The World Bank has disclosed that in a time of energy transition and rising demand for metals and minerals, resource-rich governments in Sub-Saharan Africa have an opportunity to better leverage their resources to finance their public programmes, diversify their economy, and expand energy access. This is contained in Africa’s Resource Future, a World Bank report launched on Wednesday, which finds that on average countries capture only about 40 percent of the revenue they could potentially collect from natural resources. “In other words, at a time when countries are burdened by slow growth and high debt, governments could more than double revenues from natural resources such as minerals, oil, and gas by adopting a better set of policies, implementing reforms, and investing in better fiscal administration and promoting good governance,” the World Bank said. It added that full taxation of natural resources is also important to charge the full cost of environmental and social impacts not always fully covered by producers, including petroleum resources, warning that “failing to do so can act as an implicit production subsidy and raise carbon emissions.” James Cust, Senior Economist in the World Bank Africa Region and co-editor of the report said, “Maximising government revenues in the form of royalties and taxes paid by private natural resource industries, alongside attracting new investment, would offer a double dividend for people and planet by increasing fiscal space and removing implicit production subsidies.” The Bank noted that the prospect of higher revenues is particularly welcome in countries that find...

The European Union (EU) has invested GH¢75 million (€6.2 million) to help boost the competitiveness of the country's exports on the international market. The investment, made in the last four years, focused on three main value chains which included cassava, fruits (mango and pineapple), cosmetics and personal care products. It was a contribution to the West Africa Competitiveness Programme (WACOMP), a partnership initiative between the Economic Community of West African States (ECOWAS) and the EU. The programme seeks to strengthen the competitiveness of West African products and to enhance the integration of ECOWAS countries into the regional and international trading system, including the African Continental Free Trade Area (AfCFTA) The EU Ambassador to Ghana, Irchad Razaaly, who made this known at WACOMP Ghana SMEs Product Exhibition in Accra yesterday, observed that the investment would help Ghanaian businesses to build  better access  and become more competitive in regional and international markets. “The EU has contributed around GH¢75 million to the programme, with the aim to boost the competitiveness of Ghanaian exports and support sustainable production and processing. “We are focusing on three main value chains: cassava, fruits (mango and pineapple), cosmetics and personal care products,” he said. The exhibition was held by WACOMP in partnership with the United Nations Industrial Development Organisation (UNIDO) for more than 50 EU-supported SMEs of fruits, cassava and shea butter products. Some of the firms that showcased their products included Unique Solution Farms, Ghana Home Foods, NyCa Pro Beauty, Leam Shea Products, Agape Cosmetics, Exotic and...

What you need to know: Our wide-ranging activities have helped galvanize support from local and international organizations to assist women entrepreneurs overcome enormous challenges. Additionally, we have carried out strong advocacy for enactment of enabling legislation and policies. We have also established networks and marketing linkages in support of women traders. Uganda occupies a unique position within the expanded East African Community (EAC)– and so do its women. No other country has the singular honour of being completely surrounded by EAC members. This geographical truth gives Uganda the distinction of being at the centre of the region’s cultural and business agenda, presenting numerous opportunities for the country’s women entrepreneurs. Indeed, Kampala is already a bustling trade hub of sorts for the region. It serves not only as a transit point for trucks transiting to the farthest points of the EAC, but is itself an attractive source of textiles, agricultural products, and other goods for traders from Kenya, South Sudan, and elsewhere. Yet, even with these natural advantages, it is never smooth sailing with the vast majority of our women traders. Patriarchal, misogynistic attitudes and traditions consign our women to the bottom ranks when it comes to property ownership, perceived creditworthiness, bookkeeping skills, and as serious contenders for tenders and business opportunities. It is such circumstances that led to the founding of the Uganda Women Entrepreneurs Association Ltd (UWEAL). In the years since its formation in 1987, it has helped in breaking down the walls and barriers that prevented women from...

Addis Ababa, April 26, 2023 (FBC) – African Continental Free Trade Area (AfCFTA) agreement will serve as a significant source of income to Ethiopia and other African countries, Minister of State at the Ministry of Trade and Regional Integrations (MoTRI), Kassahun Gofe, said. Awareness creation training to stakeholders regarding the African Continental Free Trade Area agreement, the negotiation process and its further implementation has kicked off today in Addis Ababa. The training is organized by the Ministry of Trade and Regional Integrations in collaboration with Trade Mark Africa, it is indicated. During his opening remarks, the Minister of State for Trade Integrations and Export Trade Promotion, Kassahun Gofe, emphasized that AfCFTA offers massive significance to Ethiopia and other African countries as a source of income. He pointed out that awareness raising on AfCFTA will be delivered in all regions as it is of great benefit to the implementation of the continental agreement. Read original article

Tanzania and the Netherlands are among the countries with a long shared history of cooperation over more than 50 years. For several decades, we have witnessed the cooperation between Tanzania and the Netherlands taking a new shape where in recent years it has more shifted to trade and investment. Ambassador of the Netherlands to Tanzania, Wiebe de Boer in his interview with the Citizen newspaper at his office in Posta, Dar es Salaam said that the new strategy of cooperation concentrates on improving the enabling environment for business, stimulating the technification and export drive of the Tanzanian agriculture sector,      investing in logistics and in sustainable tourism. Emphasizing the issue, Ambassador de Boer highlights the visit of Queen Maxima in October, 2022 who came to Tanzania in her role as Special Advocate of the Secretary General of the United Nations for  financial inclusion. "During her visit, Queen Maxima held talks with President Samia, the Minister of Finance, the Governor of the Central Bank of Tanzania and other officials. Thanks to succesfull Tanzanian policies a lot of small entrepreneurs have succeeded in getting access to the financial sector and they discussed strategies to further improve this., " he explained. The embassy also works closely with the Tanzanian Startup Association (TSA) with the aim of stimulating the existence of a good  startup ecosystem which enables innovation, job creation, entrepreneurship, attracting investment and other benefits to Tanzania’s economy. Under such a focus, the embassy also supports the recently established Fintech Association, TAFINA To  support...

Stakeholders trading on cereals in the East African Community region have converged in Kenya for a two day meeting to brainstorm on issues affecting the sector in the wake of acute deficit of the commodity. The meeting that has brought governments officials, farmers and the business community from Kenya, Uganda, Tanzania, Rwanda, Burundi , Botswana, Zambia and DRC are set to propose ways of unlocking the bottlenecks and come up with interventions that will promote seamless grain food trade across the re to spur development. Speaking during the forum ,East African Grain Council (EAGC) Gerald Masila said that trading in the region is mostly informal with approximately two-thirds of food trade done through informal channels. Trade, he further said was not structured with multiple layers of value chain players, which leads to relatively high transaction costs, pricing is also not underpinned by market fundamentals and thus being highly speculative at all levels. “Solutions to local trade will have to look at issues such as regulations, logistics and also scale as this is the only way to bring down cost of trading locally and also get much more from local trade”, Masila said. He noted for example the reason maize importers in Kenya are not able to access white non –GMO maize that would help reduce the cost of “unga’ is  that globally there is more GMO maize produced than the non –GMO. “ The government allowed for duty free importation of maize to bridge the gap and to bring down...

Summary A number of African countries have enacted visa application process rules that could take up to more than 72 hours for one to get a visa. African states currently import $36.8 worth of logistics goods, from passenger freight and transport to parcel and courier services every year. The World Economic Forum expects an increase in intra-African freight demand of 28 percent, translating to additional demand for almost 2 million trucks. The umbrella bodies of the African Continental Free Trade Area (AfCFTA) private sector have called for the removal of visas and reduction of custom processes to ease movement of goods within the African continent. The African Business Council (AfBC) that brings together regional economic communities (RECs) decried inconsistent and inadequate freight and logistics at the borders saying they have long hindered intra-African trade. Speaking during the official opening of the AfCFTA Business Forum held last week at the Cape Town International Convention Center in South Africa, the AU Commission Deputy Chairperson Monique Nsanzabaganwa disclosed that so far, 47 member states had ratified the agreement but decried the existence of many non-tariff barriers to trade, especially transport logistics. “A number of instruments have been put before you to start trading under the AfCFTA, and these include the AfCFTA e-Tariff Book, the Rules of Origin Manual, the African Business Council, the Pan-African Payments and Settlement System (Papss), and the AfCFTA Dispute Settlement Mechanism, among others. All these instruments and tools are designed to ensure that legitimate business transactions thrive,” said Dr...

What you need to know: The AU Peace and Security Council held its 1144th open session, which was dedicated to discussions on integration of  women, peace and security agenda in the implementation of African Continental Free Trade Area. The council reaffirmed the critical role women traders play in the eradication of household poverty. The African Union (AU) Peace and Security Council has applauded African governments and its partners for launching initiatives empowering women cross-border traders. During its 1144th open session, dedicated to discussions on integration of women, peace and security agenda in the implementation of African Continental Free Trade Area (AfCFTA), the council reaffirmed the critical role women traders play in the eradication of household poverty. It, however, expressed concern that the gains made in unlocking the economic potential of informal cross-border women traders is under constant threat of being rolled back by conflicts in AU member states. “[The Council] notes with deep concern that women continue to be disproportionately affected in conflict and post-conflict situations, including the adverse impact faced by women traders,“ it noted in its communique released after the session. According to United Nations Conference on Trade and Development, informal cross-border trade represents up to 40 per cent of regional trade in Africa, with women being the largest shareholders. They constitute 70-80 per cent of the informal traders in the region. The informal economy is a major employer in Africa absorbing 30 and 90 per cent of total non-agricultural employees. In countries such as Benin, Tanzania and...

Construction work to build four one-stop border posts along the highway linking Mozambique and Malawi is due to start in 2024. The initiative is part of the Southern Africa trade and connectivity project and will facilitate the movement of people, stimulate international trade by reducing costs between Mozambique and Malawi, as well as facilitate the coordinated and efficient border control and movement of people and customs clearance of goods at the one stop border posts of Mandimba in Niassa, Milanje in Zambezia and Zóbué and Calómuè in Tete. Southern Africa’s infrastructure, trade and connectivity coordinator, Paulo Baúque, told Radio Mozambique (RM) that Mozambique is advanced in this process. “The hiring of the consultant for the Mandimba border in Niassa and the feasibility studies are proof of progress,” he said, and for the remaining three borders the process of hiring the consultant has not yet been concluded. Baúque also said that US$30 million from the World Bank was available for the three borders, which will take two years to build. On the Malawian side, specifically in Dedza and Mwanza, which border Calómue and Zòbuue in Tete province, respectively, work of this kind has already been concluded. A similar project has already been implemented between Malawi, Zambia and Tanzania. Read original article

Stakeholders from across the public and private sectors pledged to strengthen collaboration with Governments to address infrastructure deficit, ineffective trade facilitation processes, and invest in innovation and technology to promote trade across borders in Africa, to accelerate sustainable development. This commitment was made at the maiden Africa Sustainable Supply Chain Summit hosted by the International Chamber of Commerce (ICC) in Ghana, in partnership with the United Nations Development Programme (UNDP), and the Africa Investment Group in Accra on 29-30 March 2023. “Growing competitive African businesses for the One Africa market requires better supply chain governance and more investment by multiple actors including diaspora investors. It requires collaborative approaches to attract innovative and new forms of financing for MSMEs”, said Angela Lusigi, UNDP Resident Representative in Ghana. Ms. Lusigi called for new partnerships to ensure that supply chains are sustainable and work to facilitate made in Africa, supplied by Africa, and moved by Africa. The summit drew on key information on Africa’s trade infrastructure deficit which is estimated between 68-108 billion dollars per year. Against this backdrop, the Secretary General of the African Continental Free Trade Area (AfCFTA) Secretariat, Wamkele Mene, while speaking at the Summit noted that, “there must be more investment in adequate infrastructure and infrastructure that supports trade to address Africa’s needs to double intra-Africa trade by 2025”. The Deputy Minister of Trade and Industry, Hon. Michael Okyere Baafi pledged the Government of Ghana’s commitment to facilitating trade across borders. “We will work closely with the ICC, UNDP,...