Connect with us

Africa

South Africa Stands on Verge of Massive Domestic Crisis

Published

on

Russian tourists in South Africa usually go home lost in admiration, at least they did before the pandemic. Palm trees, beaches, exotic African animals and folk dances to the beat of the drums, stunning natural reserves, wonderful roads, marvelous restaurants, luxury hotels, amazing wine. South Africa produces the ultimate impression of a prosperous and stable country—both economically developed and politically stable. Indeed, South Africa is rich in mineral resources that are constantly going up in price, and it has a relatively developed industry. It regularly holds quite democratic elections, whose results have never been contested so far.

However, the prosperous façade is hiding a host of grave problems. Economy-wise, the principal issue lies in the public sector. Virtually every state corporation is billions in debt accrued owing to corruption, embezzlements, inefficiency, inept management. Eskom alone, a state corporation that controls power generation and distribution, owes the state about ZAR 400 bn. (USD 26 bn.). This is a tremendous amount for South Africa. Eskom cannot even pay interest on it. Its power plants are in such a state that shutting the power down for several hours a day for another round of repairs is a rule rather than an exception. This is not at all conducive to normal functioning of businesses and industry. Eskom’s predicament is one of the main reasons why South Africa has lost its once high investment rating.

And here we arrive at politics. Technically, South Africa can generate far more energy than it does now. Large enterprises, mines, and many farmers have long since installed solar panels and other devices to make sure they have electric power. Many offer to supply their extra power to Eskom, but the government turns them down. This also limits amounts of energy private businesses can generate. Privatization is out of the question, while it is the only thing that could save the power grid from collapse. The government is quite content with its role of a monopoly that generates power from coal and has no competition. The reasons for that are pure politics.

The African National Congress (ANC), South Africa’s ruling party, sees itself as the party of workers and the poor, and although it does not assume the name of a socialist party, it clearly prefers a government-controlled economy. Additionally, there are more practical reasons: trade unions are the ANC’s core voters, and they are opposed to privatizing Eskom and other state corporations. Additionally, they are fundamentally opposed to bringing private businesses into the power generating industry, since such a move may result in competition and lower wages that are far higher in South Africa than in countries with comparable GDP despite its 45% unemployment rate, which is an abnormal combination.

Today, the ANC is facing a choice: either in-depth structural reforms that are unpopular, or stagnation and possible collapse. The party arrives at this choice in a state of internal crisis. The ANC’s leaders and local functionaries are locked into a struggle between corrupt and political groups, clans, and factions. In the upcoming December, the ANC’s party conference is to choose a new leader or re-elect the current president Cyril Ramaphosa. At the next national elections, the elected leader will inevitably become the country’s president. Even though the ANC is losing its popularity, Mr. Ramaphosa will remain the leader of the majority party since there is no real electoral alternative. Ramaphosa’s main rivals are supporters of former president Jacob Zuma, who advances a populist agenda (for instance, expropriation, primarily of land, and introducing universal healthcare, which the country has no money or infrastructure for).

Contradictions within the party are running so high that political assassinations have happened locally. Membership in provincial delegations that will be attending the December elections is bought and sold along with votes of individual delegates and entire delegations. The delegation of the province of KwaZulu-Natal (Zuma’s province) is the largest, since the ANC has the largest membership here. Zuma’s supporters have good chances. A split in the party and anarchy cannot be ruled out in the event of one of their candidates being elected. Even if the party subsists as a united organization, a change in its course will result in expropriation or takeover of farms, enterprises, or maybe even banks. That will plunge South Africa in utter economic collapse.

If the current president’s faction remains in power, he will have to implement unpopular market reforms and attempt to fight corruption: he simply has no other agenda. His opponents will be destabilizing the situation up to inciting riots. Such riots were already organized in June last year allegedly in support of Zuma who had been charged with corruption and contempt of court. In reality, it was an attempt to show the party and the people that Ramaphosa was unable to control the situation, or maybe even to remove him from the office of the president of the party and the country. Back then, crowds numbering in thousands looted and burned down thousands of stores and warehouses, including the huge warehouses in the port of Durban; they houses commodities for the entire country. South Africa’s economy lost billions, and over 400 people died. A replay of these events amid unemployment and poverty already exacerbated by the pandemic cannot be ruled out.

From our partner RIAC

Continue Reading
Comments

Africa

Russia Scrambles for Higher Performance Marks in Africa

Published

on

Squeezed between Western and European sanctions due to its “special military operation” in Ukraine since late February and its dilapidating effects on Africa’s economy on one side and its decades-old desire to regain part of the Soviet-era influence despite the weak economic presence and negative perceptions at the core among the public especially the youth and middle class, Russia is gearing up for the next traditional African leaders summit. 

With preparations underway, Russia would have to begin preparing for and play different attractive rhythms at the second African leaders summit in 2023 at St. Petersburg, Russia. Reports monitored by the author indicate that the modest economic gains are gradually eroding due to Covid-19 these past two years and the situation is turning complicated currently due to the Russia-Ukraine crisis. The Russia-Ukraine crisis has a strong immeasurable negative impact, generating social discontent across large spectrum of the population in Africa. Therefore, African leaders would indiscriminately have cooperate with any foreign investors willing to invest and support their development process. Across Africa, more than 282 million people are food insecured – and that number is rising, according to the estimates by the World Bank. 

Throughout Africa, many across the population are displaying discontention and dissatisfaction due to unbearable rising prices for commodities and consumables. This latest food crisis, which did not originate in the continent, is reaching alarming dimensions especially in Africa. In fact, African leaders are confronted with these hurdles and emerging challenges. They are feverishly looking for both short-term solutions to calm down existing tensions among the people, and also long-term strategies to push sustainable development and make pace for growth.

The United States percieves most of the challenges and opportunities with a difference in Africa. It is constantly investing and its private investors are active exploring the continent. The United States is well-connected with its public outreach diplomacy. American institutions and organizations are linking up with the youth, women and the civil society.

After a peak in 2014, foreign direct investment (FDI) in Africa from the United States dropped to US$47.5 billion in 2020. During the pandemic, it provided more than 50 million doses to 43 African countries. It has further given more than US$1.9 billion in Covid-related assistance, for urgent needs like emergency food and other humanitarian support.

President Joe Biden has launched the Emergency Plan for Adaptation and Resilience. The year, the Congress allocated US$3 billion every year by 2024 to finance climate adaptation projects, the largest commitment ever made by the United States to reduce the impact of climate change on those most endangered by it. Through the Power Africa programme, the U.S. has connected more than 25 million homes and businesses across the continent to electricity, 80 percent of which is based on renewables. Development Finance Corporation supports renewable energy across Africa, including a solar project in Nigeria, wind farms in Senegal and Kenya. Nigeria marked a new chapter with the signing of a US$2.1 billion development assistance agreement that supports collaboration in the fundamentals: in health, in education, agriculture, good governance. 

And then four U.S. companies are collaborating with the Senegalese Government on infrastructure projects; that’s the Institut Pasteur de Dakar, which is working toward COVID vaccine production with American support and investment; and pushing innivation, technology and entrepreneurship with women and youth groups in Africa.  The popular partnership between the United States and Africa is YALI – the Young African Leaders Initiative.

The Prosper Africa initiative aims to increase two-way trade and investment.  The Africa Growth and Opportunity Act – known as AGOA – provides duty-free access to American markets, and most African countries have taken full advantage of it. U.S. investors are seriously leveraging unto the African Continental Free Trade Area (AfCFTA). Similarly, China, Japan and South Korea have started localizing production of automobiles and tech gadgets. 

Despite some criticism, international development institutions and organizations are ready and offering support. In addition, external countries are stepping up efforts in that direction. The World Bank stands ready. Its latest three-year, US$93 billion global programme – about 2/3 of which will support Africa’s development agenda – delivered through the International Development Association (IDA). The IDA is the world’s largest source of concessional funds, including grants for low-income countries, helping them seize opportunities to reduce poverty and stimulate inclusive growth.

This latest IDA replenishment will enable our support to Africa to increase even more in the years ahead.  Africa has become the prime region benefiting from IDA resources – growing more than tenfold its annual program of about US$3 billion in 2000 to well over US$30 billion currently. This support, plus our growing on the ground presence across Africa, is enabling us to work hand-in-hand with governments, with the private sector, and civil society to implement the continent’s ambitious development agenda.

While in Dakar, capital of Senegal, meeting more than a dozen Heads of State from across Africa, Axel van Trotsenburg, World Bank Vice President for Latin America and the Caribbean, said “African leaders have, through the African Union process, articulated clear goals – from digitalization to electricity to education – and we are committed to helping Africa translate these ambitions into strong programmes that can, within a short period of time, improve people’s lives and transform the continent.”

Foreign countries, the United States, European Union, Asian states such China, and from the Gulf and Arab states are, indeed, at the forefront in Africa. In March during the heat of Russia-Ukraine crisis, the United States and European Union supported Africa through the African Development Bank (AfDB), when the bank sought funds more than US$50 billion for curated bankable projects in key priority sectors identified in the Africa Investment Forum’s 2020 Unified Response to Covid-19 initiative.

According to the China-Africa Economic and Trade Relationship Annual Report (2021), while Covid-19 has shaken the global economy, Chinese investment in Africa has been climbing. The report says China invested US$2.96 billion in Africa in 2020, up 9.5% from 2019.  The turnover of Chinese enterprises’ contracted projects in Africa amounted to US$383.3 billion in 2020, that is a 16.7% drop from 2019.

In a media release, the U.S. Government’s lead development agency, United States Agency for International Development (USAID), has renewed its partnership with many African countries. Quiye recently, it offered to fund various projects, including investment in health and education, women and youth, and infrastructures in a number of African countries. For instance, in April this year, it gave assistance funding of US$1.5 billion to promote a more peaceful, prosperous and healthy Mozambique.

The economic significance of Eurasian Union for Africa’s development here need not be over-discussed. Members of the European Union such as Britain, France, Germany and The Netherlands are play some visible roles in Africa. The European Union, as a substantial economic power bloc, has long-term working relations with African Union.

With its new Global Gateway Strategy, the EU is demonstrating the readiness to support massive infrastructural investment in Africa.  It also seeks to unlock new business and investment opportunities, including in the areas of manufacturing and agro processing as well as regional and continental value chains development. In a document entitled “Toward a Comprehensive Strategy with Africa” – the document sets forth the template of what the EU plans to do with Africa. 

Valdis Dombrovskis, Executive Vice-President and Commissioner at the EU Secretariat pointed out that “In this new approach towards Africa, we can build a modern, sustainable and mutually rewarding partnership of equals. Of course, there will be challenges along the way but the EU stands ready to help. We want to share the lessons from our own process of economic integration, and with our new Global Gateway Strategy. We have demonstrated that we are ready to support massive infrastructural investment in Africa.”

That said, African leaders are exploring available possibilities and windows that have been opened after the last EU-Africa summit. The European Union has unveiled €300 billion (US$340 billion) alternative to China’s Belt and Road initiative – an investment programme the bloc claims will create links, not dependencies.

There great rivalry and keen competition among key global players now. And Africa is now seen from different perspectives, but more importantly, it has been described as the last investment frontier due to the current transformations taking place there. During the 35th Assembly of the Heads of State and Government of the AU in Addis Ababa in February, António Guterres argued that Africa was “a source of hope” for the world. 

In November 2021, a report prepared by 25 Russian policy experts, titled ‘Situation Analytical Report’ explicitly noted that many external countries are using diplomacy in all ways to support their efforts in Africa. It criticized the inconsistency of Russia’s current policy towards Africa. The intensification of political contacts is only with a focus on making them demonstrative. Russia’s foreign policy strategy regarding Africa needs to spell out and incorporate the development needs of African countries. 

While the number of high-level meetings has increased, the share of substantive issues on the agenda remains small. There are little definitive results from such high-level meetings. Many bilateral agreements largely remain not implemented, and many pledges undelivered. It pointed to lack of coordination among various state and para-state institutions working with Africa. According to the report, Russia has to intensify and redefine its parameters as it has now transcended to the fifth stage in its relationship with Africa.

That report was also critical about public speaking. The report lists insufficient and disorganized Russian-African lobbying, combined with the lack of “information hygiene” at all levels of public speaking among the main flaws of Russia’s current Africa policy. In several ways, ideas and intentions are often passed for results, and worse Russia’s possibilities are overestimated both publicly and in closed negotiations.

Several reports monitored by this author show clearly that there has been little approach, in terms of government and institutional public relations, in Russia’s foreign policy in Africa. This author has written a lot about this, emphasizing the seriousness of using media networks – an calculated attempt to build an atmosphere of trust and confidence. Quite obviously, Russians have to devote a great deal of thought to creating strategic communication group that could highlight its diverse performance and practical genuine interests in Africa.

Opening a new stage of relations becomes important especially when analyzing the contradictions and confrontations posed by the Russia-Ukraine crisis and its multiple effects on future relations. Without doubts, African leaders complained bitterly that they have become direct victims of the Russia-Ukraine crisis. Overall Russia’s investment in economic sectors is still staggering there in the continent and comparatively, the fact still remains that the United States, the European Union and a number of Asian and Gulf States are investing heavily in Africa.

The Russia’s Foreign Minister Sergey Lavrov and his Deputy Mikhail Bogdanov, most often show their crosshair of consistent criticism for Western and European dominance and investment in Africa. It lacks strategies for implementing those oftentimes forward-looking policy for Africa. The passion for repeating the same things in different ways in speeches. In a general sense, their repetitive theme of Soviet-era support for political liberation and now efforts to help Africa fight neocolonialism is highly appreciated but Russia has to, in practical terms, show its latest policy achievements in various sectors for the past two decades. 

On another side note, Russia most probably needs to design its template of its communication strategy ahead of the 2023 summit, that has to largely win the hearts of African leaders to the emerging New World Order. As already promised, Minister of Foreign Affairs of the Russian Federation, Sergey Lavrov, indicated in a mid-June message that “in these difficult and crucial times the strategic partnership with Africa has become a priority of Russia’s foreign policy. The signed agreements and the results will be consolidated at the forthcoming second Russia-Africa summit.” 

Continue Reading

Africa

Ethiopia: Without immediate funding, 750,000 refugees will have ‘nothing to eat’

Published

on

Children displaced by conflict and drought pose for a photo n Semera, Afar Region, Ethiopia. © UNICEF/UN0639245/Sewunet

UN agencies appealed on Tuesday for $73 million over the next six months to provide food rations to more than 750,000 people seeking refuge in Ethiopia.

The World Food Programme (WFP), UN refugee agency, UNHCR, and Ethiopian Government Refugees and Returnees Service (RRS) made the plea for assistance because without it, WFP will run out of food for the refugees by October.

The impending crisis will leave vulnerable families at risk of undernutrition, micronutrient deficiency, and increased susceptibility to diseases, the agencies warned

“Three quarters of a million refugees will be left with nothing to eat in just a matter of weeks unless we receive funding immediately,” said Claude Jibidar, WFP’s Representative and Country Director for Ethiopia.

Ration cuts

Cutting rations has been an issue with which WFP has long had to grapple.

Food rations for refugees in Ethiopia were first reduced by 16 per cent in November 2015, then 40 per cent in November 2021, and finally 50 per cent in June 2022.

The impact of these cuts has been heightened by global limitations on food availability, widespread economic shock, rising food and energy costs, the COVID-19 fallout, and armed conflict.

Impact of cuts

To understand the impact of ration cuts on refugees, WFP, UNHCR and RRS conducted in April, a rapid assessment on 1,215 refugee camps households throughout relevant regions.

The results show that most had coped with food insecurity by reducing the number of meals eaten in a day, consuming less expensive foods, or limiting meal portions. 

The joint assessment also revealed that households are going to desperate measures to make up for funding cuts.

Funding repercussions

Funding cuts have forced refugees to rely on an ever-finite supply of food, which increases the likelihood of resource-based conflicts.

Data shows that many families have been relying on children to generate extra income to afford food.

Other households were forced to borrow cash, relying on friends or relatives for sustenance.

“We have a shortfall of $73 million for refugees’ minimum needs and we are deeply concerned that if funding cuts continue, they may consider returning to their places of origin when it is unsafe,” warned Mr. Jibidar.

Taking action 

More resources must be mobilized to meet immediate food demands, and smart investments should be taken to prioritize sustainable farming.  

“The priority for us all must be to restore assistance to at least minimum levels for refugees, all of whom are solely reliant on WFP’s cash and food assistance for survival,” said the UN Country Director.

With an immediate donor response, WFP would be able to buy food available in the region to meet the dietary needs of the refugees and also transfer cash to the refugees, providing them the choice of how to meet their immediate needs and stimulating local markets.

Support needed

The agencies have established an effective system to identify the food assistance needs of refugees through biometric verification, accountability mechanisms and programmes to grant monthly food and cash assistance.

The trio called on all partners to strengthen efforts to address their immediate and long-term food needs in line with international commitments. 

Meanwhile, WFP, UNHCR and RRS will continue to count on donors for extended funding support based on the principle of shared responsibility to implement basic humanitarian life-saving activities.

Continue Reading

Africa

Central African Republic: Militias spreading ‘terror, insecurity’, must lay down arms

Published

on

UN peacekeepers patrol the town of Bambari in the Central African Republic. (file) MINUSCA/Hervé Serefio

Armed groups in the Central African Republic (CAR) must lay down their arms and engage in political dialogue, a UN-appointed independent human rights expert said on Friday, urging the international community to strengthen efforts to restore State authority and end impunity there.

“I vehemently condemn the obstinacy of the Coalition of Patriots for Change and other armed groups who continue to spread terror, insecurity and suffering among the civilian population and victims of violations and abuses,” said Yao Agbetse, who monitors rights abuses in CAR.

Armed groups in the Central African Republic (CAR) must lay down their arms and engage in political dialogue, a UN-appointed independent human rights expert said on Friday, urging the international community to strengthen efforts to restore State authority and end impunity there.

“I vehemently condemn the obstinacy of the Coalition of Patriots for Change and other armed groups who continue to spread terror, insecurity and suffering among the civilian population and victims of violations and abuses,” said Yao Agbetse, who monitors rights abuses in CAR.

Grave human rights violations

At the end of a ten-day official visit to the country, he expressed dismay over reports from residents in the town of Bria, capital of the Haute-Kotto prefecture, who described the ease with which armed groups can move in and out of neighbouring Sudan.

In that same district, schools in Ouadda, Yalinga, and Sam-Ouandja regions, have been closed for four years.

Meanwhile, in Haute Kotto and Mbomou prefectures, the Union for Peace in the Central African Republic and the Front Populaire pour la Renaissance en Centrafrique (FPRC) have committed numerous grave human rights violations, including sexual violence, particularly rape and sexual slavery, mostly targeting girls aged 11-17.

Mahamat Salleh, an FPRC leader based in Nzako, has been implicated in several cases of rape and other serious human rights abuses, Mr. Agbetse said.

‘Unacceptable’ attack

He pointed to the brutal, organized attack on the village of Boyo last December, saying that human rights violations committed by the CAR national army (FACA) and the internal security forces (FSI) and their auxiliaries were “unacceptable”.

Russian allies and the FACA had allegedly provided support to the mostly Christian anti-Balaka militia who committed atrocities there, including beheadings and sexual violence, and forced thousands of residents to flee.

“The seriousness of these facts requires appropriate responses from national authorities towards the victims,” Mr. Agbetse said.

“I recommend that the UN Multidimensional Integrated Stabilisation Mission in the Central African Republic (MINUSCAset up a more reactive warning system and regular joint operations with the FACA to prevent tragedies like the one in Boyo”.

Mercenaries

The UN expert also demanded that Russian mercenaries of the Wagner security group refrain from obstructing collaboration and joint operations between FACA, FSI and UN peacekeepers. 

“The Wagner group must not prevent the deployment of MINUSCA protection operations and not obstruct the investigation of human rights abuses and violations of International Humanitarian Law,” he continued.

In the interest of all citizens of CAR, the UN expert urged outlawed militias to engage in the peace and reconciliation process led by the Commission on Truth, Justice, Reparation and Reconciliation.

Systematic investigations

At the conclusion of his visit, Mr. Agbetse recommended that all allegations of violations of human rights and international humanitarian law be systematically and thoroughly investigated by Central African authorities.

“These investigations must be followed by concrete actions to ensure that the victims have access to justice,” he said.

The expert said a reparation fund should also be established to ensure justice for victims.

Moreover, he strongly recommended extraordinary judicial sessions to tackle the heavy caseload of sexual violence allegations linked to the chronic instability and conflict across CAR.

Sentencing

Mr. Agbetse upheld that in cases of conflict-related sexual violence, so-called “amicable settlements” were simply unjust to victims, and must be stopped, he added.

Moreover, he noted that some testimonies and reports indicated a lack of control and accountability within the State apparatus, including the judiciary, police, and the civil service in general.

He also called on Authorities to address hate speech and incitement to violence, and on the international community to strengthen its support to ensure that State authority restoration is effective.

Independent experts are appointed by the Geneva-based UN Human Rights Council to examine and report back on a specific human rights theme or a country situation. The positions are honorary and the experts are not paid for their work.

Continue Reading

Publications

Latest

South Asia4 hours ago

Politics of Pakistan: A Riot or an Opportunity

On 14th August, 1947 Pakistan appeared on the world map as the largest independent Muslim state of that time. Sixty-five...

New Social Compact13 hours ago

COVID- a way forward with Sustainability & Biodiversity

Since the onset of the COVID- 19 pandemic, a new unprecedented situation has arisen many new challenges including social, health,...

South Asia16 hours ago

Seventy-Five Years of India’s Independence

If anyone had asked Jawaharlal Nehru as he made his midnight speech on August 15 and freedom dawned, how he...

World News18 hours ago

‘Immensely bleak’ future for Afghanistan unless massive human rights reversal

The international community must dramatically increase efforts to urge the de facto authorities in Afghanistan to adhere to basic human...

Economy21 hours ago

The Policy of Sanctions and the Golden Horde Legacy

The modern policy of sanctions resembles, to some extent, the management practices of the Mongol Golden Horde. One of its elements was a system of labels...

International Law23 hours ago

What Is a Sovereign State?

Against the backdrop of the rapid collapse of the US-led world order, the question of which states will survive in...

World News1 day ago

IAEA: ‘Very alarming’ conditions at Ukraine’s Zaporizhzhia nuclear power plant

The situation at Ukraine’s Zaporizhzhia nuclear power plant has deteriorated rapidly to the point of becoming “very alarming,” Director General...

Trending