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tralac’s Daily News selection
The selection: Tuesday, 9 February 2016
East Africa’s regional integration is in focus this week:
In Arusha: Sectoral Council of Ministers Responsible for EAC Affairs and Planning (EAC)
The 23rd Meeting of the Sectoral Council of Ministers Responsible for EAC Affairs and Planning began yesterday in Arusha. The meeting started with the Session of Senior Officials (8-10 February) to be followed by the Session of Permanent/Principal Secretaries (10-11 February). The meeting will be capped by the Ministerial Session which will take place on 12 February. Among the items on the agenda of the meeting are: a report on the implementation of previous decisions of the SCMEACP, progress reports on the status of implementation of the EAC Common Market, the elimination of non-tariff barriers, the COMESA-EAC-SADC Tripartite Arrangement and a progress report on the Study on Equitable Sharing of Benefits and Costs of EAC Integration.
In Nairobi: Intergovernmental Committee of Experts (UNECA)
Extract from the ICE background study ‘Institutions, decentralisation and structural transformation in Eastern Africa’: The pursuit of decentralisation and the need to ensure that institutions that support it are functioning is a common thread that runs through most countries in the Eastern Africa region. It is expected that gains from this endeavour will include support for structural transformation. To provide the required impetus and momentum in this respect, it is recommended that the Sub Regional Office of Eastern African develops a programme that aims to bring together Ministers in charge of decentralised units in member countries in order to discuss policy and also build their capacity in regard to the implementation dynamics of decentralisation. The programme should include collaboration with institutions such as national think tanks (say for instance, NESC in Kenya), World Bank, DFID, EAC and others that support governance initiatives.
Related: CS Mwangi Kiunjuri, at the ICE: 'Kenya losing million in revenue for allowing monopolies' (The Standard)
EAPP update: Egypt pulls out of regional power pool as it protests use of Nile Waters
Egypt has pulled out of the grand East African regional power pool until its concerns over the use of the Nile waters have been addressed. In the recent Council of Ministers' meeting in Addis Ababa held by the 10 Eastern African Power Pool countries, Egypt refused to sign and adopt the master plan for the power pool as the hydropower generation projects in Ethiopia and Sudan are on the Nile. According to Lebi Changullah, the secretary-general of the EAPP, the master plan, which has already been adopted by the member states, will be implemented despite Egypt's protest.
Tanzania: Institutional support project for good governance - phase three appraisal report (AfDB)
The expected outcomes are: (i) effectiveness in the management of public finances improved; (ii) business enabling environment improved. This will be achieved through the following output level results: (i) procurement capacity strengthened; (ii) external audit capacity enhanced; (iii) internal audit function strengthened; (iv) business registration and licensing regime modernised; (v) anti-corruption measures and capacity strengthened; (vi) capacity to implement the PPP framework developed.
Related East African postings: Annual Report on the ECA in Eastern Africa 2015 (UNECA), Rwanda getting largest amount of aid dollars per capita in EAC (The Independent), Gatuna OSBP construction begins (New Times), Intra-regional trade challenges: rules of origin are a scapegoat (New Times), Somalia launches new foreign policy after two decades of civil strife (Xinhua)
Mobile technology and trade in Sub-Saharan Africa (Commonwealth)
There have even been proposals for an ‘Aid for eTrade’ initiative, which, if carefully designed and funded to address Sub Saharan Africa’s specific priorities, could help overcome many of these challenges and accelerate the continent’s transition to the digital era and e-commerce. [The authors: Brendan Vickers, Blanca Peña-Méndez]
Kenya leads the way in mobile payments (Business Day)
Joe Mucheru, who resigned in December as head of Google Kenya to become the country’s technology minister, says that despite myriad problems — from opaque regulatory systems to the shortage of skills — the success stories are likely to continue. "Today we’ve got tens of incubators; there’s a lot of start-ups in place that are coming up with very innovative products," he says. "But they’re at their infancy. When they get to the seven-, eight-year space, they hopefully will be larger and be able to absorb a lot more capital. Then we’ll see real growth."
Related: Kenya: Roll-out of banks’ joint mobile cash transfer platform postponed (Daily Nation), African Diaspora fuels innovation in Africa (Zimbabwe Standard)
South Africa ranks 30 for worldwide innovation influence (ITIF)
The global technology think tank, Information Technology and Innovation Foundation released the data in its report, Contributors and Detractors: Ranking Countries’ Impact on Global Innovation. How does South Africa compare? South Africa and Kenya were the only African countries to have been featured. Kenya ranked at 51. South Africa’s BRICS partners ranked as follows: Brazil came in at 41, Russia 42, India 54 and China 44.
Frost & Sullivan: new 'Mega Trends in Africa' video reveals GDP growth of 4.5 trillion by 2025
SA and Nigeria: Regulatory zeal or more? (Financial Mail)
But it’s unclear from this vantage point whether Nigeria’s authorities are just acting with renewed purpose to root out illicit activities, or whether this is a politically driven campaign targeting SA companies. “There’s a general sense that regulators are taking their task more seriously, and the federal government is seeking to use this avenue to raise revenue for budgetary support,” says Derrick Mensah, a banking analyst at African Alliance. This example, as well as those of Mr Price and MTN, could prompt SA firms to put their continental ambitions on ice, or to look at other countries to enter.
Creating global mining winners in Africa (McKinsey)
The African continent delivers some of the best value in the world for every dollar spent on exploration. Even so, African mining companies have yet to fully tap the continent’s reserve potential. Using big data analysis, we found opportunities in productivity, strategy and stakeholder engagement that mining companies can use to steer their way towards world-class performance.
Extract: Africa has the luck of the geological draw. It supplies 83% of the world’s platinum, 73% of the world’s cobalt, and over half of the world’s manganese, chromium and diamonds. It is a principal commodity exporter to China, Japan, the United States and Western Europe. Given these endowments, African mining is critical to the region’s economies, and its mining companies have the potential to be world-class performers. But when we assessed their performance against global peers, we found that they have underperformed in terms of value creation. If nothing changes, the odds are that African mining companies will fall further behind the world’s leading mining companies in the decade ahead. The good news is that African mining companies have access to a range of levers to triple or quadruple their chances of becoming world-class performers. We examine their options.
TRA says cooperating in Dar port's single window project (IPPMedia)
Tanzania Revenue Authority has said it is fully cooperating with other stakeholders in establishing an electronic single window system at Dar es Salaam port that will do away with physical cargo clearance. The electronic Single Window System which was supposed to be introduced at the country’s prime port since 2010 through World Bank funding has been frustrated by a cartel of business elite, politicians and bureaucrats who are behind a loss of government revenue.
EAC closes climate unit over funding (The East African)
Ecowas parliament elects Deputy Speakers (Leadership)
ICGLR leadership contribution to stability highlighted (AngolaPress)
Mobilizing African resources for Agenda 2063 (ACBF)
Michael D. Rettig: 'West Africa's terror problem needs a regional solution' (The Hill)
Jakkie Cilliers: 'The (re)marginalisation of Africa?' (ISS)
Kenya: Local millers warn sugar imports threaten industry (Business Daily)
As EU sugar quota ends, African producers to shift sales to domestic markets (Africa Report)
UEMOA industrial production up by 7% (StarAfrica)
Botswana mulls selling power plant to Chinese contractor (StarAfrica)
Commission for Social Development: session update (UN)
Steven Radelet: 'Progress in the global war on poverty' (Christian Science Monitor)
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