A recent Ernst & Young report shows that China more than doubled its foreign direct investment (FDI) projects in Africa in 2016, and that the value of these projects outweighs U.S. investments by a factor of 10. Moreover, China’s Commerce Ministry recently announced that China-Africa trade increased by 16.8% year-on-year in the first quarter of 2017. As if that was not enough, various African leaders were courted at a summit in Beijing last month, which promised extensive deals in infrastructure and trade under China’s “One Belt, One Road” initiative. All of this serves as an exclamation mark on the following sentence. Read More
Chinese investment in Africa: Beijing’s testing ground
The China-Africa relationship — partly spontaneous and partly the fruit of an orchestrated push from Beijing — is shifting the commercial and geopolitical axis of an entire continent that many western governments had all but given up on. While Europeans and Americans view Africa as a troubling source of instability, migration and terrorism — and, of course, precious minerals — China sees opportunity. Africa has oil, copper, cobalt and iron ore. It has markets for Chinese manufacturers and construction companies. Read More
Christine Lagarde Demystifies The Compact with Africa
Millions of African citizens could see tangible economic benefits from the recently launched Group of Twenty advanced and emerging economies’ initiative, known as the “Compact with Africa.” The goal is to boost private investment by harnessing the expertise and resources of governments, investors, and international organizations.
The Compact is about facilitating projects that can lift productivity and living standards. It is about creating fresh opportunities on a continent where 70 percent of the population is under 35 years of age. Read More
How Kenya Can Work Its Way out of a Food Crisis
Kenya is in the midst of a food crisis. In the past year, both its long and short rainy seasons have had far less rain than usual. As a result, production quantities for staple crops, especially maize, have faltered. Exacerbating the drought, Kenya has been hit hard with a infestation of fall armyworms that gorge on maize and thrive in hot, dry conditions. The production shortfall has created a countrywide food shortage. Read More