrastructure in e-govt era (The New Times)
Climate Action Key to Kenya’s Upper-Middle-Income Country Aspirations (World Bank)
Kenya remains vulnerable to frequent climatic shocks that pose significant economic risk. Without adaptation measures, the impact from climate change could not only disproportionately affect the poor, but also result in real GDP losses of up to 7% from the baseline by 2050. Kenya is a relatively low emitter of greenhouse gases (GHGs) generating less than 0.1%of global GHG emissions although its emissions have more than doubled since 1995.
The inaugural Kenya Country Climate and Development report notes that not acting to address climate change will set back Kenya’s poverty reduction gains and increase inequality. Inaction against climate change could result in up to 1.1 million additional poor in 2050 in a dry and hot climate future scenario. Kenyan households are already experiencing the effects of climate change. To cope with climate and other shocks, 37% of affected households reduce food consumption and 33% look for additional income sources, taking a toll on Kenya’s human capital.
“The Africa Climate Summit’s Nairobi Declaration committed to propel Africa’s economic growth and job creation in a manner that not only limits emissions but also aids global decarbonization efforts,” said Kenya’s Cabinet Secretary for the National Treasury and Planning, Professor Njuguna Ndungu. “This Country Climate and Development Report is an important first step in defining a resilient and low-carbon development growth path that could help Kenya leapfrog traditional industrial development and foster green production and supply chains.”
Morocco’s Economy Has Become More Resilient (World Bank)
After a sharp deceleration in 2022 caused by various overlapping commodity and climate shocks, economic growth is set to increase to 2.8 % in 2023, driven by a partial recovery of agricultural output, services, and net exports, according to the World Bank’s latest report, ”From resilience to shared prosperity”. This recovery is expected to firm up in the medium term, and real GDP growth is projected to reach 3.1 % in 2024, 3.3 % in 2025, and 3.5 % in 2026 as domestic demand gradually recovers from recent shocks. Inflation has halved between February and August 2023, but food inflation remains high and continues to disproportionally affect poorer households.
Morocco’s external resilience is also evidenced by a solid external demand for the country’s goods and services, despite the international economic slowdown. Equally, Foreign direct investment (FDI) inflows remain strong and increasingly directed towards the manufacturing sector. Various modern industrial niches well connected to global value chains have emerged and the country maintained access to international capital markets despite the ongoing tightening of global financial conditions.
Morocco has launched ambitious reforms to improve human capital and encourage private investment. These reforms will achieve the desired economic and social development impact only if, though, combined with other critical initiatives, including the removal of regulatory and institutional barriers that limit competition and slow the reallocation of factors of production to more productive firms and sectors.
The Sahel, Central African Republic Face Complex Challenges to Sustainable Development (IMF)
Countries in the Sahel (comprising Burkina Faso, Chad, Mali, Mauritania, and Niger), along with neighboring Central African Republic (CAR) are facing a medley of development challenges. Escalating insecurity, political instability including military takeovers, climate change, and overlapping economic shocks are making it even harder to achieve sustainable and inclusive development in one of the poorest parts of the world.
In 2022, conflict-related fatalities in these countries increased by over 40 percent. The deterioration of the security situation over the past decade has caused a humanitarian crisis, with more than 3 million people fleeing violence in Burkina Faso, Mali, and Niger, according to UNHCR.
More frequent extreme weather events in the Sahel—including historic floods and drought—depress productivity in agriculture, resulting in the loss of income and assets, while exacerbating food insecurity and reinforcing a vicious circle of fragility and conflict.
East Africa’s exports to rest of the continent hit $9 billion (The Citizen)
Exports from the East African Community (EAC) bloc to the rest of Africa hit a record $8.9 billion last year having increased from $8 billion in 2021. However, the share of intra-EAC trade as part of the region’s total trade globally remained stagnant at approximately 15 percent in both 2022 and 2021. Statistics show that total intra-EAC trade grew by approximately 11.2 percent to $10.9 billion in 2022 from $9.8 billion in the previous year.
This emerged as the East African Business Council (EABC) met business stakeholders in Burundi early this week to discuss how to promote regional trade. The workshop in Bujumbura was also aimed to further boost Burundi’s exports to Africa, which according to the EABC, stood at about $68.1 million last year.
Stakeholders say transformative industrialisation is critical for Africa’s sustainable development (UNECA)
Some stakeholders have reiterated the need for transformative industrialisation, saying it is critical for sustainable development on the continent. They have been speaking at a special event, “Leveraging on strategic foresight for an agile, robust, and forward-looking sustainable industrial development in Africa,” on Thursday at the African Economic Conference (AEC) in Addis-Ababa, Ethiopia.
Fiona Tregenna a Professor at the University of Johannesburg, and Chair of the Industrial Development National Research Foundation (NRF) of South Africa, delivered a paper on Transformative Industrialisation for Africa (TIFA) and links with strategic foresight. She highlighted some of the challenges that have hindered industrialisation on the continent.
According to Tregenna, achieving the Africa we want is not business as usual, otherwise we will not get the transformative change to give us the Africa we want.
Public-private partnerships needed to bridge infrastructure development gap in Africa (UNECA)
Public-private partnerships (PPPs) are essential for infrastructure development in Africa, and governments and the private sector should work together to create effective PPPs, said Robert Lisinge, Acting Director of the Private Sector Development and Finance Division at the UN Economic Commission for Africa (ECA). Mr. Lisinge was the moderator at a plenary session at the African Economic Conference 2023 (AEC), on Public-Private Partnerships to catalyse infrastructure development and innovative financing for industrialization in Africa.
“Financing Africa’s infrastructure is still a big challenge faced by many countries on the continent. To bridge the infrastructure gap, public-private partnerships are essential for infrastructure development in Africa,” said Lisinge. He noted that the African Development Bank (AfDB) estimates that between $130 and $170 billion is needed for infrastructure development every year, leaving a substantial financing gap of $68 to $108 billion.
Traditionally, African governments and international partners like China have been primary investors in infrastructure. However, due to financial constraints, there is a growing need to explore public-private partnerships. These can harness private investment, technology and expertise, improving service delivery efficiency and cost-effectiveness.
“The infrastructure financing gap in Africa is around $100 billion. To bridge the infrastructure gap there is a need to bring in the private sector,” added Ms Ogbebor, saying that PPPs provide options to financing, and leverage risk sharing like financial and technical risks.
“The establishment of digital traceability systems in the horticulture supply chain in our countries reduces compliance costs for exporters”, said Ms. Olayinka Bandele at the side event organized by the Economic Commission for Africa, Sub-Region Office for Southern Africa (ECA SRO-SA) in collaboration with the African Union Regional Office for Southern Africa (AU-SARO), during the Africa Industrialization Week (AIW), 11-13 November 2023 in Cairo, Egypt to support women exporters.
The Chief, Inclusive Industrialization Section, SRO-SA was moderating a high-level panel discussion whose major objectives were to: Interrogate the major market access impediments faced by women-owned export companies in the horticulture value chain; assess the role of digital technologies in driving competitiveness through effective Sanitary and Phyto Sanitary (SPS) management systems, traceability applications and enhanced cultivation methods; and proffer recommendations to address the challenges faced by women.
Both exporters outlined the major impediments faced by women in horticulture business. Ms. Mulapesi emphasized the importance of African women producers, she indicated that most women were good producers and had great potential to feed the continent. She called on African leaders and international organisations to use the platforms such as Intra-African Trade Fair (IATF) and Africa Industrialisation Week (AIW) to support women’s access to external markets such as the European Union. She noted that, “Standards, especially private standards and licensing increases the costs of certification, making it difficult for women to export to lucrative markets”.
Is Africa having potential for regional value chains? (UNECA)
Experts discussing the African Continental Free Trade Area (AfCFTA), have called for African nations to invest in developing regional value chains (RVCs). The consensus among thought leaders is that for the AfCFTA to deliver on its ambitious development promise, countries must harmonize trade policies and strategically invest in industrial development. The key to success in this economic landscape lies in countries positioning themselves within niche industrial sectors.
This was the main message on Thursday, during the session: “Is Africa having potential for regional value chains?” at the Africa Economic Conference 2023 in Addis Ababa, Ethiopia, with the theme, “Imperatives for sustainable industrial development in Africa”.
Ms. Joy Kategekwa, Strategy Advisor to the United Nations Development Programme (UNDP) and moderator of the session, emphasized the transformative potential of regional value chains (RVCs) for Africa’s industrial revolution. RVCs enable nations to leverage their comparative and competitive advantages, allowing them to participate in industries that might otherwise be beyond their capacities. “Africa is industrializing, we must now grow bigger and faster,” declared Kategekwa.
This growth requires a multifaceted approach, including consistent government policies, fostering public-private partnerships (PPPs), and establishing special economic zones (SEZs) to drive the development of regional value chains. Removing barriers to the free movement of people is equally crucial, as Ms. Kategekwa highlighted, stating, “We can’t trade and industrialize if we can’t move.”
‘AfCFTA offers crucial trade-off between revenue (The Guardian Nigeria)
The Comptroller General of Nigeria Customs Service (NCS), Bashir Adewale Adeniyi, said the objectives of Africa Continental Free Trade Area (AfCFTA) presented beacon of hope for Africa’s economic transformation, ranging from the promotion of intra-African trade to sustainable economic growth.
He stated this at the 18th Roundtable of Managing Directors/Exhibition of the Port Management Association of West and Central Africa (PMAWCA) hosted by the Nigerian Ports Authority (NPA) in Lagos. Adeniyi spoke on the topic: “What does the AfCFTA offer to African Ports after three years of implementation.” He said unfortunately, the free trade area is poised to usher in significant changes that will have a profound impact on customs operations, which is the shift in customs’ focus, moving from the import side to the export side of trade facilitation.
Adeniyi said this adjustment presents a crucial trade-off between revenue collection and trade facilitation, adding that Customs will need to strategically allocate resources to enhance export procedures and ensure that exporters can thrive in a streamlined environment that ultimately benefits the government through increased foreign exchange earnings.
Stakeholders urge Africans to think, produce, consume African goods (Peoples Gazette)
Some stakeholders have called on Africans to think, produce and consume goods produced on the continent to promote African growth and development. They made the call at the 2023 Africa Economic Conference (AEC) in Addis-Ababa on Thursday. They spoke during a plenary on how Africa could leverage the African Continental Free Trade Area (AfCFTA) to spur sustainable, inclusive industrialisation.
“To fully implement the AfCFTA, African member states should prioritise production with a focus on manufacturing. We need to invest more in hard infrastructure such as roads, rails, and airlines for moving goods to market and to improve on factors of production and manufactured goods.
“Trade barriers among countries are still a challenge, making trade difficult. Thus, there is a need to address this challenge. There is a need to also invest in border agencies and customs to remove the barriers and improve the efficacy of AfCFTA,” stated Mr Urama. Melaku Alebel, Ethiopia’s minister of industry, said export and import promotion was crucial to enhance the manufacturing sector on the continent.
African Economic Conference calls for stronger political will to spur Africa’s industrialisation (AfDB)
African countries need to show stronger political will to advance industrialisation, including the adoption of new policies to promote improved productivity and harness the potential of a growing youth population, delegates attending the 2023 African Economic Conference heard. The three-day conference opened in the Ethiopian capital, Addis Ababa, on Wednesday under the theme “Imperatives for Sustainable Industrial Development in Africa”.
Organised by the African Development Bank, the United Nations Economic Commission for Africa and the United Nations Development Programme, this year’s conference, the 18th edition, brought together experts, the private sector, researchers, and young people to discuss the challenges and prospects of industrialisation in Africa.
India-Africa trade up 9% yoy in FY 2022/2023 to $98bn (Ecofin Agency)
More than thirty African countries benefit from India’s duty-free tariff preference (DFTP) scheme for least-developed countries. “Trade with the African continent has climbed to $98 billion in FY 2022/2023 from $89.6 billion in the previous year,” Indian External Affairs Minister Subrahmanyam Jaishankar
said at the Confederation of Indian Industry (CII) and Exim Bank of India conclave on India-Africa partnership, while expressing “confidence that trade volume will exceed $100 billion in FY 2023/2024”. The head of Indian diplomacy also pointed out that New Delhi has already granted more than $12.37 billion in concessional loans to African countries.
UNCTAD’s inclusive growth index underscores need to move beyond GDP (UNCTAD)
New UNCTAD data released on 16 November highlights the limitations of Gross Domestic Product (GDP) as an all-encompassing metric for progress, underscoring that higher economic output doesn’t equate to more inclusive and sustainable growth. Launched in June 2022, the UN trade and development body’s Inclusive Growth Index measures not only traditional economic metrics like GDP but also indicators of living conditions, equality and environmental sustainability.
It was expanded in 2023 to include large economies like China and India and now covers 129 countries representing 93% of the world’s population and 96% of global GDP. The latest edition shows that while significant disparities remain – developed economies’ average overall score on inclusive growth is nearly double that of developing ones – some gaps are narrowing. For example, in the environmental category, developed economies score an average of 42.5 out of 100, compared to 31.3 for developing countries – a less stark contrast than in the economic category, where the scores are 41.7 and 14.7, respectively.
“GDP is a strong measure of economic activity but doesn’t necessarily measure what counts most for people and the planet today and in the future,” says Anu Peltola, who heads UNCTAD’s statistics unit.
Members agree on changes to improve the functioning of the Customs Valuation Committee (WTO)
Members adopted a series of changes to improve the functioning of the Committee on Customs Valuation as part of the work towards WTO reform. At a formal meeting of the Committee on 15 November, delegates also reviewed national customs valuation legislation notified by 35 members and agreed to use the eAgenda platform to assist the work of the Committee.
DDG Ellard calls for APEC leadership in reforming the WTO, delivering at MC13 (WTO)
At the 2023 Asia Pacific Economic Cooperation (APEC) Leaders Meeting in San Francisco on 15 November, Deputy Director-General Angela Ellard emphasized the role of the WTO in achieving an open, dynamic, resilient, inclusive and peaceful Asia-Pacific community. She called for APEC leadership in reforming the multilateral trading system and said the best way to strengthen it is to deliver positive outcomes at the WTO’s upcoming 13th Ministerial Conference (MC13) that demonstrate how trade helps raise living standards, improve people’s lives and protect the environment.
Climate Change is Disrupting Global Trade (IMF)
Around 1,000 ships pass through the Panama Canal each month carrying a total of over 40 million tons of goods—about 5 percent of global maritime trade volumes. But water levels in this vital link between the Atlantic and Pacific oceans have fallen to critical lows because of the worst drought in the canal’s 143-year history.
Drought restrictions imposed amid insufficient rainfall at the Gatún Lake, which feeds the canal, have reduced throughput by some 15 million tons so far this year. Ships have faced an additional six days in transit. The authorities are exploring strategic options to boost the water supply in the canal.
ports in Panama, Nicaragua, Ecuador, Peru, El Salvador and Jamaica are suffering most from these delays, with 10 percent to 25 percent of their total maritime trade flows affected. But the drought’s effects are felt as far away as Asia, Europe and North America. The drought will hamper trade for months to come, with canal passages set to halve to 18 ships per day by February, down from 36 in ordinary times. Economies reliant on the canal for trade should prepare for more disruption and delay.
Quick links
Time Is Running Out To Help Africa Feed Itself
AFCFTA: Antidote to current macro-economic challenges
BRICS nations’ prosecution bodies commit to enhance cooperation
Q&A: What is the ‘global stocktake’ and could it accelerate climate action?
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Botswana Science, Technology and Innovation Foresight (UNCTAD)
UNCTAD conducted a Science, Technology and Innovation (STI) Policy Review of the Republic of Botswana during 2021-22. As part of the STI Policy Review, a foresight exercise was undertaken to initiate a process of identifying future national priorities for STI in Botswana and discussing the future role of STI in development in Botswana with stakeholders in the country.
Foresight includes innovative strategic planning, policy formulation, and solution design methods that do not intend to predict or forecast the future, but rather consider alternative scenarios. This report documents the foresight exercise including its purpose, methodology, activities, and findings. The seven STI priority domains that emerged from the foresight exercise for Botswana include agriculture, digital economy, energy, environmental sustainability, health, manufacturing and social development.
Ethiopia’s Quest for Sea Access Hinges on Mutual Benefit, Regional Integration (ENA)
Ethiopia’s desire for sea access should be understood as an issue of mutual benefit and expediting regional integration, State Minister of Foreign Affairs Ambassador Misganu Arga underscored. Ethiopia, while situated close to the sea, has been deprived of access to ports and is paying a heavy economic price.
As the country’s economic power grows and its population increases, sea access has become a matter of survival. Recently, Prime Minister Abiy Ahmed explained Ethiopia’s position to the House of Peoples Representatives, during which he stated that Ethiopia’s quest for a sea access is based on business principles and does not infringe on the sovereignty of neighboring countries. Rather, using the spirit of good neighborliness, Ethiopia will continue to present its request for sea access through peaceful means and in adherence to international norms.
Rwanda and Kenya have just taken steps to bring the continent closer to this goal by allowing fellow Africans to travel to their countries visa-free in the future. They are following the lead of Benin, The Gambia and the Seychelles, which were the first countries to scrap visa requirements for intra-African travel, Africa News reports.
Removing visa restrictions is in line with the Union’s long-term vision of an “integrated, politically united” Africa characterized by free movement of people and trade. By emulating the model of the European Union, the AU hopes to open up a similarly powerful integrated market across the continent. If it can achieve this, it could boost regional income by hundreds of billions of dollars, improve inclusion and reduce poverty.
Open Skies: Nigeria to review air pacts with 37 countries (Daily Trust)
The Federal Government has concluded plans to review the bilateral air service agreements with 37 African Countries who are signatories to the Yamoussoukro Decision (YD) and the Single African Air Transport Market (SAATM). The YD and SAATM were being implemented to liberalise air transportation in Africa and boost intra-African trade.
Minister of Aviation and Aerospace Development, Mr. Festus Keyamo who spoke at the just concluded 24th anniversary of the YD Day event in Abuja restated the commitment of Nigeria to the implementation of SAATM to open up the air transport market in Nigeria and the African continent. He spoke just as the Nigeria’s biggest airline, Air Peace, has commenced transit flights through the Murtala Muhammed International Airport Lagos to various regional and international cities with a view to connecting more African countries to the outside world.
Official Launch of phase 2 of the MPS Terminal 3 expansion project in Ghana (Ecofin Agency)
On 15 November 2023, the President of the Republic of Ghana, H.E. Nana Akufo Addo, together with Philippe Labonne, AGL Chairman, officially launched phase 2 of the Tema port expansion project including the commissioning of 3 STS gantries and 12 e-RTG gantries. The phase 2 works, led by Meridian Port Services (MPS), whose reference shareholders are AGL, APM Terminals and the Ghana Ports Authority (GPHA), are valued at a total of USD 150 million and involve the construction of 270,000 square metres of storage area plus the installation of new equipment. They will increase the terminal’s capacity from 100 to 127 hectares.
The Tema port expansion project, which is being executed by the Eiffage Genie Civil Marine consortium and Se Simone Ltd, means the quay length can be increased to 1.4 km with four massive berths, equipped with sophisticated container handling gantries and terminal operating systems. This will enable it to accommodate large capacity vessels. Phase 2, scheduled for completion in September 2025, will increase handling capacity from 2.5 to 3.7 million twenty-foot equivalent containers (TEUs)
Reviving agriculture is critical to fostering economic growth and tackling widespread extreme poverty in the Central African Republic (CAR), says the World Bank’s first Poverty Assessment report for the country. With 70% of the country’s working-age population dependent on farming, fixing agriculture offers the most direct way to improve livelihoods and feed people, says the report, released today.
Plagued by decades of conflict, political instability and low growth, CAR has one of the world’s highest rates of poverty – almost 7 out of 10 people are extremely poor (65.7% are living on less than $2.15 per day) and more than half are unable to afford enough food, even if they devote all their consumption to it, the report finds.
“The urgency of stimulating economic growth and lifting Central Africans out of poverty cannot be stressed enough. Revitalizing agriculture, with broader support measures to provide social safety nets for the most vulnerable, develop human capital, and stimulate private sector development will be essential,” said Ousmane Diagana, World Bank Vice President for Western and Central Africa.
Possessing half of Africa’s forests, large freshwater resources, and mineral reserves that are critical for a green transition, the Democratic Republic of Congo (DRC) has the potential to contribute to global climate action and establish itself as a “climate solutions country” while generating revenues to enhance its own climate resilience and sustainable low-carbon growth. To do so, the country must build stronger and more resilient institutions, address increased conflict and fragility situations, and invest substantially to achieve its ambitious climate goals, according to the World Bank’s new Country Climate and Development Report (CCDR) for the DRC.
Climate change could reverse DRC’s hard‑won gains in human capital, with a disproportionate impact on the poor, and especially on women and excluded populations. If DRC stays on its current growth trajectory and no action is taken, climate change could result in between 4.7% and 12.9% of lost gross domestic product (GDP) by 2050. Under the most pessimistic of climate scenarios, an additional 16 million people could be pushed into poverty by 2050 if the country does not implement climate‑resilient investments and additional inclusive policies to achieve economic growth and sustainable livelihoods.
Policy and Economic reforms key for Africa’s Industrialization revolution (UNECA)
Inclusive and sustainable approaches are critical for Africa’s industrial development, says Stephen Karingi, Director, Regional Integration and Trade Division, Economic Commission for Africa (ECA). “Industrialization is as a result of good policy. We need commitment by member states on policy and economic reforms that are home grown to promote industrialization on the continent,” said Mr Karingi.
The ECA Director made the remarks at the High-Level Development Dialogue: How could Africa leverage the African Continental Free Trade Area (AfCFTA) to spur sustainable inclusive industrialization at the ongoing African Economic Conference (AEC) 2023 in Addis Ababa Ethiopia (16-18 November 2023).
While giving the lessons learnt by Ethiopia from other industrialized countries, Melaku Alebel, Minister of Industry, Federal Democratic Republic of Ethiopia said Ethiopia is actively pursuing various mechanisms on manufacturing through AfCFTA to create employment opportunity, economic growth. To promote industrialization, Ethiopia has highly invested in policy and regulatory reforms.
“Countries should also investment more on infrastructure – the roads, rails, airlines - for moving goods to market and to improve factors of production and manufactured goods,” said Kevin Urama, Chief Economist and Vice-President, African Development Bank Group (AfDB), adding that knowledge and governance capacity needs to be prioritized.
“Trade barriers among countries is still a challenge making trade difficult. There is need to invest in boarder agencies and customs to remove the barriers and improve efficacy of AfCFTA.”
The Private Sector Bill of Rights as a Companion Instrument to Regional Economic Communities and the African Continental Free Trade Agreement (allAfrica.com)
Report: Exports from African Businesses Up 50% with Huge Support from Women (THISDAY)
ANKA, the ‘all in one’ Software-as-a-Service (SaaS) platform for African businesses, in collaboration with the African Development Bank (AfDB), has published a white paper, illustrating the global growth of African businesses in the e-commerce space, spearheaded by women. According to the report, with over 72 per cent of ANKA’s sellers identifying as women, it is quickly becoming the de facto platform for women entrepreneurs and a source of insight into their experiences in leading small and medium-sized businesses in Africa.
Touching on the impact that African commerce is having on global exports, the white paper highlights that 50 per cent of entrepreneurs ship their products through the platform (via ANKA’s landmark partnership with DHL), arguably making ANKA the largest African exporter of goods. The report, which is an updated extension of ANKA’s 2018 edition, offered a holistic global analysis of the state of African e-commerce; covering the entire entrepreneurial journey from product creation to international delivery. The report delves into millions of data points from interactions with global consumers to encourage conversations around the stellar growth of African entrepreneurship.
ICT ministers promote future-orientated, intelligent digital infrastructure for Africa (TechCentral)
Ministers of communications & digital technologies and the African Telecommunications Union (ATU) member states convened this week in Cape Town for the Ministerial Forum on Building a Future-Orientated, Intelligent Digital Infrastructure for Africa. The forum was co-organised by the ATU and South Africa’s department of communications & digital technologies with the aim of advancing the digital transformation agenda in Africa. The event concluded with the signing of a joint communique underlining the importance of collaboration between all stakeholders in building a future-orientated digital infrastructure for Africa.
Taking place alongside AfricaCom, the continent’s premier ICT conference and exhibition, the forum provided a platform for dialogue and an exchange of views on the development of a future-orientated intelligent digital infrastructure in Africa, which is essential for achieving the socioeconomic development goals of the continent.
‘Remove gender-discriminatory policies’ (Tanzania Daily News)
Zanzibar President Dr Hussein Mwinyi has called for the abolition of gender-discriminatory laws, policies and norms that have been holding women and girls back. During the opening of the High-Level Regional Meeting on Financing for Gender Equality in Dar es Salaam on Wednesday, Dr Mwinyi stated that African countries need to embrace policies that economically empower women, including promoting gender equality in the finance sector.
“We must also work towards providing women with access to and use of productive resources, including affordable capital, financial services, and digital products, and promote financial inclusion for women through innovative approaches,” said Dr Mwinyi.
To achieve this, he argued that the country must intensify interventions that promote cultural transformation to change discriminatory social norms and support platforms representing women’s groups.
Afreximbank, Innovative Biotech partner to boost local manufacture of vaccines (The Guardian Nigeria)
Announcing a groundbreaking collaboration at the #IATF2023, in Cairo, Egypt, African Export Import Bank (Afreximbank) has inked a Project Preparation Facility Agreement with Innovative Biotech Limited (IBL). This venture aims to propel IBL to the forefront of healthcare innovation, marking a notable advancement in the industry.
Chief Executive Officer (CEO), Innovative Biotech Limited, Dr. Simon Agwale, told The Guardian on Monday that the visionary project unfolds with the establishment of a state-of-the-art vaccine manufacturing facility in Keffi, Nasarawa State, Nigeria.
Egypt’s Trade Minister calls for accelerating AfCFTA activation (Dailynewsegypt)
Minister of Trade and Industry Ahmed Samir highlighted the importance of accelerating the implementation and activation of the African Continental Free Trade Area (AfCFTA) as it is an essential axis of increasing intra-African trade rates. The minister explained that he discussed with Kenyan Minister of Investment, Trade and Industry Rebecca Miano, some of the exceptional restrictions that Kenya recently imposed on its imports from abroad, which affected Egyptian exports.
Business community across Africa showcases continental potential (Dailynewsegypt)
In a discussion at the Egypt investment forum within day five of the Intra-African Trade Fair (IATF2023), speakers highlighted opportunities for greater trade between Egypt and other parts of Africa, Head of the African Affairs Committee at Egyptian Parliament Sherif El Gabaly underscored lessons that Egypt could share in terms of strengthening agricultural self-sufficiency. Other Egyptian business leaders shared insights from their work in the healthcare, automotive, construction and e-commerce sectors.
CEO of Pharco Pharmaceuticals Sherine Helmy shared insights on significantly reducing the cost of hepatitis treatment in Egypt to $60 per person. He highlighted the importance of political will and commitment in enabling collaboration to achieve that success.
CEO of Jumia Egypt Abdelatif Olama talked about the company’s strong brand awareness across Africa, saying, “We thrive because we are African. We benefit from growing in a big and growing population, from the growing urbanisation that happens from a growing middle class.”
G20 more inclusive with African Union in it: Amitabh Kant (The Times of India)
India has played a pivotal role in turning the G20 into a more inclusive organisation by ensuring the African Union’s induction as a permanent member during its presidency, said G20 Sherpa Amitabh Kant. He described the G20 New Delhi leaders’ declaration as a very hard-fought victory for the Global South as it reflected the aspirations of the developing countries.
“One of the lasting images that will carry on forever in my mind of India’s G20 presidency is the image of the prime minister hugging the president of Comoros and welcoming the African Union as a permanent member of the G20,” Kant said.”With that one stroke, India ensured that the G20 became a far more inclusive institution,” he added.
Report finds strong expansion of global value chains but warns of increased vulnerability (WTO)
“Recent pandemic-related disruptions have revealed long-standing vulnerabilities in GVCs, especially those associated with over-concentration and over-dependence on a single economy or region for the supply of critical products — a circumstance exacerbated by recent geopolitical tensions. However, the current structure of GVCs is complex and has led to significant benefits for firms and consumers globally,” ADB President Masatsugu Asakawa, IDE-JETRO President Kyoji Fukao, UIBE President Zhongxiu Zhao, and WTO Director-General Ngozi Okonjo-Iweala say in the joint foreword of the publication.
The report provides an update on trends in GVCs with new data extending until 2022, highlighting that GVCs remain a central part of globalization despite mounting pressures. Foreign inputs comprised 28% of global merchandise exports last year, a record level according to the report. Moreover, GVC participation rates of almost all economies were higher in 2022 compared to their pre-pandemic levels in 2018.
Within Reach: Navigating the Political Economy of Decarbonization (World Bank)
How is it possible that despite multiple pledges and commitments, rapid progress in key technologies, and the implementation of more than 4,500 climate policies, the world is not on track to meet the objectives of the Paris Agreement? “Within Reach: Navigating the Political Economy of Decarbonization” discusses within-country political economy as a key barrier to progress. It shows that the political economy is dynamic and that it can be changed to achieve impactful climate action. To do this, the book unpacks four dimensions which hold the key for translating ambition into climate action―climate governance, policy sequencing, policy design, and policy process―and it is rich with examples of what has worked and how.
Transforming global aid architecture to leave no one behind (OpenGlobalRights)
Major global disruptions triggered by the COVID-19 pandemic, ongoing and intensifying conflicts, and the climate crisis have exacerbated issues of poverty and inequality. Simultaneously, they have put human rights in jeopardy, with states adopting policies that place communities in conditions of increased political, financial, and social instability. It’s now more important than ever for governments, civil society, multilaterals, foundations, the private sector, and other development stakeholders to come together and work toward our common goals.
To address these pressing challenges and deliver on promises for inclusive, sustainable development that leaves no one behind, the global civil society platform CSO Partnership for Development Effectiveness (CPDE) has called for a radical change to the international financial architecture. CPDE asserts that this action must include a drastic increase in the financing developed countries give to developing countries, as well as improvements in the quality of aid, with provisions that prioritize equity, transparency, and the active participation of developing countries and civil society.
Climate finance provided and mobilised by developed countries for climate action in developing countries reached USD 89.6 billion in 2021, according to the OECD’s sixth assessment of progress towards the goal for developed countries to provide and mobilise USD 100 billion of climate finance annually for climate action in developing countries under the UN Framework Convention on Climate Change.
This shows a positive trend, representing close to an 8% increase over 2020, which is significantly higher than the 2.1% average annual growth observed from 2018 to 2020. However, one year after the 2020 target, developed countries remain just over USD 10 billion short of the goal to mobilise USD 100 billion a year.
Two years ago, ahead of COP26 in Glasgow, the OECD released forward-looking scenarios of climate finance for the period 2021-2025, which indicated the goal is likely to be reached as of 2023. The USD 89.6 billion total for 2021 is slightly higher than the upper end scenario that was estimated for this year. On the basis of preliminary and as yet unverified data available to the OECD to date, the goal looks likely to have already been met as of 2022.
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Agriculture key to SA’s economic recovery (SAnews)
Agriculture, Land Reform and Rural Development Minister, Thoko Didiza, says the agricultural sector has demonstrated its resilience and capability to support South Africa’s overall economic recovery and growth, both in terms of job creation and contribution to the economy. This comes after StatsSA released the latest Quarterly Labour Force Survey (QLFS) data on Tuesday, which showed that the agricultural sector has once again created new jobs amounting to 61 000 in the third quarter of 2023, increasing the total employment in agriculture to 956 000.
Didiza said she is satisfied with the agricultural sector’s positive contribution to the country’s job creation. “This is the highest employment figure in agriculture since the start of the modern democratic era. The last time the agricultural sector recorded a million jobs was in 1993, the era which was underpinned by subsidies,” said Didiza on Wednesday. The QLFS indicated that the total number of employed people in the country increased by 399 000 to 16.7 million in the third quarter of 2023, compared to 16.3 million in the second quarter of 2023.
Nigeria must develop actionable plans to increase export trade - Experts (Businessday NG)
The Federal Government has been urged to devise an actionable plan for Nigeria to increase its exports and stop depending on the importation of goods. Stakeholders who spoke at the 2023 summit organised by City Business News in Lagos, said the rage of importation has wreaked more havoc on the Nigerian economy over the years.
Speaking on the theme: ‘Repositioning Nigerian Economy: 2023 and Beyond,’ Khadijat Ifelola Sheidu-Shabi, chairperson of Women in Logistics and Transport (WiLAT), said Nigeria should look inward and initiate a shift from import-dependent to export-oriented economy. Sheidu-Shabi said women and the nation at large should take advantage of the African Continental Free Trade Area (AfCFTA) and maximise the opportunities to benefit the nation’s economy.
“We have export terminals coming up and these export terminals are growing. We need to increase our exportation and stop dependence on importation. Our weakness is importation. We even import tissue paper. We need to reposition. Despite all our challenges, I want us to look at the positive side. We are survivors, we can build this country again,” she said.
Afreximbank provides pre-export financing facility to Ghanian cocoa companies (ZAWYA)
African Export-Import Bank (Afreximbank) signed two pre-export facilities agreements worth $80 million with two cocoa processing companies in Ghana. The Bank signed two pre-export finance facility agreements worth $40 million each with Niche Cocoa Industries and Plot Enterprise Ghana. The facility will finance the purchase of raw cocoa beans to enable Niche Cocoa Industries and Plot Enterprise Ghana to meet their obligations to off-takers.
Gov’t renews call for rules-based access to Red Sea (Ethiopian Press)
Ethiopia has no intention of threatening the sovereignty of any nation but would like rules-based access to the Red Sea, Prime Minister Abiy Ahmed (PhD) said, calling stakeholders for discussions. The PM made the above remark yesterday while addressing the 3rd year 4th Regular Session of the House of People’s Representatives.
Speaking at the occasion, Abiy expressed Ethiopia’s desire to a principle-based access to the Red Sea that will not harm the rights and benefits of any of its coastal neighbors. “Ethiopia has no intention to violate or harm others’ sovereignty and needs to make a business law to resolve the issue.
“Ethiopia’s neighbors are expected to take its pursuit for sea access positively as the country could not manage such a large population without reaching an agreement on port use. Ethiopia called coastal neighbors just for discussion, not for conflict and if the situation is not managed by discussion, no one will be able to control what would happen next.”
China wants to strengthen ties with SA, Africa (IOL)
SA, Qatar bolster relations (SAnews)
Egypt, Switzerland boost investment opportunities (EgyptToday)
Economic Report on Africa 2023 – Building Africa’s Resilience to Global Economic Shocks (UNECA)
The 2023 Economic Report on Africa themed “Building Africa’s Resilience to Global Economic Shocks” focuses on the impact of multiple and recurring global shocks on African economies. It examines how these shocks undermine Africa’s prospects of reaching the targets set in the Sustainable Development Goals (SDGs) and how to achieve inclusive economic transformation and build resilience.
Over the past few decades, economic performance has been shaped by shocks of varying magnitude, duration, and recurrence. The polycrises that include the climate change induced shocks, the repercussions of the COVID-19 pandemic, and the ripple effects of the Russian invasion of Ukraine have caused Africa to regress or stagnate on the SDGs targets. More than 30 million Africans were forced into extreme destitution in 2021, and 22 million jobs were lost. The ongoing war in the Ukraine prolongs uncertainty and fears of food insecurity in Africa and internal conflicts and risks have left several African countries more vulnerable and less resilient to manage current and future shocks.
The multiple shocks have also had scarring effects that make it difficult for African economies to recover fully even after a short-lived shock such as the global financial crisis. More important, their damage could morph into other domains such as political instability and conflict, thus undermining recovery and the resilience to future shocks.
The report therefore calls for new approaches for African countries to address challenges of global economic shocks. The report calls for improving risk management and building resilience strategies through well-designed national development plans and good governance, as well as structural transformation through equitable green growth and smart industrial strategies. Forging a new global cooperation framework and acceleration of the African Continental Free Trade Area (AfCFTA) could enhance collaboration and integration among African countries, enabling risk pooling and management.
African shipowners to unveil regional shipping line by 2024 (The Guardian Nigeria)
The co-Champion for Transportation of the Africa Continental Free Trade Area (AfCFTA) and Secretary General African Ship-Owners Association, Funmi Folorunsho, has revealed plans for the launch of an Africa shipping line in the first quarter of 2024 to foster economic growth and logistics efficiency across the continent.
Addressing stakeholders at the 43rd yearly council meeting of the Port Management Association of West and Central Africa (PMAWCA) in Lagos last week, Folorunsho outlined the comprehensive blueprint for the regional shipping line.
She emphasised the need for a robust fleet, noting that the target include a 188 per cent increase in bulk vessels and a planned 180 per cent surge in container vessels.
Strengthening Africa’s Critical Mineral Value Chains (Energy Capital & Power)
Africa’s rich mineral resources require specific, mining-focused regulatory frameworks to attract investment and ensure responsible resource utilization. To aid in this regard, the African Union and other regional bodies are collaborating to develop an African Green Minerals Strategy (AGMS), aimed at strengthening mining regulations and respective regulatory institutions. The AGMS sets specific objectives, with a view to positioning Africa’s critical minerals as a catalyst for green technology, large-scale agriculture and industrial sectors, aligning with development goals per Agenda 2063.
Despite this progress, the strategy has not yet culminated in finalized, actionable policies. To realize their shared objectives, African countries and regional bodies must implement integrated, resource-based development and industrialization policies that prioritize local beneficiation and successful collaboration with global mining companies. A key challenge within the sector has been the lack of local processing and refining capacity. As a result, countries like Zimbabwe and Namibia have implemented bans on the export of unrefined lithium and rare earth minerals, respectively, in a bid to establish a domestic mineral value chain.
Malawi on taking full advantage of critical minerals mining in Africa (ESA-Africa)
Assessing the Impact of Fossil Fuel Subsidy Reforms in Commonwealth Developing Countries (The Commonwealth)
Africa must cash in on digital payments systems to boost financial inclusion and economic growth (Ghana Business News)
Africa should accelerate adoption of Instant and Inclusive payment systems (IIPS) to ensure financial inclusion and boost economic empowerment of its people. The statement was made during the launch of the second edition of the State of Instant and Inclusive Payment Systems (SIIPS) Report 2023, jointly produced by AfricaNenda, the Economic Commission for Africa (ECA) and the World Bank Group.
In remarks delivered on behalf of the ECA Executive Secretary Mr. Claver Gatete, Mr. Stephen Karingi, Director of the Regional Integration and Trade Division said access to information “is vital for economic progress – the SIIPS – Africa report is a beacon of hope as it provides a reliable source of information – empowering private entities to make informed investment decisions while enabling governments to create evidence-based policies.”
Instant and Inclusive payment systems – IIPs – allow people to use any systems run by financial service providers to make payments immediately, at a low cost, to anyone and at any time. They are also a catalyst for financial inclusion as they accelerate low‑income consumers’ access to digital payment solutions and the formal economy. In this regard, a shift towards digital payments is important for “enhancing financial inclusion and boosting economic growth,” said Karingi.
UNIDO ITPO, others partner NASME to promote digital transformation (The Guardian Nigeria)
The United Nations Industrial Development Organisation (UNIDO) Investment and Technology Promotion Office (ITPO), Nigeria has partnered the Federal Government, Nigerian Association of Small and Medium Enterprises (NASME), Sterling One Foundation and other stakeholders to promote digital transformation.
This was disclosed at the West African SMEs Exhibition in Abuja, tagged: “MSMEs 4.0: Enhancing Quality, Productivity, Competitiveness, Resilience, and Sustainability in an Era of Digital Transformation.”
The exhibition focused on business support for West African SMEs in the Renewable, Digital and Greentech spaces with high growth potential. This is to mobilise and promote bankable and impactful investments and the transfer of green technologies from industrialised countries towards Nigeria and select African Continental Free Trade Area AfCFTA countries and economies in transition, with a focus on SMEs.
Women’s contributions to economic processes matter, not only to women, but also as a means of achieving broader development outcomes. Evidence has demonstrated that when women have access to resources and opportunities, the benefits are large for their families, their communities, and ultimately for national and regional development efforts. However, women continue to face greater financial exclusion and vulnerability, with most being underserved by the formal financial sector and unable to reach their full economic potential.
In this regard, the Southern African Development Community (SADC) Secretariat in collaboration with the Deutsche Gesellschaft für Internationale Zusammenarbeit GmbH (GIZ), convened a capacity building workshop on Women’s Financial Inclusion and Economic Empowerment in Johannesburg, Republic of South Africa, from 13th to 14th November 2023. The workshop was held as part of rolling-out the SADC Financial Inclusion Gender Action Plan as part of the implementation of the SADC Strategy on Financial Inclusion and SME’s Access to Finance (2023-2028).
This workshop emphasised on financial literacy for women entrepreneurs, use of gender budgeting tools and on implementing a women-centred approach to financial services and products. It was noted that implementation of blanket approaches to financial inclusion initiatives will not change the status quo and sustainable inclusive economic growth will not be achieved. Instead, there is need to identify and address the needs of women and take into consideration that women are not a homogeneous group; their differences should be catered for in the design of financial services and products. The workshop further identified that data is critical to inform the needs of women customers.
To address Southern Africa’s pressing issues of fragility, forced displacement and climate resilience, the African Development Bank, jointly with the Southern African Development Community (SADC) and the United Nations Refugee Agency, UNHCR, co-hosted an inaugural technical meeting on ‘Forced displacement, Fragility Mitigation, and Climate Resilience’ on 26-27 October in Pretoria, South Africa.
The meeting sought to strengthen the inclusion of refugees and other forcibly displaced and stateless individuals in national and regional development plans, programmes, and strategies. The approach entails mitigating fragility risks, managing disasters effectively, responding to climate change challenges, and adapting approaches for resilience-building.
Navigating the complexities of trade: Key takeaways from the 3rd WCO Global Origin Conference (WCO)
The World Customs Organization (WCO) successfully convened the 3rd WCO Global Origin Conference in Santiago, Chile, on 8 - 9 November 2023. Supported by the Korea Customs service, the European Union, and private sector partners, this event attracted over 400 participants from 82 countries, consolidating its prominence as a global forum for origin-related discourse. Themed “Building Trust in the Origin Environment,” the conference featured 35 speakers across six panel sessions and two origin business talks. The rich diversity of participants – hailing from Customs administrations, international organizations, academia and the private sector- fostered a holistic exploration of Origin matters.
The conference delved into the complexities of Rules of Origin, addressing challenges faced by stakeholders in navigating the intricate web of trade agreements. Discussions also explored aligning rules of origin and requirements with environmental goals; the pivotal role of preference utilization rates in shaping international trade dynamics, and the significant influence on future frameworks governing the origin of goods on the global stage.
In his closing address, Dr. Kunio Mikuriya, WCO Secretary General, lauded the conference as a pivotal platform for knowledge exchange and collaborative advancement in international trade. He expressed gratitude to the participants for their insightful contributions and reaffirmed WCO’s dedication to furthering this agenda in partnership with the World Trade Organization (WTO), other international organizations, the business sector, and academic institutions.
Africa’s infrastructure deficit must be addressed to scale opportunities under AfCFTA (Devdiscourse)
Africa’s significant road infrastructure deficit creates increased production and transaction costs that must be addressed to scale opportunities envisaged under the Africa Continental Free Trade Area, a new report has found.
The report, called Cross-Border Road Corridors Expanding Market Access in Africa and Nurturing Continental Integration notes that while roads are the primary mode of transport, carrying 80 percent of goods and 90 percent of passenger traffic, only 43 percent of Africa’s main population have access to an all-season road.
“Just 53 percent of roads on the continent are paved, isolating people from access to basic services, including healthcare, education, trade hubs and economic opportunities,” according to the publication, released at a special session of the Africa Investment Forum 2023 Market Days taking place in Marrakech, Morocco.
Dr Adesina suggested five priority areas to fully optimize the benefits of the developing regional corridors across Africa. These include dedicating pooled financing facilities to corridor projects; building special industrial zones around the corridors to optimize existing infrastructure; adopting a systematic approach and platform to syndicate around the development of strategic regional corridors.
He said the development of regional corridors should be complemented with one-stop border posts to facilitate trade and reduce travel times on the corridors. He proposed concessional financing, such as the African Development Fund, which offers low-income countries unmatched resources to commit to developing regional corridors.
Championing continuity for graduating LDCs: ensuring a smooth transition for climate adaptation - Case study (Reliefweb)
Graduating from least developed country (LDC) status represents a highly symbolic and positive step in a country’s journey towards greater socioeconomic prosperity. However, the resulting fall in international support and loss of LDC benefits also threatens to upend their climate adaptation plans — which are vital for those countries increasingly vulnerable to climate change impacts.
The trajectories of countries like Angola and Bhutan, which are set to graduate in the next two years, offer an insight into the complex challenges caused by the loss of LDC benefits. This case study outlines the opportunities and risks faced by graduating LDCs and offers solutions for ensuring a smooth transition in their climate adaptation efforts.
Multilateralism key to global growth: Experts (China Daily)
Multilateralism, exemplified by entities such as the Asia-Pacific Economic Cooperation, has significantly contributed to the advancement of regional and global economic growth in recent decades and should be firmly upheld by all, experts say. The APEC Economic Leaders’ Meeting in San Francisco in the United States will be held on Thursday and Friday. The regional economic forum was established in 1989 to leverage the growing interdependence of the Asia-Pacific.
Edward Tse, founder and chairman of Gao Feng Advisory Company, said that multilateral institutions are critical to regional and international development. Over the past few decades, the Asia-Pacific region has experienced significant economic growth, with APEC playing a pivotal role in promoting this development. Tse said multilateral institutions have the potential to lower or eliminate trade and tariff barriers within the region, facilitating intra-regional trade. Additionally, regular communication among countries through these institutions contributes greatly to economic globalization.
“Due to geopolitical tensions, certain countries have politicized economic issues in recent years,” he said. “However, I believe that most countries, especially developing countries, have recognized the benefits of cooperation among nations and global economic development.”
UNCTAD eWeek 2023 to mobilize global support for a more inclusive digital economy (UNCTAD)
Adapting to a fast-evolving digital landscape, the UN Conference on Trade and Development (UNCTAD) will debut its eWeek from 4 to 8 December, in a major revamp of its annual eCommerce Week series which began in 2016. Themed ”Shaping the future of the digital economy”, the UNCTAD eWeek will feature over 150 sessions focused on tackling pressing issues related to digitalization. Key topics will range from platform governance, the development impact of artificial intelligence (AI), eco-friendly digital practices, to empowering women through digital entrepreneurship and accelerating digital readiness in developing countries.
UNCTAD Secretary-General Rebeca Grynspan said: “The digital economy plays a critical role in advancing development goals at all levels. Through inclusive and multi-stakeholder discussions, we can together build a global digital future that works for all.” The weeklong event will gather governments, CEOs, heads of international organizations, civil society representatives and other stakeholders.
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Kenya, Uganda drive simplified trade regime for entrepreneurs (Nile Post)
The First Deputy Prime Minister for East African Community Affairs, Rebecca Alitwala Kadaga, has emphasised the potential for prosperity through the expansion of the regional market, which supports the production of goods and services.
This not only increases the purchasing power of the people but also promotes the production of quality and competitive products in the regional, continental, and international markets.
During the bilateral meeting held in Busia on the 9th, Kadaga and officials from Uganda and Kenya, along with the Joint technical staff from both countries, discussed bilateral issues and matters pending at the two borders.
Kadaga advised the delegations on the importance of continued cooperation among border communities to combat insecurity and promote prosperity.
Busia cross-border traders fear Kenya’s high oil prices will hurt border trade (The Standard)
Cross-border traders in Busia have raised concern over the increasing tariffs on petroleum, saying it will hurt the business between Kenya and her neighbour Uganda where Kenya earns in excess of $1 billion annually through exports. The traders who presented a memo to the two countries’ East African Community (EAC) Cabinet Secretaries Peninah Malonza (Kenya) and Rebecca Alitwala Kadaga (Uganda), said such tariffs should be revised to ease business.
“Many countries in the EAC have protectionist policies that protect domestic industries and discourage regional trade integration. The current high tariffs recently introduced in Kenya, for example, will hurt border trade with Uganda and beyond,” said Sylvanus Mbongo Abungu on behalf of the traders.
The traders engaged the ministers who were on a working tour at the Busia One Stop Border Point (OSBP) on Thursday. “The recent proposed change of Uganda fuel import associated with the high tariffs in Kenya will affect business in Busia and stifle integration,” said Mbongo. Uganda’s Ministry of Energy and Mineral Development has proposed a bill in Parliament that seeks to cut reliance on Kenya for importation of its petroleum products.
Their memo comes even as the land-locked nation, which imports 90 per cent of its petroleum through Kenya, seeks to cease its reliance on Kenya to access petroleum products citing an increase in pump prices.
Kenya explores cooperation in development of export markets (KBC)
Kenya is exploring cooperation in several areas connected to the development of export markets. These include accelerated development of industrial parks, improvement of quality assurance centres, support to structured commodities trading, regional trade insurance, and development of critical transport infrastructure.
Cabinet Secretary for Investments, Trade and Industry, Rebecca Miano spoke Sunday the 12th of November 2023 afternoon when she paid a courtesy call to the President of AfriExim Bank, Professor Benedict Oramah and his senior management team at their Cairo-based headquarters. During deliberations by the two parties, CS Miano advanced the case for projects of mutual interest in trade, industry and investment.
Once implemented, each of these areas of focus clearly betoken Kenya with the capacity to shore up her prospects in intra-Africa trade over and above other global export-related opportunities.
Rwanda’s biggest port to open in December (Freight News)
The inland Port of Rubavu which is expected to boost cross-border trade with Rwanda’s neighbour on the other side of Lake Kivu, the Democratic Republic of Congo (DRC), will begin operations in December. The acting mayor of Rubavu district, Déogratias Nzabonimpa, said a provisional handover is scheduled for November 30. “The port is 96% complete with some ongoing finishing works. “It will be handed over by the end of the month and the first ship, if available, will be allowed to access it by December 1,” Nzabonimpa said.
The port spans an area of two hectares. It will reduce the costs of trade flows along the lake, Africa’s eighth largest water body and biggest supplier of fish to Rwanda, as well as bolster the region as a tourism destination, he said.
Kenya agricultural commodities exchange to go live in 2024 (The East African)
Kenya’s planned agricultural produce exchange is scheduled to go live in February next year, the Trade and Investment Ministry said in a disclosure. The ministry said the Kenya National Multi Commodities Exchange (Komex) is scheduled to commence mock trading on January 29, 2024, and go live on February 26, 2024.
“The key objective of the Komex project is to provide regulated access to structured trading of multi-commodities, market information, domestic and international markets, trade finance, and trade support services for sector regulators and value chain actors (farmers/producers, aggregators, traders, consumers, and processors),” it said.
The commodities exchange will be an online marketplace where buyers and sellers can trade in commodities with an assurance of quality, delivery, and payment. “The exchange is committed to ensuring that the market is assisted with a modern market institution that will bring in much-needed integrity, by providing a guaranteed mechanism, for the quality, quantity, and payment,” the ministry said.
Duty-free goods cost KRA Sh30bn foregone tax (Business Daily)
The importation of duty-free agricultural products denied the government close to Sh30 billion in taxes, reflecting the high cost of cushioning Kenyans against the steep consumer prices. A report by the Treasury shows that tax expenditures, or foregone taxes, increased three times from Sh15.6 billion in 2021 to Sh45.5 billion last year after waiving duty on agricultural products.
Last year imports of animal feeds, vegetables, wheat, maize, edible oils, rice and sorghum, jumped 209 percent to Sh68.06 billion as the government put in place measures to lower the cost of living. The largest increase on tax expenditure was on Import Declaration Levy (IDL), charged at the rate of 3.5 percent on all imported goods, which increased by Sh10.2 billion to Sh11.8 billion. In 2021, the government did not collect IDL valued at Sh1.6 billion.
Tax expenditure on import duty, which can be as high as 50 per cent on maize imported from outside of the seven-member East African Community (EAC) and the Common Market for Eastern and Southern Africa (Comesa), was Sh13.6 billion up from Sh4.8 billion. Similarly, foregone taxes on Import value added tax (VAT) increased from Sh8.8 billion in 2021 to Sh17.2 billion in 2022, reads the 2023 Tax Expenditure Report.
Automakers’ drive to avoid China’s EV rare earth dominance gathers speed (Engineering News)
The auto industry’s drive to make electric vehicle motors with little to no rare earth content has hit high gear, with European, US and Japanese automakers and suppliers racing for alternatives in an area dominated by China. Automakers have mostly relied on motors with rare earth-based permanent magnets, which have been the most efficient at providing the torque to power EVs
But different types of motors without permanent magnets that were previously too big and too inefficient, or those with greatly-reduced rare earth content have become commercially viable, prompting the rush for alternatives. Market leader Tesla garnered headlines earlier this year saying it would cut rare earths from its next-generation EVs
China dominates the mining and processing of a group of 17 metals known as rare earths, though companies elsewhere are trying to loosen China’s grip.
Africa’s barter agreements not a solution to foreign currency crunch (The Africa Report)
For Egypt, a potential barter agreement with Kenya may allow it to import tea without further straining its overstretched foreign reserves. However, such deals are unlikely to go far in easing the hard currency crunch in Africa, experts say.
Think tank seeks ban on export of raw materials to boost earnings (The Standard)
A State-backed think tank is seeking amendments to the export laws to allow traders to sell only value-added produce to overseas markets. The changes will affect the Crops Act of 2013 and the State Corporation Act of 2019. The move, according to the Kenya Institute for Public Policy Research and Analysis (Kippra), aims to maximise the potential of the agricultural sector in favour of President William Ruto’s Bottom-up Economic Transformation Agenda (BETA). Coffee, tea, avocado and macadamia are the crops targeted by Kippra.
“Agricultural value addition provides a viable option for small-scale crop and fruits farmers to enhance product shelf-life and offer them a ready market for the produce, besides providing nutritious food,” reads the policy monitor document titled, Kenya @60 and Industrialisation Prospects under BETA published this month.
Kippra cites a report by the International Food Policy Research Institute (IFPRI), which estimates horticultural losses in Kenya to be 50 per cent, mainly due to poor storage, low-value addition and poor handling practices resulting in significant losses to the farmers. Therefore, it concludes, that value addition becomes important in this case as prioritised under the BETA plan.
Standard inspectors to support AfCFTA controls - Standards Authority (MyJoyOnline)
A Marketing Officer at the Northern Regional Office of the Ghana Standards Authority, Mahamud Misbaw, has stated that the recently commissioned Trading Standards Inspectors (TSI) of the Ghana Standards Authority will play a crucial role in checking AfCFTA controls at various markets nationwide.
Speaking at the 4th Quarter Northern Regional Shipper Committee meeting facilitated by the Ghana Shippers’ Authority (GSA), Mr. Misbaw noted that officers of the Ghana Standards Authority are equipped to identify substandard goods as well as the illegal use of its trade mark.
He emphasised that the certification of products in the name of AfCFTA on the market will also be scrutinized to prevent the nation from becoming a dumping ground for cheap and unwholesome products from the continent. “If you have the original AfCFTA certificate, it means that your goods have met all the required standards and are wholesome to be in the market. The certificate gives you the right to trade your product in all African states without any restriction,” he said.
He said that the Ghana Standards Authority aims to establish itself firmly across the country to safeguard consumers. “This move is to help Ghana Standards Authority to strengthen its activities in the regions.
South Africa’s AGOA forum: Crafting Future Pathways for U.S.-Africa Trade Partnership (Modern Diplomacy)
Ultimately the African Growth and Opportunity Act (AGOA) could be extended by 16 years, that means until 2041, indicating its importance for strengthening Africa’s trade and economic cooperation with United States. That was, in fact, the main focus during Johannesburg’s early November forum that brought together more than 30 trade ministers, astute investors plus representatives from the regional economic blocs and the African Union.
At the forum, Africa’s geopolitical alliance with collective expectations and ambitions to shape the long-term future trade and economic architecture was obvious, and this featured prominently throughout all the speeches and discussions. As an established fact, Africa trades more with the European Union and the United States, and now China, than any other countries in the world. That is the reality, despite the diverse interests and political preferences African countries have in this emerging reconfiguration.
Intra-Africa Trade Fair 2023
Wide-ranging discussions on trade and investment dominate on day five of IATF2023 (Afreximbank)
Attendees continued to hear wide-ranging discussions and comments on trade and investment issues on the fifth day of the third Intra-African Trade Fair 2023 (IATF2023) in Cairo yesterday.
IATF2023 attendees were treated to a panel discussion on ‘The role of the AfCFTA in Accelerating the Implementation of African Development Agenda 2063’. The panellists said that political will was a crucial factor for success. Yahya Al-Wathiq-Bellah, Head of the Egyptian Commercial Representation Service, emphasised the importance of political will throughout the entire structure and Nardos Bekele Thomas, CEO of the African Union Development Agency- NEPAD, said that a conducive environment and willingness of governments to honour their commitments were crucial.
Kanayo Awani, Executive Vice President, Intra-African Trade Bank, at the African Export-Import Bank (Afreximbank), said that financiers played a crucial role in protecting the African continent from the adverse effects of supply chain disruptions. Ms. Awani argued that there was need to “reverse engineer” colonial trade routes, which were established without consideration for the African population. “We support that with financing but it has to be a collective effort,” she said.
Responding to the panellists, Albert Muchanga, African Union Commissioner for Economic Development, Trade, Tourism, Industry and Minerals, announced some upcoming projects aimed at ensuring harmonisation of regulations, including a ‘Made in Africa’ strategy. He also stressed the need to include the private sector in state-level negotiations, adding, “A time should come when our governments must say the private sector will be informed about the outcome of negotiations.”
ECOWAS, Afreximbank and UNECA unveil Study on Informal Cross-Border Trade in West Africa (ECOWAS)
The Economic Community of West African States (ECOWAS), African Export-Import Bank (Afreximbank) and the United Nations Economic Commission for Africa (UNECA) unveiled a study on Informal Cross-Border Trade (ICBT) in the ECOWAS Region at the ongoing 3rd Intra-African Trade Fair in Cairo on November 12, 2023. The study was launched from 2019 to 2023, with the objective of collecting ICBT data along the Abidjan-Lagos Corridor (ALCO) to measure the volume of trade.
In her statement at the unveiling ceremony, Mme Massandjé Toure-Liste, the Commissioner for Economic Affairs and Agriculture of the ECOWAS Commission, highlighted that in view of the importance of informal trade, the ECOWAS Commission established the Informal Trade Regulation Support Program (PARCI/ITRSP) to leverage the informal sector for increased intra-regional trade.
Afreximbank commits $2 billion as partners sign agreement for Export Agriculture for Food Security Initiative (Afreximbank)
The African Export-Import Bank (Afreximbank) yesterday in Cairo, entered into a framework agreement for the Export Agriculture for Food Security (ExAFS) Initiative with ARISE Integrated Industrial Platforms (ARISE IIP) and the governments of Chad, Malawi, Zimbabwe and Egypt. The initiative seeks to initiative to improve food security in Africa.
At a ceremony on the fifth day of the third Intra-African Trade Fair (IATF2023), Prof. Benedict Oramah, President and Chairman of the Board of Directors of Afreximbank, signed the framework agreement on behalf of the Bank.
The initiative is intended to help address food insecurity in Africa, which includes a near 20 per cent hunger rate, by reducing dependence on other regions for much needed food commodities. ExAFS will also increase sales, lead to better prices, and improve profitability for Africa’s agricultural value chain stakeholders.
It will leverage upon the establishment of agricultural transformation centres (ATCs) – under a public-private partnership model – in agricultural production zones to provide facilities for agricultural produce from farming communities to be collected, sorted, stored, and transported as raw material for processing or distribution. ATCs will also provide additional services to farmers, including micro finance, basic social services, cold storage facilities, extension services and training.
Automotive industry holds key to drive intra-Africa trade (Freight News)
The automotive industry is one of four priority sectors that offer opportunities to boost intra-African trade, the African Continental Free Trade Area (AfCFTA) secretariat. Themba Khumalo, a representative of the AfCFTA secretariat, said this during the Auto Forum held on the third day of the Intra-African Trade Fair (IATF 2023) in Cairo last week. He emphasised that extensive research had highlighted the potential of the automotive sector to drive increased trade between countries.
Khumalo said improved logistics is the most important factor to boost the automotive industry, and Africa already spends $47 billion on transport and logistics. The development of efficient trade and transport corridors, customs procedures, and the use of modern technology to facilitate trade in the African market was also key to boosting intra-continental imports and exports, he added.
AfCFTA to lift 30 million Nigerians, Africans out of poverty by 2035 (Nairametrics)
The Chairman of the Board of Directors and Advisory Board at the Africa Private Sector Summit, Professor Kingsley Moghalu, has said that when fully implemented, the African Continental Free Trade Area would bring 30 million Africans including Nigerians out of poverty by 2035. He made this known in a statement while speaking at the AfCFTA Joint Private Sector Session during the 2023 Afreximbank Intra-African Trade Fair in Cairo, Egypt, a report by NAN stated.
Moghalu emphasized the necessity of adopting the PSBoR as a complementary instrument alongside the Regional Economic Communities (RECs) and the African Continental Free Trade Agreement (AfCFTA) to shape the desired future for Africa.
According to him, the Private Sector Bill of Rights (PSBoR) is critical in fostering economic growth, combating poverty, and positioning Africa as a thriving business hub. In outlining the interconnectedness of the PSBoR with the RECs and AfCFTA, Moghalu stressed that its adoption would contribute to thriving businesses, increased tax revenues for governments, and the sustainability of capital markets.
AfCFTA can break Africa’s colonial legacy of exporting raw materials and importing finished goods, IATF2023 participants hear (Afreximbank)
Africa Energy Bank to reduce dependence on foreign funding in the offing (BusinessGhana)
Egypt aims to boost petrochemical, fertilizer exports to Africa by 10% in 2024 (Ahram)
Africa Investment Forum secures $34.82 billion in investor interest (AfDB)
The Africa Investment Forum’s 2023 Market Days generated $34.82 billion in investment interest for infrastructure, agriculture, health, and creative industry projects. The three-day global event, with the theme “Unlocking African Value Chains,” ended on Friday in the Moroccan city of Marrakech, the event drew over 1,000 delegates from more than 60 countries.
“We are building a formidable powerhouse around investments in Africa, that will deliver transformative impacts on the lives of people. That is the bottom line of the Africa Investment Forum: investing to improve lives,” said African Development Bank Group President, and Chairperson of the Africa Investment Forum, Dr. Akinwumi Adesina.
Is Africa still caught in Russian-Ukrainian grain battle crossfire? (The Africa Report)
Negotiations on the Black Sea grain corridor have not been renewed, and the critical dependence of African countries on Ukrainian and Russian grains remains a pressing issue. The previous agreement provided Russian President Vladimir Putin with diplomatic leverage to obtain certain privileges and favours, such as the export of his wheat and fertilisers or the reintegration of the Russian agricultural bank, Rosselkhozbank, into the Swift banking network. From Russia’s point of view, the game played by Ukraine and the Euro-Atlanticists has a lot to do with the current stalemate.
According to a statement from Putin on 17 July, more than 90% of the grain shipments resulting from last year’s agreement – made up of wheat, barley, sunflower and, above all, maize – were supplied to Europe and other wealthy countries, even though they had previously been destined for developing countries.
While the chairman of the African Union (AU) Commission, Moussa Faki Mahamat, has called for a return to normal – not without first expressing his concern about the consequences – Guinea has already taken the decision, on 17 July, to ban the export of several foodstuffs (including rice, maize, cassava, potatoes, palm oil, okra, tomatoes and aubergines) from its territory to ensure its food security.
The fact that so many African countries are so dependent on wheat from two countries that have been at war for the past two years is a strategic error, which undoubtedly reflects a failure of food policies on the continent.
WFP says food insecurity to remain high in East Africa until early 2024 (Xinhua)
The World Food Program (WFP) said on Monday that food insecurity levels across East Africa are likely to remain high through early 2024 despite the decrease observed since the peak of the lean season in 2022.
The WFP said in its food security update that protracted and newly emergent conflicts, persistent fragile macroeconomic conditions, and high cost of living will continue to impact the food security and nutritional status across the East Africa region. “Ethiopia, Somalia, South Sudan, and Sudan remain key countries of concern moving into 2024.”
In addition to macroeconomic factors, the WFP said conflicts in Ethiopia, South Sudan, and Sudan are likely to exacerbate the needs of the most vulnerable, such as the displaced populations and refugees. Some 62.6 million people were food insecure as of September, with four of the nine countries in the region -- Ethiopia, Somalia, South Sudan, and Sudan -- among the worst affected by the global food crisis, the WFP said.
Ahead of COP28, developing countries want fairer supply chains on the agenda (Energy Monitor)
This year’s annual UN climate summit, COP28, is taking place in the United Arab Emirates (UAE), a host choice that will highlight the role of fossil fuel extractors in the energy transition. However, while the UAE has been greatly enriched by its fossil fuels, this has not been the case for every fossil fuel-rich country. Nowhere is this more famously the case than in Nigeria. Now, as critical minerals and cleantech replace fossil fuels as the building blocks of the world’s energy system, resource-rich Africa is keen to make sure this pattern does not repeat itself and cleantech supply chains deliver local benefits.
Already, patterns of wealth accumulation for these new resources are showing familiar ownership patterns. Energy Monitor recently identified the top ten countries by ownership of critical minerals reserves – and there is a clear mismatch with those countries that actually own the supply chain. Critical minerals such as copper, lithium, manganese and nickel are essential to the development of technologies behind solar PV, wind energy, electric vehicles (EVs) and energy storage. China, Europe and North America dominate these cleantech supply chains.
Amani Abou-Zeid, the African Union’s Commissioner for Energy and Infrastructure, said at the Vienna forum she wants fairer value chains to be addressed at the COP28 summit in Dubai starting at the end of this month.
“We have great opportunities [in Africa], including an abundance of renewable energy resources and development minerals, but we are not seeing development on our continent as we would have wished it to be,” she said. “The challenge will be that we are smaller economies and not necessarily connected. Half of our population doesn’t have access to electricity. We are not in a discussion about transition, we are still at the level of access.”
Plastic-free planet: Like-minded group of countries demand changes to zero draft (Down to Earth)
The inaugural day of the third session of the Intergovernmental Negotiating Committee (INC) to combat plastic pollution, particularly in marine environments, opened with a powerful address from Kenya’s President William Ruto. Delegates, gathered to forge a legally binding instrument to address plastic pollution, received a stark reminder from President Ruto of the alarming reality: The world is generating close to 400 million tonnes of plastic annually, a figure that could triple if business continues as usual.
The President highlighted the disconcerting statistics of plastic waste mismanagement: Less than 10 per cent is recycled, 46 per cent ends up in landfills, 22 per cent is mismanaged and 17 per cent is incinerated. Equally alarming is the fact that over 23 million tonnes of plastic waste infiltrate our water bodies each year. Ruto emphasised the interconnectedness of plastics and climate change, cautioning that by 2030, plastic could contribute up to 19 per cent of total greenhouse gas emissions
As the committee commenced its work, the chair strategically pointed out that provisional application of the draft rules of procedure, especially Rule 38.1, requires further discussion. Rule 38.1, a subject of debate at the previous INC meeting in Paris, became a focal point. India, opposing its adoption, hinted at potentially obstructing progress if invoked before the final adoption of the rules of procedure.
Seaweed, spice, and everything’s price: Trade across Africa (CNN)
India set to host Voice of Global South Summit on Friday (The Week)
India is set to highlight challenges, concerns and priorities of the developing countries at the second edition of the ‘Voice of Global South Summit’ it is hosting on Friday in the virtual format, over two months after the African Union was inducted as a permanent member of the G20 under New Delhi’s presidency of the bloc.
Prime Minister Narendra Modi is likely to preside over the summit that is expected to be attended by a host of leaders from the developing countries, people familiar with the matter said on Tuesday.
India hosted the first edition of the ‘Voice of Global South Summit’ under the theme ‘unity of voice, unity of purpose’ on January 12 and 13. The second edition of the summit will take place on November 17, they said. The aim of the initiative was to bring together countries of the Global
Youth Trade Summit emphasizes contribution of youth to the trade and gender debate (WTO)
The Youth Trade Summit on Gender taking place at the WTO on 13-14 November aims to highlight young people’s perspectives on women’s economic empowerment. “This is the first time the WTO is organising such a landmark event involving young people from all over the world. They have a crucial role to play in shaping nations,” Deputy Director-General Xiangchen Zhang said at the opening ceremony. Also at the opening was Xiana Méndez Bértolo, Spain’s Secretary of State for Trade, who underlined the importance of reducing the gender gap.
“Trade is a catalyst for women’s economic empowerment,” DDG Zhang told participants. “There is an increasing need to have more women in the global economy. The more they are involved, the more economies grow.”
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pdf Government clarifies AgriBEE requirements for agricultural exports to the European and UK markets (241 KB) (Department of Agriculture, Land Reform, and Rural Development)
The Department of Agriculture, Land Reform, and Rural Development recently published two gazettes outlining the procedure for exports from SACU and Mozambique to the EU and the UK, respectively, to take advantage of preferential Tariff Rate Quotas (TRQ) for certain agricultural and agro-processed products.
The weekend newspapers misrepresented the government's message about the procedure and annual application for export permits to the European Union (EU) and United Kingdom (UK) markets.
The department publishes the procedural requirements on an annual basis for the permitting system. Amongst the requirements, an applicant must comply with any sanitary and phytosanitary requirements, rules of origin and a number of other factors contained in the bilateral agreements. The allocation of these quotas take into account the market share of the applicants, the quota applied for, the total available quota, the number of applicants and the BBBEE status of the applicant. These requirements are not new and mirror the previous years’ requirements.
To contextualise these requirements few important factors must be outlined:
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These requirements are not new, and there is no threshold or level that an applicant must reach to be awarded a permit
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The scope of the notices and Gazettes do not apply to all exports but merely to those products contained in Table 1 (part of the notices in the Gazettes – this excludes fresh fruit but still applies to several of our key exports) exported to the EU or UK under the preferential Tariff Rate Quota
“Given the sensitive nature of the discussions, we appeal to political parties to refrain from making incorrect comments as these may harm the sector’s prospects as these agreements are reviewed... The department is committed and will continue to ensure all farmers enjoy access to EU and UK markets,” said Didiza.
Ghana must lead the way for visa-free travels in Africa (Ghana News Agency)
Following the establishment of the headquarters of African Continental free Trade Area in Ghana, Mr Prince Bagnaba Mba, President of Forum for Equity, a human rights Non-Governmental Organisation has appealed to the Government to spearhead its implementation. “Ghana should be in the vanguard for the acceleration of continental emancipation for free movement and unity by intensive advocacy for the cancellation of visa fee for all Africans and the African in the diaspora.
In a statement copied to the Ghana News Agency on Thursday in Accra, Mr Mba said much as governments of member AfCFTA countries were doing everything possible to realise their dreams, much was yet to be realised from the continental free trade across colonial demarcated borders of the continent.
Inside Kenyan firms’ pact with continental bank to unlock trade (The Standard)
As a new Africa-wide trade pact takes effect, Kenyan manufacturers are now looking for ways to position themselves strategically to maximise the benefits. The Kenya Association of Manufacturers (KAM) has entered into a memorandum of understanding with the Africa Export-Import Bank (Afreximbank), which is expected to provide a fresh growth stimulus for the local manufacturing sector, with significant potential in intra-African trade across all subregions.
The manufacturer’s lobby says that the collaboration with Afreximbank will not only streamline trade financing and enhance capacity building, but also furnish valuable trade data. This will empower Kenyan manufacturers and businessmen to engage in cross-border trade with greater efficiency. “This creates a very good framework for us to cooperate with Afreximbank,” says Mr Mwangi.
“As a bank, they have a lot of data on trade flows from West to East, East to West, North-South and we want to work with them to understand how the trade in Africa is happening.”
According to Benedict Oramah, the President of Afreximbank, there is a need for African countries, including Kenya, to implement measures that will give significance to the free trade agreement.
Tanzania, Uganda sign gas pipeline deal (The East African)
Tanzania and Uganda on Thursday signed a bilateral agreement to construct a natural gas pipeline that will boost energy security and economic growth in both countries. The pipeline will transport natural gas from Tanzania’s southern regions to Uganda, where it will be used to power factories and generate electricity. The project is also expected to create jobs and attract foreign investment.
The agreement was signed on behalf of Tanzania by Energy Minister Doto Biteko and Uganda by Minister of Energy and Mineral Development, Ruth Nankabirwa.
Speaking at the signing ceremony, Biteko said the project will increase the demand for natural gas and boost gas extraction in Tanzania’s Lindi and Mtwara regions. He also said that Kenya and Botswana have expressed interest in Tanzania’s natural gas. Biteko urged investors to come and invest in the natural gas sector, noting that gas processing has reached 250 million cubic feet per day, with 80 percent used for electricity generation and 20 percent for industrial, household, and transportation use. Biteko said that the agreement is based on a Memorandum of Understanding (MoU) signed by the two countries in August 2018, and that the two countries will work together on a feasibility study to assess the project’s design, gas demand, pipeline size, and other important factors.
Sower of discord disrupts commodity outflows from the DRC (Freight News)
As much as 81 000 tonnes of copper and cobalt mined in the Democratic Republic of the Congo (DRC) were prevented from being exported for a period of ten days because one man with ulterior motives managed to disrupt cross-border road freight through Zambia.
Mike Fitzmaurice, chief executive of the Federation of East and Southern African Road Transport Associations (Fesarta), said combined losses of about $13 million had been incurred by transporters not getting their loads to various ports in time. He said about 2 700 trucks had been prevented from moving when one Steven Masunga, who has had previous scraps with the law, managed to persuade mostly Zambian drivers that mines in the DRC are paying $800 in risk assurance to transporters carrying high-value minerals in the Southern African Development Community (SADC).
The Tanzanian national used his network of influence, mainly via WhatsApp, to sow such discord that a phalanx of drivers fell for his story that the $800 in risk fees should be paid to them. “It’s utter nonsense,” Fitzmaurice said. “Masunga is a career criminal sought in several SADC countries. He operates mainly out of Zambia and had pictures of himself shared via social media, creating the impression that he was on a private plane heading towards Kinshasa to meet with the DRC’s ministers of finance and mining whom he professes to know.
World Bank: boosting growth and reducing vulnerability in Chad (World Bank)
Chad’s economy is facing multiple, and often interrelated challenges that have slowed down its growth, according to the latest Chad Economic Memorandum (CEM) titled “Boosting growth and reducing vulnerability” published by the World Bank. Furthermore, up to 3.34 million additional people in Chad could fall into poverty by 2050, due to shocks linked to climate change, if urgent adaptation measures are not put in place, as estimated by the same institution in the Country Climate Change and Development Report (CCDR) for the G5 Sahel countries: Mauritania, Burkina Faso, Mali, Niger and Chad. These two reports will be presented respectively on November 13 and 14, 2023 during an event attended by representatives from the Government, the private sector, civil society, and academia.
The Country Economic Memorandum identifies insecurity, over-reliance on oil revenues and failure to use those revenues to bolster broad-based economic growth, climate change and variability, weak public finance management and business environment, as well as limited physical and human capital, as the country’s main growth constraints. Increasing insecurity within Chad and in neighboring countries also constitutes a significant driver of short-term growth volatility.
”Chad would benefit from urgently implementing strong reforms in various sectors, including oil, infrastructure, education and employment, as well as strengthening security and resilience to climate change, in order to trigger structural transformations that will enable the country’s economic transition.” says Fulbert Tchana Tchana, Program Leader for the Equitable growth, Finance and Institutions Global Practice for the central Sahel countries.
The Mohammed VI Investment Fund (FM6I) and the African Development Bank are joining forces to increase funding sources for productive investment and to strengthen the role of the private sector in the Moroccan economy. The institutions signed a Letter of Intent during the Africa Investment Forum 2023 Market Days, held from 8-10 November in Marrakech, Morocco.
The Mohammed VI Investment Fund has launched three major initiatives to catalyse productive investment in Morocco:
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It is currently finalizing the selection process for management companies responsible for managing thematic and sectoral funds, aimed at offering Moroccan companies funding solutions to enhance their capacity for investment, to create long-term jobs and to develop their activities in new geographical markets.
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A subordinated debt product, which will supplement its equity financing offer, will also enable Moroccan businesses to fund their investment projects while increasing their equity at the same time.
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The Fund is developing innovative tools for infrastructure project preparation and to take a stake in these projects to speed up the pace of sustainable infrastructure project implementation in Morocco.
Africa Automotive Show highlights continent’s need to make the most of its resources (IOL)
It is absolutely vital South Africa speeds up policy decisions and actions to facilitate the manufacture and transformation process to battery electric vehicles while, simultaneously, Africa needs to collectively and collaboratively adopt policies to beneficiate its raw materials.
Across the two days of the Africa Automotive Show that forms part of the Intra Africa Trade Fair (IATF), the sentiment from most of speakers reflected this with Dr Marit Kitaw a director of the African Minerals Development Centre saying: “If you do not add value to your raw minerals you are not doing anything for your people. “To retain value, you need to do value addition that creates jobs and allows for skills transfer.”
The automotive potential in Africa remains largely untapped and it has an extremely young population compared to the average age statistics on other continents, meaning there is a constantly growing segment ready to become fully mobile – Cairo, for example, has a population of 20 million people and is possibly the largest mobility market in Africa, although it is estimated Lagos, Nigeria will be the world’s largest city within the next decade.
Africa ministers seal pact on building digital infrastructure (CAJ News Africa)
Some African Ministers of Communications and Digital Technologies have committed to collaborate and align their countries’ policies and strategies to promote the development of future-oriented digital infrastructure in the continent. This is in line with the African Union Agenda 2063, the African Telecommunications Union (ATU) Strategic Plan 2020-2024, and the United Nations Sustainable Development Goals (UN SDGs).
A communique has been signed after the Ministerial Forum on Building a Future-Oriented, Digital Infrastructure for Africa, co-organized by the ATU and the Department of Communications and Digital Technologies (DCDT) of South Africa.
The forum in Cape Town, held with the aim of advancing the digital transformation agenda in Africa, consisted of keynote speeches by John Omo, Secretary-General of ATU and Ministers/Deputy Ministers from Botswana, South Africa, Tanzania and Zimbabwe. They pledged to create an enabling environment for future-oriented digital infrastructure development, including through fostering a conducive regulatory framework and mobilising adequate resources. The officials recognised the importance and benefits of a future-oriented digital infrastructure such as Network and Cloud in Africa for enhancing social welfare, economic competitiveness, regional integration and sustainable development.
“We acknowledge that future-oriented digital infrastructure is not only a means to an end but also an end in itself, as it can improve the quality of life and well-being of the people of Africa,” the communiqué read.
Northern Corridor States Meet in Kampala over Regional Railway, Road Projects (ChimpReports)
Meetings of the Northern Member States on the development of the Standard Gauge Railway and Regional Road Projects between Uganda, Democratic Republic of Congo, Kenya and South Sudan have opened in Kampala, Uganda. The Northern Corridor Transit and Transport Agreement (NCTTA) is a multilateral treaty to facilitate transit cargo between the Kenyan Port of Mombasa and the hinterland of Member States namely Burundi, Democratic Republic of Congo, Rwanda, Uganda and South Sudan.
It provides a mechanism for facilitating transit trade to the landlocked countries through the port of Mombasa.
Prior to the treaty, transit trade operated on the basis of bilateral agreements, which did not offer a coherent framework for standardised services and transit trade procedures across the different Member State territories.
The Coordinator of the Northern Corridor Infrastructure Projects, Amb. Richard Kabonero, said investing in infrastructure links within the region is critical to unlocking the region’s economic potential. He said, “By prioritising the development of roads, railways, waterways, aviation, and ICTs, we can reduce the cost of doing business, increase trade, and stimulate economic growth.”
The Northern Corridor is multimodal, consisting of road, rail, pipeline, and inland waterways transport, and is recognised as a significant corridor for logistics in East Africa.
Why China is on track to control African mineral transport route via Tazara line (South China Morning Post)
Observers have said the funding for the railway pointed to Beijing’s keen interest in using Tazara for mining exports from Zambia and the Democratic Republic of the Congo. Competition in the area with both the EU and the US has intensified recently as the race for critical minerals used in the production of electric vehicle batteries heats up.
“The Chinese investors have made it unmistakably clear in previous negotiations that Tazara is no longer considered an aid project but that it must be a commercially viable venture,” said Zajontz, who is also a research fellow in the Centre for International and Comparative Politics at Stellenbosch University.
Busia cross-border traders fear Kenya’s high oil prices will hurt border trade (The Standard)
China is winning Africa’s “white-gold” rush for lithium (The Economist)
Today the rush is on for “white gold”. Every day scores of lorries rumble through Goromonzi, carrying lithium bound for China, where most of the metal is refined for use in batteries for electric vehicles and electronics. They carry loads from Arcadia, Africa’s biggest lithium mine, opened this year by Zhejiang Huayou Cobalt, a Chinese firm. “China is buying any lithium it can find,” says a local industry insider. “There’s an absolute feeding frenzy.”
China’s dash for lithium is part of a bigger challenge for the West. America and its allies want to weaken China’s grip on clean-energy supply chains. They see Africa, home to perhaps 30% of the world’s critical mineral reserves, as part of the solution, and argue that they can do more to help African countries add value to minerals before export.
Regular migration is an opportunity for trade and regional integration under the AfCFTA (UNECA)
The free movement of people across borders is an opportunity to boost intra-African trade and regional integration, a review of a regional migration pact has revealed. A side event organised by the Economic Commission for Africa, the African Union Commission and the International Organisation for Migration (IOM) on the 8th PAN AFRICAN FORUM ON MIGRATION (PAFoM) conference heard that how regular migration could help boost intra African trade and promote regional integration.
The meeting with the theme “Bolstering Free Movement and Trade Nexus in AfCFTA: Optimizing Benefits of Migration, Labour Migration for Development”, brought together key stakeholders, Global Pact for SAfe, Orderly and Regular Migration (GCM) Champion Countries and Youth Representatives in Africa. The meeting noted that the implementation of the GCM will contribute toward promoting free movement and labour mobility, which in turn would lead to sustained, inclusive economic growth and productive employment for all. It will also contribute to the achievement of SDGs on reducing inequality and eradicating extreme poverty.
Ms. Cisse underlined that it is extremely critical to keep women and youth at the centre in policy decisions and programming as those are mostly impacted by migration. Considering this, leveraging these opportunities calls for a deliberate, strategic, collaborative, and coordinated approach of all stakeholders.
Africa should prioritize the implementation of the Addis Ababa Declaration on Population and Development (AADPD) which is key to the achievement of the Sustainable Development Goals and the African Union Commission Agenda 2063, population experts have urged. Meeting at the 10th Africa Regional Review meeting of the AADPD, the African Population Experts Committee (APEC) called on African governments to fulfill the principles of the declaration and to tap the youth dividend to accelerate sustainable development.
The 10th Africa Regional Review of the DPD was jointly organized by the ECA, the AUC), the United Nations Population Fund and the Zambian Government to take stock of progress since the 5-year review and identify best practices that have advanced the implementation of the declaration.
The 10-year review of the AADPD aimed to facilitate an in-depth review of the implementation of AADPD, based on the Operational Guide, Monitoring and Evaluation Framework, and national review guidelines. In addition, it was to review Member States’ progress in the implementation of key recommendations of the 2018 AAPD review as well as voluntary commitments member states made during the ICPD’s 5-year commemoration in November 2019. The meeting identified gaps, lessons learned, and emerging issues in the implementation of AADPD. The meeting identified challenges hindering progress and put forth recommendations for each of the six pillars of the AADPD based on the findings of national review reports.
A New Country is Set to Join the East African Community (RegionWeek)
The Federal Republic of Somalia could become a member of the East African Community (EAC) in November 2023, said the region’s Secretary General, Peter Mathuki, at the Africa Investment Forum in Marrakech, Morocco. Mathuki stated before a panel on November 9 at the Africa Investment Forum in Marrakech, Morocco, that Ethiopia has indicated interest in joining the bloc, which is aiming to reach the whole Horn of Africa, after Mogadishu.
“The East African Community is one of the building blocks of the African Union and it’s fast-growing. We have DR Congo as the latest member, plus Kenya, Uganda, Tanzania, South Sudan, Burundi, Rwanda, and Uganda. That is a market of around 300 million people. And this November, we are likely to admit Somalia into the Community. The coastline of the East African Community will stretch almost 500,000 kilometers. And we look forward to more expansion; we are looking at Ethiopia, which has shown interest in joining the Community. So, at the end of the day, we are looking at a market of close to 700 million people,” he said.
Kiir to take over EAC leadership as states default on dues (The East African)
South Sudan is taking over the mantle of the East African Community amid pressure to show integration credentials and pay up arrears for bloc membership. President Salva Kiir who is due to become the new Chair of the EAC Summit could either use the occasion to prove doubters wrong or expose the soft underbelly of Juba on regional scale.
South Sudan remains the biggest defaulter of membership fees with a total of about $30 million, - after paying $7 million this week. The Democratic Republic of Congo is yet to contribute anything from its $14.7 million arrears. Burundi owes the bloc $15.5million, Tanzania $123,694, Rwanda owes $7.3 million while Uganda is yet to pay $6.1 million. Kenya has the least burden with just $20 pending.
But the issue of paying up also reflects on the importance members attach to the bloc. DRC officials last week said they had yet to see the best of the Community even though a government spokesman said they will stick in the bloc.
This week, lawmakers at the East African Legislative Assembly (EALA) tabled a motion to call the Council of Ministers to suspend member states that are yet to fulfill their financial obligations.
Annual COMESA monetary cooperation and integration meetings concludes (COMESA)
The annual meetings of the COMESA Monetary Cooperation and Integration concluded on Friday, 10 November at the Victoria Falls, Zimbabwe with the 27th meeting of the COMESA Committee of Governors of Central Banks. The Governors reviewed and adopted the report of the 27th Meeting of the COMESA Committee of Experts on Finance and Monetary Affairs which preceded this meeting. Key issues included progress reports on the activities of the COMESA Regional Payment and Settlement System (REPSS), the COMESA Monetary Institute and the COMESA Clearing House.
“Our agenda of pursuing deeper financial and monetary integration requires establishing macroeconomic stability, financial system soundness, introduction of compliance with various international standards and practices in the financial sector to ensure regional harmonization,” said Dr. John Mangudya, Governor of the Reserve Bank of Zimbabwe and outgoing chair of the COMESA Committee of Governors.
In her statement the Secretary General of COMESA Chileshe Mpundu Kapwepwe, urged the Governors to encourage other Central Banks that are not live on the REPSS system to join. “This will ensure that the real benefits of implementation of REPSS are realized including but not limited to guaranteeing prompt payment for exports as well as other transfers and eliminating mistrust among traders as there is Central Bank involvement,” she said in the statement presented by her Assistant Dr Dev Haman who is also in charge of administration and finance. Currently, nine member countries are live on the REPSS system, and the value of transactions processed are slowly increasing.
The Southern African Development Community (SADC) Secretariat has provided technical assistance to Angola, Botswana, Eswatini and Malawi in developing National Financial Inclusion Strategy (NFIS) with a view to improving access, uptake, and utilisation of quality financial services and products for consumers and Small and Medium Enterprises (SMEs) for effective participation in the SADC Industrialisation Strategy and Roadmap.
The marginalised and vulnerable population within the SADC Region faces several impediments that include inadequate financial infrastructure, limited financial literacy, high transaction costs, rigid regulations, and discriminatory practices that deter access to financial services.
SADC has recently concluded its support to Botswana in developing its National Financial Inclusion Strategy and Roadmap (2024– 2030) with the aim to reducing poverty, promoting economic growth, and increasing financial stability. Addressing delegates at the validation workshop for the Botswana National Financial Inclusion Strategy (2024– 2030) in Gaborone, Botswana on 10th November 2023, Mr. Rado Razafindrakoto, Programme Officer, Financial Sector at the SADC Directorate of Finance Investment and Customs, said the SADC Region has achieved significant reduction in financially excluded adults from 43% in 2011 to 27% in 2022.
ECOWAS Administration and Finance Committee (AFC) concludes 34th Meeting In Abuja (ECOWAS)
The Economic Community of West African States (ECOWAS) Administration and Finance Committee (AFC) successfully concluded its 34th meeting at the ECOWAS headquarters in Abuja, Nigeria. The meeting addressed a comprehensive agenda aimed at advancing the economic and organisational priorities of the West African region.
H.E. Ambassador Yakubu A. Dadu, PhD, Chairman of the AFC and Head of the ECOWAS National Office in Nigeria, presided over the closing ceremony.
Ambassador Dadu commended the members of the committee on their comprehensive examination of pivotal matters, underscoring the significance of protecting ECOWAS citizens, attaining fiscal prudence, and enhancing administrative efficacy. He emphasised the importance of AFC decisions being in accordance with the priorities of member states and urged all parties to work together in order to ensure the effective execution of these decisions.
Morocco ranks among the world’s top trade connector countries (Atalayar)
An article published in Bloomberg identified the five key countries that have undergone major changes in the global trading system since the pandemic. The paper explains the reasons for Morocco’s growth thanks to its deep supply chain infrastructure and, more importantly, how they successfully manage the nature of geopolitics, competing trading blocs and the resulting diplomatic upheavals.
“Regardless of their policies and backgrounds, they share an opportunistic desire to capitalise on economic crises by positioning themselves as new links between the United States and China, and Europe with other Asian economies,” reads the paper published in Bloomberg. “In Morocco’s case, we engage diplomatically and economically in cooperation with a variety of partners, from the G7 to the BRICS (Brazil, Russia, India, China and South Africa) and the African Continental Free Trade Area (AfCFTA),” it continues.
The Role Of AGOA In Accelerating Africa’s Digital Transformation (The Reporter Ethiopia)
Other initiatives include Prosper Africa, which is supporting trade and investment between African countries and the US in the ICT sector; the Millennium Challenge Corporation (MCC), which is addressing digital transformation priorities, regulations, and private sector investment; and efforts by the US Trade and Development Agency (USTDA) to boost the digital economy and infrastructure. To promote utilization of the agreement and further bolster trade, US government programs also facilitate collaboration with African countries through various trade capacity-building programs, including to construct infrastructure, invest in agriculture, and support small and medium-sized enterprises (SMEs).
The Growing Cyber Threat To Global Shipping (Barron’s)
The cyberattack that paralysed several major Australian ports was a sharp reminder of what governments and experts say is a growing threat to shipping, the lifeblood of the global economy. The attack on DP World’s ports -- which handle 40 percent of Australia’s freight trade -- forced them offline for days and was the latest in a series of breaches at ports around the world in recent years.
Cyberattacks have disrupted or halted operations at some of the world’s busiest ports in recent years. There have also been cyberattacks at major ports in the Netherlands, Canada, India, South Africa and the United States.
Shipping is crucial to the global economy, moving more than 80 percent of trade in goods, according to the UN’s trade body UNCTAD. And the entire infrastructure contains what experts have described as single points of failure -- where one cyberattack at a port can cause a logistical nightmare across the supply chain.
Automation and connectivity in global maritime operations have increased rapidly in recent years, linking everything from cargo-handling machines at ports to traffic control in waterways to sensors on ships. While that has boosted efficiency, security firms and government bodies have warned that there are now more points for cyberattackers to target.
APEC Reaffirms Backing for WTO Program, E-Commerce Initiative (Mirage News)
APEC expresses its support for the negotiations underway at the World Trade Organization (WTO) on the Joint Statement Initiative (JSI) on E-commerce and encourages participants to accelerate discussions towards an outcome that is balanced, inclusive and meaningful for consumers and businesses.
Ahead of APEC Economic Leaders’ Week in San Francisco, the Committee on Trade and Investment and the Digital Economy Steering Group issued a statement encouraging more WTO members to participate in the JSI on E-commerce to further expand its benefits, and to intensify discussions on the moratorium on customs duties on electronic transmissions.
“E-commerce drives economic activity and provides more opportunities for businesses and our communities to participate in global markets,” said Blake Van Velden, Chair of the APEC Committee on Trade and Investment.
COP28 tasked with finding consensus on first global stocktake to meet Paris goals (Hindustan Times)
The first global stocktaking of the progress made on containing climate change, expected to conclude at the UN summit in Dubai in a few weeks, has received polarising views from nations that are signatories to the 2015 Paris Agreement.
India has underlined that equity, fair share of the global carbon budget, and obligations of developed country parties to provide finance for transition and technology transfer will be critical to address in the global stocktake (GST). In its submission to the United Nations Framework Convention on Climate Change (UNFCCC) in September, India said equity has to be designed in the GST.
Developed country parties must lead in the ambition of their climate action and support, and their efforts to achieve or exceed their commitments on mitigating the impacts of the climate crisis, India said.
Global South campaigners march in Kenya amid calls to phase out plastics (Xinhua)
Hundreds of green campaigners drawn from the Global South marched through the streets in the Kenyan capital of Nairobi on Saturday, calling for a binding treaty to accelerate the phasing out of plastic production and use. The march, which was organized by the “BreakFreeFromPlastic movement,” took place ahead of the third session of the Intergovernmental Negotiating Committee (INC-3) to develop a legally binding instrument to eradicate plastic pollution, which will be held in Nairobi on Nov. 13-19.
During the meeting, delegates will negotiate the draft text which could lead to the endorsement of a global treaty aimed at bolstering efforts to eliminate plastic litter choking marine and terrestrial ecosystems.
DG and fisheries subsidies chair urge members to bridge differences before year-end (WTO)
At the close of the seventh Fish Week of the year held on 6-10 November, Director-General Ngozi Okonjo-Iweala and Ambassador Einar Gunnarsson of Iceland, the chair of the fisheries subsidies negotiations, called on members to move towards bridging differences, keeping in mind the target to complete by December text-based work for new disciplines on subsidies contributing to overcapacity and overfishing. During the week, members held in-depth discussions on how the draft disciplines and the provisions for special and differential treatment could be operationalized.
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Remarks by the Deputy President of South Africa, H.E Mr Paul Mashatile, on the occasion of the inaugural Saudi-Africa Summit in the Kingdom of Saudi Arabia, King Abdulaziz International Conference Centre (The Presidency, South Africa)
Saudi Arabia is poised as one of the foremost partners to the African Continental Free Trade Agreement (AfCFTA), which came into force in 2021, and represents a landmark step towards African integration and economic transformation. With its strategic position as a gateway between Africa, Asia, and Europe, Saudi Arabia can play a vital role in realising the full potential of the AfCFTA. By facilitating trade and investment, the Kingdom can contribute to the transformation of African countries from mainly being exporters of raw materials to producers of finished goods for both continental and global markets.
To this end, innovation will be the key to unlocking the full potential of our partnership and with their wealth of talent and creativity, our universities should collaborate in partnership to develop cutting-edge solutions to the challenges we face, from healthcare and education to agriculture and
Brics expansion holds threats and opportunities for SA business (Engineering News)
The expansion of the Brazil, Russia, India, China and South Africa (Brics) bloc, announced during the fifteenth yearly Brics Summit in August, has raised questions about South Africa’s role in the group and whether the perceived spurning of its more traditional allies and trade partners will have adverse effects going forward. Gruzd says that the Brics organisation clearly believes that issues between members can be contained or “ever ameliorated”; however, the members’ individual relationships with the rest of the global community are trickier to manage, especially when many of the new members, and a significant chunk of the old ones, have been critical of the existing West-orientated world order.
Carbon credits and renewable certificates – what South Africa’s new trade platform means (BusinessTech)
The Johannesburg Stock Exchange (JSE) has launched the JSE Ventures Carbon Market, in collaboration Xpansiv, a US-based infrastructure provider for global environmental markets. The new trading platform allows local participants to buy or sell carbon credits and renewable energy certificates (RECs) held in local or global registries, and adds another tool to mitigate climate change.
Carbon credits are tradeable certificates that represent a one metric tonne reduction in carbon dioxide emissions that companies can use to offset their own carbon emissions when it is not possible to do so through operational changes. The credits are generated through projects that reduce emissions, like renewable energy projects or reforestation efforts
Dates exports on the increase (Windhoek Observer)
Namibia exported fresh dates valued at N$2.6 million in September, which was destined to South Africa and Bangladesh. The Namibia Statistics Agency said over the entire period (September 2022 to September 2023), the value of fresh dates exported averaged N$10.3 million with the largest value of N$31 million recorded in February 2023 and the lowest values being recorded in September and December 2022 where no fresh dates were exported.
On the demand side, during September, Namibia imported fresh dates valued at N$31 038 solely sourced from South Africa.
In terms of trading blocks, Southern African Customs Union (SACU) maintained its first position as the largest source of imports for Namibia in September, contributing 40.9 percent and supplied Namibia mainly with, motor vehicles for the transportation of goods, articles of plastics and tractors.
Africa must do more to secure its own development (Engineering News)
Africa’s business sector and governments must push harder in addressing the challenges facing the continent, as the biggest threat to its development is complacency, said insurance and investment management company Old Mutual chairperson and former South Africa Finance Minister Trevor Manuel.
“Economic growth of Southern Africa this year is expected at 2.5% and may go higher over time. However, the demographic dividend suggests that the population is growing faster than the economy is growing. “Unless we engage with issues in a real way, per capita GDP [gross domestic product] will continue to decline because we are not attending to the big challenges present,” he said on the first day of consultancy firm The European House – Ambrosetti’s Southern Africa Europe CEO Dialogue. on November 9.
“Unless we deal with the issues standing in the way of development as the first order of business, we will be stuck feeling sorry for ourselves in the future. We have to identify the engines of economy on the African continent and recognise that something has to happen to drive change,” he stated.
Truworths boss says textile industry cannot benefit from AfCFTA (The Zimbabwe Independent)
TRUWORTHS Limited chief executive officer Bekithemba Ndebele says the local textile industry is too decimated to benefit from the African Continental Free Trade Area (AfCFTA) as over 90% of formal manufacturers have shut down.
n an interview with NewsDay Business, Ndebele said the local industry was decimated and could not benefit from the AfCFTA arrangement. “As we stand, the clothing industry cannot benefit from any exports because it’s actually decimated. It is closed. You know this country historically used to be very strong in terms of clothing manufacturing. In Terms of AfCFTA regulations, you can only bring what you make. You can’t import from China then export,” he said.
Feasibility study of the multinational Kenya-Uganda Expressway project (The Africa Logistics)
The African Development Bank (AfDB) through its New Partnership for Africa’s Development and Infrastructure Project Preparation Facility (NEPAD-IPPF) has approved US$1.4 million grant to EAC for the feasibility study of the Multinational Kenya/Uganda: Kisumu-Kisian-Busitema-Busia Expressway Project.
Kenya-Uganda Expressway project is part of the Northern Corridor that runs from Mombasa to Burundi, Democratic Republic of Congo, Rwanda and Uganda through the port of Mombasa. It is the main corridor that transports the bulk of cargo that lands at the Indian Ocean ports inland to the five landlocked EAC Partner Sates.
Africa must tackle huge infrastructure gap to unlock opportunities for transformation – Report (AfDB)
Africa’s significant road infrastructure deficit creates increased production and transaction costs that must be addressed to scale opportunities envisaged under the Africa Continental Free Trade Area, a new report has found.
The report, called Cross-Border Road Corridors Expanding Market Access in Africa and Nurturing Continental Integration notes that while roads are the primary mode of transport, carrying 80 percent of goods and 90 percent of passenger traffic, only 43 percent of Africa’s main population have access to an all-season road.
Afreximbank sees intra-African trade as key to unlocking Africa’s true potential as third Intra-African Trade Fair opens (Afreximbank)
The third Intra-African Trade Fair (IATF2023) kicked off in Cairo today with Chief Olusegun Obasanjo, former President of Nigeria and Chairman of the IATF2023 Advisory Council, saying that intra-African trade holds the key to unlocking Africa’s true potential and fuelling economic growth, fostering industrialisation and creating job opportunities for the people of the continent.
Addressing participants and guests at the trade fair, Chief Obasanjo said that beyond being just an exhibition of goods and services, IATF2023 was a platform for networking, collaboration and knowledge sharing and was bringing together entrepreneurs, investors, innovators, and policymakers from across Africa and its Diaspora to exchange ideas, forge partnerships and explore new opportunities.
President Obasanjo called on African government leaders, policy makers, and representatives to foster an environment conducive to trade by eliminating unnecessary bureaucracy, harmonising regulations and investing in necessary infrastructure. IATF2023 was a stepping stone towards a future where African nations traded freely, breaking down barriers and opening doors of opportunities for all, he added.
Egypt shows commitment to intra-African trade development amid tariff reductions (EgyptToday)
IATF2023 hosts launch of CANEX Prize for Publishing in Africa (Afreximbank)
Kenyan firms eye share of $43 billion trade deals at continental fair (The Standard)
Zim to feature prominently at IATF 2023 (The Herald)
Africa Investment Forum 2023: Experts explore ways for Africa to leverage its strategic minerals (AfDB)
Experts gathered at the Africa Investment Forum explored ways to harness Africa’s strategic mineral wealth for the continent’s development, particularly by adding value by processing minerals before export. They were speaking at a panel session “Strategic Minerals: Financing a New Era of Global Prosperity” in Marrakesh, Morocco, during the Africa Investment Forum Market Days, held from 8 to 10 November 2023.
“Our natural resources are certain to create prosperity, so governments need to create the conditions to facilitate this prosperity,” said Georgette Sakyi Barnes Addo, Executive Director of Georgette Barnes Limited and President of the Ghana Women in Mining Association.
As you are all aware, we have two years remaining to close-off the Malabo declaration; our Member States are far from achieving the set seven Malabo commitments, and this calls for a robust intervention on what we could possibly do, to support them stay the course in their agricultural performance, and create evidence based solutions where we can draw lessons to enable a strong Post-Malabo agenda.
Clearly, CAADP maintains its primary focus on agriculture, encompassing livestock, forestry, and fisheries, while recognizing the pivotal role of related sectors such as infrastructure, trade, energy, rural development, and ICT in facilitating agricultural growth. Its overarching objectives are to reinvigorate agricultural growth, ensure food security, and promote rural development across Africa.
In line with the emerging trends, the time remaining for the Malabo Declaration to expire, and given that the CAADP Agenda is fully embedded into the African Union Agenda 2063, it is important that we discuss the roadmap leading to the design of a Post-Malabo agenda.
Trade, Industry and Competition on hosting 20th Africa Growth and Opportunity Act Forum (South African Government)
South Africa hosted a successful 20th Africa Growth and Opportunity Act (AGOA) Forum on 2 – 4 November 2023 in Johannesburg.
The forum was officially opened by President Cyril Ramaphosa, who started with a tour of the Made in Africa Exhibition which showcased industrial products and regional value chains that have formed in the continent. President Ramaphosa noted that “the extension of AGOA could also encourage the further development of value-chains across different countries”. Using the automotive sector as an example of regional value chains, President Ramaphosa indicated that local automotive companies source leather seats from Lesotho, wiring harnesses from Botswana, copper wiring from Zambia, steering wheel components from Tunisia and rubber from Cote D’Ivoire, Nigeria, Malawi, Ghana and Cameroon.
Prior to the AGOA Forum, the African Trade Ministers met and agreed on a common position calling for the US to extend AGOA for at least 10 years when it expires in 2025, with all existing AGOA-eligible countries retained in the programme. The ministers also called for an early renewal of AGOA in order to ensure certainty and predictability for investors and buyers, and not put AGOA benefits at risk. In addition, the ministers called for the retention of all current AGOA beneficiary countries so as to preserve existing value-chains and to build on these to support Africa’s industrialisation efforts.
SIIPS 2023 Report Reveals Continued Growth In Africa’s Instant Payment Systems (Africa.com)
The SIIPS report was first launched by AfricaNenda in October 2022 to inform public and private sector stakeholders on the developments of instant payment system (IPS) in Africa, including an assessment of the inclusivity of such systems, with consumer insights and case studies. So far, only nine countries in Africa have access to a progressed Inclusive Instant Payment System IIPS through 3 domestic systems in Ghana, Malawi and Zambia and one regional system GIMACPAY in the Economic and Monetary Community of Central Africa (CEMAC).
Fast-tracking implementation of eTrade Readiness Assessments - Third edition (UNCTAD)
In the context of the evolving digital economy and multiple crises, the potential of e-commerce to contribute to the Sustainable Development Goals (SDGs) remains largely untapped. With the acceleration of ICT adoption and e-commerce, developing countries and regions face a growing range of opportunities and challenges.
UNCTAD's eTrade Readiness Assessments (eT Readies) have proven to be useful tools for governments, regional institutions, and the private sector to navigate their digital transformation journeys. This third Implementation Review provides an updated analysis of how eT Readies, and the policy recommendations they offer, are leveraged to strengthen countries' ability to engage in and benefit from e-commerce.
Countries setting new FDI records in 2023 (fDi Intelligence)
A few countries have registered more greenfield foreign direct investment (FDI) announcements in the first eight months of 2023 than any previous calendar year on record due to projects in the electric vehicle (EV), semiconductor and energy sectors. Between January and August, six countries – Morocco, Malaysia, Iraq, Israel, Democratic Republic of Congo and Finland – recorded planned greenfield FDI projects worth more than any twelve-month period in the past, according to preliminary fDi Markets figures dating back to 2003.
WTO members address trade and development dimension of cotton, potential MC13 outcome (WTO)
The trade and development dimension of cotton was at the heart of a series of meetings among WTO members on 7 November. Discussions also took place regarding the WTO’s 13th Ministerial Conference (MC13) taking place next February, with the Cotton-4 countries (C-4, Benin, Burkina Faso, Chad and Mali) along with Côte d’Ivoire announcing plans to put forward a proposal for an MC13 decision on cotton. Participants also received cotton market updates, reflected on World Cotton Day 2023, and reviewed progress on the WTO-FIFA Memorandum of Understanding regarding cotton.
FAO Food Outlook predicts declining international trade in some basic foodstuffs (FAO)
Production prospects across most basic foodstuffs are favourable, but extreme weather events, rising geopolitical tensions and sudden policy changes pose risks for global food production systems and could potentially tip delicate demand-supply balances and dampen prospects for trade and global food security, according to a new report from the Food and Agriculture Organization of the United Nations (FAO).
The latest Food Outlook, a biannual publication, offers updated forecasts for the production, trade, utilization and stocks of major food staples. Trade volumes in coarse grains and rice are expected to decline in 2023/24, even as global maize output is forecast to post a significant increase driven by increased plantings in Brazil and the United States of America.
Parties to government procurement pact welcome new party, new acceding country (WTO)
A meeting of the Committee on Government Procurement on 8 November marked the first time North Macedonia has participated as a party to the Government Procurement Agreement 2012 (GPA 2012) and the first engagement with Costa Rica since it submitted its application for GPA accession. In a workshop focusing on the implementation of labour standards in GPA parties’ government procurement systems held the following day, Director-General Okonjo-Iweala underlined that government procurement can be responsive to people’s concerns about global trade.
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Cabinet decision to allow cheaper cement imports hits local market (New Zimbabwe)
The decision by the cabinet to allow cheaper cement imports is likely to trigger chaos among local producers who will suffer significant sales declines. The directive was issued this week during the routine Cabinet briefing meetings after consideration of higher prices and critical shortages which the authorities described as “artificial”.
“The nation is advised that following reports of artificial cement shortage in the market and the spiraling prices, the Cabinet has approved the importation of cement by individuals and companies with free funds,” a post-cabinet statement said. The policy measure flies in the face of local cement manufacturers who for long have bemoaned the negative impact posed by cheaper imports on the local market.
South Africa to miss 2030 emissions goal as it keeps coal plants burning (Engineering News)
South Africa will miss its binding 2030 carbon emissions targets under the Paris climate agreement, three senior government officials confirmed, as the country plans to run eight coal-fired power plants for longer than planned. South Africa is the world’s eleventh biggest greenhouse-gas emitter and has one of the world’s highest per capita emissions.
It had committed under the Paris Climate Accords - a legally binding treaty on climate change - to cut emissions to between 350-million and 420-million tonnes by 2030, from 442-million tonnes in 2020. To achieve this, it planned to decommission eight coal-fired power plants, six by 2030 and the remaining by 2034 as power makes up half of its emissions, but switching to a renewable energy policy has been hampered by bureaucratic delays. Now a power supply crisis makes this target unrealistic, said the officials, all of whom declined to be named because the information was not yet public.
“Our models suggest we will miss the 2030 target,” an official in the president’s office said, although he added that a new decommissioning target for 2035 was being discussed. South Africa has committed to net zero by 2050.
South Africa’s decision comes as several rich countries and companies are backtracking on climate pledges, and on Wednesday the United Nations said fossil fuel output by 2030 will be more than double levels consistent with the 2015 Paris climate goals.
Future of $7trn electric vehicle market tied to Nigeria, others (Businessday)
Akinwumi Adesina, president of African Development Bank (AfDB) Group, has said the future of the electric vehicle market, estimated to increase from the current $7 trillion to $57 trillion by 2050, depends on Africa. Adesina said this at the Africa Investment Forum 2023 on Wednesday at the Palace Congress, Marrakech, Morocco. According to him, Africa accounts for the largest source of green metals for the development of electric vehicles, including platinum (70 percent), cobalt (52 percent), manganese (46 percent), bauxite (25 percent), and graphite (21 percent).
“Africa has the largest sources of renewable energy sources in the world, including hydro and solar. And right here in Morocco, you have the Noor Ouarzazate, the largest concentrated solar zone in the world,” he said. The global electric vehicle market has experienced significant growth, which is driven by increasing environmental concerns and advancements in technology. China, the United States and Europe are the three biggest EV markets globally.
How manufacturing can drive Nigeria’s economic diversification and trade growth (Businessday)
Ex-minister woos Chinese manufacturers as bilateral trade volume hits $23.9 billion (The Guardian Nigeria)
Former Minister of Industry, Nike Akande, has persuaded manufacturers in China to consider moving their factories to produce in Nigeria. The move, she said, was for China to support Nigeria in its quests for industrialisation by deliberately putting in place measures that would aid the Nigerian government and people to improve their production capacity.
She said this at the China-Africa (Nigeria) production capacity cooperation symposium held at the Lagos International Trade Fair (LITF) complex, which had the theme: ‘Enhancing Economic Growth Through Sustainable Partnership.’ Akande said that China moving their factories to produce in Nigeria would provide jobs for the teeming population and improve the nation’s economy.
Stating that China was a significant trade partner to Nigeria, she noted that as of 2022, the bilateral trade volume between China and Nigeria reached $23.9 billion, with China’s exports to Nigeria amounting to $22.3 billion and imports from Nigeria totaling $1.6 billion. According to her, in the first three quarters of 2023, bilateral trade stood at $17.25 billion, with exports to Nigeria being $15.67 billion and imports from Nigeria at $1.58 billion.
Yuging said it marked a 22.5 per cent increase in imports from Nigeria compared to the same period last year. She affirmed that Nigeria has become China’s second-largest trade partner in Africa, while China is Nigeria’s largest global source of imports.
Ethiopia, India Successfully Conclude 6th Joint Trade Committee Meeting (ENA)
The 6th Session of Ethiopia - India Joint Trade Committee (JTC) was conducted in Addis Ababa by reaching an agreement to further enhance bilateral trade and facilitate trade promotion between the two countries.
Both sides undertook a detailed review of recent developments in bilateral trade and investment ties and noted that the relationship has a huge potential to be scaled up even further. To this effect, both sides identified several areas of focus for enhancing both bilateral trade as well as mutually beneficial investments. These include health and pharmaceuticals, automobiles, textiles, infrastructure projects, food and agro processing and so on.
Both sides also reviewed the progress of ongoing discussions for Memorandum of Understanding (MoUs) in the field of Standardization and Quality assurance and Customs procedure and agreed to conclude them expeditiously.
Ethiopia is one of the fastest growing economies in the African region, with an estimated growth of 6.4 percent in the year 2021-22. Indian companies are among the top three foreign investors in Ethiopia with existing Indian investment of 5 billion USD of which, about 3-4 billion USD is estimated to be on the ground.
ECA and IGAD join forces to promote sustainable tourism in Eastern Africa (UNECA)
The office for Eastern Africa of the Economic Commission for Africa (ECA) and the Inter-Governmental Authority on Development (IGAD) jointly organized a three-day meeting in Mombasa, Kenya from 24 to 27 October 2023 to discuss the development of a Sustainable Tourism Master Plan for the IGAD region.
According to Ms. Mama Keita, Director of ECA in Eastern Africa, the tourism sector accounts for an average of 8.7% of GDP in the Eastern Africa region and has a huge potential to create more income, jobs and opportunities for the people. Ms Keita praised the constructive work done by tourism experts from the IGAD member states and said that the road map agreed upon will guide the preparation and validation of the Sustainable Tourism Master Plan for the region.
The main objective of the meeting was to develop a regional framework for sustainable tourism development that will foster socio-economic development, poverty reduction and regional integration in the IGAD member states.
South Sudan set to take EAC chairmanship (The East African)
South Sudan’s President Salva Kiir Mayardit is expected to take over as the chairman of the East African Community (EAC) Heads of State summit at the next ordinary EAC Heads of State Summit. President Kiir is set to replace Burundi’s President Evariste Ndayishimiye whose one-year tenure came to an end mid this year.The EAC heads of State summit is expected to take place next week in Arusha, Tanzania on November 23-24 where the EAC heads of state are also expected to discuss climate change and food security.
Kiir is expected to steer the regional bloc at a time when the region is holding discussions on regional peace and security, particularly the crisis in Sudan and the Eastern Democratic Republic of Congo, where South Sudan has deployed troops as part of the East African Regional Force to help restore peace in the
Kenya leads push for transport protectionist policy in Africa (The Standard)
Plans to revive and protect national and regional shipping lines in Africa has gained momentum, with experts and policymakers meeting in Mombasa saying it will lower the cost of transport in the continent. In 2021, African ports loaded 762.4 million tons of goods onto mostly foreign ships and discharged 553.2 million for Sh115.5 trillion ($762.4 million).
The experts drawn from 25 countries said protecting African liners through cabotage laws will boost the economy of Africa as the Continental Free Trade Area (AfCFTA) takes shape. They explained that cabotage, a protectionist policy framework to guarantee business between ports within the same territory to local ships, was crucial for continental self-sufficiency.
Mining, Blue Economy and Maritime Affairs Cabinet Secretary Salim Mvurya said effective cabotage policies will also ensure maritime resources benefit Kenya and Africa. “Our oceans and waterways connect us, facilitate trade and present boundless opportunities for sustainable development,” said Mvurya.
AIF 2023: AfDB President calls for increased investment in regional corridors (Daily News Egypt)
African Development Bank (AfDB) President Akinwumi Adesina has called for increased investment in regional corridors to boost intra-regional trade and economic integration. Speaking on the second day of the 2023 Africa Investment Forum (AIF 2023) in Marrakech, Adesina said that the bank had already invested over $2.5bn in regional infrastructure, but that more needed to be done.
“We are financing the development of regional electricity corridors, to assure reliable and competitively priced electricity. AfDB and partners are implementing the $20bn Desert-to-Power initiative to develop 10 GW of solar power across 11 countries of the Sahel zone, including the Sahel regional transmission lines.”
Adesina said that the Africa Continental Free Trade Area (AfCFTA), when fully operational, offers incredible opportunities for economic integration. However, he noted that these opportunities can only be realized through the development of infrastructure, such as regional corridors. The AfDB has been a leading investor in regional corridors, financing over $13.5bn in projects over the past seven years. These projects have helped to reduce transport costs, connect landlocked countries to coastal countries, and improve regional trade and competitiveness.
Ecobank Group champions intra-African trade growth at Intra-African Trade Fair (IATF) 2023 (Africa.com)
Ecobank Group, the leading pan-African banking Group, sponsors the Intra-African Trade Fair 2023 (IATF 2023), the continent’s premier trade and investment event, which is taking place from 9-15 November 2023, in Cairo, Egypt. Theme this year is “Connecting African Markets”. The event will provide a springboard platform for businesses to grow their intra-African trade and investments across the continent’s single market of 1.4 billion people created by the African Continental Free Trade Area (AfCFTA).
Eric Odhiambo, Group Executive, Corporate and Investment Banking, Ecobank Group, said: “IATF provides Africa’s businesses with unrivalled opportunities to network, connect and sign contracts with buyers and sellers from across the continent. With our comprehensive suite of banking products, services, solutions and our established digital platform, which facilitates seamless payments and collections across our 35 countries of presence in Africa, Ecobank is positioned as the ‘go to’ bank for payments and trade. To further support businesses to grow and succeed we have also put in place a range of initiatives which include the game changing Ecobank Single Market Trade Hub, which connects importers and exporters across Africa.”
The Ecobank Single Market Trade Hub is a cutting-edge digital platform, which serves as an exchange and information repository, designed to respond to the evolving trading needs of SMEs and corporates within Africa’s single market.
‘It’s fastest way to poverty’ — Adesina says Africa must end exports of raw agricultural commodities (TheCable)
Akinwumi Adesina, president of African Development Bank (AfDB), says the “highway to wealth” in Africa is the export of value-added agricultural products. Akinwumi spoke on Wednesday at the ongoing 2023 Africa Investment Forum (AIF) marketplace in Marrakesh, Morocco.
“To do so, Africa must end the export of raw agricultural commodities. We must recognise that the fastest way to poverty is via the export of raw commodities, while the highway to wealth is from the export of value-added products,” he said.
“And that is why SAPZs are important. They provide critical infrastructure to support agro-industrial development in Africa. The aim is to unleash the power of its agricultural potential, with the establishment of food processing and manufacturing companies within the zones.
$5B potential investment in Africa’s creative industries: Afreximbank EVP (Egypt Today)
The Executive Vice President of Intra-African Trade Bank at the African Export-Import Bank (AFREXIMBANK), Kanayo Awani, highlighted a $5 billion potential investment in creative industries, creating 20 million job opportunities across the continent. Awani elaborated that Africa is rich with creativity, from the tales of the desert nights to the stories of the coast.
Speaking at the opening of the intra-African trade exhibition in Cairo, she emphasized the significance of the Creative Africa Nexus “CANEX” in exploring fresh prospects for African brands and creative industries, underlining the profitability that creativity can generate. She pointed to the existing challenges such as financing difficulties, intellectual property issues, digital communication gaps, and infrastructure limitations, emphasizing the importance of cooperation between governments and the private sector.
Today, intra-African trade is only 16% of total African trade
The African Union: Shaping Africa’s Trade Future at Intra-African Trade Fair (IATF2023)
Southern African countries should take collective action to accelerate the implementation of the African Continental Free Trade Area (AfCFTA) Agreement which is strategic to reducing poverty and inequality in a region classified as one of the most unequal in the world today. Opening the 29th Meeting of the Intergovernmental Committee of Senior Officials and Experts of Southern Africa (ICSOE), Mmusi Kgafela, Botswana Minister of Trade and Industry, said that “Boosting intra-Africa trade through the AfCFTA will generate immense benefits for our regional economies,” highlighting the gravity of the challenges of poverty and inequality in Southern Africa and how trade and industrialization could create jobs and raise incomes. “Collaborative efforts of governments and the private sector, supporting innovation and technology development can lift Southern Africa out of poverty particularly through capacitating our Micro Small and Mediums Enterprises, youth and women-owned businesses, said Mr. Kgafela, imploring regional governments to think innovatively about supporting the growth of regional economies.
Total support to agriculture reached record levels of USD 851 billion per year during 2020-22 for the 54 countries covered by a new OECD report, as governments sought to shield consumers and producers from global crises and high inflation. Just under half of this government support was in the form of measures with the greatest potential for market distortions, such as border tariffs and subsidy payments based on output.
The OECD’s Agricultural Policy Monitoring and Evaluation 2023 report released today shows this historically high level of support is nearly a 2.5-fold increase compared to two decades ago, though still behind the overall growth of production. Support remains highly concentrated in a few large producing economies, with China, India, the United States and the European Union representing 36%, 15%, 14% and 13% of total support provided, respectively.
The Rise Of African Tech Hubs: How They Are Becoming The Silicon Valleys Of The Continent (CNBC Africa)
Akinbode Roberts, CEO of DataLeum, based in Nigeria, tells CNBC Africa that Lagos has always been a fertile ground for innovation, driven by the need to address local financial challenges, with Nigeria’s youthful population playing a critical role in this trend. “While these challenges are real, Kenya remains a hub in Africa’s overall tech ecosystem and a preferred place to launch a technology venture in Africa,” says Bhattacharya.
Most African countries have committed to climate action and, most recently, to the goal of building climate-resilient and low-carbon health systems through the ATACH initiative. Notable among these include adapting health systems to heat in Ghana (Codjoe et al., 2020), coastal resilience in Tanzania, malaria-early warning systems in Ethiopia, and efforts for learning and networking among researchers, policymakers, and practitioners by the CHANCE Network, which is expanding across Africa.
Prosper Africa coordinates US agencies to boost Africa’s low Agoa participation (Daily Maverick)
The US has mobilised 17 relevant government departments and agencies under the umbrella of Prosper Africa coordinator British Robinson to try to clinch deals between US and African businesses that will increase utilisation of the African Growth and Opportunity Act (Agoa). The 20th annual Agoa Forum ended in Johannesburg at the weekend with an all-round commitment by Africa and the US to renew the preferential trade programme when it expires in 2025.
Despite these considerable benefits, very few African countries have taken advantage. South Africa has been the biggest beneficiary by far if oil exports are excluded. Last year SA accounted for more than 35% of all goods exported to the US under Agoa, about $3.615-billion; with Nigeria second, with $3.523-billion (mostly oil); followed by Ghana, with $746-million; Kenya, $615-million; Madagascar, $407-million; Angola, $391-million; Lesotho, $261-million; Ivory Coast, $128-million; Gabon, $126-million and Democratic Republic of the Congo, $92.3-million (figures from Trade Law Centre).
Eckart Naumann, an economist and Trade Law Centre associate, pointed out that although it was true that utilisation of Agoa was generally low (purely based on the share of Agoa trade), Agoa beneficiaries were ultimately subject to virtually no other US import duties.
“Many goods don’t need Agoa — and are duty-free under normal tariff relations [NTR], the tariff treatment that the US extends to general trade. A country that exports goods under NTR may still be a successful exporter to the US but just doesn’t happen to only produce Agoa-eligible goods.” He said he had heard at the forum that some considered the low rate of Agoa utilisation a reflection on Agoa.
“Rather, it also points at the favourable US tariff schedule which, aided by Agoa, allows around 97% of all possible trade tariff lines to enter duty-free — be it under normal trade terms (around 37% of the total) or Agoa (around 60% of the total). “Some countries have very high Agoa utilisation rates, but aren’t always the greatest exporters in terms of trade volumes. It’s just that their exports are concentrated in eligible tariff lines.
Exploring Synergies Between AGOA And AfCFTA: The Case For African Exports (Africa.com)
African and US trade unions call for decent work in trade and economic cooperation (IndustriALL)
China’s Slowing Economy Will Hit Sub-Saharan Africa’s Growth (IMF)
China has forged deep economic ties with countries in sub-Saharan African over the past 20 years, making it the region’s largest single country trading partner. China buys one-fifth of the region’s exports—metals, minerals, and fuel—and provides most of the manufactured goods and machinery imported by African countries. However, China’s recovery from the pandemic has slowed recently due to a property downturn and flagging demand for its manufactured goods as global growth has also slowed.
This matters for Africa. A one percentage point decline in China’s growth rate could reduce average growth in the region by about 0.25 percentage points within a year, according to the latest Regional Economic Outlook. For oil-exporters, such as Angola and Nigeria, the loss could be 0.5 percentage points on average.
The ripple effects of China’s slowing economy extend to sovereign lending to sub-Saharan Africa, which fell below $1 billion last year—the lowest level in nearly two decades. The cutback marks a shift away from big ticket infrastructure financing, as several African countries struggle with escalating public debt.
AfriCaribbean Trade and Investment Forum 2023 in Guyana (Afreximbank)
The AfriCaribbean Trade and Investment Forum (ACTIF23) opened in Guyana on Monday, 30 October 2023, with His Excellency, Dr. Mohamed Irfaan Ali, President of the Co-operative Republic of Guyana, challenging the regional private sector to collaborate with their African counterparts to develop a consortium, to solve some of the perennial challenges facing the region, including transportation. The theme of the forum was “Creating A Shared Prosperous Future”.
President Ali emphasized to the Heads of Government and delegates in attendance that “Every single state of CARICOM has made it clear that we will give all the incentives necessary to facilitate the building of a regional transport infrastructure system to solve the problem of regional transportation… All the governments in the region, we have made it clear, we will support such a consortium on investment through incentives and promotion. The private sector must get up and put that consortium in place, partner with Afreximbank and end this problem.”
His remarks came as he noted that the south-south trade potential between Africa and the Caribbean is estimated at USD 16 trillion, and there are multiple opportunities on which the countries of the regions can capitalise. The Guyanese President also called on Africa and the Caribbean to build stronger bonds based on friendship, love, and prosperity.
ACTIF 2023: One Year of AfriCaribbean Trade & Investment Revival: Lessons Forum Experience (CNBC Africa)
WTO to highlight role of trade policy for climate action at COP28 in Dubai (WTO)
The WTO is set to shine a spotlight on trade’s contribution to climate action at the UN’s COP28 Climate Change Conference in Dubai, United Arab Emirates, on 30 November-12 December. Information on the WTO’s participation at COP28 is now available on a portal, covering “Trade Day” and a dedicated site with the programme of activities for the Trade House pavilion co-hosted by the WTO with the International Chamber of Commerce (ICC), the International Trade Centre (ITC), and the United Nations Conference on Trade and Development (UNCTAD).
Several high-level events are being lined up for Trade Day, including an event titled “Global Leaders Unite to Promote A Roadmap of Trade Policy Options for a Just and Ambitious Global Response To Climate Change.” Director-General Ngozi Okonjo-Iweala will participate in several high-level events, such as the World Climate Action Summit and the Business and Philanthropy Climate Forum. The WTO’s COP28 portal is available here. It will be regularly updated with event details, news stories, photos and other resources.
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