Monday, August 24, 2009

Why is Africa poor? Africa is not poor, it is poorly managed

Quote of the Day
"Africa is not poor, it is poorly managed." - President Ellen Johnson-Sirleaf of Liberia, 2009.

The following report also tells us that Ellen Johnson-Sirleaf says she underestimated the problem of graft.

From BBC News, Monday, 24 August 2009:
Why is the African continent poor?
By Mark Doyle, BBC world affairs correspondent
The desolate, dusty town of Pibor on South Sudan's border with Ethiopia has no running water, no electricity and little but mud huts for the population to live in.

You would be hard put to find a poorer place anywhere on earth.

I went there as part of a journey across Africa to ask the question "Why is Africa poor?" for a BBC radio documentary series.

I was asked to investigate why it is that every single African country - with the exceptions of oil-rich Gabon and Algeria - is classified by the United Nations as having a "low" broadly defined Human Development Index - in other words an appalling standard of living for most of the people.

In Pibor, the answer to why the place is poor seems fairly obvious.

The people - most of whom are from the Murle ethnic group - are crippled by tribal conflicts related to disputes over cattle, the traditional store of wealth in South Sudan.

The Murle have recently had fights with the Lol Nuer group to the north of Pibor and with ethnic Bor Dinkas to the west.

In a spate of fighting with the Lol Nuer earlier this year several hundred people, many of them women and children, were killed in deliberate attacks on villages.

There has been a rash of similar clashes across South Sudan in the past year (although most were on a smaller scale than the fights between the Lol Nuer and the Murle).

And so the answer to why South Sudan is poor is surely a no-brainer: War makes you destitute.

Why is there so much war?

And yet South Sudan is potentially rich.

"It's bigger than Kenya, Uganda, Rwanda and Burundi combined," the South Sudan Regional Co-operation Minister Barnaba Benjamin, enthused.

"Tremendous land! Very fertile, enormous rainfall, tremendous agricultural resources. Minerals! We have oil and many other minerals - go name it!"

The paradox of rich resources and poor people hints at another layer of explanation about why Africa is poor.

It is not just that there is war. The question should, perhaps be: "Why is there so much war?"

And the headline question is in fact misleading; Africans as a people may be poor, but Africa as a place is fantastically rich - in minerals, land, labour and sunshine.

That is why outsiders have been coming here for hundreds of years - to invade, occupy, convert, plunder and trade.

But the resources of South Sudan, for example, have never been properly developed.

During colonial rule South Sudan was used as little more than a reservoir of labour and raw materials.

Then independence was followed by 50 years of on-off war between the south and north - with northerners in Khartoum continuing the British tactic of divide and rule among the southern groups.

Some southerners believe this is still happening today.

Corruption

On my journey across the poorest, sub-Saharan swathe of the continent - that took in Liberia and Nigeria in the west, Sudan in the centre, and Kenya in the east - people explored the impact that both non-Africans and Africans had had on why Africa is poor.

Almost every African I met, who was not actually in government, blamed corrupt African leaders for their plight.

"The gap between the rich and the poor in Africa is still growing," said a fisherman on the shores of Lake Victoria.

"Our leaders, they just want to keep on being rich. And they don't want to pay taxes."

Even President Ellen Johnson-Sirleaf of Liberia came close to this when she told me she had underestimated the level of corruption in her country when she took office.

"Maybe I should have sacked the whole government when I came to power," she said.

"Africa is not poor," President Johnson-Sirleaf added, "it is poorly managed."

This theme was echoed by an architect in Kenya and a senior government official in Nigeria.

Both pointed out that the informal sector of most African economies is huge and almost completely unharnessed.

Marketplaces, and a million little lean-to repair shops and small-scale factories are what most urban Africans rely upon for a living.

But such is their distrust of government officials that most businesspeople in the informal sector avoid all contact with the authorities.

Kenyan architect and town planner Mumo Museva took me to the bustling Eastleigh area of Nairobi, where traders have created a booming economy despite the place being almost completely abandoned by the government.

Eastleigh is a filthy part of the city where rubbish lies uncollected, the potholes in the roads are the size of swimming pools, and the drains have collapsed.

But one indication of the success of the traders, Mr Museva said, was the high per-square-foot rents there.

"You'll be surprised to note that Eastleigh is the most expensive real estate in Nairobi."

He added that if Eastleigh traders trusted the government they might pay some taxes in return for decent services, so creating a "virtuous circle".

"It would lift people out of poverty," he said.

"Remember, poverty is related to quality of life, and the quality of life here is appalling, despite the huge amount of wealth flowing through these areas."

Then the young Kenyan architect echoed the Liberian president, some 5,000km (3,000 miles) away on the other side of the continent.

"Africa is not poor," he also said.

"Africa is just poorly managed."
See blog: Why is Africa poor? Have Your Say

Sunday, August 16, 2009

Malawi team to replace Nigeria's in CECAFA Under-17 Youth Championship (Bashir Cup)

CECAFA Under-17 Youth Championship (Hassan el Bashir Cup) August 19-31 2009 Sudan

Nigeria have pulled out of the Council of East and Central Africa Football Association (CECAFA) Under-17 competition, organisers have announced.

CECAFA secretary Nicholas Musonye said the young Eagles informed him of their withdrawal, citing other commitments in Europe.

Nigeria, who were one of the two guest nations in the competition, will now be replaced by Malawi, who had been put on standby.

The other guest side is Egypt.

Full story: Goal.com, Sunday, 16 August 2009 - Nigeria Pull Out Of CECAFA Under-17 Competition

Friday, August 14, 2009

UN Expert warns of mass forced evictions in Nigeria

GENEVA, Switzerland, August 14, 2009/African Press Organization (APO)
UN Expert warns of mass forced evictions in Nigeria
United Nations independent expert Raquel Rolnik said today: “Forced evictions can only be justified in the most exceptional cases and in full compliance with international human rights law,”, while expressing her concern at the mass evictions planned by the Nigerian River State Government, which could leave hundreds of thousands of people homeless over the coming year.

“Evictions should not result in individuals being rendered homeless or vulnerable to the violation of other human rights,” warned the United Nations Special Rapporteur on the right to adequate housing.

In February 2009, the River State Government announced its decision to demolish all the waterfront settlements in Port Harcourt within the framework of its urban renewal strategy. Since then the authorities have allegedly carried out demolitions at various sites throughout Port Harcourt in violation of a stay order issued by the Federal High Court to stop the evictions.

“Nigeria, as State Party to several international human rights treaties must take all appropriate measures, to the maximum of its available resources, to ensure that adequate alternative housing or resettlement is available,” said Rolnik.

According to international human rights standards, people affected by forced evictions have the right to compensation and to procedural protection, including genuine consultation, adequate and reasonable notice, information on the proposed evictions, provision of legal remedies and legal aid, to be present during the eviction and to identify all persons who are carrying out the eviction.

However, according to local sources, most of these conditions have not been met in evictions already carried out in Port Harcourt. The Special Rapporteur urges the Government of Nigeria to respect its international obligations by fulfilling all of them.

The UN independent expert is also concerned that military personnel may assist in the forced evictions in Port Harcourt. “The military’s participation in forced evictions may result in multiple human rights violations” she pointed out. According to local sources, on 5 August 2009, Port Harcourt’s military forces arrested over 1000 residents who were protesting against the demolition of their homes.

SOURCE: Office of the UN High Commissioner for Human Rights (OHCHR)

Wednesday, August 12, 2009

CECAFA U-17 football tournament: Somalia v Nigeria (Khartoum, Sudan, 9.30pm on 20 Aug 2009)

From Pana via Afrique en ligne, Wednesday, 12 August 2009:
Fixtures of Cecafa youth football tournament in Sudan
(Kenya) - Below are the fixtures for this month's Council of East and Central Africa Football Associations (Cecafa) championships taking place in Sudan.

The regional event, known as the Cecafa U-17 tournament, is slated for 19-31 August in three Sudanese cities - Khartoum, Juba and Medani. It is being sponsored by Sudanese President Omar Al Bashir to the tune of US$ 700,000.

Aug. 19 - Ethiopia v Zanzibar (Juba 2.30pm); Kenya v Uganda (Juba 4.30pm).

Aug. 20 - Somalia v Nigeria (Khartoum 5.30pm); Sudan v Tanzania (Khartoum 9.30pm )

Aug. 21 - Zanzibar v Kenya (Juba 2.30pm); Uganda v Ethiopia (Juba 4.30pm).

Aug. 22 - Nigeria v Tanzania (Khartoum 5.30pm); Somalia v Sudan (Khartoum 9.30pm ),

Aug. 22 - Eritrea v Rwanda (Medani 5.30pm); Egypt v Burundi (Medani 9.30pm).

Aug. 23 - Kenya v Ethiopia (Juba 2.30pm); Zanzibar v Uganda (Juba 4.30pm).

Aug. 24 - Tanzania v Somalia (Khartoum 5.30pm); Sudan v Nigeria (Khartoum 9.30pm ).

Aug. 24 - Rwanda v Burundi (Medani 5.30pm); Eritrea v Egypt (Medani 9.30pm).

Aug. 25 - Rest Day.

Aug. 26 & 27 - Quarter finals

Aug. 28 & 29 - Semi finals (Khartoum).

Aug. 30 - Rest Day.

Aug. 31 - Third place play offs/Finals (Khartoum).
Cross posted from Sudan Watch on Wednesday 12 August 2009: Fixtures of CECAFA U-17 football tournament in Sudan 19-31 Aug 2009

Click on labels here below for related reports and updates.

Thursday, August 06, 2009

Microfinancing: Launch of new Mobile Money Transfer Directory will focus on Sub-Sahara Africa

A new Mobile Money Transfer Directory at http://creditsms.org launches in 2 wks focus on Sub-Saharan Africa (by @CreditSMS)

Source: White African Erik Hersman via Twitter 04 Aug. 2009
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Snippets from CreditSMS website:
In December 2009, CreditSMS will launch several pilots throughout Uganda and the Democratic Republic of Congo (DRC). Additional pilot requests have been submitted for Kenya, Sudan, and Sierra Leone. Uganda and DRC have 87% and 66% rural populations respectively, constituting a nascent market of as many as 76 million potential clients and consumers. By enabling MFIs [microfinance institutions] to reach and meet the demands of this market, CreditSMS will facilitate a form of 'bubble up' development whereby the income of microloan recipients will increase and the price of newly-available goods and services will trend toward market equilibrium. All pilot results will be made free and accessible via CreditSMS.org as they become available.
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The Beginning...
By Ben Lyon
Published: July 14, 2009

Formal banks were hesitant to give "the bottom billion" loans because they didn't have collateral. Today, microfinance institutions (MFIs) fill that void by providing collateral-free loans to micro-entrepreneurs. In order to compete with traditional moneylenders, however, those MFIs had to charge exorbitant interest rates, mostly to absorb the high transport cost of making weekly visits to rural areas to collect loan repayments. With teledensity penetration and mobile commerce growing faster by the day, one has to wonder: why are loan officers still making the trip? Read More...
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Increasing revenue and impact through technology
By Ben Lyon
Published: July 22, 2009
[article written for Project Diaspora]

Aaron Ewedafe wakes up every morning at least one hour before the sun rises. Donning his satchel full of client records and repayment schedules, he hails the nearest okada driver and races into the surrounding countryside to begin a long day of loan group meetings. The trip from headquarters in Oshogbo to the village of Ojudo and back can take all day. Aaron rarely makes it home before nightfall. Altogether, Aaron spends 112 hours and 5,000 naira a week to manage 350 microloan recipients. His profit is negligible. Read More...
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The 'Phone as Cow' Model
By Ben Lyon
Published: August 1, 2009

Mobile phones are quickly becoming the hottest topic in development. Everyday, waves of new innovations are rolled out to connect 'bottom of the pyramid' (BOP) entrepreneurs to markets and information. But many advocates and implementers seem to neglect a fundamental question: What good are mobile innovations if BOP entrepreneurs can't afford handsets? According to Iqbal Quadir of Grameenphone, the answer is to issue the handset as the first microloan. Read More...
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Check out Mobile Money Africa - Africa's leading online resource for mobile financial inclusion: mobilemoneyafrica.com