Kenya Repeals Law That Deterred Foreign Investment – Africa Business Round Up

A 2015 Kenya law that required 30-percent Kenyan ownership of businesses registered by foreign firms was recently repealed after successful advocacy by the business community with direct support from an economic growth program led by DAI.

“The law arbitrarily forced new investors across all sectors to cede close to one-third of their equity to Kenyans by birth,” said DAI’s Juan Estrada, the Hub’s Chief of Party. “Investors resisted committing under such circumstances.”

The 2015 law also was inconsistent with Kenya’s obligations to free up the movement of capital within the East African Community (EAC). Article 24 of the EAC Common Market Protocol requires partner states to remove restrictions in relation to investment, except in certain cases agreed by EAC partner states.

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China Telecom Global Selects the Djibouti Data Center (DDC) as a Strategic Hub for Pan-African Expansion

China Telecom Global has selected the Djibouti Data Center (DDC), to help facilitate network expansion, co-location and submarine fiber cable access services in East Africa.

The Djibouti Data Center has been built to Tier III data center standards and serves as a major meeting point for submarine fiber cable systems including the new Southeast Asia-Middle East-Western Europe (SEA-ME-WE 5) submarine cable designed to connect Asia, the Middle East, Africa and Western Europe. China Telecom Global is a founding member of the consortium for SEA-ME-WE 5, which is expected to be ready for service in late 2016.  Read:

Ghana’s forgotten oil

Oil was a major campaign issue during Ghana’s last elections four years ago. But this time around, no one’s talking about it. A sector once regarded with hope now seems too complicated and insignificant to fight for.  Read: 

Related:  

• Global Economic Slowdown Presents an Opportunity for Kenya to diversify 
• UK Pledges USD30M For East African Oil and Gas Sector
• Kenya is Turning the Oil debacle into a Bonanza

Castro’s death casts light on Africa’s relationship with its diaspora

Fidel Castro’s death – at the age of 90 – has, however, once again brought to the fore the strong and often complicated relationship between Africa and its diaspora. Many people of African descent are living in Cuba and elsewhere in the Caribbean – a fact that in part also explains Castro’s engagement with the continent.

The African diaspora as defined by the AU includes “historical” members, who have links with Africa through the Atlantic slave trade in the Caribbean, the US and Brazil, as well as those belonging to the intellectual and cultural diaspora. The latter encompasses those academics, scientists and artists of African descent around the world. There are also “economic actors”; Africans who moved out of Africa more recently, and who feel compelled to contribute to the well-being of the continent. Read:

Related: 

• Fidel Castro’s Greatest Legacy in Africa Is in Angola | Chatham House 
• Fidel Castro’s African legacy: Friendship and freedom 

Africa’s growing deserts

As deserts across the world expand, around 1.2 billion people are at risk from desertification – and according to the United Nations, Africa is worst affected. It’s estimated that deserts in parts of the continent are expanding at a rate of 5 km per year, and with 65% of arable land already damaged,Africa is facing a crisis that will affect both its food supply and its population.

Related:

• The paradox in sustaining agricultural transformation in Africa
• On Climate Change and the Triumphs of The Paris Agreement
• Climate Change a Threat to the African Economy
• Experts Launch Action Plan to Help African Agriculture Adapt to Climate Change