News - Afrikan Heroes

BRICS is Important Force in Shaping International Landscape

August 25, 2023

The Chinese President Xi Jinping said on Wednesday that the BRICS is an important force in shaping the international landscape.

BRICS countries choose their development paths independently, jointly defend their right to development, and march in tandem toward modernization, which represents the direction of the advancement of human society, and will profoundly impact the development process of the world, Xi said in a speech delivered at the 15th BRICS Summit.

The track record of the BRICS shows that the members have consistently acted on the BRICS spirit of openness, inclusiveness and win-win cooperation, and taken BRICS cooperation to new heights in support of the five countries’ development, he said.

BRICS nations, Xi said, have upheld fairness and justice in international affairs, stood up for what is right on major international and regional issues, and enhanced the voice and influence of emerging markets and developing countries.

BRICS countries invariably advocate and practice independent foreign policies, said Xi, adding that they always address major international issues based on their merits, making fair remarks and taking fair actions.

BRICS nations do not barter away principles, succumb to external pressure, or act as vassals of others, he said, adding that they share extensive consensus and common goals.

No matter how the international situation changes, the BRICS’s commitment to cooperation since the very beginning and the common aspiration will not change, he added.

Xi also noted that BRICS countries gather at a crucial time to build on their past achievements and open up a new future for BRICS cooperation.

He called on all members to navigate the trend of the times and stay in the forefront.

BRICS members should always bear in mind their founding purpose of strengthening themselves through unity, enhance cooperation across the board, and build a high-quality partnership, Xi said.

All BRICS countries, he added, should help reform global governance to make it more just and equitable, and bring to the world more certainty, stability and positive energy.

Xi called for efforts to deepen business and financial cooperation among BRICS countries to boost economic growth.

Xi said the world economic recovery remains shaky, and challenges for developing countries are even more formidable, hampering their efforts to realize the Sustainable Development Goals.

“Development is an inalienable right of all countries, not a privilege reserved for a few,” Xi said.

He called on BRICS countries to be fellow companions on the journey of development and revitalization, and oppose decoupling and supply chains disruption as well as economic coercion.

BRICS countries should focus on practical cooperation, particularly in such fields as digital economy, green development, and supply chain, and bolster economic, trade and financial exchanges, Xi said.

He added that China will set up a China-BRICS Science and Innovation Incubation Park for the New Era to support the deployment of innovation results.

Xi called on BRICS countries to expand political and security cooperation to uphold peace and tranquility.

“The Cold War mentality is still haunting our world, and the geopolitical situation is getting tense,” Xi said.

The BRICS countries should keep to the direction of peaceful development, and consolidate the BRICS strategic partnership, Xi said, adding that members should make good use of the BRICS Foreign Ministers’ Meeting, the Meeting of High Representatives on National Security and other mechanisms, support each other on issues concerning their respective core interests, and enhance coordination on major international and regional issues.

“We need to tender good offices on hotspot issues, pushing for political settlement and lowering the temperature,” he said.

Noting that artificial intelligence (AI) is a new area of development, which not only can bring huge development dividends, but also contains risks and challenges, Xi said the BRICS countries have agreed to launch the AI Study Group at an early date.

“We need to enable the study group to play its full role, further expand cooperation on AI, and step up information exchanges and technological cooperation,” he said.

The BRICS members should also jointly fend off risks, promote the establishment of an international mechanism for universal participation, and develop AI governance frameworks and standards with broad-based consensus, so as to continuously make AI technologies more secure, reliable, controllable and equitable, he added.

Also in his speech, Xi said human history will not end in one civilization or one system.

“There are many civilizations and development paths in the world, and this is how the world should be,” he said.

“We should increase people-to-people exchanges and promote mutual learning between civilizations,” he added.

The Chinese leader said BRICS countries need to champion the spirit of inclusiveness, advocate peaceful coexistence and harmony between civilizations, and promote respect of all countries in independently choosing their modernization paths.

“We need to make good use of such mechanisms as the BRICS seminar on governance, the BRICS forum on people-to-people and cultural exchanges, and the Women Innovation Contest to deepen people-to-people exchanges and strengthen the bond between our peoples,” he noted.

Xi also said that China would like to propose that BRICS countries expand cooperation on education, enhance the role of the BRICS alliance for vocational education, explore and set up a cooperation mechanism on digital education, and foster a paradigm of all-round cooperation on education.

In addition, he also urged BRICS countries to strengthen exchanges on traditional cultures and promote the renewal of fine traditional cultures.

Xi urged BRICS countries to uphold fairness and justice, and improve global governance.

Xi said strengthening global governance is the right choice if the international community intends to share development opportunities and tackle global challenges.

International rules must be written and upheld jointly by all countries based on the purposes and principles of the UN Charter, rather than dictated by those with the strongest muscles or the loudest voice, he said.

Xi also said ganging up to form exclusive groups and packaging their own rules as international norms are even more unacceptable.

BRICS countries, Xi said, should practice true multilateralism, uphold the UN-centered international system, support and strengthen the WTO-centered multilateral trading system, and reject the attempt to create small circles or exclusive blocs.

“We need to fully leverage the role of the New Development Bank, push forward reform of the international financial and monetary systems, and increase the representation and voice of developing countries,” he added.

Addressing the summit, South African President Cyril Ramaphosa expressed his concerns that global financial and payment systems are increasingly being used as instruments of geopolitical contestation.

He also said new realities call for a fundamental reform of the institutions of global governance so that they can be more representative and better able to respond to challenges.

The BRICS group supports the rise of a multipolar world order, and opposes attempts made by some countries to assert their hegemony, Russian President Vladimir Putin said at the summit in a virtual address.

“We are all unanimously in favor of the formation of a multipolar world order that is truly just and based on international law,” the Kremlin reported Putin as saying at the summit.

“We are against any kind of hegemony, exclusivity, which is being promoted by some countries,” Putin said.

Putin noted that the BRICS group is strengthening economic cooperation in such fields as supply chain diversification, de-dollarization and transition to national currencies in mutual settlements.

Putin outlined the importance of enhancing cooperation in other fields such as innovation, and in the creation of safe transport routes.

The future-oriented strategic course of BRICS meets the aspirations of the global majority, Putin said, adding that the BRICS group is tackling some of the most pressing issues on the global and regional agenda

There is a Place for Everyone in this Industry, Says Taimi Itembu

Namibia’s energy sector is on the precipice of large-scale transformation owing to sizeable oil and gas discoveries made since 2022, ambitious renewable and green hydrogen project developments kicking off and a proactive approach by the government to attract new investment in the country. The market is ripe with opportunities and companies to the likes of ExxonMobil are making progress to unlock the full potential of the southern African country’s energy sector.

ExxonMobil’s Deputy Country Manager Taimi Itembu is at the forefront of this agenda and continues to make great strides towards leveraging policy dialogue and partnership building to drive the company’s Namibian activities. Itembu is featured on the African Energy Chamber’s list of 25 Under 40 Energy Women Rising Stars.

Please share a brief overview of your journey in the energy industry that led to your current role? What are some key achievements or milestones that you are particularly proud of?

My journey started in public administration and policy, both internationally with US State Department and nationally with judiciary – part of the team that established the office of the judiciary in Namibia – and parliament. I have had an upward and steep trajectory working as Public and Government Affairs Manager for ExxonMobil and now as the Deputy Country Manager.

The energy industry is known for its complexities. What were some significant challenges you faced along the way, and how did you navigate through them to achieve your goals?

The industry is challenging but mostly accommodating. The size of the industry is monstrous making it hard to move industry. But the ship is moving in the right direction and with intentional advocacy and patience we are able to move the needle and close the gender gap.

What advice would you give to young females aspiring to excel in the energy sector? Are there any specific strategies or mindsets that helped you overcome obstacles and reach your current position?

There is a place for everyone in the industry not just engineers, financiers or geoscientists. It is an industry to learn and grow your career beyond oil and gas.

A career in energy can be demanding. Could you describe a typical day in your life?

Although the industry is slow moving, it has multiple moving parts. A day involves a lot of negotiations and engagements with Governments, National Oil Companies and other public stakeholders.

Looking ahead, what changes or advancements do you hope to see in the energy sector, and how do you envision your role in shaping that future?

The world is on a race to meet energy demand whilst focusing on a low carbon future. This makes it an exciting time to be part of ExxonMobil which is the global leader in low carbon solutions, specifically around Carbon Capture and Storage, and it feels good to be part of the solution

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

Chinese President Xi Calls for Equitable World Order

August 24, 2023

The Chinese President Xi Jinping on Tuesday expressed China’s willingness to deepen solidarity and cooperation with other emerging markets and developing countries to push for a more just and equitable world order.

As a developing country and a member of the Global South, China breathes the same breath as other developing countries and pursues a shared future with them, and has resolutely upheld the common interests of developing countries and worked to increase the representation and voice of emerging markets and developing countries in global affairs, said Xi in a speech read out by Chinese Commerce Minister Wang Wentao at the BRICS Business Forum 2023.

Critical Juncture

“Right now, changes in the world, in our times and in history are unfolding in ways like never before, bringing human society to a critical juncture,” Xi warned in the speech titled “Enhance Solidarity and Cooperation to Overcome Risks and Challenges and Jointly Build a Better World.”

“Should we pursue cooperation and integration, or just succumb to division and confrontation? Should we work together to maintain peace and stability, or just sleepwalk into the abyss of a new Cold War? Should we embrace prosperity, openness and inclusiveness, or allow hegemonic and bullying acts to throw us into depression? Should we deepen mutual trust through exchanges and mutual learning, or allow hubris and prejudice to blind conscience?” Xi asked. “The course of history will be shaped by the choices we make.

Our world today has become a community with a shared future in which we all share a huge stake of survival, Xi said, noting that what people in various countries long for is “definitely not a new Cold War or a small exclusive bloc; what they want is an open, inclusive, clean and beautiful world that enjoys enduring peace, universal security and common prosperity.”

Such is the logic of historical advance and the trend of our times, Xi stressed, urging all countries to uphold the correct views of the world, of history and of our overall interests.

Noting that the global context is extremely complex nowadays, particularly in the economic and political fields, Eduardo Regalado, a researcher at the International Policy Research Center of Cuba, said the BRICS summit takes place at a time when more cooperation among countries is needed to bring prosperity and well-being to people worldwide.

The 15 BRICS summit is slated for Aug. 22-24 in Johannesburg, and leaders attending the event are to discuss issues including deepening BRICS cooperation, giving more voice to the Global South, and the BRICS group’s expansion.

“Emerging countries are becoming more and more relevant in the international arena. This summit will very much contribute to the shaping of a new global economic and political order. It will help change the current situation when it comes to international relations,” he said.

Way Forward

In the speech, Xi underscores the importance of inclusive development, universal security, cultural exchange, and the collective rise of emerging economies and developing countries for a better world, expressing China’s willingness to deepen solidarity and cooperation with other emerging markets and developing countries to make the international order more just and equitable.

“We need to promote development and prosperity for all,” Xi said, adding that with perseverance, hard work and huge sacrifices, many emerging markets and developing countries succeeded in gaining independence, and “everything we do is to deliver better lives to our people.”

“Every country has the right to development, and the people in every country have the freedom to pursue a happy life,” Xi said, noting that China will work with all other countries to speed up cooperation under the Global Development Initiative, meet common challenges together and make life better for people across the world.

“We need to achieve universal security,” Xi said, adding that only a commitment to a new vision of common, comprehensive, cooperative and sustainable security can lead to universal security.

China stands ready to jointly pursue the Global Security Initiative with all others, have dialogue and oppose confrontation, forge partnership but not alliance, and pursue win-win outcome and oppose zero-sum game, and work together to build a community of security, Xi added.

“We need to stay committed to exchanges among civilizations and mutual learning,” Xi said, stressing that human civilization is colorful by nature, and deliberately creating division with the assertion of “democracy versus authoritarianism” and “liberalism versus autocracy” can only split the world and lead to clash of civilizations.

China, Xi said, welcomes all other countries to get involved in cooperation under the Global Civilization Initiative, promote the common values of humanity, encourage different civilizations to bring out their best and flourish together, and renew human civilization.

The collective rise of emerging markets and developing countries represented by BRICS is fundamentally changing the global landscape, Xi stressed, noting that whatever resistance there may be, BRICS, a positive and stable force for good, will continue to grow.

“We will forge stronger BRICS strategic partnership, expand the ‘BRICS Plus’ model, actively advance membership expansion, deepen solidarity and cooperation with other emerging markets and developing countries, promote global multipolarity and greater democracy in international relations, and help make the international order more just and equitable,” Xi said.

China Opportunity

China will remain an important opportunity for the world’s development, Xi said in the speech, stressing China’s firm resolution in advancing high-standard opening-up, fostering a world-class, market-oriented business environment governed by a sound legal framework, and building a globally-oriented network of high-standard free trade areas.

China enjoys several distinct advantages: a socialist market economy in systemic terms, a supersize market in terms of demand, a full-fledged industrial system in terms of supply, and abundant, high-caliber labor force and entrepreneurs in terms of human resources, the Chinese president said, emphasizing that the Chinese economy has strong resilience, tremendous potential and great vitality, and the fundamentals sustaining China’s long-term growth will remain unchanged.

As it endeavors to achieve modernization for its more than 1.4 billion people, China will surely contribute even more to the global economy and provide even more opportunities for the global business community, Xi said.

China’s GDP expanded 6.3 percent year on year in the second quarter of 2023 with total goods imports and exports expanding 2.1 percent year on year to 20.1 trillion yuan (2.81 trillion U.S. dollars), according to official data.

The Chinese economy is projected to grow 5.6 percent in 2023, led by a rebound in consumer demand. Capital spending in infrastructure and manufacturing is expected to remain resilient, according to a World Bank press release in June.

China’s share of the global economy is crucial. By pursuing internal reforms and speeding up the opening up of its domestic market to foreign companies, China is offering opportunities to the rest of the world, said Lyazid Benhami, vice president of the Paris Association of French-Chinese Friendship.

“By investing in emerging countries, it is increasing the attractiveness and economic stability of countries that want to develop sustainably,” said Benhami.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

Over a Million Gets Access to Electricity in Kenya Through AfDB Project

President of the African Development Bank (AfDB) Dr. Akinwumi Adesina

The second phase of the Last Mile Connectivity Project implemented in Kenya between 2016 and 2022, has helped improve access to electricity for low-income groups. At least 1.6 million people now have access to power, according to the Project Completion Report published by the African Development Bank on 11 August 2023.

Funded with a loan of $134.64 million from the African Development Bank Group, the project has added about 18 thousand kilometres of low-voltage lines to the distribution system, connecting some 322,279 households and small businesses to the national grid. An average household in Kenya has five people.

The project supported the re-establishment of the Kenya Power and Lighting Company (KPLC) tree seedling nursery, which had been in ruins due to drought from mid-2019 to the end of 2022 and locust infestation that stripped every young tree and crop around the nursery, as well as the impact of the Covid-19 pandemic.

The project awarded contracts worth around $9.07 million to local electricity suppliers, boosting economic activities.

The project has improved living conditions and helped develop socio-economic activities in the beneficiary communities. To most beneficiaries, lighting their homes was a dream come true and less expensive than using paraffin-fuelled lanterns (known as akaloboyo in the local language), with its associated health risks.

The project has spurred income-generating activities, such as poultry farming, livestock farming, and grass cutting for cattle and dairy farming. This has helped to reduce poverty, one of the leading causes of gender inequality. Activities such as joinery, arc welding and hairdressing salons are just some occupations buoyed by the availability of electricity. A group of 30 young people – half of them women – have started a poultry farm using funds raised by its members.

The project provided ready-to-use kits – including a socket and a light bulb- at no cost to households headed by women.

“Overall, despite the major challenges the country went through in 2017-2022, the project delivered almost all of the target outputs and outcomes, particularly those fundamental to the project’s development objective,” concludes the Project Completion Report.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

South Africa and China Strengthen Relationship at BRICS Meeting

August 22, 2023

South Africa and China are using the opportunity provided by the BRICS meeting to strengthen their relationship. The meeting serves as a perfect backdrop for the blossoming China-South Africa relationship, which, as noted by Chinese President Xi Jinping, “has entered a ‘golden era,’ enjoying broad prospects and a promising future.”

This year marks the 25th anniversary of diplomatic relations between China and South Africa, and in a signed article published Monday in South African media as he set off to attend the 15th BRICS Summit in Johannesburg and pay a state visit to South Africa, Xi recalled the “leapfrog development” of bilateral ties from a partnership to a strategic partnership, and then to a comprehensive strategic partnership.

“It is one of the most vibrant bilateral relations in the developing world,” said Xi in the article titled “Sailing the Giant Ship of China-South Africa Friendship and Cooperation Toward Greater Success.”

It was not the first time Xi called China-South Africa friendship and cooperation a “giant ship.” In 2015, before his state visit to the country, Xi said in a signed article that the bilateral cooperation and friendship “has grown from a small boat to a gigantic vessel.”

As the world is facing numerous uncertainties and living through accelerating changes unseen in a century, “that metaphor still holds true,” said Sifiso Mahlangu, editor-in-chief of South Africa’s leading newspaper, The Star, which published Xi’s signed articles this time and in 2015.

“A giant ship is a great metaphor” because it rides the wind and waves and “is against the tide,” said Mahlangu. “It is a metaphor that stands and lives up to the pledge of BRICS cooperation.”

On Monday, the country was abuzz with anticipation as it prepared to welcome Xi.

“To us South Africans, the visit of President Xi is very important in enhancing and strengthening bilateral relations … (including) trade relations between the two countries,” said African National Congress Secretary-General Fikile Mbalula.

Data released by China showed that in the first half of the year, bilateral trade reached 28.25 billion U.S. dollars, up 11.7 percent year-on-year.

China has maintained its position as South Africa’s largest trading partner for 14 consecutive years, while South Africa has been China’s largest trading partner in Africa for 13 consecutive years.

Calling the bilateral ties “stronger and stronger,” Mbalula told Xinhua that South Africa-China relations are formed by “ties of anti-imperialism, multipolarity that we both believe in and strong ties of economic relationship.”

It is also in Johannesburg, a South African city known as the City of Gold, that BRICS leaders will meet from Aug. 22 to 24 to discuss issues including deepening BRICS cooperation, giving more voice to the Global South, and the BRICS group’s expansion.

Scholars and observers on BRICS told Xinhua that the group has defended multipolarity and multilateralism since its inception and has become a positive, stable, and constructive force in international affairs, making its golden brand increasingly appealing to the Global South.

“In an increasingly polarised world, BRICS is creating an enabling avenue for countries to fashion a more inclusive political and economic order,” said Cavince Adhere, a Kenyan international relations scholar.

For Anil Sooklal, South Africa’s BRICS Sherpa, “BRICS has been a catalyst to bring the Global South together.”

“It is for the first time in recent geopolitics that you have such a collective and a powerful body representing the voice of the Global South.”

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

Corporate Council on Africa Announces John Olajide To Serve as Board Chairman

The Corporate Council on Africa (CCA) is pleased to announce the election of John Olajide as the new Chairman of the Board, effective January 1, 2024. He will succeed Dr. Jeffrey L. Sturchio, who has served as CCA Chairman since April 2016 and will continue as a CCA Board member.

Mr. Olajide is an entrepreneur, investor, care at home innovator, civic leader, global community builder and philanthropist. He is the Founder and CEO of Axxess, a leading healthcare technology company, and Chairman of Cavista Holdings Limited, a diversified holding and investment company with interests in technology, agriculture, hospitality, fintech, energy and other sectors. Since its founding in 2007, Axxess has grown under Mr. Olajide’s leadership to have a presence in the U.S., Europe, Asia, the Middle East, and Africa. Through Axxess and Cavista Holdings, he is helping improve access to healthcare globally and creating tens of thousands of jobs in various industries.

Mr. Olajide has served as a Vice Chair of the CCA Board of Directors since 2022, and brings a wealth of visionary leadership experience to his new role, including serving as the youngest-ever Chair of the Dallas Regional Chamber of Commerce’s Board of Directors and Executive Committee, which has helped attract businesses to the most prosperous region in the United States. As CCA Chairman, Mr. Olajide will play a pivotal role in guiding CCA’s mission and initiatives and will undoubtedly steer CCA toward new heights in growing its membership, serving CCA member companies and other stakeholders, and enhancing trade, investment, and business partnerships between the United States and African nations.

“I am delighted to announce John Olajide as the new Chairman of the CCA Board,” said Florizelle Liser, President and CEO of CCA. ” John’s remarkable journey as a young Nigerian-American entrepreneur to a prominent, visionary leader of a rapidly growing multi-sector, global business is a testament to his dedication and innovation. His innovative mindset, leadership acumen, and deep commitment to improving the lives of people and communities in the United States and across Africa align perfectly with CCA’s goal to build on our 30-year history as the premier U.S. business association solely focused on Africa’s economic and business relationships with the United States.”

Mr. Olajide expressed his enthusiasm as the baton of CCA Board Chair passed to him from Dr. Sturchio at the beginning of 2024.

”I am honored to take on the responsibility of Chairman of the Board at Corporate Council on Africa,” Mr. Olajide said. “I look forward to continuing to collaborate with Jeff and to working with all the members of the CCA Board of Directors as well as with the remarkable team at CCA, U.S. and African government and private sector leaders, and other stakeholders to accelerate economic development, foster transformative partnerships between the U.S. and Africa, and improve the lives of people both here in the U.S. and across the continent.”

The Corporate Council on Africa (CCA) extends its heartfelt gratitude to outgoing chairman Dr. Sturchio for his invaluable contributions during his two separate terms as Chairman of the Board (2008-2009, 2016-2023). Under Dr. Sturchio’s leadership, CCA has made significant strides in advancing U.S.-Africa business relationships, promoting policy dialogue, and creating platforms for multi-stakeholder collaboration in key sectors contributing to growth and prosperity on both sides of the Atlantic, including, most recently CCA’s Health Security and Resilience Initiative.

“I am proud to have served as CCA’s Chairman through an important period of transformation under Florie Liser’s leadership,” Dr. Sturchio said. “Together with our member companies and partners, we have had a meaningful impact on trade and investment opportunities between the U.S. and Africa. I am confident that CCA will be in good hands with John Olajide as the new Chairman. His broad-based experience and impressive accomplishments will serve CCA well in his new role. I look forward to working with John, Florie, and CCA’s diverse and multi-talented Board and staff on the transition over the coming months.”

As Mr. Olajide assumes the role of Chairman of the CCA Board of Directors at the beginning of 2024, Corporate Council on Africa eagerly anticipates a new chapter of transformative leadership, collaboration, and progress under his guidance.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

Ghana to Host African Peering and Interconnection Forum (AfPIF)

August 21, 2023

Ghana is gearing up to welcome the 12th edition of the African Peering and Interconnection Forum (AfPIF), marking the event’s second appearance in the vibrant city of Accra. Hosted by MainOne (http://www.MainOne.net), an Equinix Company, this year’s conference is scheduled to take place from August 22nd to 24th, 2023.

AfPIF, an annual event jointly organized by the Internet Society (ISOC) and the African IXP Association (AFIX), is dedicated to fostering interconnection between Internet service providers, content providers, and data centers throughout the African region. It serves as a unique platform for participants to exchange insights, deliberate on emerging trends, and cultivate avenues for collaboration.

AfPIF’s mission is to increase the amount of Internet content and traffic exchanged locally in Africa. This is commonly achieved via Internet exchange points (IXPs) which enable multiple networks to directly interconnect through common infrastructure. This aggregation facilitates large-scale content distribution which improves the speed, cost-effectiveness, and reliability of the Internet. It also reduces the region’s reliance on international intermediaries.

Emmanuel Kwarteng, the Country Manager of MainOne, an Equinix Company, Ghana, expressed enthusiasm about the event, stating, “Hosting the peering community in Ghana is a tremendous honour for us at MainOne, and we are excited to welcome participants across Africa and beyond to the vibrant city of Accra, the gateway to Africa as we call it. This event resonates deeply with our mission to drive digital inclusivity in our region by facilitating the localization of Africa’s internet traffic, which in turn improves the speed of content accessibility, lowers internet access costs and network latency. We look forward to facilitating meaningful discussions and partnerships that will further accelerate Africa’s digital transformation.”

Kyle Spencer, the Executive Director of the African IXP Association, added his perspective, saying, “AfPIF holds a unique position as a catalyst for enhancing interconnection and peering across Africa. As we gather in Accra, we renew our commitment to strengthening the digital fabric of our continent. By encouraging the local exchange of Internet traffic, AfPIF contributes significantly to the growth of the African digital ecosystem, driving economic progress and empowering communities. We look forward to inspiring discussions and collaborative efforts that will drive the realization of a more connected Africa.”

The forthcoming AfPIF event promises to be a dynamic and captivating event, featuring a lineup of keynote addresses, panel discussions, technical sessions, and invaluable networking opportunities. Attendees can anticipate gaining profound insights into the most recent industry trends, networking with industry experts, and uncovering opportunities for peering and interconnection within the African landscape.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

How MTN Cameroon Borrowed $152 Million to Stay Afloat in the First Half of 2023

Ralph Mupita, the MTN Group President and Chief Executive

MTN Cameroon, a mobile phone company, faced challenges with its financial records and sought external help. It secured a loan of roughly $151.9 million (equivalent to about 91.5 billion FCFA) from undisclosed banks to ensure its operations from January to June 2023. This significant amount represented nearly 98% of the company’s operating expenses during that period.

Interestingly, MTN Cameroon refrained from borrowing in 2022. It managed to repay around $29.9 million (18 billion FCFA) of its debt that year. Moreover, the company began January 1, 2023, with a net positive cash balance of about $48.3 million (29.15 billion FCFA). However, by the end of June, its cash position had shifted to a negative one, with a debt of approximately $21.6 million (13 billion FCFA).

A plausible explanation for this situation stems from the freezing of the company’s funds due to a legal dispute. For over two years, the properties of a prominent Cameroonian billionaire named Baba Danpulloin were seized and sold by his bank in South Africa. The First National Bank (FNB) explains that its client has been unable to repay his debts since 2019. This is refuted by Baba Danpullo, who speaks of “expropriation” and a “racist crusade” against his group, Bestinver. In response, he obtained a Cameroonian judge’s order to freeze the bank accounts of MTN, Broadband Telecom by Collins Mukete, Mobile Money Corporation, and Chococam, in order to recover what he sees as “maliciously diverted sums” by his banker. On the other hand, MTN accuses Baba Danpullo of “attempted extortion of funds.” An investigation into this battle where justice is the first victim.

Consequently, MTN, the mobile company, had to rely on borrowed funds to sustain its operations during the period of frozen assets.

MTN Cameroon’s impressive business performance continued, generating approximately $258.5 million (156 billion FCFA) in revenue in the first half of 2023. With a healthy operating margin of 36% and a dominant market share of 51.4%, the company continued to gain credibility with Cameroonian banks. Nonetheless, uncertainties arose.

Financial data for the first half of 2023 revealed that its interest-bearing liabilities exceeded its available liquidity. Furthermore, a portion of its cash was seized by legal authorities, rendering it unusable for daily operations. Additionally, the parent company based in South Africa might face challenges in readily intervening. Furthermore, MTN Cameroon’s debt level increased to 1.5 times its equity.

Should the Cameroonian legal system fail to promptly resolve the underlying issue, MTN Cameroon could potentially face a short-term liquidity shortfall. The trajectory of the telecommunications sector would also impact the company. Any slowdown in the sector’s activity could worsen the company’s difficulties in meeting its financial obligations. This situation would naturally raise concerns among creditors and providers of goods and services, as they might experience delays in receiving their payments amid an unfavorable economic backdrop.

Ghana Wants Armed Forces to Help Government’s Digitisation Agenda

Charles Rapulu Udoh

Charles Rapulu Udoh is a Lagos-based lawyer, who has several years of experience working in Africa’s burgeoning tech startup industry. He has closed multi-million dollar deals bordering on venture capital, private equity, intellectual property (trademark, patent or design, etc.), mergers and acquisitions, in countries such as in the Delaware, New York, UK, Singapore, British Virgin Islands, South Africa, Nigeria etc. He’s also a corporate governance and cross-border data privacy and tax expert.
As an award-winning writer and researcher, he is passionate about telling the African startup story, and is one of the continent’s pioneers in this regard

How Brics Hopes to Shake up The World Order

The Brics bloc — Brazil, Russia, India, China and South Africa — will use an annual leaders’ summit in Johannesburg this week to begin the process of enlisting more members to bolster its global heft, a push driven mainly by Chinese President Xi Jinping but also backed by Russia and South Africa. There will also be talks on how to accelerate a shift away from the dollar, in part by increasing the use of local currencies in trade between members, which is surging.

The bloc has failed to convert its growing economic might into significant political clout since it began holding summits 15 years ago. But the current splintering of the world order amid rising US-China frictions and the splits over Russia’s invasion of Ukraine provides a fresh opening for it to become a louder voice of the Global South and potentially to challenge the US and its allies.

“We want to make the Brics very strong politically, very strong financially,” said Brazilian President Lula da Silva.

The summit could see the bloc’s first expansion since South Africa was added in 2010. High on the list of potential candidates are Indonesia and Saudi Arabia, as well as the United Arab Emirates, Algeria and Egypt. But India wants the process to be gradual.

An expanded group would represent about half of global output by 2040, Bloomberg Economics estimates show, double the share of the G7, a reversal from the turn of this century. A bigger Brics would account for almost half of the global population, up from 42% currently, according to Anil Sooklal, South Africa’s ambassador to the bloc.

“These countries have risen economically, they have voiced their concerns, they’re now capable of offering alternatives if their voices are not heard,” said Karin Vazquez, a Shanghai-based associate professor of diplomatic practice at India’s OP Jindal Global University.

Deep divisions in Brics

To date, deep divisions among members have limited the consensus-driven bloc’s ability to increase its sway at institutions such as the International Monetary Fund, the World Bank or the United Nations Security Council. A Brics development bank has lent only US$32.8-billion in eight years in operation, a tiny fraction of the amount the IMF and World Bank have disbursed over the period. Suggestions that the bloc introduce a common currency haven’t gone anywhere.

The economies of Brazil, South Africa and Russia have all underperformed and China’s is slowing down.

A market capitalization-weighted measure of the five Brics nations’ stocks has risen 81% since 2009, compared with a 379% rally in the S&P 500 Index. Factor in the weakness of their currencies during this time and their dollar returns look much worse.

Russian President Vladimir Putin is staying away from this year’s summit because he faces a war-crimes arrest warrant from the International Criminal Court, of which host South Africa is a member. He will participate remotely.

The gathering will give him another opportunity to present his narrative of the Ukraine invasion directly to leaders from the Global South, many of whom have been sympathetic to his accounts in the past. Brazil, Russia, India, China and South Africa have been cautious about openly taking Russia’s side in the war, but have also been unwilling to ally with the West in opposing it.

While the European Union sees the Brics as primarily a talk shop – which could be weakened rather than strengthened by expansion – Putin’s ability to use the group as an international platform is a worry, said an EU official who spoke on condition of anonymity because he isn’t authorised to comment publicly.

The bloc has been a “big disappointment”, said Jim O’Neill, the former Goldman Sachs Group chief economist who coined the acronym Bric in 2001 to highlight their rising global heft. “China and India rarely agree on anything, which is a fundamental problem.’’

The world’s two most-populous nations have been locked in a border dispute for years. Their army commanders last week agreed to work swiftly toward easing their differences, opening the door for progress in negotiations between Xi and Indian Prime Minister Narendra Modi.

India is wary that expanding Brics will transform the group into a mouthpiece for China, while Brazil is also worried about alienating the West, according to officials familiar with the bloc’s internal negotiations. But they are resigned to admitting new members, even as they push for an agreement on the rules and criteria.

“Since Brics was founded, China’s become not only more aggressive regionally, or even along the border with India, but also it, too, wants to be the standard bearer for the Global South,” said Katherine Hadda, a former senior US diplomat who now heads US-India policy studies at the Center for Strategic and International Studies in Washington. “India doesn’t want that.”

The appeal of Brics is that it is led by states of the South and is thus seen as a symbolic way of rejecting Western leadership.

This week’s meeting hosted by President Cyril Ramaphosa will be the first in-person Brics summit since the global pandemic, and Lula, Xi and Modi have confirmed their attendance. Heads of state from more than 30 African countries, along with others from the Global South, will sit in as observers and more than 20 nations have formally expressed interest in becoming members. The bloc’s five leaders will decide who can join and when, with consensus largely reached on an admission policy, according to Sooklal.

“The appeal of Brics is that it is led by states of the South and is thus seen as a symbolic way of rejecting Western leadership,” said Robert Schrire, a politics professor at the University of Cape Town. “It is this symbolism, rather than any expectation of economic gains, that drives the desire of those who wish to join the bloc.”

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry

MTN’s Fintech Unit Seeks More Investors

August 20, 2023

MTN Group is seeking as many as three more strategic investors in addition to Mastercard for its fintech unit, which it values at $5.2-billion. This was made known by the Group CEO of the telco giant Ralph Mupita, “We are open to selling up to a maximum of 30% of the fintech business,” adding that “There might be three or maybe even four strategic partners within that.”

MTN earlier said it signed a memorandum of understanding with Mastercard for a strategic investment and will also use the payment network processor’s technology to offer more services. MTN has 60 million users for its fintech unit, which currently offers basic services like cash-in/cash-out

Africa’s young, underbanked population is increasingly using mobile phones to bridge gaps in services. That’s opened a lucrative and fast-growing space in the fintech sector for wireless carriers. Much of the investment to date has been in mobile payment systems, with a wave of fast-growing start-ups such as Flutterwave and Interswitch emerging.

MTN is Africa’s largest wireless operator. It has 60 million users for its fintech unit, which currently offers basic services like cash-in/cash-out, according to Mupita.

“With mobile money and fintech services, you are able to leapfrog people from not having any financial services to using the phone to provide a lot of financial services,” Mupita said.

Kelechi Deca

Kelechi Deca has over two decades of media experience, he has traveled to over 77 countries reporting on multilateral development institutions, international business, trade, travels, culture, and diplomacy. He is also a petrol head with in-depth knowledge of automobiles and the auto industry