Africabeat

Chinese Bank Buys into South Africa's Standard Bank

Industrial and Commercial Bank of China Acquires Stake in South Africa's Standard Bank

• Industrial and Commercial Bank of China, the most valuable bank in the world, bought 20% of South Africa's Standard Bank for 36.7 billion rand ($5.5 billion)
• largest foreign investment by a Chinese bank--ever
• largest foreign-direct investment of any country in South Africa--ever
• Plan to create a common $500m fund to invest in oil and mining

Almost everything that happens in China these days is the largest thing ever.  Reason for caution; moment of opportunity.

Read all about it in the Economist

The brouhaha over the Bono article

I'll stand up and shout when I think people are dead wrong or heading in a dangerous direction, but I'm generally the girl who sits back, listens and when she speaks tries to do so with conviction but hopes she won't rock the boat too much.  The flurry of blog posts, digg, newsvine and reddit comments, del.cio.us bookmarks, and personal emails (both laudatory and critical) since the article on aid/Bono/TED was (finally) published a few days ago has taken me by complete surprise. 

I am really glad that so many people are debating these issues.  And if I've been able to spark interest and get people talking about TED, aid, entrepreneurship, and the media's portrayal of Africa in a meaningful way, even if it meant being uncharacteristically polemic, then I am happy for it.

But a few clarifications:

1) Yes I've been to Africa and no I don't think all African children carry AK-47s - A few lazy readers have suggested I go to Africa and see for myself  how wrong I am to take a few exceptional examples of African dysfunction to generalize for the entire continent. 

Putting aside the fact that I had to be in Africa in order to have attended a conference in Arusha, I've been to seven African countries and in none of them have I seen an AK-47-toting child, people dying of famine or war, or any of the other completely ludicrous stereotypes that form the opening paragraph of the article.

Africans to Bono: “For God’s sake please stop!”

This article originally appeared on this blog and has since been published at American.com.  It differs slightly from the original version.

It's time to let Africa imagine its own future.

Arusha, Tanzania–Africa is a continent of despair and desperation. Here, eight year-olds toting AK-47s massacre whole villages and eccentric dictators feast on the organs of the opposition, believing it'll boost their mojo. Tsetse flies nibble on the eyelids of starving children who sport distended bellies like it's their birthright, not to mention the fact that by the time you finish reading this article, another six Africans will die from malaria, five from AIDS, and seventeen from poverty and hunger. Also, the wildlife is beautiful and the people like to dance and sing.

That's Africa, and it's in desperate need of our help. Luckily, a few enlightened megastars from America and Europe have come to save it.

Continue reading "Africans to Bono: 'For God's sake please stop!'"

Image credit: Photo by Flickr user advencap

Uganda: African Governments Should Study Communist China

From an opinion piece from the Ugandan newspaper New Vision:

Due to Africa's lack of understanding of the character and real intentions of China, its relationship with the emerging Asian giant remains largely unbalanced and unfavourable to the interests of the African people

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Uganda: African Governments Should Study Communist China

Dr. Kiggundu Amin Tamale
Kampala

MUCH has been- written about China's burgeoning global influence and pervasiveness as well as its seemingly insatiable desire to establish and maintain strong economic ties with several African countries. Some top-notch analysts have also described Beijing as a new Mecca for global trotting- cap in hand African leaders.

However, before declaring China as a close and dependable friend, African policymakers need to ask themselves one important and valid question, that is, does Africa understand communist China well? If the answer is no, then, Africans need to find a way of understanding this hitherto insular emerging Asian economic giant.

Continue reading this piece on allAfrica.com

Uganda: India-Africa trade

(I am kicking myself for missing this since I happen to be in Kampala now):

KAMPALA, June 29 (Reuters) - Ugandan President Yoweri Museveni called on rich and middle-income nations on Friday to stop wasting Africa's time with aid pledges and instead open their markets to African products.

Fair trade campaigners say rich nations such as the United States and European Union countries give aid with one hand whilst refusing to cut subsidies and tariffs with the other, making it impossible for poor countries to compete. "The Europeans waste a lot of our time coming here talking about aid," he said. "We told them: if you talk about aid, I go to sleep. What we need is market access -- open your markets to our products." Billions of dollars of aid pumped into Africa in the past 30 years has sparked debate over whether money was wasted.

Museveni was speaking at a meeting on India-Africa trade in Kampala, hosting delegates from African countries and 30 Indian multinationals investing on the continent.

Read more at Reuters AlertNet

Can China offer Africa an alternative path for development?

Jeffrey Sachs criticizes the "extreme free-market ideology of structural adjustment" promoted by the IMF and the World Bank while praising Chinese investment in Africa.  Here's why he is both right and incredibly wrong.

Jeffrey Sachs's editorial at the Guardian's Comment is Free, "China's lessons for the World Bank," touches on recurrent themes of the China-Africa story: the hypocrisy of Western criticism and China as a viable alternative model.

Sachs attended the African Development Bank meeting in Shanghai a few weeks ago, and from his participation in high level meetings observe,s "The advice that the African leaders received from their Chinese counterparts was sound, and much more practical than what they typically get from the World Bank."