News
tralac’s Daily News Selection
The selection: Tuesday, 10 May 2016
The Third Pan-African Capacity Development Forum (CDF3): download the speeches, presentations
WEF Kigali meeting to address skills, energy gap (New Times)
The World Economic Forum for Africa, scheduled to kick off in Kigali tomorrow, will be an opportunity to create awareness about the anticipated Fourth Industrial Revolution, which technology enthusiasts term as ‘disruptive.’ Organisers say the forum will be a platform to discuss the changes expected in economies, corporations and societies courtesy of the industrial era, as well as deliberate on opportunities within and emerging risks. The forum will run under the theme, “Connecting Africa’s Resources through Digital Transformation.” [WEF Africa will raise Single Visa status (editorial comment, EA Business Week)]
African countries must collect more taxes: but how? (Daily Maverick)
Regional and global leaders from business, government and civil society are gathered for the World Economic Forum in Kigali this week to celebrate Africa’s decades-long progress in economic growth and poverty reduction – and to talk about the future. As a foundation that is deeply invested in partnering with governments across the continent to help improve the lives of the poorest, we (the Bill and Melinda Gates Foundation) are hearing a clear message from countries: that equitably raising and efficiently spending domestic resources should be at the heart of efforts to reduce poverty. [The author, Gargee Ghosh, is director of Development Policy and Finance]
East Africa: Region’s tax bodies grapple with growing deficit (The East African), Tanzania: Govt conducting research on establishing TRA countrywide (IPPMedia), Govt tax relief rules face radical shake-up, IMF tax mission heads to Zimbabwe (NewsDay)
Dr Ibrahim Assane Mayaki: 'Let's MoveAfrica' (New Times)
Thus policymakers need to understand that in many development sectors, the optimal solutions are regional. To achieve this, African governments and regional economic communities will need to pursue a deeper engagement with the private sector on developing transport and logistics-related projects. Given its role as an echo chamber between the private and the public sectors in a regional perspective, the NEPAD Agency is uniquely placed to launch MoveAfrica. [Trade begins at home (The Africa Report)]
China in rail upgrade talks with TAZARA owners (IPPMedia)
A team of technical experts and government representatives at the Tanzania-Zambia Railway Authority are working to breathe life into the underperforming railway whose traffic dropped from 601,229metric tonnes in 2006 to a mere 87,860 metric tonnes last year. Between 2006 and 2015, the volume of throughput cargo at the port of Dar es Salaam stood at 6 and 15 million metric tonnes respectively. Tanzania’s Chief Secretary Eng John Kijazi said apart from reviewing the feasibility study report on reforming the icon of China-Africa friendship, the meeting deliberated capital crisis as well as legal and management challenges. According to the Chief Secretary, the government is currently working on improving the Dar es Salaam port and later the Bagamoyo port; “so all cargo discharged t both ports will require a vibrant railway network to transport,” he said citing also constructing a 40km long railway to link the Bagamoyo Special Economic Zone with the Tazara railway line at Pugu substation.
Ideas sought for lifting EAC transport: the LIFT fund explained (EA Business Week)
David Lipton: 'The challenges of sustaining Africa’s growth momentum' (IMF)
So far, the picture I am painting is pretty negative. But that is not the whole story. In fact, many African countries continue to register robust growth: one-third of the countries in the region are enjoying growth above 5% this year. This is in line with the recent trend, as can be seen here in this slide for oil-importing countries. This is particularly the case here in Kenya and more broadly in the East African Community. The countries making up the Community should register 6% growth this year. Similarly, growth will continue to be rapid in Côte d’Ivoire (8½%), Senegal (6½%), and many low-income countries in the region - as they continue to benefit from lower oil prices.
Caroline Kende-Robb: 'It’s time for a financial and banking revolution in Africa' (WEF)
Ten years ago, countries across Africa were still emerging from the Heavily Indebted Poor Countries initiative. Today, many of the same countries have entered sovereign bond markets. But Africa cannot meet its financing needs in infrastructure and skills development through aid and commercial market debt financing alone. That is why there is no substitute for domestic financing. Unfortunately, economic growth has done little to increase either the rate of savings or the proportion of GDP that is collected in domestic tax revenues – outcomes that point to the need for institutional reforms.
Beyond commodities: how African multinationals are transforming (Wharton)
Among the African entrepreneurs rising to the challenge is CWG’s Okere, who is also a member of the World Economic Forum Business Council on Innovation and Intrapreneurship. According to Okere, CWG has about 600 employees with operations in Nigeria, Ghana, Uganda and Cameroon, and an average yearly revenue of $130 million. The firm’s self-stated goal is to become the top cloud platform provider in Africa by 2020. Africa’s financial services sector, to which CWG belongs, is growing. The Initiative for Global Development and Dalberg Global Development Advisors recently published a list of the top 25 sub-Saharan multinational companies. Although the top three are commodities firms, a large number of the businesses (11) are in financial services.
South Africa: Industrial Policy Action Plan 2016/17 – 2018/19 (dti)
There are four main pillars to the IPAP export strategy: Building partnerships with global Original Equipment Manufacturers (OEMs) focused on transferring technologies and growing our exports in OEM value chains; partnering with national export champions to catalyse increased national technology absorption for the development of high value exports. Strengthening existing Industry Associations and Export Councils; including establishing a dedicated new Export Council for Africa. Developing export-orientated production hubs in SEZs and Regional Clusters and fostering industrial decentralisation. [Download]
Uganda orders boost Kenyan businesses after poll-linked slow down (The East African)
Export orders from Uganda improved business conditions in Kenya in April after a slowdown in March, a survey released by CfC Stanbic Bank on Monday. The growth in trade with Uganda resumed in earnest after the conclusion of elections in March according to the bank. “It’s business as usual in Uganda after the conclusion of elections in February and hence Kenya’s manufacturing exports have been robust,” said Jibran Qureishi, regional economist for East Africa at CfC Stanbic Bank. [Kenya regional oil re-export up 34% (Business Daily)]
Mauritius: PM calls for UN support regarding challenges faced by MICs (GoM)
The Prime Minister, Sir Anerood Jugnauth, appealed to the Secretary-General of the UN, Mr Ban Ki-moon, to provide his support in addressing the difficulties faced by Middle Income Countries (MICs) in obtaining grants and concessional loans by traditional donors and financial institutions.
In Mauritius, Ban urges focus on small States in realizing development targets (UN)
Small island developing States magnify the issues of sustainable development due to their unique vulnerabilities, United Nations Secretary-General Ban Ki-moon said today, calling for extra attention to be paid to the experiences and needs of nations such as Mauritius as leaders continue to work on implementing development targets. [ECOSOC El Niño debate: country perspectives]
Central African Economic and Monetary Community: IMF discussions on common policies (IMF)
To maintain medium-term sustainability in the region, the mission urged the national authorities to slow the pace of debt accumulation. Member countries are encouraged to give preference to concessional borrowing and domestic sources of financing to the extent possible. The mission noted that deeper regional ties would help CEMAC to weather negative shocks. It is therefore imperative to strengthen regional integration, develop intra-regional trade, and better integrate financial markets. To reduce the region’s dependence on oil, structural measures at the national and regional levels will be necessary to create an environment conducive to the private sector becoming the engine of growth.
The Mining Investment and Governance Review (World Bank)
The Mining Investment and Governance Review (MInGov) gives government and regional public organizations access to policy and institutional analyses that affect the sustainable development of the mining sector, including its investment climate, effectiveness of public institutions in developing and monitoring the sector, as well as the costs and benefits to stakeholders. By June 2016, MInGov will have completed and published assessments of nine countries using a consistent, measurable, comparable and actionable methodology. These country assessments will include seven in Africa, one in Latin America and one in Asia. [Explore country data: Zambia, Peru]
Promoting green FDI: practices and lessons from the field (UNCTAD)
The paper examines how investment promotion agencies, in different locations and diverse policy and market circumstances, can contribute to the greening of their economies. It features three case studies of IPAs and economic development agencies from the Republic of Korea, South Africa and the United States of America, showcasing their tailor-made approaches to identifying the right opportunity areas and designing strategies taking into account each agency's resource constraints and location-specific conditions.
Conference on China-Africa trade and investment relations: a summary of the Abuja debate (ThisDay)
Many issues were raised in the papers presented and general discussion: the arrival of China as a new superpower and its implications for Africa and Africa’s traditional allies; capacity of African countries, and particularly of Nigeria, to take advantage of Chinese good disposition to develop Africa; trade imbalance in favour of China, quality of Chinese products, and management of relations of rivalry between China and the US in the near future.
Global poverty reduction and inclusive growth portal is launched in Beijing (World Bank)
The Portal focuses on South-South cooperation in poverty reduction, providing poverty data, handbooks, updates on key anti-poverty events and researches, and is also offering a search function.
Promoting investments in African agriculture: Agenda 2063 (AU)
Regional leather design centre in pipeline (EA Business Week)
EA countries’ 2016 budgets rise by $5.4b: an overview of budget frameworks (The East African)
Afreximbank welcomes Togo membership (Global Trade Review)
Oil price impact is felt beyond borders (World Bank Blogs)
Leaders meet in Lima to discuss next steps on carbon pricing (World Bank)
tralac’s Daily News archive
Catch up on tralac’s daily news selections by following this link ».
SUBSCRIBE
To receive the link to tralac’s Daily News Selection via email, click here to subscribe.
This post has been sourced on behalf of tralac and disseminated to enhance trade policy knowledge and debate. It is distributed to over 350 recipients across Africa and internationally, serving in the AU, RECS, national government trade departments and research and development agencies. Your feedback is most welcome. Any suggestions that our recipients might have of items for inclusion are most welcome.
