- Kenya’s construction costs surge at fastest pace in four years as fuel price shock hits
- African trade is growing despite the obstacles
- Why global capital is betting big on Africa’s digital promise
- Kenya posts stronger-than-expected Q1 growth at 5.3% on manufacturing rebound, tourism boom
- China’s new investment rules are about guardrails, not closed doors
- Zanzibar optimistic economic growth will hit 7.5% on tourism boom
- Kenya defies economic shocks to post record $22 billion in tax collections
- Forget South Africa: East Africa now rules in banking industry returns
Author: Giza Mdoe
Giza Mdoe is an experienced journalist with 10 plus years. He's been a Creative Director on various brand awareness campaigns and a former Copy Editor for some of Tanzania's leading newspapers. He's a graduate with a BA in Journalism from the University of San Jose. Contact me at [email protected]
Ahead of the US-Africa Summit in December, the Russia-Africa Summit next year and as new geopolitical alliances form, Africa is under great pressure to take sides. China is increasingly becoming a strong economic powerhouse while Russia is making its own stand. The West finds itself reliving history, scrambling for portions of Africa. This summer was most fulfilling for me, not because the Earth’s revolution had finally brought the sun to shine on my part of the World, I live in Tanzania, East Africa, its spring and summer all year around. Africa is under increasing pressure to take sides in new…
Meanwhile, Africa is looking to take pre-emptive action to avert the inevitable food crisis.
The United States has pledged support to help the continent grow and distribute more food. The aid will come through the African Development Bank (AfDB). The Bank is looking to fund a significant increase in food production in an effort to ward off the food crisis wrought by the Russia-Ukraine war.
In May this year, the AfDB set up a US$1.5 billion African Emergency Food Production Facility. It was established with the aim of supporting some 20 million smallholder farmers produce more food and to do so more sustainably.
The connection bypass road launched by the five presidents of the East African Community (EAC) has set precedence in the importance of neighbouring countries undertaking joint projects to improve transport infrastructure between and amongst themselves.
This point is underlined in the World Bank report; “Patterns of shipping, transshipping, and distribution mean that trade depends not only on the quality of infrastructure in the two trading countries but also of that in key third party countries on the trading network.”
The point is that while two countries can come together to improve transport infrastructure, it is not enough because trade, in many cases, goes much further than the border between two countries.
The goal of JETP is to help South Africa decarbonise and switch to renewable energy for its power needs as aligned in the country’s Nationally Determined Contribution emissions goals.
Through the program, South Africa will mobilise an initial commitment of $8.5 billion for the first phase of financing, which has now been secured and whose distribution plan will be announced next month in Egypt at the COP27.
“The Partnership is expected to prevent up to 1-1.5 gigatonnes of emissions over the next 20 years and support South Africa to move away from coal and to accelerate its transition to a low emission, climate resilient economy,” reports the European Commission.
Pundits advise that the US is better off supporting the African Union’s Agenda 2063 even though the US strategy is exclusive for Sub-Saharan Africa. However, that part of Africa is still accounted for in the continent-wide Agenda 2063. It would bode well for all parties concerned if US support to Sub Sahara Africa served to help the region better place itself in the overall African vision.
There is the matter of friend-shoring as well, Africa feels the US gave Asia a much better deal, more explicit, more concrete, specific and committed than it ever did with the motherland. How will it play out? Will the US-China trade war help Africa secure a better deal from China than the US?
Even though the strategy does mention a willingness to facilitate ‘new geographic groupings’, it is not specific as to what these new alliances are and what they will mean in terms of trade and even security.
Yes, there is the mention of integrating African states in the overall Indian Ocean and Indo-Pacific forums, but that only spells out the obvious, ‘the U.S. would like to have Africa on its side in its ongoing trade tug of war with China in the Indian Ocean and the Pacific.
Russia war on Ukraine worsening inflation in Europe US offers list of commitments to Asia in friend-shoring deal Africa needs to stand up to get a better friend-shoring deal Balance of power is shifting globally, fueled by the corona pandemic and the Russia-Ukraine war, pre-existing trade wars between super powers China and US have only worsened; where does this shift of power and political rift leave Africa. All the fighting is not good for business, unless of course your business is in military contracts. So many nations are, and understandably so, avoiding conflict regions and diverting their supply chains to friendly…
It is 1985, the US dollar is unbeatable, it is the reigning champion of the World’s heavy weight currencies. The beefed up greenback is knocking out all challengers, it has to be stopped, reasoned economists from the other major World economies. And so, that year finance ministers from the US, Germany, Japan, France, and the UK all inked an agreement to devalue the dollar, even the US was in on the agreement, laughing to the bank of course. The decision to ‘intervene’ became known as the Plaza Accord, a joint agreement amongst central banks all around the World (including…
Vodacom Tanzania fell Sh103.8 billion short of its second quarter target and the company blames it on what it says is ‘the impact of mobile money transaction levies.’ In its latest annual report, Tanzania’s largest telecom, subscription wise, said compared to the same period last year, its second quarter earnings this year, that Sh956.515 are over one percent lower. Not only was the income low, but the company had projected much higher earnings this year in excess of Sh1.06 trillion. However, much to the dismay of its investors and stakeholders, the company was almost 10 percent off target in this year’s…
NSE market update: On Wednesday, Sep 7, investors proved their confidence in Kenya’s new president William Ruto as the Nairobi Stock Exchange (NSE) shot through the roof to record the highest single day raise in over four and a half years. Local media confirmed the NSE market gained Sh102.6 billion describing the leap as ‘the biggest single-day jump in four-and-a-half years.’ This jump comes in the wake of settling election dust that saw the NSE stumble, fall and now, rise up again. Sector pundits and political analysts agree that this huge gain is a clear signal of investor’s confidence in…
The Tanzanian Parliament recently passed a US$ 294 million budget to fund the country’s Ministry of Water projects for the 2021/22 financial year. The hefty sum is expected to go a long way to solve the country’s ever mounting water shortage issues, however it is not enough and the private sector must chip in. Delivering his budget speech in the Tanzanian capitol of Dodoma during the budget hearing, the Tanzania Minister for Water, Jumaa Aweso acknowledged external in put in helping Tanzania address its water shortages especially in rural areas. The minister acknowledged international development partners that are supporting the country…












