Africa's foreign direct investment declined 16% to $40 billion in 2020, then recovered to $45 billion in 2022.

Egypt received $5.122 billion in FDI in 2021, with expected investments of $16.5 billion in 2024-2025.

South Africa's FDI inflows jumped 1235% to $40.889 billion in 2021.

China invested $2.96 billion in Africa in 2020, with over 3,500 enterprises employing a significant portion of the workforce.

The US and France have made significant investments in Africa, with the US investing $22 billion and France signing a $1.7 billion project with China.

India has increased its investment in Africa, where 1.3 million people of Indian descent control 60% of East Africa's economy, and has opened 18 new diplomatic missions.

Japanese and South Korean companies like Toyota, Nissan, Toshiba, Hyundai, Samsung, and LG have made significant investments in Africa.

The African Development Bank has committed $5 million to new energy projects, with the continent owning 45% of the world's renewable energy.

Kenya has attracted $21 billion in energy investments, mostly in renewables, while Egypt has launched initiatives like the Novi program to finance green projects.

The AfCFTA agreement aims to integrate the African continent by promoting trade, economic diversification, and removing barriers on 90% of exchanged goods.

African partnerships with foreign companies have led to technology transfer, job creation, and sustainable development, increasing access to new markets and customers.

Foreign investment in Africa can drive economic growth and development, but requires careful planning and collaboration among governments, investors, and stakeholders.

Africa's foreign direct investment declined 16% to $40 billion in 2020, then recovered to $45 billion in 2022.

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Content: Global investors waiting to pour in money in Africa to firewall China

By IANS | Published: August 2, 2021 02:09 PM2021-08-02T14:09:05+5:302021-08-02T14:25:34+5:30

New Delhi, Aug 2: After a tepid inflow of foreign direct investments (FDI) into Africa in 2020 amid the ...

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New Delhi, Aug 2: After a tepid inflow of foreign direct investments (FDI) into Africa in 2020 amid the Covid-19, investors are once again warming up to the continent. According to the United Nations Conference on Trade and Development (UNCTAD), FDI flows into Africa declined by 16 per cent in 2020 to $40 billion, from $47 billion in 2019.

China, the primary investor in the continent, has also slowed down its investments into the continent leaving an opportunity for other investors.

While the UNCTAD projected FDI inflow into Africa to grow this year, it said that the slow vaccine roll-out programme is a cause for concern. According to UNCTAD, FDI to the continent is projected to grow by only 5 per cent in 2021. But analysts said Africa as an investment destination has led to "an unprecedented curiosity" among other countries, which are now aggressively looking to mute China's dominance in the continent.

"Africa is critical in the new geopolitical and geo-economic contours. The continent, with its vast natural resources, offers a ready growth platform," an analyst told India Narrative.

According to a study published by Brookings Institution last week, Africa is home to 17 per cent of the world population. However, by 2050, it will have 26 per cent of the global population 2.53 billion people. "If Africa is not successfully integrated into the global economy, there could be a major threat to global prosperity and stability," the study said, adding that by 2050, the continent will be home to an estimated $16.12 trillion of combined consumer and business spending.

The African Continental Free Trade Area (AfCFTA) – the mega trade could give a push to intra-continental investment.

Touted as one of the biggest trade deals in the world, the AfCTA aims to create a single market comprising 1.3 billion people with a combined GDP of about $3.4 trillion.

Meanwhile, the US may have woken up late in recognising the potential of Africa but is making all attempts to make up for the lost time.

The Group of Seven or G7 has already decided to support US President Joe Biden's proposal of carving out a mega infrastructure plan under the "Build Back Better World" (B3W) initiative, expected to bring in transparency and sustainability. Besides, the initiative will be carried out only in consultation with local communities.

The G7 in its meeting in June also announced that it will increase its support to the Indo Pacific and Africa. "We resolve to collaborate with partners around the world, including in the Indo-Pacific and Africa, to actively promote these shared values for the good of all," said the statement.

India too has pressed the pedal on investments in the region. Sources said that the still-born Asia Africa Growth Corridor—the mega infrastructure project that was launched in 2017 to connect Asia and Africa must be revived.

Carnegie Endowment for International Peace noted that Chinese financiers committed $153 billion to African public sector borrowers between 2000 and 2019. "After rapid growth in the 2000s, annual lending commitments to Africa peaked in 2013, the year the BRI was launched. By 2019, though, new Chinese loan commitments amounted to only $7 billion to the continent, down 30 percent from $9.9 billion in 2018," it said.

Disclaimer: This post has been auto-published from an agency feed without any modifications to the text and has not been reviewed by an editor

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Egypt received $5.122 billion in FDI in 2021, with expected investments of $16.5 billion in 2024-2025.

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Content: Tuesday 27 February 2024
Chairman of the Board of Directors and Editors
Abdurrahim Ali
Chairman of the Board of Directors and Editorial Board
Abdurrahim Ali
Portal of Parliament
Parliamentary: Egypt has become the most important investment destination in Africa and the Arab world
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MP Ibrahim El-Deeb, a member of the House of Representatives, said that Egypt is one of the most important investment destinations in the African continent and Arab countries, especially after following various ways that would attract foreign investment and employ it in vital sectors in favor of economic growth, and the recent period is the best evidence of this.
El-Deeb pointed out that Egypt ranked first in North Africa in attracting foreign direct investment according to the United Nations Trade and Development Report 2020, where it succeeded alone in acquiring 15% of the total investments flowing to the continent of Africa according to a report issued by the United Nations for Trade and Development on global investment in 2021.
"The International Monetary Fund has already announced that foreign direct investments will register continuous growth in Egypt, where it is expected to reach 16.5 billion dollars in the fiscal year 2025 – 2024, and what has been achieved on the ground during the last few hours confirms that Egypt is on the right track in the file of direct investment."
He pointed out that foreign direct investment (FDI) is one of the main engines of economic growth in the countries and contributes to the expansion of the investor base in the country, as well as to solve the problem of unemployment through the creation of new jobs and the introduction of new advanced technology for the state, and to learn about modern methods of management, organization and marketing, which leads to the acquisition of national workers. and more experience.

Which African countries are driving the venture capital ecosystem?

South Africa's FDI inflows jumped 1235% to $40.889 billion in 2021.

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Content: « Money » monitors the forecasts of economic analysts for foreign investment flows in the current year
A number of them predicted it would reach $10 billion.
Samar Al-Sayed
Praying for Mahmood
6: 59 AM, Wednesday, 27 Jul 22
Wael Ziadeh: The Russian-Ukrainian war is an opportunity for the Egyptian stock exchange to attract more capital
Esraa Ahmed: Clean energy, infrastructure and digital financial services are the most attractive sectors
Hani Geneina: Companies should be encouraged to reinvest their profits instead of transferring them to parent entities abroad
Naaman Khaled: Most of the money will come from Gulf markets
The Egyptian government aims to increase foreign direct investment flows, especially the Gulf, in the local market in the coming period, in light of the repercussions of the Russian-Ukrainian war on the global and local economies, and a number of analysts and macroeconomic experts estimated the value of these investments to reach $10 billion, driven by various factors, including the decline in the stock prices of companies on the stock exchange, and the exchange rate of the pound against the dollar.
The latest report issued by UNCTAD in June on the volume of foreign investment flows in 15 African countries last year showed that Egypt ranked second in the list, recording the volume of flows about 5.122 billion dollars compared to 5.852 billion in 2020 compared to 9.010 billion in 2019.
South Africa came first last year with a 1,235% jump in investment inflows of $40.889 billion compared to $3.062 billion in 2020 and $5.125 billion in 2019.
Wael Ziadeh, founder and CEO of Zela Capital, said that the Russian-Ukrainian war had negatively affected foreign direct investment flows in the world, while inter-state assistance had increased to counter the negative consequences of the war.
He explained to Al-Mal that these negative effects included the exit of investment flows from some emerging countries, which led to the impact of their trade balance, especially as their imports of food and oil more than their exports, for example Turkey and many European countries, as well as Sri Lanka.
On the other hand, the war represents a positive area for these countries, especially in activating the stock market sector, he said, adding that in this context, the Egyptian Exchange has opportunities to attract more foreign investments in the coming period.
He predicted that Egypt will take no more than six months to recover its trade balance once the war is over, as the prices of petroleum products and food will fall rapidly, as they rose rapidly after the outbreak of the war.
The objectives of the Egyptian government published in July 2021 in the second and final review report of the Credit Standby Arrangement Program signed with the International Monetary Fund, amounting to about $5.4 billion, indicated that the percentage of net foreign direct investments of GDP will rise to 2.5% in the current fiscal year compared to 2% in the last fiscal year, adding that it recorded 1.4% in the fiscal year 2021 / 2020, 2% in 2019 and 2.6% in 2019. / 2018.
These targets pointed out that the proportion of net foreign direct investment will jump to 3% of GDP in the fiscal year 2025 / 2024 compared to 2.9% in 2023 / 2024.
The government also expected in the report to increase the volume of foreign direct investment flows in the local market to about 11.7 billion in the current fiscal year against 8.6 billion dollars in the last fiscal year 2022 / 2021 to rise to 14.9 billion in the next fiscal year (2023 / 2024) and 16.5 billion in 2025 / 2024.
According to the Central Bank of Egypt ’ s forecasts issued in its statistical bulletin for May, the proportion of net foreign direct investment in GDP declined to about 1.3% in the fiscal year 2020 / 2021 compared to 2% in the fiscal year 2019 / 2020, adding that it was 2.7% in the fiscal year 2018 / 2019 and 3.1% in the year 2017 / 2018.
Economist Hani Geneina predicted that the value of net foreign direct investments in the local market will exceed 10 billion dollars in the coming period, due to several different factors, including the decline in the prices of shares of companies in the stock exchange and the exchange rate of the pound against the dollar.
However, Egypt was the second largest recipient of foreign direct investment in the African continent, he said, adding that recent pledges from Gulf countries to invest about $22 billion in various sectors will boost foreign direct investment in the future.
The number of new green projects in Egypt has more than tripled to $5.6 billion, according to the UNCTAD report, pointing out that for example, the UAE real estate company Reportage announced a real estate project worth $1.5 billion.
According to the report, the volume of foreign direct investment flows to North Africa declined by 5% to $9.3 billion last year.
Geneina told Al-Mal that the flows of foreign direct investments to the markets are divided into three types, the first is the acquisition of one company on another by more than 10%, pointing out that this investment happened last fiscal year, such as the acquisition of the UAE Holding “ADQ ” on several Egyptian companies, pointing out the importance of this type of investment, but it is not very useful in the list of foreign investments.
This type of rapid investment is encouraged by the decline in both stock prices on the stock exchange and the exchange rate of the pound against the dollar, as well as the recent government stimulus measures that included the implementation of the state ownership document.
The document of state ownership announced by the government in mid-June revealed the most prominent sectors that will witness the stabilization or reduction of government investments (while allowing the participation of the private sector), a number of activities in the transport, education, mining, real estate, electricity, telecommunications and sports sectors.
Geneina said that the second type of flows is the reinvestment of a foreign company present in the market for its profits again, pointing out that this type is classified in the balance of payments as foreign direct investments.
He added that the most prominent local sectors that will go to this type of investment is oil and gas, due to the high value of its profits achieved last fiscal year, and will therefore reinvest its large financial surpluses during the current fiscal year.
He pointed out that the third type of investment is the most difficult, which is the establishment of a new company or project from the beginning, and the employment of new workers, pointing out that for example, Dana Gas announced that it will expand its operations implemented in the local market.
This area is likely to witness an increase during the current fiscal year, especially in the oil and gas sectors and related sectors, namely petrochemicals and fertilizers, especially by Gulf investments in light of the features announced recently by the government, namely the state ownership document, the gold license, as well as the large financial surpluses they have, which motivates them to invest in the local market.
In mid-May, Prime Minister Mostafa Madbouly announced a number of concessions on the industrial sector, most notably the issuance of the golden license for some projects, pointing out that it will be granted once and include three areas as a start, namely green hydrogen, electric car manufacturing and infrastructure, seawater desalination projects and renewable energy.
Geneina stressed the importance of the government encouraging foreign companies to reinvest their profits in the local market instead of transferring them to parent companies abroad by providing incentives to urge them to take this step.
According to the latest UNCTAD report, Mozambique ranked third in the list of foreign investment flows to 15 African countries last year, and its inflows rose by 68% to $5.102 billion compared to $3.035 billion in 2020, while it recorded 2.212 billion in 2019.
Nigeria ranked fourth on the list, attracting inflows of 4.844 billion over the past year, an increase of 103 percent from the previous year, the data added, adding that it recorded 2.385 billion in 2020 and 2.305 billion in 2019.
Ethiopia followed in fifth place, and foreign direct investment inflows increased last year by 79% to $4.259 billion compared to $2.381 billion in 2020.
In the sixth place came « Congo » with the volume of flows of $3.691 billion, a decline of 8% from its value in 2020, and recorded 4.016 billion dollars, followed by Ghana in the seventh place in the list and increased flows by 39% to reach 2.614 billion dollars during 2021 compared to 1.876 billion in 2020.
According to data from the UNCTAD list, foreign direct investment flows in Senegal jumped by 21% to 2.232 billion against 1.846 billion dollars in the previous comparison period.
According to the report, the value of flows to Morocco increased by 52% last year to $2.153 billion, and a major international financing deal was announced there, a $20 billion construction project for a 3,800km transmission line to the UK with a capacity of 3.6 gigawatts, sponsored by English company Xlinks.
The Democratic Republic of the Congo ranked 10th on the list, with investments up 14% to $1.870 billion compared to $1.647 billion in 2020.
Gabon came in eleventh place, with direct investment flows falling by 5% last year to record 1.635 billion dollars compared to 1.717 billion in 2020, followed by Uganda, with flows rising by 31% to 1.142 billion dollars compared to 874 million in 2020.
Tanzania ranked 13th, with foreign investment up 35 percent in 2021 to $922 million compared to $685 million in 2020.
According to the bulletin, investment flows in Algeria decreased by 24% last year to $870 million compared to $1.143 million in 2020, pointing to the decline of investments in Tunisia to $660 million compared to $652 million in 2020 to be ranked 15th.
Esraa Ahmed, a macro-economic analyst at the investment bank “Ahly Pharos ”, agrees with Geneina ’ s opinion as she expects the volume of net foreign direct investment in Egypt to rise to about $10 billion during the current fiscal year (2022 / 2023), up from levels that will not exceed $7 billion in the fiscal year ending 2021 / 2022.
She added that this rise is driven by the Gulf investment flows that have been announced recently, and the acquisition deals that we see are witnessing activity during the current period.
There are other factors that may prevent net foreign direct investment from rising to larger numbers in the near future due to the continuation of the war in Ukraine and its repercussions on the global economy.
According to Ahmed, these factors are the economic situation of the European Union, which is an important partner for Egypt in terms of trade and investment, in addition to the general reluctance globally to risk starting new projects, and the prevailing outlook for emerging markets and the risks of their currencies.
On the sectors that may witness foreign inflows during the coming period, she said that the most prominent of them are clean energy, new infrastructure driven by the expansion of the state in this field, in addition to digital financial services, and some branches of manufacturing industries.
For his part, Numan Khalid, a macro-economic analyst at Arqaam Capital, said that the current circumstances in the world prevent the possibility of predicting the volume of foreign direct investment flows in the local market during the coming period.
He added that most of the investments come from the Gulf market, especially from Saudi Arabia and the UAE, pointing out that these two countries have benefited greatly from the recent increases in oil prices, and thus have a great financial solvency through which to invest in surrounding countries, especially in Egypt, which is one of their target markets.
He pointed out that health, hotels, real estate and the financial sector will witness an increase in the volume of investment flows to them during the coming period.
During his participation in the Qatar Economic Forum last June, the Minister of Finance, Mohamed Maait, looked forward to increasing the volume of Gulf investments with the transformation of their deposits in Egypt into real investments that benefit from the promising development opportunities available in various fields.

China invested $2.96 billion in Africa in 2020, with over 3,500 enterprises employing a significant portion of the workforce.

Title:

Content: Global Economic News
Despite the global decline...
China ’ s investment in Africa grows by 9.5%
Chinese investment in Africa has been expanding steadily despite a downward trend in the global economy and trade caused by the outbreak of the pandemic, according to an official report.
Quoting the "Annual Report on China-Africa Economic and Trade Relations 2021," Xinhua said China's investment in Africa reached $2.96 billion in 2020, up 9.5 percent year on year.
Of the total value, non-financial direct investment was $2.66 billion.
The report was released ahead of the second China-Africa Economic and Trade Fair scheduled to be held in Hunan, central China, from Sept. 26 to 29.
China ’ s investment in Africa ’ s service sector increased sharply, with investment in subsectors such as scientific research, technology services, transport, warehousing and postal services more than doubling, according to the report.
Data from the Ministry of Commerce showed that in the first seven months of 2021, Chinese direct investment in Africa reached $2.07 billion, better than the level recorded for the same period in 2019, before the pandemic.
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Content: Digest
Experience and Potential of China-Africa Cooperation in the New Era (Text: Zhou Yuyuan) (09: 00)
"Developing solidarity and cooperation with African countries is an important cornerstone of China's foreign policy and China's long-term and firm strategic choice." On November 26, the Information Office of the State Council issued a white paper entitled "China-Africa Cooperation in the New Era", which comprehensively summarized the new concepts, new practices and new achievements of China-Africa cooperation in the new era.
Through the white paper, we can find that Africa's importance in China's international strategy is on the rise, and China-Africa cooperation is at its best in history.
China-Africa cooperation is at its best in history
The White Paper outlines a brilliant transcript of China-Africa cooperation.
From political mutual trust, economic and trade cooperation, to social, humanities, peace and security cooperation, from agriculture, infrastructure, trade, investment, finance to digital economy, green development, from China-Africa cooperation to tripartite cooperation and international cooperation, China and Africa are forming an all-round, broad and three-dimensional cooperation pattern.
The "Ten Major Cooperative Plans" and "Eight Major Actions" have transformed China-Africa cooperation into visible and accessible projects, figures and results.
China has been Africa ’ s largest trading partner for 12 consecutive years since 2009, and is Africa ’ s largest international engineering contractor, infrastructure financier, important source of investment and development partner.
China and Africa have made important progress in important areas of cooperation such as infrastructure, energy and power, information and communication, and industrialization.
More than half of Africa ’ s wireless stations and high-speed mobile broadband networks are built by Chinese enterprises, with a total of more than 200,000 kilometers of optical fiber serving more than 900 million African people.
The achievements of China-Africa cooperation are the result of many factors.
It is easier for China and African countries to achieve understanding and consensus on the concept of development. According to a study by Africa Barometer, a well-known African polling organization, China ’ s development model is highly recognized in Africa.
China's cooperation with Africa pays more attention to Africa's needs and local realities, and often promotes the implementation of cooperation projects, and the actual projects increase the visibility of China-Africa cooperation.
In addition, China-Africa cooperation is mainly concentrated in infrastructure, power, information and communication, finance, public health, poverty reduction and other areas, these cooperation projects can often produce major economic effects, development effects and even political impact.
Rome was not built in a day.
As stated in the White Paper, China-Africa cooperation is carried out by the two sides step by step.
China-Africa cooperation is not only driven by the government.
In fact, in recent years, the rapid development of China-Africa relations has been inseparable from the participation of more and more Chinese private enterprises and social organizations.
China has more than 3,500 enterprises in Africa, employing more than 80% of the African workforce and creating millions of jobs.
Private enterprises are becoming the main force of non-investment, and private forces are also profoundly affecting China-Africa relations in the new era.
China-Africa Cooperation Faces "Growing Trouble"
Of course, China-Africa cooperation is not a smooth sailing, but also faces "growth troubles."
The process of deepening China-Africa relations is a process of continuous collision, interaction and integration between China and African societies, and a process of continuous adjustment of relations between China and other countries involved in Africa.
This process is often accompanied by a variety of issues, such as the impact of Chinese goods on local vulnerable industries and small businesses, the impact of Chinese projects on the local environment, the relationship between Chinese companies and local employees, and the legal awareness and cultural integration of citizens.
Although these problems are only cases, they often have a large negative impact.
The emergence of problems is not terrible, because the process of solving problems is also a process of continuous development of China-Africa relations.
In recent years, as the main platform for China-Africa cooperation, the Forum on China-Africa Cooperation has stepped up its response to problems arising in the process of cooperation, and formulated a series of measures and regulations in regard to considering the concerns of local society, supporting inclusive development, and enhancing China's corporate social responsibility.
The Chinese government has expressed zero tolerance for Chinese companies that have caused environmental damage and adverse impacts in Africa.
China-Africa cooperation is accompanied by conspiracy theories
The process of China-Africa cooperation is also accompanied by various rumors, conspiracy theories and stigmatization. After the Beijing Summit of the Forum on China-Africa Cooperation in 2006, the smear of China-Africa cooperation began to increase rapidly, and it continues to expand and evolve.
From “neo-colonialism, ”“ resource predation, ” “opacity, ” to the current“ debt trap, ” China-Africa cooperation has been labeled negatively by some speculative politicians and the media.
This has caused interference in the international community's correct understanding of China-Africa cooperation, and has also affected the normal development of China-Africa cooperation and international cooperation with Africa.
These absurd arguments against common sense have been refuted by various professional and rigorous investigations.
Some wise people in the United States and the West have also clearly called on their governments to review China-Africa relations on the basis of facts.
To properly handle relations with Africa and the international community
Although these problems are only superficial, they reflect a deep-seated problem: the socialization and internationalization of China-Africa cooperation.
In short, it is a question of how China communicates, interacts and cooperates with African and international communities.
A good African society and international social environment can create conditions for the rapid development of China-Africa cooperation, and the rapid development of China-Africa relations needs to properly handle the relationship with African society and the international community.
There has never been a lack of cooperative initiatives and projects between China and Africa, but there may be a lack of institutional, public opinion and public opinion environment to ensure the smooth development of China-Africa cooperation.
Especially in the new era of the century-old changes and the century-old epidemic, the need to build a more open and inclusive China-Africa cooperation is stronger than ever.
In May this year, China and Africa jointly launched the "Support for Africa's Development Partners Initiative"; in September, President Xi Jinping proposed the "Global Development Initiative" at the United Nations General Assembly.
The main purpose of these two initiatives is to call for greater international solidarity and greater support for developing countries in Africa and elsewhere.
"Africa is the big stage of international cooperation, not the arena of the game of big countries", Africa's development potential and needs are very large, the development tasks and challenges are difficult, and Africa's fight against the epidemic and recovery and reconstruction need international solidarity and cooperation.
For China, giving play to the driving effect of China-Africa cooperation and leveraging more international resources to support Africa's development will be of great significance.
The new era of China-Africa cooperation should not be a one-off, but should fully release the potential of the China-Africa Cooperation Forum as a platform for international cooperation with Africa through sincere communication, integration of rules and action orientation, and promote the establishment of benign, complementary and higher-level international cooperation with Africa.
The author is a researcher at the West Asia Africa Research Center of the Shanghai Institute of International Studies
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The US and France have made significant investments in Africa, with the US investing $22 billion and France signing a $1.7 billion project with China.

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Content: Chairman of the Board of Directors and Editors
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Mohamad Elbaz
Editor-in-Chief
Wael Lotfy
Chairman of the Board of Directors and Editors
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Mohamad Elbaz
Editor-in-Chief
Wael Lotfy
Second U.S.-Africa Summit: Opportunity for Profitable Partnerships
Deutsche Welle Network (Deutsche Welle) commented on Tuesday that the United States hosted the first U.S.-Africa summit in 2014, the three-day summit in Washington, noting that the summit serves as an opportunity to forge profitable partnerships.
The meeting of U.S. and African leaders in Washington this week is an opportunity for the United States and countries in Africa to move closer to “win-win ” partnerships.
African economic and political analysts say the continent ’ s leaders should press for fair trade deals and better economic partnerships with the United States at the U.S.-Africa summit.
African experts: Africa ’ s economy is a priority
Daniel Amati Anim, an economist based in Ghana ’ s capital Accra, said negotiating fair deals to improve economies in Africa should be a priority, and according to the US Congressional Research Service, Chinese deals with 632 companies in Africa totaled $735 billion in 2020, and the previous year, 800 trade and investment deals across 45 countries amounted to $50 billion.
CRS data also shows that the US invested $22 billion in 80 companies in Africa over the same period.
The United States has repeatedly warned Africa against engaging with China and Russia, and the matter is expected to be raised at the summit this week.
The second U.S.-Africa summit kicked off in Washington on Tuesday with leaders from across the African continent attending for three days from December 13 to 15, 2022, and President Biden invited 49 African heads of state.
The summit, the second of its kind after the 2014 Obama summit, will be attended by representatives of about 50 African countries, including heads of state and government, civil society and the private sector, as well as officials of the US administration and the African Union Commission.

Title:

Content: China / France / Cooperation Agreement
China and France sign $1.7 billion third-party market cooperation project
Two days before French President Emmanuel Macron ’ s talks with Chinese President Xi Jinping on Wednesday, the CDRC announced on Monday that it had “recently ” reached an agreement with the French Ministry of Economy and Finance on cooperation in third countries.
France has not yet made an announcement on the deal.
The commentary said that in the context of the economic downturn, China may use its cooperation with France to continue to advance its pawn in Africa.
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Seven projects in Africa
According to the Chinese newspaper, the cooperation agreement with France covers seven projects worth more than 1.7 billion US dollars (1.5 billion euros) and "covers infrastructure, environmental protection and new energy."
Investments to be made in "regions such as Africa and Central and Eastern Europe."
According to the French newspaper Le Monde, six of the seven projects are in Africa.
The most important thing is about wastewater treatment in Dakar.
The project is supported by the French Development Agency and the Development Bank of China.
Three other hydropower projects involve Gabon.
Other Africa-related projects are the modernization of a port in Cote d'Ivoire; China Road and Bridge Engineering Co., Ltd. and the French company Egis will renovate a road in Guinea.
For projects in Central and Eastern Europe in Greece, China Energy Investment and EDF will cooperate to build a wind power plant.
The origins of the agreement date back to June 2015, during an official visit to France by Chinese Premier Li Keqiang.
At that meeting, the two countries issued a joint statement on cooperation in third-party markets.
Since then, however, French diplomats have complained that no progress has been made and Beijing has continued to work alone, particularly in Africa, as part of its vast Belt and Road Initiative (BRI).
Why is France low?
Analysis of Le Monde reports, public reports in China and official silence in France suggest that Paris does not necessarily want to emphasize this cooperation on the eve of the EU-African Union summit on February 17 and 18, which "aims to launch an ambitious Africa-Europe investment plan."
At a time when the EU wants to compete with China ’ s Belt and Road project by launching the Global Gateway initiative, China ’ s public approach is designed to alert France, one of the major European countries involved in African affairs, to its role.
As early as January 13 of this year, only Beijing mentioned the visit of the President of the Republic's diplomatic adviser, Bonnet, to China on the occasion of the "strategic dialogue", and the French government also remained silent.
In the context of the economic downturn, China is using France to continue to advance its pawn in Africa?
"Under the innovative model of third market cooperation, Chinese companies and their partners can participate in joint development projects in third countries under the Belt and Road Initiative," said Liu, a researcher at the China Institute of International Trade and Economic Cooperation, in an interesting comment, as the West criticized China for reserving contracts it co-financed within the framework of these partnerships to its own companies.
In the article, Mr. Liu also suggested that “in order for Chinese companies to better understand local rules, the government should establish an effective investment dispute settlement mechanism. ”
The expert acknowledged that disputes are arising and that China has yet to find a satisfactory solution.
As its economic growth begins to slow, China certainly cannot afford to let the debt trap end up on its own.
Thus, its cooperation with France has enabled it to push its pawn further to Africa.
Advantages of Sino-French Cooperation
According to Reuters, France is the first country to establish a third-party market intergovernmental cooperation mechanism with China.
The third party market cooperation between China and France is enterprise-oriented and market-oriented, abides by the laws and policies of the host country, conforms to the development priorities of relevant national plans, and adheres to mutual benefit, consensus, market rules and fair competition based on economic feasibility, social and environmental sustainability.
From the comparative advantages of the two sides, French enterprises have unique advantages in advanced manufacturing, environmental protection and engineering construction, and Chinese enterprises have accumulated rich experience in infrastructure construction, energy, equipment manufacturing and the Internet.
Enterprises of the two sides have their own advantages and strong complementarity, and there is great potential for third-party market cooperation.
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India has increased its investment in Africa, where 1.3 million people of Indian descent control 60% of East Africa's economy, and has opened 18 new diplomatic missions.

Title:

Content: Japan, Korea and India experience to expand Africa, Taiwan and Africa entrepreneurs association
The “Taiwan-Africa Entrepreneurs Association ”, commissioned by the International Trade Bureau of the Ministry of Economic Affairs, attracted more than 130 enterprises interested in exploring the African market. The exhibition and consultation desk at the representative office showed that our company's desire to expand the African market is very hot.
The theme of the event was “The Key to Success for Foreign Investors (Japan, Korea and India) in Expanding Africa ”. The event was addressed by Wang Ximeng, Secretary General of the Foreign Trade Association, Liu William, Deputy Director of the Bureau of International Trade of the Ministry of Economic Affairs, Msibi, Ambassador of the Kingdom of Swaziland, and Chen Shu-fang, President of the Association of Taiwan Commerce. In addition, Hung Sheng Packaging General Manager Tang Jung-hung, Yi Ho Industrial General Manager Fu Yang-li, and Nam Wei Industrial Strategy Director Yang Wei-han analyze the development opportunities in Africa from their practical experience in the packaging, building materials, and textile industries.
Wang Ximeng, secretary general of the Foreign Trade Association, pointed out that in addition to the competition between Europe, America and China over the layout of the African continent, Japan, South Korea, India and other countries in Asia are committed to increasing investment and economic cooperation in Africa.
There are more than 1.3 million people of Indian descent in Africa, such as in East Africa, where more than 60% of the economic lifeline is controlled by Indians.
In addition, 18 of India's 25 newly established embassies and consulates are located in Africa, and India has become the fifth largest investor in Africa, while Japanese automobile manufacturers Toyota, Nissan, and electrical appliance giant Toshiba have already planted flags in Africa; South Korea's Hyundai, Samsung, LG and other large enterprises have also been stationed in Africa.
Through this event, we hope to help our business people to learn from foreign companies such as Japan, Korea and India, as well as African market leaders, and shorten the path to enter the African market.
Liu, deputy director of the International Trade Bureau, said that in recent years, the global economy has continued to be volatile due to changes in the international situation such as Sino-US trade frictions, global inflation, and the Russian-Ukrainian war, but Africa has shown great resilience during this period.
In addition, foreign direct investment in Africa reached US $45 billion in 2022, which has returned to the pre-epidemic level, indicating that confidence in investment in Africa has gradually recovered. In 2022, the total import and export value of Africa reached a new high in recent years, with imports reaching US $694.5 billion, up 14%, and exports reaching US $661.4 billion, up 19%. It is hoped that through the activities of the association, upstream and downstream companies in various industries can learn from each other and share their experiences, and work together to promote Taiwan-Africa economic and trade relations.
The event will be held in conjunction with AGOA, a major textile manufacturer in South China, and the representative offices of African embassies in Taiwan, Africa-related associations, and import and export banks providing trade and financial services. For more information, please visit africa.taiwantrade.com for more information.

Which Asian countries are investing in Africa?

Which countries are actively investing in Africa besides China?

India
Europe, U.S. Japan, South Korea, India

Japanese and South Korean companies like Toyota, Nissan, Toshiba, Hyundai, Samsung, and LG have made significant investments in Africa.

Which countries are actively investing in Africa besides China?

Japan
Europe, U.S. Japan, South Korea, India

Which sectors received the most foreign investment?

The African Development Bank has committed $5 million to new energy projects, with the continent owning 45% of the world's renewable energy.

Title:

Content: ECONOMY
Mulla: International partnerships in Africa will enable technology transfer and connect local partners
Thank you for reading the news about Al Mulla: International partnerships in Africa will enable technology transfer and connect local partners.
Minister of Petroleum and Mineral Resources Tarek El-Molla said that talking about the exploitation of energy in the African continent should include energy of all kinds and integration, especially as the African continent has various natural resources that can be exploited to diversify the appropriate energy mix that meets the needs of the continent's peoples while reducing emissions.
This came during the session “Moving Forward in Support of Low-Carbon Development Pathways in Africa and Developing Countries ” during the Day of Decarbonization at the Cop27 Climate Summit.
With regard to the development of the energy sector in African countries, the minister pointed to the Egyptian experience in transforming the challenges of the energy sector over 7 years into success stories based on the state ’ s provision of the appropriate investment climate to attract new investments and build confidence in investment in Egypt with international partners, which led to balanced partnerships with international energy partners.
He added that international partnerships in Africa will allow the transfer of technology and link local partners to it, stressing the importance of building a good work system in all fields such as oil, gas, electricity and renewable energy.
He pointed to the importance of African countries providing incentives to partners because some policies do not include the necessary incentives to attract investments and we must attract them to our countries and allow the participation of the private sector, Al-Mulla concluded that there are great challenges but we have the advantages in Africa to build our future through cooperation and partnership to prosper the continent.
African Development Bank President Akinwumi Adesina praised the Egyptian effort in organizing the conference, pointing out that the African Bank is committed to providing $5 million in new and renewable energy projects where Africa owns 45% of the renewable energy in the world, which makes it eligible to establish giant solar energy projects. He cited the experience of Kenya, where we managed to attract large investments of up to 21 billion dollars in the field of energy, whether oil, gas or new and renewable energy in a short time because we paved the way and worked to change policies and renewable energy represents 85% of the investments in the field of energy and we also use natural gas.
Egyptian industries are promising industries that can catch up with China, but they need to increase funding and encourage investment, and we should focus on the African market in directing industrial activities to achieve the best use of natural resources, especially relying on clean energy.
Helmet von Stroff, CEO of Siemens Middle East, said that this year ’ s conference provided an opportunity to discuss challenges and opportunities towards decarbonization and finding sustainable solutions, stressing the importance of supporting African countries towards a low-carbon economy and providing the necessary technical support, especially for developing countries.
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Kenya has attracted $21 billion in energy investments, mostly in renewables, while Egypt has launched initiatives like the Novi program to finance green projects.

Title:

Content: Egyptian News
Al-Mashat: Launch of Novi program to finance green projects
JEDDAH - Minister of International Cooperation discusses opportunities for cooperation between the government and the Charter of the United Nations and the promotion of private sector investments
She pointed out that Egypt has identified a list of mitigation and adaptation projects to climate change that have been launched under the name of "Nofey" program to finance the list of green government projects in the fields of energy, food and water.
This came during her meeting with the Assistant Secretary-General of the United Nations Global Compact (ASG-UNCG), Sanda Ojiambo, to discuss opportunities for joint cooperation between the government and the UN Global Compact, promote private sector investments, cooperation in light of the UN General Assembly meetings in September, as well as strengthening South-South cooperation and the role of the UN Global Compact in promoting the issuance of blue bonds.
She pointed out that the program will be a model to be followed at the regional and international levels, with the aim of supporting global efforts to accelerate the pace of the transition to a green economy, build flexible and sustainable economic models, enhance climate finance, open the horizons of private investment to participate in the implementation of adaptation and mitigation projects, implement the Sustainable Development Goals, and stimulate the transition to a green economy.
Al-Mashat added that the Ministry of International Cooperation, as responsible for coordinating joint cooperation with the United Nations, launched consultation rounds with national authorities in May 2021 on the preparation of the new strategic partnership framework between the Egyptian government and the United Nations in Egypt for the period 2023-2027, with the participation of more than 50 representatives of 30 government entities and 28 UN agencies. The research aims to develop the strategic framework of the Partnership for Sustainable Development, which aims to implement five main axes: enhancing investment in human capital, supporting inclusive and sustainable economic development, environmental sustainability, transparency and governance, and empowering women.
The UN Global Compact has a vital role to play in the implementation of SDG 17 on partnerships to achieve the Goals, and by exploring opportunities for joint cooperation, we can seek the best ways to enhance investments from the private sector and international companies, promote innovative mechanisms to support development efforts, and enhance access to African markets, in line with the National Development Vision 2030 and the UN Sustainable Development Goals.
In another context, Al-Mashat discussed with the UN official ways of cooperation and coordination within the framework of Egypt ’ s presidency of the UN Climate Conference COP27, Egypt ’ s aim to enhance cooperation with all parties in order to push global commitments towards climate action, and support Africa ’ s efforts in particular on climate action.
For her part, the Assistant Secretary-General of the United Nations Global Compact stressed the keenness to strengthen cooperation with Egypt in hosting the COP27 climate conference, in light of the importance of the conference at the regional and international levels, and praised the launch of the "Nofey" program to finance green projects in the energy, water and food sectors.
The Global Compact is a leading platform, launched in 2000, for the development, implementation and disclosure of responsible and sustainable corporate policies and practices. Companies that adopt the initiative are committed to aligning their operations and strategies according to ten universally accepted principles in the fields of human rights, labor, environment and anti-corruption.
It is worth mentioning that Egypt will host the 27th session of the Conference of the Parties to the United Nations Framework Convention on Climate Change (COP27) during the period from 7 to 18 November 2022, which will be held in Sharm el-Sheikh, and represents an important opportunity to consider the effects of climate change in Africa.
We presented to you our esteemed visitors the most important details about the news of Mashat: the launch of the program « Novi » to finance green projects on the Gulf Dot in this article and we hope to provide you with all the details clearly and more credibility and transparency and if you want to follow more news you can subscribe with us for free through our system alerts on your browser or by joining the mailing list and we are looking forward to provide you with all what is new.
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What trends are emerging for African startups in 2022?

What trends are emerging for African startups in 2022?

The AfCFTA agreement aims to integrate the African continent by promoting trade, economic diversification, and removing barriers on 90% of exchanged goods.

Title:

Content: A study by Trends looks into the future of cooperation under the African Continental Free Trade Area Agreement
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The agreement is one of the flagship projects of the African Union Agenda 2063, as well as one of the long-term vision projects of the Union, which aims to make the African continent integrated, prosperous, secure and integrated, through which it is betting on enhancing trade and economic relations between African countries.
The report is titled “African Continental Free Trade Area ”.
The AfCFTA agreement is one of the most important achievements at the level of joint African action because of its pioneering integration projects, as it commits the governments of the member countries of the agreement to take further economic integration measures, as the signatory countries begin the process of removing trade barriers, including tariffs on 90% of the goods exchanged.
Promotion of regional trade
She pointed out that the AfCFTA agreement allows the promotion of regional trade and economic diversification through building manufacturing capacity in order to attract African and foreign investments, stressing the importance of member states entering into joint projects and coordinating development plans so that projects and industries are distributed among them, in a way that ensures each country gets a fair share of the benefits of African economic cooperation.
The study stressed the need to enter the African continent as a bloc when it comes to external partnerships (outside Africa), such as the partnership between Africa and China, which has so far achieved tremendous achievements, especially after the establishment of the Africa-China Cooperation Forum, whether in enhancing trade exchanges, increasing direct investment flows, diversifying and increasing finance. It is the biggest obstacle to intra-African exchanges, either within the framework of intra-African partnerships or with the support of other parties, such as the African Development Bank or the Islamic Development Bank.
Industrial Road Map
The recent economic study recommended the development of an industrial road map to build a platform for cooperation between the public and private sectors in Africa, in a way that identifies the location of companies from the two sectors in the tribal and remote activities of each sector, in order to identify the missing or weak links in each chain, and work to strengthen them within the framework of integrated national and African policies. goods and money between African countries.
Entering new markets
The African Continental Free Trade Area (AfCFTA), in line with the strategic objectives of Agenda 2063, is expected to contribute to the eradication of poverty, positively impact the lives of citizens, and thus achieve the welfare of society, provided that the member countries of the agreement exert more efforts to promote intra-African trade, both at the level of national regulations and laws, and at the level of infrastructure. customers and leads to the creation or creation of new products and services, making investment in creative fields and innovative projects possible.
The success of the African Continental Free Trade Area will strengthen this sector and reduce the gap between large and small companies, as the manufacturing sector leads small and medium enterprises to create more jobs. Costs of raw materials, and therefore lower production costs.
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African partnerships with foreign companies have led to technology transfer, job creation, and sustainable development, increasing access to new markets and customers.

Title:

Content: Partnership will work best with shared goal for growth and development

By Morkporkpor Anku

Accra, Aug. 25, GNA – Professor Hugh Aryee, the Vanuatu Trade Commissioner to Ghana, said any partnership, either big or small, will work best when there is a shared goal for growth and development.

He said developing value-aligned partnerships that focus on common goals and complementary strengths was key to ensuring successful outcomes for all.

The Vanuatu Trade Commissioner was speaking at the Vanuatu-Dr Congo-Ghana Global Business Fair 2023 dubbed “VACONGHA 2023” in Accra.

VACONGHA GLOBAL BUSINESS FAIR 2023 is an African-Global B2B Multi-Sectoral event that focuses on generating awareness of trade and investment opportunities in the global economy with special focus on Ghana, Vanuatu, DR Congo, and the Pacific economy.

It is to build a strong and sustainable partnership between key stakeholders by capitalizing on the ongoing initiatives by AU/AfCFTA for increased cooperation.

The Fair was aimed at improving knowledge transfer, identifying relevant investors, business partners and trade opportunities in the areas not limited to Energy, Power, Mining, Oil and Gas, Agribusiness, Manufacturing and General Trade.

The event was on the theme: “The Emergence of the Next Generation of African Entrepreneurs through Strategic Collaboration.”

He said working collaboratively with partners generated the kind of energy that fuels growth, innovation, and creativity.

“Everything is possible, and I believe that, and not everything is easy, or happens right away,” he said.

He said nothing good happened without teamwork, and collaboration guided by both capability and character, but when people collaborate well, guided by a worthy purpose, everything is possible.

The Trade Commissioner said harnessing the strengths and abilities of others from different corners of the ecosystem was one of the most strategic ways for businesses to scale their innovation and solve complex challenges.

“In today’s fast-paced environment, a “do-it-alone” approach is not the best strategy for growth,” he added.

He said companies needed to look for new ways to drive collaborative innovations that deliver what their customers need currently and in the future.

The Trade Commissioner said the reality of today’s business landscape was that partnerships were key to better serving customers by merging talent, expertise, technology, and purpose.

“Collaboration and strategic partnerships are fundamental to improving business outcomes,” he said.

The fair was on the theme: “The Emergence of the Next Generation of African Entrepreneurs, through Strategic collaborations.”

Dr Farzam Kamalabadi, Chairman & President Future Trends Group, said the rise of Africa, based on the vision of Future Trends, would be holistically on all levels.

This will include material, financial, mental, and psychological levels, and in a model and manner that was non-threatening.

He said the emergence of an Africa which was neither threatening nor threatened, rather in a state of perfect reciprocity, balanced union, and perpetual harmony internally and with the rest of the world.

“The geopolitics of Africa, can, must, and will move Africa into stability and order via these vortices of growth,” he added.

He said the rise of Africa would become possible and turn into reality only after the full universal restoration and gain of a supreme sense of mission and destiny, and the realization of self-belief, self-esteem, and dignity by all nations of Africa.

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What are the outcomes of increased agricultural investments in Africa?

Foreign investment in Africa can drive economic growth and development, but requires careful planning and collaboration among governments, investors, and stakeholders.

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Relationship reboot: EU-AU summit ends on positive note despite vaccine difference

Copyright  euronews
By Euronews

After two days of intense discussions, the summit between the European Union and the African union ended on a positive note. Leaders spoke of a renewed partnership, and major investments were announced. But questions remain as to the actual impact this summit will have for the people of both continents.

"A new state of mind"

A joint vision for 2030 based on mutual respect and equality. That was one of the key goals of the 70 diplomatic delegations that had gathered in Brussels. For the African Union, this required a fundamental shift in the relationship between Africa and Europe.

Senegal's president Macky Sall said: "We need to bring a new state of mind to euro-African ties, based on a true vision of partnership, and not just on a relationship based on aid."

Sharing that ambition, the President of the European Commission Ursula von der Leyen announced a major investment for Africa over the next 7 years.

"The first regional plan under our big investment strategy global gateway is the Africa-Europe plan with more than 150 billion euros of investment."

How these funds will be mobilised is still unclear, but the EU says they will help finance the green transition, jobs and education.

Africa's digital economy

Another major area of investment is the digital sector. With only 25% of the African population connected to the internet, many governments, including the Democratic Republic of Congo, say they are already tackling the obstacles that stand in the way of a digital economy.

Explaining the scale of the current challenge, DRC Minister for digital economy Désiré Cashmir Eberande Kolongele told Euronews: "We have a problem, we must absolutely regulate digital activity on the continent. That means having clear rules that specify conditions of access. The second problem is a problem regarding content. We need to make sure that the applications that will be developed in the digital sector answer to people’s needs.

To achieve this digital future, the DRC plans to cooperate on an international tax on tech giants, and establish fair trade practices with its partners. Others at the summit urged Europe to tap into Africa's huge potential.

"There is a lot of human capital, young people living there, female entrepreneurs, the strength of women in the African economy when it comes to innovation and technology. And the EU should be the trading partner for the continent," said Dutch MEP, Samira Rafaela.

...we need farmers, small and big, who use modern means and methods to reinforce their productivity.

In Brussels, the finance minister of the DRC signed an agreement with a consulting firm and the French development agency. Under this deal, 600.000 euros will be allocated to the elaboration of a national plan for the development of digital infrastructures.

And the Congolese government was clear, digital transformation will be key to modernising the DRC’s economy, especially in fields like agriculture.

"The ambition of the government is to make sure that agriculture and the agro-industry take back their place and to do that we need farmers, small and big, who use modern means and methods to strengthen their productivity," said Nicolas Kazadi, DRC Finance Minister.

While building sustainable agri-food systems is a source of concern in many parts of Africa, another pressing issue, deeply interconnected with that, is climate change.

And with its rich ecosystem, DRC's prime minister Jean-Michel Sama Lukonde was adamant his country could take a leading role in this global fight.

"We know that we have the potential, at least in terms of our environment, which can be an answer to these threats and maintain global warming to 1.5 degrees."

COVID-19 solidarity

While Europe and Africa agreed on the need to fight global warming together, another important topic yet to find common ground was better cooperation to beat the pandemic. Only 11% of the African population is fully vaccinated against the virus.

African leaders have accused Europeans of hoarding vaccine doses. But the main point of contention was the EU’s refusal to lift intellectual property rights on vaccines and other products.

South Africa's president Cyril Ramaphosa was stinging in his criticism of that position.

"We are talking about the lives of millions, hundreds of millions of people, rather than the profitability of a few companies," he said.

In spite of the current divide, the leaders of both continents said they would continue working together in the coming months to find a solution on COVID vaccines. And despite those differences, the delegations left the summit satisfied and committed to a better partnership.