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South Africa aims for zero emissions by 2050 (SAnews)
President Cyril Ramaphosa says South Africa aims to reach net zero carbon emissions by 2050. Speaking at the Climate Resilience Symposium underway at the Council for Scientific and Industrial Research (CSIR) International Convention Centre in Pretoria, President Ramaphosa said the revised Nationally Determined Contribution balances the country’s developmental needs and economic realities.
“It takes into account the feasibility of undertaking a climate response through a set of just transition pathways. Importantly, it notes carbon tax as a vital component of our mitigation strategy to lower greenhouse gas emissions,” President Ramaphosa said. By internalising the cost of carbon emissions, the President said the carbon tax incentivises companies to reduce their carbon footprint and invest in cleaner technologies, and also generates revenue for climate initiatives. The President said these funds can be reinvested in renewable energy projects, energy efficiency programmes and social support mechanisms.
Government committed to resolving challenges in transport industry (SAnews)
Transport Minister Barbara Creecy says although the transport sector faces challenges, the department remains committed to fulfil its mandate to the people of South Africa. “Given the current status of the transport sector, my first task in this 7th Administration is to stabilise the transport system in our country and make our department fit to fulfil its policy-making and regulatory role,” the Minister said when tabling the department’s Budget Vote at Parliament’s Portfolio Committee on Transport on Monday.
Creecy said thar “In recent times, there has been a disconnect between this vision and the realities of our transport system and our national Transport Department,” she said. The establishment of the National Logistics Crisis Committee (NLCC) was a response to meet the scale of the crisis. “The NLCC has three distinct objectives: improving operational performance of industry supply chains, including freight rail and ports; implementing reforms to modernise the freight transport system for efficiency and competitiveness, and necessary regulatory change or exemptions to enable efficient procurement and adequate funding for network maintenance,” she said.
South Africa to push back against US review (BusinessTech)
South Africa’s newly formed government will use an upcoming forum on US preferential trade access to push back against a Senate review of ties between the two countries. The House of Representatives last month passed a law requiring a full assessment of bilateral relations and submitted it to the Senate for approval.
South African business lobby groups have warned the legislation threatens to curb trade with the world’s biggest economy at a time when the country needs to accelerate economic growth to address widespread inequality. A review of ties may risk South Africa’s access to the African Growth and Opportunity Act, which provides the country with duty-free access to the US market. Two-way trade between the two nations amounted to $23.7 billion last year, with South Africa shipping cars and agricultural produce under the accord.
“We intend to engage senators and also members of Congress about what our position is on a whole range of issues as the South African government on the back of the AGOA act, but also taking into account bilateral relations,” Trade, Industry and Competition Minister Parks Tau said in an interview. A delegation will head to the US to attend the AGOA Forum in Washington DC from July 24-26, he said.
pdf AGOA Renewal and Improvement Act of 2024: Sens Chris Coons & James Risch | Summary (110 KB)
Egypt targets 170% petrochemical output increase, $2.1bn in exploration investments (Dailynewsegypt)
Egypt’s Ministry of Petroleum and Mineral Resources outlined plans to significantly boost petrochemical production capacity and attract $2.1bn in exploration investments during the fiscal year 2024/25. The Ministry aims to drill 110 new exploratory wells for oil and gas with total investments of $2.1bn in FY 2024/25, rising to 586 wells with $2.7bn invested by 2030. The Ministry seeks to implement projects to increase petrochemical production capacity to 170% of current levels and raise exports to reduce the trade balance deficit.
Minister of Petroleum and Mineral Resources, Karim Badawi, presented the Ministry’s strategy before a parliamentary committee reviewing the government’s program. He highlighted the need to address a widening gap between domestic consumption and production due to rising global prices and declining output from existing fields. The Ministry also plans to incentivize exploration and development activities by offering new mechanisms in existing and new exploration and production agreements (EPAs). This includes expediting EPA issuance and leveraging the expertise of global companies. A global marketing plan and tenders through the Egypt Exploration and Production Portal are envisioned to further attract investment.
IMF Staff Completes 2024 Article IV Mission to Botswana (IMF)
“Botswana’s economic growth decelerated from 5.5 percent in 2022 to 2.7 percent in 2023, below the long-run potential growth of 4 percent. A sharp decline in diamond trading and mining activities was the main contributor to the slowdown, as global demand for rough diamonds decreased. Despite the weak diamond market, the external position improved last year because of strong customs union revenues.
“Looking ahead, the economy is expected to decelerate further this year, with growth projected at 1 percent. The continued slowdown is mainly due to a fall in diamond production, partly offset by construction projects financed by the fiscal expansion. In the medium term, growth is expected to converge towards 4 percent, as diamond mining recovers. The current account deficit is projected to widen in 2024 given weak diamond exports, followed by a rebound next year. The rebound is predicated on a recovery in the diamond market and continued elevated customs union transfers.
“Accelerating growth and job creation requires a fundamental shift towards greater private sector participation, a more diversified export base, and a more efficient public sector. Policy priorities include reform of state-owned enterprises, improved infrastructure for doing business (internet, energy, logistics), and trade facilitation measures.
Tanzania proposes law changes to encourage diaspora investment (The East African)
Targeting more foreign investments, the Tanzania government has proposed amendment of its laws to grant special status to Tanzanians in diaspora, to set up business in key priority economic sectors. Relaxing its prohibitive laws and legislations, the government has tabled to Parliament for debate, Miscellaneous Amendments Bill 2024, which seeks to grant special status to Tanzanians living in other countries to set up business back home.
The proposed amendments to immigration laws are set to grant inheritance rights and investment incentives to Tanzanians living in other countries through the Diaspora Tanzanite card. Land and property ownership in Tanzania have been limited to Tanzanian citizens only. The Miscellaneous Amendments Act, 2024 which was published on June 26, proposes changes to the Immigration Act, Cap 54 and Land Act, cap 113 to allow Tanzanians living in other countries to access land occupancy titles.
Tanzania is among African countries with restrictive immigration laws and regulations imposed to foreigners and locals with dual citizenship on land ownership rights.
Nigeria Set TO Commence Preferential Trade Under The Africa Continental Free Trade Area Guided Trade initiative (This Day Live)
All is now set for the launch of Preferential Trade under the AfCFTA Guided Trade Initiative (GTI) by President Bola Ahmed in line with the vision of Africa’s founding fathers to unite the continent in one, shared prosperity and the renewed hope agenda of the administration. The launch is being convened by the Nigeria AfCFTA Coordination Office on behalf of the Government of the Federal Republic of Nigeria and the AfCFTA Secretariat. The launch of the Preferential Trade ceremony will take place on 16th July 2024 at Apapa Port, Lagos.
According to the National Coordinator, Nigeria AfCFTA Coordination Office, Olusegun Awolowo, “Nigeria signed the AfCFTA Agreement on 7 July 2019, becoming the 34th AfCFTA State Party. With a robust economy across different industries and a huge potential effect on value chains across the continent, Nigeria’s readiness and preparedness for preferential trading under the AfCFTA preferential trade regime would immensely contribute to repositioning the continental market as a global trade market and rallying point”. The National Coordinator further states “Nigeria is ready to unleash an army of exporters into Africa”
The launch of Nigeria’s participation in the second phase of the GTI signals a new dawn for trading under the AfCFTA as several Nigerian businesses are eager and prepared for export and shipment of indigenous products within the continent with Kenya, Cameroon, Uganda, Zambia and Egypt as target markets. This is to demonstrate Africa’s businesses’ ability and readiness to trade under the framework of the AfCFTA.
Nigeria’s food importation policy could destroy country’s agriculture, warns Akinwumi Adesina (AfDB)
The President of the African Development Bank Group Dr. Akinwumi Adesina has said the decision by Nigeria’s government to allow massive food importation risks destroying the country’s agriculture. This follows the announcement by Nigeria’s Minister for Agriculture Abubakar Kyari on July 10 that the Federal Government would suspend duties, tariffs, and taxes on the importation of maize, husked brown rice, wheat, and cowpeas through the country’s land and sea borders, for 150 days.
“Nigeria’s recently announced policy to open its borders for massive food imports, just to tackle short-term food price hikes, is depressing,” Adesina told African Primates of the Anglican Church at a Retreat in Abuja, Nigeria, on Friday. He warned that the policy could undermine all the hard work and private investments that have gone into Nigeria’s agriculture sector.
“Nigeria cannot rely on the importation of food to stabilize prices. Nigeria should be producing more food to stabilize food prices, while creating jobs and reducing foreign exchange spending, that will further help stabilize the Naira,” said the African Development Bank president.
US raises concerns over blood minerals in DR Congo (The East African)
In the Democratic Republic of Congo, the matter of smuggling has been subject of grapevine for years. Then reports after reports began confirming it: Hundreds of rebel groups fighting in the east of the country have remained potent, fuelled by money from smuggled minerals and timber. This week, the United States of America weighed in, raising concerns that that trade is making it difficult to tame the arms flow into the battlefield.
But Washington’s linking illegal minerals trade to continual war isn’t the first. A United Nation’s panel of experts on the Congo, and various rights watchdogs, have said that before. “The US remains concerned about the role that the illicit trade and exploitation of certain minerals, including gold and tantalum mined artisanally and semi-industrially in the African Great Lakes region, continues to play in financing the conflict.
“It is clear that some traders, sometimes with the support of various armed groups and security services, are transporting and exporting significant quantities of Congolese minerals out of the country”, said the US government statement.
From 8 to 12 July 2024, the World Customs Organization (WCO) held a regional workshop on combating counterfeiting and piracy for the Customs administrations of its West and Central Africa (WCA) region. The event was held in Cotonou, Benin, with the financial backing of the Customs Cooperation Fund – China (CCF China). In her opening address, Adidjatou Hassan Zanouvi, Director General of Benin Customs, recalled the reforms her Administration had introduced some years earlier with a view to modernizing Customs, in particular in the area of IPR protection. She went on to thank the WCO Secretariat and the CCF China for choosing Benin as the host location for this important event and urged participants to make an active contribution to its success for the benefit of all.
In view of the challenges raised by counterfeit goods sold through e-commerce, special focus was placed on a new tool developed by the WCO called “Case studies and risk indicators to identify IPR, health and safety infringing goods related to e-commerce”. In addition, the results of the WCO’s Operation STOP III, conducted from 4 to 15 December 2023 and bringing together 111 Customs administrations, were presented and discussed.
As part of the session given over to relations with the private sector, 6 right holders, representing a variety of brands, were invited to deliver presentations on the essential characteristics of products bearing their trademarks and regularly the object of IPR fraud, and to discuss with the audience the techniques that can be used by Customs officers to detect counterfeit goods.
The World Customs Organization (WCO), with the financial support of the Customs Cooperation Fund – China (CCF-China), and the technical assistance of two WCO experts from Mauritius and Botswana, organized a National Workshop on Special Economic Zones (SEZs) for the Ethiopian Customs Commission (ECC) in Addis Ababa, from 25th to 28th June 2024. A total of 20 Customs officials involved in the operation in Free Zones/Special Economic Zones attended the workshop.
The objective of the workshop was to provide capacity building resources for Ethiopian Customs with the knowledge and skills necessary to establish and manage effective SEZs that meet international best practices.
In her opening speech, the Deputy Commissioner of the ECC, Mrs. Muluwork Derese, underscored that the Ethiopian Government recognizes the potential of SEZs as driver of economic growth. In line with this vision, the Government has recently ratified new national legislation for the development and administration of SEZs. She further added that Customs administrations should play a crucial role to enhance the attractiveness of SEZs and contribute to their successes. The workshop covered key elements of the Revised Kyoto Convention, the WCO Practical Guidance on Free Zones, and the SAFE Framework of Standards for adequate Customs procedures in Free Zones. These include Customs involvement in Free Zones, effective Customs on-site check and audit, the use of data and technologies, Cooperation with key stakeholders, the origin determination of goods, and the expansion of the concept of Authorized Economic Operator to Free Zone stakeholders.
Ethiopia Fulfilling Role in East Africa’s Integration for Development, Peace (ENA)
Ethiopia has been fulfilling its role in connecting the East African region with mutual development benefits and ensuring peace, according to Ministry of Foreign Affairs. African Affairs Director-General, Fisseha Shawel told ENA that Ethiopia’s foreign policy places a high priority on fostering positive and cooperative relationships with neighboring countries. This strategic approach prioritizes enhancing bilateral and regional cooperation in various domains, including political diplomacy, economic partnerships, security collaboration, cultural exchanges, and environmental sustainability.
By prioritizing its neighbors, the director general aims to promote regional stability, mutual prosperity, and sustainable development initiatives that benefit all parties involved. This proactive stance underscores Ethiopia’s commitment to addressing shared challenges, promoting peace, and harnessing collective strengths to achieve common goals within the Horn of Africa and beyond.
EABC new roadmap for regional trade integration (The East African)
The East African Business Council (EABC) has published a new roadmap for State interventions required to remove remaining major obstacles to regional trade flows and harmonious economic growth in the next three years. Priorities include minimising stays of applications and country-specific duty remissions on agreed East African Community (EAC) external tariff rates, eliminating non-tariff barriers (NTBs) that are outstanding, and reviewing EAC rules of origin criteria, to align with requirements under the African Continental Free Trade Area (AfCFTA) agreement.
The roadmap, published on July 4, lists 17 problem areas to be quickly addressed to achieve the objective of doubling intra-EAC trade and investment within the next three years, detailing the challenges and setting fresh deadlines for solutions. According to an EABC 2023 report, the value of trade between EAC countries dropped by more than 33 percent from $5.4 billion to $3.6 billion between 2021 and 2022.
But this is in contrast with EAC Secretariat figures depicting an 11.2 percent growth from $9.81 billion to $10.91 billion during the same period. Top of the EABC’s new agenda is the need to address non-uniform application of EAC-Common External Tariff (CET) rates agreed by partner States, which it says is seriously hampering the creation of a level playing field within the EAC Customs Territory.
Zimbabwe, Mozambique and Botswana sign landmark US$6,5bn deal: Tripartite railway, port project takes off (The Chronicle)
The ambitious US$6,5 billion Techobanine Deep Water Port and Railway Line Project, initiated by Zimbabwe, Mozambique and Botswana, has officially commenced following the signing of the Tripartite Agreement on Friday (12 July) by President Mnangagwa and his counterparts, President Nyusi and President Mokgweetsi Masisi.
The project holds the potential to unlock significant opportunities in transforming trade infrastructure within Southern Africa and enhancing transport and logistics efficiencies. Businesses and individual citizens from the three States are expected to benefit immensely from the project. Its scope includes the rehabilitation and upgrading of the railway line linking Botswana, Mozambique, and Zimbabwe, facilitating bulk cargo movement within the bloc and connecting it to global markets.
President Mnangagwa, along with Presidents Filipe Nyusi of Mozambique and Mokgweetsi Masisi of Botswana, presided over the signing ceremony with their relevant ministers during the Tripartite Ponta Techobanine Summit held in Mutuine District, south of Maputo. The Summit allowed the three Heads of State to devise mechanisms for the operationalisation of the Techobanine Port, reflecting their commitment to the project, which initially started as a private sector-led effort in 2011 but stalled due to lack of funding.
While the signing of the deal gives the green light for the three partners to harness funding from global financiers, President Mnangagwa stressed the need for proactive measures. He urged his counterparts not to rely solely on international institutions but to start mobilising domestic resources within the region to support the initiative.
Women, Youth in Focus in COMESA Publicity Blitz (COMESA)
Women and youth in business in Madagascar were key targets for COMESA Week awareness-raising initiatives, given their critical role in economic development. On June 25, 2024, in Antananarivo, over 100 participants attended a multi-stakeholder dialogue organized by the COMESA Secretariat. The objective was to equip women and youth with the necessary tools to enhance their participation in regional trade.
In total more than 130 participants from public and private sectors and civil society institutions attended the dialogue. They were introduced to various COMESA trade facilitation tools, COMESA- European Union initiatives supporting women, COMESA’s gender frameworks, and the women in business digital platform.
Opening the dialogue, Mr. Kola Emi-Haulain, Permanent Secretary of the Ministry of Foreign Affairs of Madagascar, emphasized that while women and youth form the bulk of the continent’s population, they face significant hurdles in seeking economic livelihoods. “Women and young people represent the majority of the African population and constitute the main pools of potential, skills, and resources on the continent. They face challenges linked to access to financing, markets, mentoring, and business opportunities,” he said.
Uganda readies to host 11th East Africa Internet Governance Forum (EAC)
The East African Community (EAC) in partnership with the Internet Society - Uganda Chapter, are set to host the 11th edition of the East Africa Internet Governance Forum (EAIGF) in September this year. The Forum will take place from 11th to 12th September, 2024 in Kampala, Uganda, under the theme “Building our Multistakeholder Digital Future for East Africa.” The primary objective of the EAIGF is to create an inclusive, multilateral, multi-stakeholder and multilingual discussion platform. The platform addresses crucial issues that enhance Internet development and governance in East Africa.
“In the rapidly evolving digital landscape, effective Internet governance is crucial for fostering innovation, ensuring security, and promoting inclusivity. As EAC, we are committed to building a multi-stakeholder digital future where governments, private sector, civil society, and academia collaborate harmoniously,” said Hon. Andrea Aguer Ariik Malueth.
Uganda, France strengthen trade, diplomatic ties (Africa.com)
The Deputy Speaker of Parliament, Thomas Tayebwa, has hailed the cooperation between Uganda and France in the areas of trade, investment and diplomatic relations as a formidable uniting factor that ought to be fostered for further growth. “We are looking forward to increasing the trade volumes between our two countries and the European Union in general. We hope that the newly established chamber will also contribute to reduction of the balance of trade which stood at US$57 million in favor of France, according to 2023/2024 figures,” said Tayebwa. Tayebwa made the remarks while speaking at an event to commemorate Bastille Day, held at the residence of the French Ambassador to Uganda on Friday, 12 July 2024.
Sustainable development: ‘Be leaders and inspire’ UN deputy chief urges, as 2030 deadline nears (UN News)
The Special Event entitled Keeping the SDG Promise: Pathways for Acceleration is taking place on the sidelines of the High Level Political Forum (HLPF) now underway, aimed at getting the SDGs back on track and leaving no country behind. It will give a boost to the so-called “High Impact Initiatives” championed by the whole UN development system and key investment strategies, while also highlighting countries.
Speaking exclusively to UN News’s Mayra Lopes, the UN deputy chief emphasized six key transition areas for accelerating the SDGs which are essential to success: food systems, energy access and affordability; digital connectivity, education, jobs and social protection; and climate change, biodiversity loss, and pollution.
G20 reaches agreement on making Green Funds more easily available (G20 Brasil 2024)
Discussed in Belém during last week’s G20 Sustainable Finance Group conference, the initiative received excellent support and ideas for implementation. Increasing access to these resources links the Brazilian presidency of the forum to Global South nations’ demands for financing a fair ecological transition.
G20 country technicians reached an agreement on Brasil’s priority of facilitating access to Climate Funds, particularly for small and medium-sized economies. This issue was a key objective of the Sustainable Finance working group, which convened this week in Belém, the capital of the state of Pará. The proposal received “excellent support” and garnered several recommendations for its implementation in the coming months.
“We have the endorsement of the G20 and a clear direction on how to implement these recommendations, ensuring that resources from these Funds actually reach the intended accounts. The same applies to our second priority, a matter very dear to Brasil: ecological transition plans must be fair,” said Ivan Oliveira, coordinator of the Working Group and Undersecretary for Financing Sustainable Development at the Brazilian Ministry of Finance.
Report of India’s G20 Task Force on Digital Public Infrastructure released (Press Information Bureau)
The final ‘Report of India’s G20 Task Force on Digital Public Infrastructure’ by ‘India’s G20 Task Force on Digital Public Infrastructure for Economic Transformation, Financial Inclusion and Development’ was released in New Delhi, today. The Task Force was led by the Co-Chairs — Shri Amitabh Kant, G20 Sherpa of India and Shri Nandan Nilekani, Co-founder and Chairman of Infosys and the Founding Chairman of UIDAI (Aadhaar).
The work of this Task Force had led to the acceptance of the definition and framework of the Digital Public Infrastructure (DPI) during India’s G20 Presidency and will be taken forward for implementation during the Brazilian and South African Presidencies.
On the occasion of releasing the report, Shri Amitabh Kant, G20 Sherpa of India, said, “India did an incredible pole vault in Digital Public Infrastructure. We achieved in 9 years what would have taken 50 years without DPI. Today in India, UPI is used at all levels from street vendors to large shopping malls, with the highest percentage of digital transactions globally, accounting for nearly 46% share. All these proved to be building blocks for India to steer through the COVID-19 pandemic, be it transfer $4.5 billion into the bank accounts of 160 million beneficiaries or facilitate distribution of 2.5 million vaccinations in two years with digital vaccine certificates on mobiles. We are far advanced in terms of digitisation and I am confident, this report will be the guiding North Star for the world to follow.”
Digitalization, transit issues of landlocked states in focus at trade facilitation meeting (WTO)
At the 10-11 July meeting of the Committee on Trade Facilitation, WTO members shared national experiences of digitalizing documentation and other procedures to ensure smooth cross-border trade flows. Members also separately discussed transit issues facing landlocked countries. Five members — China, Colombia, Ecuador, Lao People’s Democratic Republic and the Republic of Moldova — shared their experiences of using digitalization to facilitate trade, in line with the committee’s decision to focus on this topic in 2024.
Earlier this year, members presented to the committee their experiences of using data and technology to simplify trade procedures, how to promote the implementation of the Trade Facilitation Agreement through digital approaches and smart technologies, and the digitalization of border procedures.
Quick links
The importance of reshaping a more resilient, innovative, and self-sufficient trade sector in SA (Bizcommunity)
Kenya’s digital divide: pastoralists are key to the country’s economy, but they’re being left behind (The Conversation)
African Union’s G20 Membership: Effective Collaboration Towards Africa’s Economic Growth (Modern Diplomacy)
Global trade can support humanitarian relief. Here’s how (WEF)
The Digital Trade Issue 2024 (Global Trade Review)
