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South African president Cyril Ramaphosa flew off from Waterkloof air base near Johannesburg to take up the reins of the African Union. He is on the way to Addis Ababa to take up the chair of the AU on behalf of South Africa. CNBC Africa&#8217;s Kopano Gumbi filed this report.

AU Summit 2020: Ramaphosa on assuming the AU Chairmanship & what it means for SA

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The second day of the African Union is underway and CNBC Africa&#8217;s Godfrey Mutizwa asked South African Minister of International and Cooperation, Naledi Pandor, about key issues that have been addressed so far and what agenda South Africa is bringing to the African Union as chair.

AU Summit 2020: Addressing conflicts on the continent key to achieving Agenda 2063 goals – Naledi Pandoor

AU Summit 2020: Addressing conflicts on the continent key to achieving Agenda 2063 goals – Naledi Pandor

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Director of Macroeconomic Forecasting and Research at African Development Bank (AfDB), Hanan Morsy says Africa is the least efficient in spending on education despite the very strong commitment of African governments. CNBC Africa&#8217;s Godfrey Mutizwa caught up with her on the side-lines of the Africa Union Summit for more.

AU Summit 2020: “By enhancing efficiency

AU Summit 2020: “By enhancing efficiency, Africa can reach universal primary education” – AfDB’s Hanan Morsy

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Ahead of the 33rd Ordinary Session of the Assembly of the African Union Commission Summit in Addis Ababa, CNBC Africa’s Godfrey Mutizwa spoke to Dr. Hippolyte Fofack, Chief Economist and Director, Research and International Cooperation at Afreximbank on why Africa should speak with one voice on trade as a way to consolidate its bargaining power on the global stage.

AU Summit 2020: Afreximbank: Why Africa should speak with one voice on trade

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As the 33rd African Union Summit is underway in Addis Ababa, Ethiopia, CNBC Africa’s Godfrey Mutizwa spoke to Secretary General of the African Development Bank Group, Vincent Nmehielle for more.

AU Summit 2020: AfDB’s Vincent Nmehielle on measures to drive inclusive economic growth in Africa

By Ngozi Okonjo-Iweala, former Finance Minister of Nigeria and Co-Chair of the Global Commission on the Economy and Climate



As African heads of State convene at the African Union (AU) Summit, they will discuss the AU 2020 theme: “silencing the guns”. Conflict and instability still present serious challenges across the continent, hindering development and perpetuating poverty. 



2020 is also a critical year for climate action when countries are urged to enhance the ambition of their climate commitments. Current commitments <a href="https://www.unenvironment.org/resources/emissions-gap-report-2019">fall short</a> of the Paris Agreement target to limit temperature rise to levels that will avoid the most adverse impacts of climate change. 



Stepping up climate ambition matters particularly for Africa. While African countries have not created the climate crisis, they are some of those that are most vulnerable to climate impacts. Over 3 million people were severely affected by <a href="https://www.mercycorps.org/articles/cyclone-idai-quick-facts">Cyclone Idai</a> last March, which destroyed as much as half of Mozambique’s annual crops and critical infrastructure. By 2050, climate change could force more than <a href="https://openknowledge.worldbank.org/handle/10986/29461">86 million people</a> to move across countries in sub-Saharan Africa.  



Rising conflict, political instability and the climate crisis are inextricably linked. Conflict happens for many reasons, but water insecurity, and its <a href="https://www.wri.org/blog/2019/11/water-could-limit-our-ability-feed-world-these-9-graphics-explain-why">subsequent impact on land resources</a>, is often a factor. In 2017, water played a major role in conflict in <a href="https://www.humanitarianresponse.info/sites/www.humanitarianresponse.info/files/documents/files/whdt2018_web_final_singles.pdf">at least 45 countries</a>, particularly in North Africa and the Middle East. As climate change increases the risk of drought, in Africa &#8211; where <a href="https://www.afro.who.int/health-topics/water">one in every three people</a> already face water scarcity &#8211; the stakes are increasing too. 



The connection between instability and climate change is not limited to Africa. More than 7 million people in 185 countries <a href="https://www.wri.org/blog/2019/10/climate-transitions-wont-happen-without-social-justice-and-greater-democracy">participated in climate protests last </a>September to demand that their governments step up climate action. But there is also resistance to climate policies that don’t put people first. Social unrest in France, Chile, Ecuador and elsewhere in 2019 demonstrated that to be acceptable, fuel and energy price reforms and climate policies must deliver clear benefits to people and in particular vulnerable communities. 



I myself saw this first-hand when, as Finance Minister, our Government led a reform of costly fossil fuel subsidies in Nigeria. Fortunately, we have a mounting body of evidence that shows that a people-centred approach to climate action is possible.  



<a href="https://www.wri.org/news/people-centered-climate-action">People-centred climate action</a> aims to unlock social and economic benefits, target these benefits to further equity and ensure a just transition away from a high-carbon economy. This can include measures such as restoring ecosystems in ways that also raise rural incomes, reduce emissions, and build resilience; or using revenues from carbon pricing to better target support to low- and middle-income households. For example, using these savings or revenues to invest in <a href="https://www.wri.org/blog/2019/10/climate-change-hurting-africa-s-water-sector-investing-water-can-pay">secure clean water and sanitation services</a> for the poorest in Africa can help achieve key development goals.



Identifying opportunities where African countries
can&nbsp;lead on climate action whilst&nbsp;achieving&nbsp;both development and
climate targets&nbsp;is critical to deliver social benefits.&nbsp;Recent
research shows that&nbsp;Ethiopia,&nbsp;host country of the AU
Summit,&nbsp;can&nbsp;create jobs, ensure national food security and surpass
its milestone of becoming a middle-income country, all while establishing a solid&nbsp;foundation
for a new climate economy. Launched in January, the&nbsp;<a href="https://ethiopianmonitor.com/2020/01/08/a-new-nature-based-food-and-land-use-economy/">Food and
Land&nbsp;Use Coalition’s Action Agenda for a New Food and Land Use Economy</a>&nbsp;highlights&nbsp;crucial&nbsp;entry
points of action&nbsp;that will deliver multiple benefits for&nbsp;sustainable
development.&nbsp;



These benefits include improving incomes of more than
700,000 smallholder&nbsp;farmers&nbsp;transitioning to commercial crop
production, increasing agricultural GDP by $362 million from dairy and
poultry&nbsp;commercialisation, overcoming rural financing gaps,&nbsp;and
increasing the value of credit-constrained smallholder producers by up to 60%
per hectare.&nbsp;Such&nbsp;findings provide a powerful example for Africa,
where investments to help poor smallholder farmers adapt to climate
change&nbsp;could significantly increase incomes and slash poverty&nbsp;to
boost resilience.&nbsp;



People-centred climate action is already happening in parts of Africa. Distributed renewable energy systems, for example, are quickly creating new opportunities for energy access and gender parity. In Ghana, the availability of solar mini-grids boosted women’s entrepreneurship by 29% and increased<a href="https://medium.com/power-africa/solar-mini-grids-boost-womens-entrepreneurship-8479e4c1f8f8"> their incomes by eleven times</a>. In the land-use sector, the Kenya-based <a href="https://www.greenbeltmovement.org/who-we-are">Green Belt Movement</a> has planted millions of trees on degraded land with explicit goals to improve rural women’s livelihoods, responding to their need for water, food, firewood and increased incomes. 



Many African leaders are well versed in the sustainable development opportunities that lie in tackling climate change. Many can also see how their people and their political fortunes will benefit from leadership on this issue. That’s one reason why <a href="https://www.climatewatchdata.org/2020-ndc-tracker">47 African countries</a>, have already indicated their intent to enhance or update their climate commitments in 2020, showing their leadership to implement the Paris Agreement. 



2020 provides a unique opportunity for African leaders to simultaneously address the risks of political instability, pressing development needs, and the impacts of climate change. This process clearly can – and must – target social and economic benefits to enhance equity and improve the livelihoods of the poor. Africa can lead with a people-centered approach that can propel sustainable development in ways that improve millions of people’s lives.

Urbanisation_shutterstock

Op-Ed: Now is the time to put climate change on the African Union’s agenda: Ngozi Okonjo-Iweala

Godfrey Mutizwa, CNBC Africa 



African leaders are increasingly encouraging
their private sectors to play a more central role in shaping their key African
Mining Vision (AMV) blueprint after largely freezing them out in its first
decade.



African Union (AU) heads of state adopted
the AMV in 2009 as a driver for structural transformation, industrialisation
and a &nbsp;driver of growth after years of
nationally centered policies that failed to help them realise the goal of
creating regional value chains and an economically integrated Africa.



&#8220;The biggest shortcoming of the AMV was that the private sector was not embraced at the beginning,’’ Veston Malango, the Chief Executive of the Chamber of Mines of Namibia told a panel discussion reviewing 10 years of the AMV in Accra, Ghana. &#8220;The CEOs were not aware of AMV but now we are very much involved.’’



The AU has been driving the AMV through its
African Minerals Development Centre (AMDC) since 2013, seeking to help
countries adjust to changing technologies and linkages between mining and other
sectors of the economy, reform their fiscal and tax regimes and improve governance.
The AMDC developed a mining guide for countries for domesticating the AMV and
aligning it with other countries.



But many have been struggling, Mutuso
Dhliwayo, Executive Director of the Zimbabwe Environmental Lawyers Association
told the panel. 



He presented a case study of Lesotho,
Malawi and Sierra Leone which showed Lesotho and Sierra Leone only marrying
their mining policies to the AMV from 2015 when the vision was agreed in 2009.
The AU says just 34 of its 54 member countries have &#8220;attempted some level
domestication of AMV.’’



The AU wants to revamp the AMV as part of a
strategy to drive the African Continental Free Trade (AFCTA) which was launched
last year seeking to create a consumer market valued at more than $3 trillion
for Africa’s of 1.3 billion people while also dealing with technological
changes in mining.



Kojo Busia, Chief of the United Nations
Economic Community for Africa’s Natural Resources Management, said some of the
key lessons of the past decade was the need to integrate mining within the
broader economy and for the intensification of the drive to create regional
mining linkages especially in infrastructure.



&#8220;The potential for regional value chains can only be realised through regional growth especially for industries like manufacturing,’’ he said. &#8220;Otherwise it becomes a race to the bottom.’’ 



The meeting, which ends on Friday, is also
discussing ways to curb illicit financial flows from the mining industry and
helping countries negotiate contracts with large multinational companies as
part of building sustainable resource management frameworks.

African leaders open door for companies to drive mining vision

By Godfrey Mutizwa, CNBC Africa anchor 



Africa, home to the world’s largest
deposits of precious and industrial metals, needs new mining models to
equitably share its mineral wealth while industrialising.



Paul Jourdan of Mining Equipment
Manufacturers of South Africa and a policy analyst, said current models left
Africa with little to show for its resources, citing the example of the
Democratic Republic of the Congo which he said realised about three percent of
the value generated by its mineral exports.



&#8220;The focus should be on the minerals
that Africa requires for its development and not what the global economy
needs,’’ Jourdan told the African Union (AU)’s inaugural African Forum Mining
in Accra, Ghana. &#8220;The state’s obligation is to get the optimal value of the
assets on behalf of the people.’’



The forum is part of the AU’s strategy
to help African countries get more out of their mineral wealth through
beneficiation, strengthening the capacity of governments to negotiate with
multi-national companies and ensuring communities benefit from those resources
as outlined its decade-old African Mining Vision (AMV).



Working with the United Nations and pan
African institutions such as the African Development Bank, the AU has focused
on creating key mineral value chains and supporting governments in mining
policy reforms that will enable economic integration and industrialization as
part of its Agenda 2063 and enabling the recently launched African Continental
Free Trade Area (AFCTA).`



&#8220;The AMV seeks to encourage African countries to recognise the massive benefits to be garnered by mining countries if they look beyond the rents they now get from mining companies, and by setting in motion the huge linkages which exist at every level of extraction, to allow for maximisation of benefits,’’ Paul Msoma, Economic Affairs Officer, at the United Nations Economic Commission for Africa, said at the opening ceremony.



&#8220;It is a call to move beyond mere revenues collected as taxes, which are meager anyway, and move to a situation where whole industries are spawned to service the mining sector, creating jobs for more people all along the value chains, at the same time as issues of environmental protection, gender and youth inclusive development, community equity and artisanal and small-scale mining are taken care of.’’



The AU also seeks to better involve the private sector in its economic development plans like the AFCTA after realising mistakes of the past, said Antonio Pedro, UNECA Central Africa Regional Director. &#8220;It used to be a taboo for the AU to engage the private sector,’’ he said, suggesting earlier collaboration would have helped revolutionise skills development.

Africa needs new models to better share mining benefits

By <a href="https://theconversation.com/profiles/emma-elfversson-800607">Emma Elfversson</a>, <a href="http://theconversation.com/institutions/uppsala-university-1826">Uppsala University</a>; <a href="https://theconversation.com/profiles/paul-d-williams-439129">Paul D. Williams</a>, <a href="http://theconversation.com/institutions/george-washington-university-1262">George Washington University</a>, and <a href="https://theconversation.com/profiles/sara-lindberg-bromley-880383">Sara Lindberg Bromley</a>, <a href="http://theconversation.com/institutions/uppsala-university-1826">Uppsala University</a>

In an ever more urbanising world, peacekeepers will <a href="https://cpr.unu.edu/peacekeeping-in-cities-is-the-un-prepared.html">increasingly operate in cities</a>. In a <a href="https://www.tandfonline.com/doi/full/10.1080/23802014.2019.1678399">recent article</a>, we analysed how attacks against the African Union Mission in Somalia (AMISOM) affected the peacekeepers’ ability to operate in Mogadishu.

Cities host key logistical and political assets and institutions. They are frequently the object of fierce contestation among warring parties. Cities may also <a href="https://www.palgrave.com/gp/book/9783030280901">remain divided and insecure</a> long after formal peace agreements are signed, posing significant challenges to peaceful transitions.

Securing strategically important cities and protecting key institutions are thus <a href="https://cic.nyu.edu/publications/UN-Peacekeeping-in-Urban-Environments-The-Legacy-of-UNMIL">crucial tasks</a> for peace operations. However, operating in densely populated urban areas brings significant challenges.

For one, the density of cities makes it more difficult for peacekeepers to distinguish armed fighters from the civilian population. Militants with intimate knowledge of the city’s infrastructure may also counteract <a href="https://www.cambridge.org/core/journals/international-review-of-the-red-cross/article/future-war-in-cities-urbanizations-challenge-to-strategic-studies-in-the-21st-century/D1999E08103B58ECB46D25B9F42C049A">peacekeepers’ technological advantage</a>. The city’s symbolic and political importance often makes it a prime target for large-scale attacks which can be difficult for peacekeepers to anticipate and prevent.

<h2>Attacks on urban peacekeepers</h2>

Some peace operations deployed in cities have come under attack by forces opposed to their presence. Such attacks, in turn, affect peacekeepers’ ability to operate and sometimes have led to their withdrawal. In Kigali, Rwanda, the killing of ten Belgian peacekeepers posted to the <a href="https://www.hrw.org/reports/1999/rwanda/Geno15-8-01.htm">UN mission there</a> on 7 April 1994 led the country to withdraw its contingent. 

The <a href="https://peacekeeping.un.org/mission/past/unsom1backgr1.html">United Nations Operation in Somalia</a> was also forced to leave after the United States pulled out its troops. This was after the infamous <a href="https://www.smithsonianmag.com/history/legacy-black-hawk-down-180971000/">“Black Hawk Down”</a> battle in Mogadishu in October 1993. 

<a href="https://www.tandfonline.com/doi/full/10.1080/13533312.2018.1512858">Recent research</a> has shown such responses may be the exception rather than the rule. But attacks on peacekeepers may have other important effects for operational effectiveness.

In our article, we focus on the African mission in Somalia between 2007 and 2009, the mission’s first three years of operations. The <a href="https://global.oup.com/academic/product/fighting-for-peace-in-somalia-9780198724544?cc=se&amp;lang=en&amp;">mission</a> was deployed where there was little “peace to keep”. It quickly came under attack from al-Shabaab, the main armed group opposing Somalia’s Transitional Federal Government (TFG).

Using data from the <a href="https://doi.org/10.1177/0022343317735882">Peacemakers at Risk (PAR) dataset</a> we analysed patterns of violence involving the peacekeepers. An estimated 50 peacekeepers were killed in direct acts of violence in Mogadishu between 2007 and 2009. This affected AMISOM’s operations in several ways.

First, the insecure conditions in Mogadishu forced it to concentrate on its core military tasks – protecting the TFG and its own troops. Patrolling and civilian engagement were limited, which also reduced the mission’s access to intelligence.

Second, attacks on AMISOM significantly hampered its ability to deploy throughout the city. After securing a few key locations, the mission had to focus on protecting these sites. It was not able to spread out across the city for several years. The concentration to a few key locations was partly the result of delays in the deployment of troops and mission support. However, the fact that many states were <a href="https://www.tandfonline.com/doi/full/10.1080/17531055.2018.1418159">unwilling to contribute</a> was partly due to the violence targeting the mission.

Third, attacks on peacekeepers at times led to heavy-handed responses. This prolonged fighting where civilians were caught in the crossfire. In turn, such cases increased popular criticism of the mission and led to pressure on the mission to <a href="https://www.tandfonline.com/doi/full/10.1080/13523260.2017.1291564">reduce the levels of civilian harm</a>. 

Such instances also exemplify the challenges of peacekeeping in cities, as al-Shabaab often attacked from positions in civilian neighbourhoods.

<h2>Lessons from AMISOM’s experiences</h2>

These experiences illustrate the particular challenges that can result when peacekeepers face armed groups that know the urban terrain and rely on asymmetric tactics. These challenges appear to have hampered the implementation of some mandated tasks. These tasks included the wider stabilisation of the city of Mogadishu, promotion of dialogue, and the facilitation of humanitarian assistance. 

Instead, the mission had to act defensively, focusing on protecting the contested transitional government and the mission’s supply lines.

These problems were amplified by another factor. For the first three years of its operation, the African mission was under-resourced. Later, it gained more troops and additional external support. It was eventually able to drive al-Shabaab’s main forces <a href="https://www.bbc.com/news/world-africa-14430283">out of Mogadishu</a> in 2011.

In summary, our analysis indicates that al-Shabaab was able to exploit its knowledge of Mogadishu and the city’s density to attack mission positions. This restricted the mission’s ability to operate effectively. However, despite these challenges, troop contributing countries did not withdraw. Instead, these countries <a href="https://global.oup.com/academic/product/fighting-for-peace-in-somalia-9780198724544?cc=se&amp;lang=en&amp;am">added more troops</a> to the mission. This enabled AMISOM to prevent the overthrow of the Somali TFG, its core mission.

AMISOM’s experiences suggest that urban peace operations must be given sufficient resources from the outset – that is, personnel, equipment and relevant training. They must also invest in gaining detailed knowledge of the urban environment by engaging local populations. And they must prepare for spoilers to hide among the city’s civilians.

Many of the peacekeeping objectives associated with effective operations – such as extensive patrolling and <a href="https://journals.sagepub.com/doi/full/10.1177/0022343316682063">civilian engagement</a> – seem difficult to accomplish in urban contexts where peacekeepers themselves become the target of attacks. As peacekeeping continues to become more urban, these issues warrant further attention.<img loading="lazy" decoding="async" src="https://counter.theconversation.com/content/126524/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important; text-shadow: none !important" />

<a href="https://theconversation.com/profiles/emma-elfversson-800607">Emma Elfversson</a>, Post-doctoral Researcher, Department of Peace and Conflict Research, <a href="http://theconversation.com/institutions/uppsala-university-1826">Uppsala University</a>; <a href="https://theconversation.com/profiles/paul-d-williams-439129">Paul D. Williams</a>, Professor of International Affairs, <a href="http://theconversation.com/institutions/george-washington-university-1262">George Washington University</a>, and <a href="https://theconversation.com/profiles/sara-lindberg-bromley-880383">Sara Lindberg Bromley</a>, Post-doctoral researcher, Department of Peace and Conflict Research, <a href="http://theconversation.com/institutions/uppsala-university-1826">Uppsala University</a>

This article is republished from <a href="http://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/urban-peacekeeping-what-weve-learnt-from-aus-mission-in-somalia-126524">original article</a>.

What have we learnt from AU’s mission in Somalia on urban peacekeeping?

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In May this year, Africa made history as the agreement establishing the African Continental Free Trade Agreement (AfCFTA) entered into force with 54 out of the 55 member states of the African Union signing the agreement. The bigger task is implementation. Uganda had a meeting analysing both the benefits and costs for the move. Analyst, Charles Bwogi joins CNBC Africa for more.

Uganda holds discussions on AfCFTA: What is the way forward?

By Aya Chebbi – Human Rights Activist and African Union Youth Envoy



Commemorating World Poverty Eradication day presents an opportune
moment to reflect on the status of Africa’s journey of development as a means
for the continent to step out of poverty, and take its place as a global
superpower. It must be celebrated the fact that Africa has achieved positive
strides in reducing poverty and accomplishing the aspirations set out in Agenda
2063. 



Since 1990, poverty on the
continent has declined. According to the latest World Bank estimates, the share
of Africans who are poor fell from <a href="https://www.worldbank.org/en/region/afr/publication/poverty-rising-africa-poverty-report">56% in 1990 to 43%
in 2012</a>. However, during the same period, Africa’s population has continued to expand
rapidly.&nbsp; As a result, the number of the
continent’s population living in extreme poverty still increased by&nbsp;&nbsp; up to about 50 million people.&nbsp; These numbers are staggering. Further, it is projected
that the world’s<a href="https://ourworldindata.org/extreme-poverty-projections"> </a><a href="https://ourworldindata.org/extreme-poverty-projections">extreme</a><a href="https://ourworldindata.org/extreme-poverty-projections"> poor</a> will be
increasingly concentrated in Africa if present conditions remain the same. 



While 60% of the working age population in Africa are employed, many of the jobs are lacking in dignity, decent pay, security and social protection.  Young people are more affected by this as they constitute the majority  of the population, and also have fewer opportunities for jobs with dignity. . 



Adding to that, the continent is worst affected by food insecurity as
hunger, and malnutrition rises persistently across many&nbsp; sub-regions. This high rate of youth unemployment can make countries less stable and
prone to conflict. Put together, rising hunger and joblessness could mean that
Africa is nurturing a generation of economically deprived, hungry and angry
young people, who are vulnerable to become agents of conflicts and
violence,&nbsp; 



Therefore, Africa’s future and stability depends strongly on the
creation of a decent productive employment for its burgeoning youthful
population. Failure to generate sufficient jobs with dignity for young people
will increase migration and global security challenges. <a href="#_ftn1">[1]</a>



Africa has the
youngest population with a median <a href="https://www.weforum.org/agenda/2019/02/mapped-the-median-age-of-the-population-on-every-continent/">age of 18 compared to 42 in Europe, 31 in South America,
35 in North America and 31 in Asi</a><a href="https://www.weforum.org/agenda/2019/02/mapped-the-median-age-of-the-population-on-every-continent/">a</a>.&nbsp; It
is predicted that by 2050,&nbsp;African youth will account for a quarter of the
world’s population.&nbsp;Despite what many have referred to as a ‘demographic
dividend’, youth in Africa continue to be marginalized and evidence suggests
that this demographic dividend is not being harnessed.&nbsp;



Although the numbers
may look bleak, hope lies in the African youth! Africa’s journey to 2063 as a
prosperous continent can be achieved by harnessing the talent found in this
large pool of young innovative, motivated and change-makers. It is important to
empower them with the platform and tools they need to create the type of
development and change our continent deserves



The Africa Youth
Charter, adopted in 2006 by African Union member States, is the political and
legal framework which is intended to enshrine the rights, duties and freedoms
of African youth. Specifically, the Charter seeks to ensure the constructive
involvement of youth in the development agenda of Africa and their effective
participation in the debates and decision-making processes in the development
of the continent. The Charter sets a framework to enable policy makers to
mainstream youth issues in all development policies and programmes.&nbsp; It also provides a legal basis for ensuring
youth presence and participation in government structures and fora at national,
regional and continental levels.



However, despite
being signed by 43 member states of the African Union and ratified and
deposited by 39, there has not been a genuine commitment to it and little
uptake.&nbsp; In 2019, young Africans remain
conspicuously absent at decision-making tables. There is a lack of
representation of young people and especially young women, as the continent and
its key institutions continue to be governed by leaders who do not represent
the largely young populations they serve. This means current leaders are not
drawing on the large talent pool to help them co-create solutions to Africa’s
most pressing challenges, especially unemployment. From a sustainability
perspective, this can be considered dangerous.&nbsp;
Young Africans do not understand the systems and institutions that
define their future.&nbsp; How then will they inherit structures and processes
that they do not understand? 



This World Poverty
Day, is important for African Union member states and policymakers to recommit
to bringing in more young people into the various structures and institutions
that determine the future of the continent.&nbsp;
Young people don’t just want to be seen. They want to be heard.
&nbsp;They dont’ just to be led, they want to lead and contribute to their
countries.&nbsp; 



How can they
contribute if the spaces and platforms are closed and excluding them? Opening
these spaces and earnestly implementing the African Youth Charter that many
African Union member States signed, would be a good start!



Furthermore, it
must be noted that the future of work in
Africa relies heavily on agriculture and food system development especially because the majority of youth- about
63%&nbsp; live and work in rural areas, mostly
engaged in agricultural related activities. Therefore, agriculture&nbsp; remains an important source of employment and
income in&nbsp; Africa, for the next
decades.&nbsp; Currently, the level of youth
engagement in this sector is, at best, just for survival and these young
workers&nbsp; are not at the table to
co-create the necessary solutions that would make this sector more attractive
and viable for youth.



Moving forward, we
need to ensure that African youth are, in fact, the demographic dividend,.&nbsp;&nbsp; The inaction of our leaders could be a path
to famine and a decline in our prospects for development as a continent.&nbsp;&nbsp; In the hands of this generation of
youth&nbsp; lies&nbsp; our hope to see the realization of the Africa
we want . For Africa to rid itself from the shackles of poverty, our leaders
must&nbsp; include youth at the table, not
just as spectators, but as co-innovators and co-leaders. Let&#8217;s shake things up! 



<hr class="wp-block-separator"/>



<a href="#_ftnref1">[1]</a> Failure to generate sufficient
formal-sector jobs for young people will increase migration and global security
challenges. , pg 18

Op-Ed: World Poverty Day: An opportunity to reimagine the future of African youth

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On the side lines of the Africa Food Security Leadership Dialogue (AFSLD), CNBC Africa&#8217;s Zwena Bachoo caught up with Commissioner for Rural Economy and Agriculture for the African Union Commission, Josefa Sacko to talk about the organization&#8217;s mandate of supporting and implementing major food security programs in the continent to eliminate hunger and malnutrition.

How the Africa Food Security Leadership Dialogue plans to end hunger across the continent

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 Parliament House of Ghana.
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By <a href="https://theconversation.com/profiles/adu-owusu-sarkodie-774216">Adu Owusu Sarkodie</a>, <a href="http://theconversation.com/institutions/university-of-ghana-1965">University of Ghana</a>

Ghana has been <a href="http://www.ghana.gov.gh/index.php/news/5798-ghana-chosen-to-host-african-continental-free-trade-area-secretariat">chosen</a> by the African Union (AU) to host the secretariat of the African Continental Free Trade Area. It beat other competing countries including Egypt, Eswatini, Ethiopia, Kenya, Madagascar and Senegal to win the bid. 

As a free trade area, member countries have come together and agreed not to impose tariffs, quotas and other trade barriers on goods and services. The agreement is expected to enlarge markets and diversify exports, particularly manufactured goods. According to US-based think tank the <a href="https://www.brookings.edu/blog/africa-in-focus/2019/05/30/figures-of-the-week-with-afcfta-officially-in-force-africa-is-now-the-largest-free-trade-area/">Brookings Institute</a>, intra-African trade stands at about 14%, while the share of manufactured goods to the rest of the world stands at 18%. Trade among Asian countries is much higher – at 59% – and even higher among European countries at 69%. The hope is that the African free trade area will boost trade across the continent by 52% <a href="https://au.int/sites/default/files/documents/36085-doc-qa_cfta_en_rev15march.pdf">by 2022 </a>.

The core mandate of the secretariat will be to implement the free trade agreement, which has been <a href="https://au.int/sites/default/files/documents/36085-doc-qa_cfta_en_rev15march.pdf">ratified</a> by 25 out of 54 countries. Once all have ratified the deal, it will create the world’s largest free trade area since the formation of the World Trade Organisation in 1995.

Africa’s free trade area will cover a market of 1.2 billion people with a combined Gross Domestic Product (GDP) of <a href="https://au.int/sites/default/files/documents/36085-doc-qa_cfta_en_rev15march.pdf">US$2.5 trillion</a>.

The secretariat’s job will be to recruit personnel, train them, and develop organisational capability. The secretariat will also have to implement policies handed down by the governing body, keep the media informed, organise conferences and identify potential funding sources. It will also monitor and evaluate the progress of policies and programmes.

This is a first for Ghana which has not hosted a continental secretariat. The hope is that it can emulate the <a href="https://issafrica.org/iss-today/why-the-african-union-needs-a-stable-ethiopia">success</a> of other African capitals that have befitted from hosting the AU and the United Nations. Addis Ababa is home to the AU headquarters while Nairobi hosts two of the UN’s biggest bodies. For its part, South Africa hosts the Pan-African Parliament. 

The presence of the AU in Addis Ababa has been <a href="https://issafrica.org/iss-today/why-the-african-union-needs-a-stable-ethiopia">credited</a> with an increase in property valuations as well as job creation.

In making its bid, Ghana took advantage of its strategic geographical location in West Africa. It has put a great deal of effort into making the country a gateway and a trade hub in West Africa. 

Hosting the free trade area secretariat will come with costs and benefits &#8211; direct and indirect. 

<h2>Why Ghana</h2>

In establishing its credentials to host the secretariat, the Ghanaian government would have set out the country’s most notable achievements.

These would have included the fact that it’s been an exemplary member of the AU. For example, in 2007 it was among the first countries to be reviewed by the <a href="https://au.int/en/organs/aprm">African Peer Review Mechanism</a> – the self-assessment mechanism used to measure <a href="https://www.die-gdi.de/en/studies/article/the-african-peer-review-mechanism-aprm-as-a-tool-to-improve-governance-experience-in-ghana/">good governance</a>.

The fact that it put its hand up sent a signal to other countries that the peer review process was credible.

Other factors that would have played in Ghana’s favour are that the country’s economy has been showing strong growth.

It is one of the fastest growing economies in the world with an <a href="https://www.bloomberg.com/news/articles/2019-04-17/ghana-economic-growth-slows-in-2018-as-oil-expansion-cools">average</a> GDP growth of about 6%. In addition, it comes second to Cape Verde in West Africa in terms of the United Nations Human Development <a href="http://hdr.undp.org/en/countries/profiles/GHA">index</a>. 

In one of the most unstable sub regions in the world, Ghana also has a tradition of relative peace and security, a key parameter for hosting a secretariat. 

In addition, Ghana has had the advantage of learning about trade collaboration through its membership of the Economic Community of West African States (Ecowas).

<h2>Costs and benefits</h2>

Ghana has been part of the <a href="https://www.ecowas.int/member-states/">15-member</a> Ecowas since its formation in 1990. The regional body introduced a common external tariff in <a href="https://www.ecowas.int/ecowas-cet-will-be-implemented-as-of-january-2015/">2015</a> . 

While Ghana has enjoyed <a href="https://unctad.org/en/PublicationsLibrary/ditctab2018d1_en.pdf">benefits</a> from the arrangement, like many other West African States, it has not been able to harness its full potential. For example, border controls remain cumbersome, delaying transits due to the numerous check points, huge unofficial payments at the <a href="https://www.uneca.org/publications/assessing-regional-integration-africa-aria-ix">borders</a>. 

The most direct cost to the country will be the $10 million <a href="http://www.ghana.gov.gh/index.php/news/5798-ghana-chosen-to-host-african-continental-free-trade-area-secretariat">pledged</a> by President Nana Addo Dankwa Akufo-Addo to support setting up the secretariat. The AU is also expected to contribute funds and appeals have been made to international funding agencies.

Ghana’s hope is that hosting the secretariat will boost the hospitality sector – and more broadly the services sector – and generate increased international exposure. 

There should also be a boost for job creation as the secretariat hires staff; ranging from economists to translators, administrators and technicians.

There is no clear deadline on when the secretariat is expected to be up and running. The AU itself still has to clear a number of <a href="https://au.int/sites/default/files/documents/36085-doc-qa_cfta_en_rev15march.pdf">hurdles,</a>, including adopting a structure, staff rules and regulations, and the secretariat’s budget.<img loading="lazy" decoding="async" src="https://counter.theconversation.com/content/120386/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important; text-shadow: none !important">

<a href="https://theconversation.com/profiles/adu-owusu-sarkodie-774216">Adu Owusu Sarkodie</a>, Doctor of Economics, <a href="http://theconversation.com/institutions/university-of-ghana-1965">University of Ghana</a>

This article is republished from <a href="http://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/ghana-hopes-to-benefit-from-hosting-africas-free-trade-area-secretariat-120386">original article</a>.

Here’s what Ghana hopes to benefit from hosting Africa’s free trade area secretariat

By <a href="https://theconversation.com/profiles/danny-bradlow-168878">Danny Bradlow</a>, <a href="http://theconversation.com/institutions/university-of-pretoria-1645">University of Pretoria</a> and <a href="https://theconversation.com/profiles/william-n-kring-771072">William N Kring</a>, <a href="http://theconversation.com/institutions/boston-university-898">Boston University</a>

African Union (AU) leaders will gather in Niger on 7 July for an Extraordinary Summit to discuss the <a href="https://au.int/en/cfta">African Continental Free Trade Area</a>. They will be meeting at a <a href="https://www.worldbank.org/en/region/afr/publication/taking-the-pulse-of-africas-economy">critical moment</a> for the continent. Many African countries are experiencing uneven growth and rising debt. All face an uncertain global environment and need the boost that closer and more dynamic continental trade relations could deliver.

In our view the AU leaders should also use their meeting to reinvigorate their efforts to create an <a href="https://au.int/en/treaties/protocol-establishment-african-monetary-fund">African Monetary Fund</a>. This would be used to encourage African states to engage more actively in regional trade by offering them financial support for managing the <a href="https://www.imf.org/external/pubs/ft/fandd/2018/09/sub-saharan-africa-regional-integration-arizala.htm">risks</a> associated with closer regional integration and expanded intra-regional trade.

Over the past 10 years, most regions have developed <a href="https://www.bis.org/review/r120203d.pdf">regional arrangements</a> that can supplement the help that the IMF provides to countries facing balance of payments problems. Ten years ago, US$100 billion was available through these regional funds. Today more than <a href="https://onlinelibrary.wiley.com/doi/10.1111/dech.12464">US$900 billion</a> is available through these arrangements. Africa is currently the most prominent gap in the <a href="https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2692622">evolving global financial safety net</a>. 

The African leaders signed a treaty to establish this fund in 2014. Unfortunately, progress to set it up has stalled. So far the treaty has been signed, but not ratified, by eleven AU member countries. Fifteen must sign and ratify the statutes for the fund to become operational. Once operational, it will have a capital subscription of up to US $22.64 billion and the ability to provide member countries with loans equivalent to two times their contributions to the Fund’s capital.

<h2>Managing the ripple effects</h2>

The free trade area offers states new growth and employment opportunities. But by increasing economic linkages between African states, it could also increase the risk that economic problems in one country can spill over and have a strongly negative effect on growth, trade, investment and employment in others. For example, both positive and negative developments in the US economy will have a powerful impact on Canada and Mexico.

<hr>

 
 
 Read more:
 <a href="http://theconversation.com/more-work-lies-ahead-to-make-africas-new-free-trade-area-succeed-118135">More work lies ahead to make Africa&#8217;s new free trade area succeed</a>
 
 

<hr>


To help mitigate these effects, participants in other regional trade arrangements have established regional financial arrangements. These provide financial support to their members to manage balance of payments crises. 

The <a href="https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2128437">evidence</a> suggests that when states have access to this type of financial support they are less likely to take actions that impede intra-regional trade flows. <a href="https://papers.ssrn.com/abstract=2128437">For example</a>, the Latin American Reserve Fund, which provides its members with financial support during balance of payments crises, has helped the recipient countries to maintain their intra-regional trade arrangements. This, in turn, has reduced the risk that the recipient’s problems would cause a crisis in its neighbours.

The failure of an adequate number of states to sign and ratify the African Monetary Fund treaty is an embarrassing challenge to the credibility of the AU’s efforts to promote a more integrated, dynamic, sustainable and equitable African economy. These efforts have been going on for more than 40 years. Steps along the way have included the former Organisation of African Unity’s Lagos Plan of Action for Economic Development of Africa <a href="https://www.jstor.org/stable/745620?seq=3#metadata_info_tab_contents">signed in 1980</a> and the Abuja Treaty <a href="http://repository.uneca.org/bitstream/handle/10855/3000/Bib-24781.pdf?sequence=3">signed in 1991</a>.

In a <a href="http://www.bu.edu/gdp/2019/07/03/july-2019-summit-of-the-african-union-jump-starting-the-african-monetary-fund/">policy brief</a> published by the Centre for Human Rights at the University of Pretoria and the Global Development Policy Center at Boston University, we propose three concrete steps to jumpstart the push for the fund. 

<h2>Action plan</h2>

First, the creation of the fund must be explicitly linked to the success of the free trade area. The AU leaders can do this by making the case that, just as has happened in other regions, the presence of a regional financial arrangement will support the efforts to boost intra-regional trade in Africa. It will help participating countries mitigate the balance of payments challenges that greater regional integration may cause. 

Moreover, the fund, by quickly providing its members with financial support, can offer them more time to negotiate a larger support package with richer institutions, such as the IMF. In this regard, it should be noted that eight of the AU member countries (Cape Verde, Comores, Djibouti, Eritrea, Guinea-Bissau, Sao Tome and Principe, Seychelles, and Somalia) will be able to borrow more resources from the AMF than the IMF. 

Second, one AU member state should become the champion for the fund. This country would become the first country to sign and ratify the fund treaty. It would lobby other AU member countries to ratify the African Monetary Fund. It would advocate for the AU to reconstitute the steering committee created in the treaty and provide it with adequate resources. Since Cameroon is the designated host country for the AMF’s headquarters, it has an incentive to be a champion for the institution.

Finally, the steering committee should develop a plan for overcoming the substantial resource constraints in the region. This will require balancing the fund’s need for sufficient resources to be credible with the limited ability of some states to contribute. This could be addressed by negotiating an arrangement in which richer regional countries and institutions contribute a disproportionate share of their capital contributions up-front. 

These additional contributions will be reimbursed as poorer countries make their capital contributions. It’s important to note that the AMF Board of Governors has the authority to extend the period for a country to make its contribution for up to eight years. To further incentivise small to medium sized member countries to contribute capital, they should be allowed to treat their capital contributions as part of their international reserves. Such an arrangement is not unprecedented and was used effectively in South America. These measures would make an implementation plan more feasible.

Africa has tried valiantly for decades to overcome the substantial challenges hindering the development of robust intra-regional trade. The free trade area agreement is the most recent of these efforts. The credibility of the continent’s leaders and institutions will be influenced by its success or failure. The establishment of the African Monetary Fund would demonstrate the continent’s determination to promote intra-regional trade and development.

Hadiza Gagara Dagah is a co-author of the policy brief, <a href="http://www.bu.edu/gdp/2019/07/03/july-2019-summit-of-the-african-union-jump-starting-the-african-monetary-fund/">Jump-starting the African Monetary Fund </a>, on which this article is based.<img loading="lazy" decoding="async" src="https://counter.theconversation.com/content/119827/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important; text-shadow: none !important" />

<a href="https://theconversation.com/profiles/danny-bradlow-168878">Danny Bradlow</a>, SARCHI Professor of International Development Law and African Economic Relations, <a href="http://theconversation.com/institutions/university-of-pretoria-1645">University of Pretoria</a> and <a href="https://theconversation.com/profiles/william-n-kring-771072">William N Kring</a>, Assistant Director, Global Development Policy Center, <a href="http://theconversation.com/institutions/boston-university-898">Boston University</a>

This article is republished from <a href="http://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/why-the-african-monetary-fund-is-a-good-idea-and-what-can-be-done-to-get-it-going-119827">original article</a>.

What can be done to get the African Monetary Fund going ?

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Trading on the African Continental Free Trade Agreement (AfCFTA) is scheduled to commence on the first of July 2020 even as the operational phase of the treaty was launched on the sidelines of the African Union (AU) summit in Niamey. Winston Osuchukwu, Co-founder of Trans-Sahara Incorporated joins CNBC Africa for more.

AfCFTA: The investment case for Nigeria

NIAMEY (Reuters) &#8211; African leaders met on Sunday to launch a continental free-trade zone that if successful would unite 1.3 billion people, create a $3.4 trillion economic bloc and usher in a new era of development.



After four years of talks, an agreement to form a 55-nation trade bloc was reached in March, paving the way for Sunday’s African Union summit in Niger where attendees will unveil which nation will host the trade zone’s headquarters, when trading will start and discuss how exactly it will work.



It is hoped that the African Continental Free Trade Area (AfCFTA) &#8211; the largest since the creation of the World Trade Organization in 1994 &#8211; will help unlock Africa’s long-stymied economic potential by boosting intra-regional trade, strengthening supply chains and spreading expertise.



“The eyes of the world are turned to Africa,” Egyptian President and African Union Chairman Abdel Fattah al-Sisi said at the summit’s opening ceremony.



AfCFTA “will reinforce our negotiating position on the international stage. It will represent an important step.”



Africa has much catching up to do: its intra-regional trade accounted for just 17% of exports in 2017 versus 59% in Asia and 69% in Europe, and Africa has missed out on the economic booms that other trade blocs have experienced in recent decades.



Economists say significant challenges remain, including poor road and rail links, large areas of unrest, excessive border bureaucracy and petty corruption that have held back growth and integration.



Members have committed to eliminate tariffs on most goods, which will increase trade in the region by 15-25% in the medium term, but this would double if these other issues were dealt with, according to International Monetary Fund (IMF) estimates.



The IMF in a May report described a free-trade zone as a potential “economic game changer” of the kind that has boosted growth in Europe and North America, but it added a note of caution.



“Reducing tariffs alone is not sufficient,” it said.



<h3 class="wp-block-heading">&nbsp;DIVERGENT INTERESTS</h3>



&nbsp;&nbsp;&nbsp; Africa already has an alphabet soup of competing and overlapping trade zones &#8211; ECOWAS in the west, EAC in the east, SADC in the south and COMESA in the east and south.



&nbsp;&nbsp;&nbsp;&nbsp;But only the EAC, driven mainly by Kenya, has made significant progress towards a common market in goods and services.



These regional economic communities (REC) will continue to trade among themselves as they do now. The role of AfCFTA is to liberalise trade among those member states that are not currently in the same REC, said Trudi Hartzenberg, director at Tralac, a South Africa-based trade law organisation.



&nbsp;&nbsp;&nbsp; The zone’s potential clout received a boost on Tuesday when Nigeria, the largest economy in Africa, agreed to sign the agreement at the summit. Benin has also since agreed to join. Fifty-four of the continent’s 55 states have signed up, but only 25 have ratified.



&nbsp;&nbsp;&nbsp; One obstacle in negotiations will be the countries’ conflicting motives.



&nbsp;&nbsp;&nbsp;&nbsp;For undiversified but relatively developed economies like Nigeria, which relies heavily on oil exports, the benefits of membership will likely be smaller than others, said John Ashbourne, senior emerging markets economist at Capital Economics.



&nbsp;&nbsp;&nbsp;&nbsp;Nigerian officials have expressed concern that the country could be flooded with low-priced goods, confounding efforts to encourage moribund local manufacturing and expand farming.



&nbsp;&nbsp;&nbsp; In contrast, South Africa’s manufacturers, which are among the most developed in Africa, could quickly expand outside their usual export markets and into West and North Africa, giving them an advantage over manufacturers from other countries, Ashbourne said.



&nbsp;&nbsp;&nbsp; The presidents of both countries are attending the summit.



The vast difference in countries’ economic heft is another complicating factor in negotiations. Nigeria, Egypt and South Africa account for over 50% of Africa’s cumulative GDP, while its six sovereign island nations represent about 1%.



&nbsp;&nbsp;&nbsp;&nbsp;“It will be important to address those disparities to ensure that special and differential treatments for the least developed countries are adopted and successfully implemented,” said Landry Signe, a fellow at the Brookings Institution’s Africa Growth Initiative.



Regulations governing rules of origin, removal of non-tariff barriers and the development of a payments and settlements system are expected to be unveiled at the summit.



Reporting by Boureima Balima, Alessandra Prentice; Additional reporting by Alexander Winning and Edward Mcallister; Writing by Alessandra Prentice; Editing by Edward Mcallister and Dale Hudson

African leaders launch free-trade zone, what you need to know about this potential economic “game changer”

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Nigeria is finally aboard the African Continental Free Trade Agreement (AfCTA) ship after President Buhari agreed to sign the agreement at the African Union&#8217;s extraordinary summit in Niamey this weekend. Mansur Ahmed, President of the Manufacturers Association of Nigeria joins CNBC Africa for more.

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African leaders launch free-trade zone, what you need to know about this potential economic “game changer”

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