Essential The Africa the Media Doesn't Tell You About

Fox

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Transport Corridors Have Improved Trade in Sub-Saharan Africa, but Issues Remain

Infrastructure improvements in the transport corridors of sub-Saharan Africa (SSA) have led to growth in the region’s international trade; however, these gains are partially offset by corruption and lack of regulatory oversight at customs checkpoints. For transport corridors to successfully foster trade in the region, SSA countries should continue to reform customs procedures. In fact, some researchers suggest that customs reform is just as important to facilitating trade and corridor performance in SSA as is the continued improvement of the region’s transport infrastructure.

Africa is in a political crisis everything else is just a manifestation of that. :francis:
 

Yehuda

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Night Time Blues Getting Better

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What is usually a busy night, the room inside St. George Hotel in Piassa seats empty following the state of emergency.

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Few people visited Fal Launge and Queens Hotel in Piassa following the state of emergency.

Addis’s nightlife has always been an active and vibrant experience. No matter what people’s tastes, choices are always available, from quiet restaurants, to traditional taverns and ultra modern lounges. However, after the unrest in parts of the country and the government’s decision to declare a state of emergency, businesses in all sectors took a hit.

In the time since the declaration of emergency, the tourism industry has decreased significantly. Foreign investors are more cautious about putting their money in Ethiopian projects, and the shutdown of mobile data networks and social media sites has put a dent in the earnings of internet businesses. Just like other sectors, following the declaration of the state of emergency in early October, the night life in Addis took a nose dive.

Bole, one of the city’s entertainment and social epicenters, was no exception to the slowdown. At Mama’s Kitchen, a well known bar and restaurant, visitors dropped by half.

“Normally, a minimum of 200 customers a night would visit our bar. Now it has declined to 90 to 100,” said one staff member. We have stopped hosting live entertainment shows for the time being.”

The government’s action was the first such declaration in 25 years. The directive on the state of emergency prohibited the movement of unauthorized persons in economic core centres, infrastructure and investment institutions, large scale farms, factories and similar development institutions from 6:00pm. to 6:00am in certain areas of the country.

Whether there was a misunderstanding of this directive on the part of the public, or because the state of emergency itself led to people becoming more cautious, fewer and fewer people were moving around, especially at night.

The misconceptions and reservations about the state of emergency meant the breakdown of night time businesses. Even as the directives were explained, nothing seemed to have changed for the businesses.

On October 20, ten days after the state of emergency was declared, Fortune visited some of the affected businesses.

“It used to be a crowded pub with standing-room only,” the manager of a pub explained. “In the last fifteen days the number of customers has declined at a shocking rate.”

“People who stay late are either those who live around Piassa, or the members of the police or other security forces who know our pub. Others don’t feel comfortable staying out late,” he added.

Piassa, has long been the entertainment hub for city dwellers. The legendary district has retained its old vibe.

Following the declaration of the state of emergency, however, even pubs a stone’s throw away from the historic Taitu Hotel in Piassa, appeared like ghost towns.

“The streets get quieter and stranger after 12:00am,” said a Piassa security guard.

“We had to announce that we were closing for the night to get people to leave before,” another nightclub owner in Piassa told Fortune. “But recently, the club is empty before midnight.”

Another famous bar and lounge located along Cameroon Street (opposite Bole Medhanialem Church) employs more than a hundred individuals and pays more than 200,000 Br in monthly rental fees. The slowdown meant that the business was operating at a loss.

“We have become unable to pay rent and salary to our employees,” said the very angry bar owner. Nightclubs and bars were not the only ones affected by the apprehension created by the state of emergency. Taxi drivers who work at night and commercial sex workers were also affected.

Babi, a taxi driver, used to earn upwards of 1500 Br a night. “That has become history,” he told Fortune. In the two weeks following the state of emergency, his income dropped by half. There were days when he returned home empty-handed.

However, month and a half on from the initial declaration, the situation is far from the same. Business has begun to rebound in a big way.

The area known as Chechnya, on Mickey Leyland Street, near Atlas Hotel, is an example of what a thriving African district looks like. Cheap and crowded in the past, the area was almost completely empty in the days following the state of emergency declaration.

But now, the area is coming back to life. A return visit to bars and nightclubs shows that people are en force, enjoying their previous pastimes again. And the money is flowing back with them.

Chechnya is once again becoming a busy and bustling district, with people moving around without fear or concern, even late at night. People can be seen coming out of bars and clubs into the small hours of the morning, and more sex workers stand lining the streets.

“As more and more people start to come back, our business is really improving,” said one commercial sex worker.

Earlier last month, business was much slower. “I used to make at least 500 Br a night,” a young sex worker told Fortune last month. “Now, I would be lucky to earn 200 Br.”

The situation in Piassa is also recovering. Although the effects of the state of emergency were less severe that in Chechnya and Bole, business has gotten appreciably better. “We are observing improvements in the number of customers,” said a manager of one of the bars in Piassa who spoke to Fortune.

Bar Melo and Surrender Night Club, located in Chechnya and Bole respectively, are becoming more and more crowded, like they used to be. They were nearly vacant a month ago when Fortunevisited.

“Last month, the streets would be empty after 12:00 am. These days, hordes of young people move from one bar to the other till 3:00am,” a guard keeping shops in front of Bole Medhanialem church explained.

Outside of the main entertainment hubs of the city, business is back as well.

“A month ago, when 11:00pm came around, bars and restaurants would empty out. But now, more people start to arrive the later it gets,” reflected a barman in one of the bars in Haya Hulet.

Taxi drivers who used to head home after 12:00am, now stay longer to wait for customers that are mostly people enjoying themselves in the bars and nightclubs. Though they are not getting income equivalent to what they had before the declaration of the state of emergency, it is now improving. “I used to earn 100 Br on average just after the state of emergency. Now I earn around 300 Br in a night. My income increases to 600 Br on Saturdays,” a taxi driver explained to Fortune.

“My family is dependent on this income. They wouldn’t have been harmed if the government solved the people’s grievances through discussion,” he added.

But not everyone is happy with the speed of the recovery. Despite the improvement in the number of his customers, a young man selling cigarettes, chewing gums and tissues wandering on the streets Chechnya doesn’t look happy.

“Though I’m earning up to 50 Br in a night, I used to make more money before the state of emergency,” he said.

However the recovery has come about, it is certainly a relief to those who make their living at night. It remains to be seen whether the other parts of the Ethiopian business sector make a similar recovery.

BY HAWAZ MERAWI
FORTUNE STAFF WRITER
PUBLISHED ON NOV 29,2016 [ VOL 17 ,NO 865]

Night Time Blues Getting Better
 

Yehuda

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Chinese bank fund construction of dam in Angola

DECEMBER 1ST, 2016

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The Industrial and Commercial Bank of China (ICBC) has granted a loan of US$4.5 billion to Angola to finance the construction of the Caculo Cabaça hydroelectric dam, under a contract signed on Wednesday in Beijing, the Angolan press reported.

Finance Minister Archer Mangueira, who signed the loan contract on behalf of Angola, said the dam’s construction project is considered to be structural and is included in the public investment programme. It is expected to allow exports fo electricity produced on the Kwanza River to Namibia or South Africa.

Mangueira isvisiting China, having already met with the Deputy Minister of Commerce Wang Shouwen, with whom he discussed issues of a bilateral nature and the need to speed up the approval process of projects included in Angola’s development plan that has a credit line from China.

Angolan news agency Angop reported that the concern expressed by the minister was overcome at a meeting with ICBC officials who pledged their total support in the approval process of projects that are part of that development plan.

The Caculo Cabaça hydroelectric dam, located in the Middle Kwanza, will, when completed, have a production capacity of 2,171 megawatts of electricity, which will help achieve the target set by the government to reach 2025 with an installed capacity of 9,000 megawatts.

The project was awarded by the government of Angola to a consortium made up of the China Gezhouba Group Corporation (CGGC) and Niara Holding. (macauhub)

Chinese bank fund construction of dam in Angola
 

J-Nice

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Nigeria's UBA gets $150m loan from African Development Bank
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Nigeria's United Bank for Africa (UBA) has secured a $150m loan deal with the African Development Bank (AfDB) to support infrastructure projects in Africa's top economy, the bank said on Thursday.



UBA said the credit line would also be used to support small and medium scale enterprises and businesses owned by women.

Nigeria is in its deepest recession in 25 years, brought on by low oil prices, which has seen foreign investors flee its financial markets, caused chronic dollar shortages and created risk aversion among local funds.

"The line of credit comes at an opportune time and would boost efforts at reducing the huge power sector financing deficit ... and complement our support to medium and small scale enterprises," said Kennedy Uzoka, UBA's chief executive.

The AfDB has provided liquidity to UBA in the past for trade finance and other lending activities, he said.

Nigeria's economic slowdown coupled with the currency crisis has impacted loan growth in Africa's most populous nation, frustrating businesses and households.

Nigeria's UBA gets $150m loan from African Development Bank | West Africa
 

Yehuda

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Namibia tops African countries in global entrepreneurship report

28 NOV 2016 11:18 | WIRES

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The report suggested that efforts should be concentrated on boosting opportunities for quality education to provide a suitable workforce. (Thomas Mukoya, Reuters)

Namibia ranked tops in Africa in the inaugural Ashish J Thakkar Global Entrepreneurship Index.

The index measures entrepreneurial environments around the world, assessing 85 countries against a set of criteria that spans policy, infrastructure, education, entrepreneurial environment and finance. Singapore was the forerunner for best environment for entrepreneurs.

Namibia came 42nd overall – ahead of other prominent African markets, such as South Africa, Nigeria and Kenya. Rwanda ranked 43rd, Botswana 44th and South Africa 46th overall. While the latter three countries performed well where policy was concerned, they had some way to go to improve infrastructure and education in particular. Zambia, South Africa and Rwanda were the top three countries in Africa in the financial category. Zambia scored well on the finance pillar, mainly due to the availability of credit and a low total tax rate.

Namibia and Botswana showed stronger rankings in the education category because of comparatively higher levels of literacy and quality in education. Both countries have made education central to their development.

Rwanda scored highly in policy and finance, driven by government initiatives to increase the ease of doing business. Credit is easily available in the country and business transparency is high.

According to the report, significant challenges exist in terms of Africa’s political stability, underdeveloped infrastructure, poor education and under-diversified economies. Comparatively lower scores for infrastructure were mainly due to a lack of electrical access and the technology that comes with reliable access to energy, such as telecommunications and internet access.

Lower education scores were attributed to the overall quality of education and lower literacy rates. The report suggested that efforts should be concentrated on boosting opportunities for quality education to increase the region’s quality of entrepreneurs and start-ups and provide a suitable workforce.

Meanwhile, much of Western Europe performed well overall in the index, with the exception of Greece and Spain, who ranked relatively low (34th and 50th respectively). Both nations continue to reel from the after-effects of the financial crisis, which have been exacerbated by poor levels of entrepreneurial opportunities.

The research, conducted by the Mara Foundation and Opinium Research, examines the state of entrepreneurship around the world. The index is the brainchild of entrepreneur Ashish J Thakkar.

Download the full report here, or the report on the top scoring African nations in each category here. – APO

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Namibia tops African countries in global entrepreneurship report
 

The Odum of Ala Igbo

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Nigeria's UBA gets $150m loan from African Development Bank
01122016nigeria.jpg


Nigeria's United Bank for Africa (UBA) has secured a $150m loan deal with the African Development Bank (AfDB) to support infrastructure projects in Africa's top economy, the bank said on Thursday.



UBA said the credit line would also be used to support small and medium scale enterprises and businesses owned by women.

Nigeria is in its deepest recession in 25 years, brought on by low oil prices, which has seen foreign investors flee its financial markets, caused chronic dollar shortages and created risk aversion among local funds.

"The line of credit comes at an opportune time and would boost efforts at reducing the huge power sector financing deficit ... and complement our support to medium and small scale enterprises," said Kennedy Uzoka, UBA's chief executive.

The AfDB has provided liquidity to UBA in the past for trade finance and other lending activities, he said.

Nigeria's economic slowdown coupled with the currency crisis has impacted loan growth in Africa's most populous nation, frustrating businesses and households.

Nigeria's UBA gets $150m loan from African Development Bank | West Africa

Hail Mary Pass. Nigeria's banking sector is in a serious crisis. It's too bad given that it is entirely Nigerian-run. If it's bought out by foreigners, the country is doomed.
 

Misreeya

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In Sudan, austerity and protest as economy crumbles




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Mohamed Yassin's minimarket occupies a prime spot in Khartoum but its shelves are largely empty as a plummeting currency and slew of subsidy cuts pushes prices up and customers away.

"Prices rise daily after the government decisions and what we sell, we can no longer completely replace because our capital is losing value," 44-year-old Yassin told Reuters.

"Sales have dropped significantly ... We don't know how long we can handle it. We're afraid we'll go out of business."

Inflation approaching 20 percent and government austerity have fueled growing discontent and rare protests in Sudan in recent weeks.

Protests have so far been small but, mindful of popular anger that swept away several Arab autocrats in 2011, the government of President Omar Hassan al-Bashir has been quick to silence media criticism over its handling of the crisis.

Sudan's economic problems have been building since the south seceded in 2011, taking with it three-quarters of oil output, the main source of foreign currency and government income.

Its revenues dwindling, the government began reducing fuel and power subsidies in 2013 and announced a new round of cuts in early November that saw petrol prices rise about 30 percent.

At the same time, Sudan has sought to alleviate a dollar shortage by introducing a second exchange rate alongside the official peg of 6.4 Sudanese pounds per dollar.

The so-called incentives rate allows the central bank to buy dollars from Sudanese expatriates for about 16 pounds and is meant to boost foreign currency flows into the banking system.

To reduce dollar demand and protect local industry, Sudan also banned imports of meat and fish and raised import tariffs on other goods. But the restrictions have fueled inflation in a country that relies heavily on imported goods.

"Life has become unbearable. Prices of vegetables, meat, sugar and transport are always rising and the government doesn't feel for us. We don't know what to do," said Fatima Saleh, 39, a state employee and breadwinner in a family of five.



GROWING DISCONTENT

As more Sudanese feel the pinch, unrest is growing. In the past week, Khartoum and other cities have seen rare protests.

On Wednesday, more than 150 lawyers held a sit-in in central Khartoum. Elsewhere in the capital, police used tear gas to disperse protesters who blocked a road.

A call by activists for three days of civil disobedience also meant the streets of Khartoum were much quieter than usual this week as some teachers, pharmacists and others stayed home.

Authorities have arrested four dissidents, closed a television channel and seized the print runs of four newspapers over the past week to silence criticism of reforms.

Government officials were not available for comment but Rabie Abdelati, a senior official in Bashir's ruling party, told Reuters the government had to scrap the consumer subsidies.

"The subsidy policies will result in a disaster and a burden on the economy," he said. "The call for civil disobedience failed because those who called for it were suspect and those who backed it have no political weight in the country."

The mounting crisis is taking place in an economy already hobbled by U.S. sanctions. Imposed in 1997 against a government accused of supporting terrorism, the sanctions were tightened in 2006 over Bashir's role in the Darfur conflict.

Companies struggle to obtain dollars from banks, which are barred by sanctions from receiving foreign transfers, forcing them to resort to the black market where rates are higher.

"Like all importers, we buy foreign currency from the black market in some Gulf countries – and it's sold at higher prices there than in Khartoum due to the U.S. sanctions that prevent transfers into Sudan," said a financial officer at a firm that imports agricultural products.

"We revise the prices of our products daily in relation to the price of the dollar ... we’ve been in business for many years but this is the most difficult period in our history."


LIMITED OPTIONS

The isolation of Sudan, whose president is wanted for war crimes by the International Criminal Court, limits its options.

Unlike neighboring Egypt, whose economic reforms helped it clinch last month a $12 billion IMF loan, Sudan is on its own.

Bashir's focus on bolstering his rule and fighting rebels in Darfur and elsewhere mean the economy has long been neglected.

Reliant on oil, Bashir's government was ill-prepared for the economic shock of southern secession and struggled to respond.

His critics argue that military spending is a drain on the budget and urge Bashir to make peace before cutting subsidies.

"The government must take serious steps towards cutting spending," said Mohammed al-Jack, professor of economics and political science at the University of Khartoum.

The hunt for new income has seen Sudan abandon its old ally Iran in recent years in favor of Saudi Arabia. But billions of dollars in Saudi investment have failed to turn the tide of economic decline felt most acutely among young Sudanese.

"I get 50 pounds a day ... but it's not enough for breakfast and transport," said Mohamed Ishak, 19, who works in a steel workshop. "Prices of everything have gone up ... but income is stable. I don't know what the solution is."

(This version of the story corrects name of senior official in Bashir's ruling party, paragraph 17)



(Additional reporting by Nadine Awadalla in Cairo; Writing by Lin Noueihed; Editing by Tom Heneghan)

In Sudan, austerity and protest as economy crumbles
 

Yehuda

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Cameroon: Anglophone teachers, lawyers go on strike

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Victor Muisyo with AFP | 8 hours ago

Thousands of teachers and lawyers in English-speaking regions of Cameroon went on strike on Monday, accusing the government of trying to marginalise them by imposing the French language on their schools and courts.

Some 5,000 people, according to the police, demonstrated in Buéa, the capital of the South-West, one of the two English-speaking regions of Cameroon’s 22 million inhabitants, after the heeded calls from the Social Democratic Front (SDF), one of the main opposition parties.

MPs and SDF activists expressed their solidarity with Anglophone teachers and lawyers who feel marginalized by the Francophone majority.

They also denounced the injustices suffered by lawyers, teachers and English-speaking students since the beginning of their sling at the end of November.

Many of the protesters demanded a return to federalism in Cameroon, as was the case between 1961 and 1972.

Areas controlled by Britain and France joined to form Cameroon after the colonial powers withdrew in the 1960s.

Cameroon was initially a German colony, before it was split into two by the League of Nations after the First World War (1914-18): one part was under French tutelage and another part, close to Nigeria, under the British mandate.

In 1960, French Cameroon gained independence. A year later, a portion of the Anglophones decided through a referendum to join Cameroon. As a result, the country now has 10 semi-autonomous administrative regions: eight are Francophone, while the North and Southwest regions are home to approximately five million English speakers.

Federalism was then established in the country between 1961 and 1972, but the first president Ahmadou Ahidjo proclaimed the United Republic in 1972.

Cameroon: Anglophone teachers, lawyers go on strike
 

Yehuda

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New Bill seeks to expunge Nairobi from list of counties

THURSDAY DECEMBER 8 2016
By DENNIS ODUNGA
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An aerial view of downtown Nairobi. PHOTO | JEFF ANGOTE | NATION MEDIA GROUP

Nairobi will no longer be a county, if a Bill before Parliament seeking to amend the Constitution and reduce the devolved units to 46 becomes law.

The city will be expunged from the list of Kenyan counties and be placed under the leadership of the national government, according to the Constitution of Kenya (Amendment) Bill.

The Bill, authored by Deputy Speaker Kembi Gitura, further seeks to establish Nairobi as the "National Capital City" as opposed to its current status as the county headquarters.

SEAT OF POWER

"There shall be a National Capital City known as Nairobi, which shall be the seat of the national government," reads the proposed law that is set for introduction in the Senate.

The president will be empowered to nominate a Cabinet secretary, with the approval of the National Assembly, to head the city.

The minister will exercise the powers and perform the functions delegated to him or her by the Office by the President.

The city will have constituencies that will elect representatives to the National Assembly, a provision that sounds like a deliberate measure to ensure a majority of lawmakers support the Bill.

WAGE BILL

"The Bill is alive to the power of the people and their right to be represented. As such, this right will continue to be fulfilled through the election of representatives to the National Assembly," the Bill reads.

Critics of the current bloated Parliament will interpret a reduction in the number of elected leaders as a cost-cutting measure, given that the country is struggling with a huge wage bill that has undermined its operations.

But changing Nairobi's status will not be an easy task. To amend the Constitution by parliamentary initiative, the proposal must pass through several House hurdles (article 256), and even if it survives these barriers, it will still require a referendum, according to article 255 of the Constitution.

Under section two of article 255, an amendment will be approved if "at least twenty per cent of the registered voters in each of at least half of the counties vote in the referendum" and "the amendment is supported by a simple majority of the citizens voting in the referendum".

Nairobi may cease to be a county
 
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