The Prepaid Economy: African Edition

Karibu! Comments enabled on PrepaidAfrica Tumblr!

africaisdonesuffering — Sat, 18 May 2013 16:40:25 -0400

As part of our ongoing efforts to offer a space for conversations and discussions on the topics, we have enabled the Disqus commenting system for our posts here on The Prepaid Economy: African Edition blog.

We look forward to getting to know you all and encourage active participation.

Introduce yourselves here if you would like to get to know us!

Note: Comments will be moderated for offensive language and behaviour.

Karibu!

The GSMA Opens an Africa Office in Nairobi The GSMA is the...

africaisdonesuffering — Fri, 17 May 2013 18:20:23 -0400

The GSMA Opens an Africa Office in Nairobi

The GSMA is the global association for the world’s mobile operators. Back in 2010 when the iHub first opened, we had some of their staff who were in Kenya working out of the iHub and using the space for different meetings. They loved the vibe and makeup of the Kenyan tech community and wanted to figure out how they could connect and be a part of this same energetic space, while at the same time fulfilling their obligation to Africa’s mobile operators.

The main office for the GSMA is in London, and their times in Nairobi coincided with their internal strategy discussions on opening up offices in each continent. Today they are opening up their Africa office, which is on the first floor of the iHub building (Bishop Magua Centre), on Ngong Road.

This is great news for all parties, as it brings the large mobiel operators into closer connection with the startups and tech innovators found in the building already, and it allows the tech companies to better connect to the association that bridges the big mobile players. I’m excited about what will come from the interactions that this new space will bring.

Development in Africa: Resource optimism LONG before Baobab...

africaisdonesuffering — Fri, 17 May 2013 16:40:26 -0400

Development in Africa: Resource optimism

LONG before Baobab became a lowly journalist he scraped a living as a lowly academic. “If you’re so clever why aren’t you rich?” was a favourite tease of his less bookish but better-paid peers. The Africa Progress Report, prepared by an expert panel led by Kofi Annan (pictured), a former UN secretary-general, was unveiled last week at the World Economic Forum conference in Cape Town, and deals with a more wounding provocation. If Africa is so resource-rich, it asks, why are its people not better educated, its children well nourished and its adults longer-lived?

The study notes a large gap in mineral-rich countries between incomes and broader gauges of living standards like the UN’s human-development index. Twenty countries in sub-Saharan Africa are classified as “resource-rich” by the IMF. Of these 14 are placed higher in the world rankings based on GDP per person than they are by their score on the UN index. Angola, for instance, is the 110th richest country measured by GDP per person but is ranked 148th on the development scale.

This in part is a familiar tale of the resource curse. The battle for the spoils from oil, gold or diamond wealth is a cause of political instability and a check on other forms of enterprise. Export earnings drive up the exchange rate, making it harder for jobs-rich local farming or manufacturing to compete with cheap imports. But there is more to the story, says the panel. The continent is not benefiting as much as it should be from its minerals partly because of the poor deals it cuts with foreign mining firms.

One problem is that mining assets are sold on the cheap. The panel looked at five deals struck between 2010 and 2012 in the Democratic Republic of the Congo, and compared the sums for which the mines were sold with independent assessments of their value. It found that the valuation gap was a staggering $1.36 billion, double the state’s annual budget for health and education. And these deals are just a small subset of all the bargains struck, says the report.

It also highlights some of their puzzling details. For instance ENRC, a London-listed Kazakh mining firm which is currently being investigated by the Serious Fraud Office in Britain, waived its rights to buy out Congo’s stake in a mining enterprise only to then acquire it for $75m from a company owned by Dan Gertler, an Israeli businessman, which had paid $15m for it just months earlier. Mr Gertler has long and close ties with Joseph Kabila, Congo’s president.

African countries also fail to adequately tax the profits from mining, says Mr Annan’s panel. Zambia’s copper exports were worth $10 billion in 2011 but its tax receipts from mining were a meagre $240m. The widespread use by mining firms of offshore investment vehicles as conduits for mining profits creates scope for tax avoidance. Their use is not restricted to rich-world companies. Much of the oil that Angola ships to China is via the China International Fund. Its trading prices are not made public.

Despite these many problems the panel is loth to succumb to what its report calls “resource pessimism”. Instead it calls on the G8 group of rich countries to work together to make tax avoidance harder. African countries should favour investors that create bigger spillovers for the local economy. They should publicise the details of asset sales so that outsiders can judge whether a good bargain was struck for their citizens.

Business also has a responsibility, says Strive Masiyiwa, founder of Econet Wireless and a panel member. Firms making deals in Africa are more experienced than the officials with whom they negotiate and often take full advantage. Mr Masiyiwa’s advice to them is not to cut deals in this way. “You’ll embarrass yourself down the line,” he says.

africaisdonesuffering: Where I Stand Auburn Butterfly...

africaisdonesuffering — Thu, 16 May 2013 19:55:12 -0400

africaisdonesuffering:

Where I Stand Auburn Butterfly Conversation Week 2

Auburnbutterfly.com Joins us in the conversation. For week 2, we’re looking at the tensions between Africans and black people of Indirect African decent. Although, we’re all black, there are differences in our upbringings, cultures, perceptions, understandings, etc. And these differences could lead to conflicts. This week we move one (from week one) to discuss these tensions and how to work around it. We’re bringing up these unspoken issues and finding a way forward.

Do you believe that Africans and African-Americans are the same people?

What part has slavery played within the Africans and African Americans What are some glaring differences that you’ve observed between Africans and African-Americans?

Do you act more or less African or African-American, or Afro-Latino around mixed company? Why or why not? ( ex: changing the way you move, speak, etc)

Where do you see tensions between Africans and members of the Diaspora. What are the consequences of the tension?

What is your perspective on being physically abused because of your ethnicity? What causes this? Why do we have such conflicts?

How do we avoid such conflict?

africaisdonesuffering: Where I Stand: Voice in the Community...

africaisdonesuffering — Tue, 14 May 2013 21:18:53 -0400

africaisdonesuffering:

Where I Stand: Voice in the Community Week 2 Video

For week 2, we’re looking at the tensions between Africans and black people of Indirect African decent. Although, we’re all black, there are differences in our upbringings, cultures, perceptions, understandings, etc. And these differences could lead to conflicts. This week we move one (from week one) to discuss these tensions and how to work around it. We’re bringing up these unspoken issues and finding a way forward. Again, these questions may be of help. Once again, it’s just a guide.

Do you believe that Africans and African-Americans are the same people?

What part has slavery played within the Africans and African Americans

What are some glaring differences that you’ve observed between Africans and African-Americans?

Do you act more or less African or African-American, or Afro-Latino around mixed company? Why or why not? ( ex: changing the way you move, speak, etc)

Where do you see tensions between Africans and members of the Diaspora. What are the consequences of the tension?

What is your perspective on being physically abused because of your ethnicity? What causes this? Why do we have such conflicts? How do we avoid such conflict?

Join the conversation

Kenya: Safaricom Launches Incubation Challenge — Incubation Gateway

earth2infini — Sun, 12 May 2013 04:13:43 -0400

Kenya: Safaricom Launches Incubation Challenge — Incubation Gateway:

Safaricom Limited has today launched the Safaricom Development Challenge, a competition aimed at equipping entry level developers with entrepreneurial and technology skills.

The competition will feature a 3 month incubation period during participants’ will be required to develop apps in any of the following six categories: Agriculture, Health, Financial Inclusion, Education, Entertainment and Utilities.

Applications developed during the incubation stage will be uploaded onto the Safaricom App-store for commercialization by the developers The Telco will award a total cash prize of Kshs.3.7 million for the competition.

The winning team will be awarded Kshs.1.5 million and a further Kshs.1 million will go to the first runners up. Each of the six category winners will get Kshs.200, 000. Read More on www.allafrica.com

How can Africa’s Economic Growth be sustained? - Mahama

earth2infini — Sat, 11 May 2013 15:29:04 -0400

How can Africa’s Economic Growth be sustained? - Mahama :

President Mahama, who was giving the keynote address at “The Times” of London CEO Summit Africa which was held at the Savoy Hotel in London said the International Monetary Fund’s (IMF) projection of 10 countries with high annual growth rate on the continent, including Ghana, could become a mirage if the disturbing cycle of unemployment is not highlighted and addressed.

He stressed that the extent of joblessness could be better appreciated if one considers that Africa’s rapidly expanding labour force could hit 1.1 billion by the end of 2014, making “the continent’s collective labour force bigger than that of China and India”.

In calling for the effective management of the continent’s collective labour force, therefore, President Mahama pointed out that it ought to be understood as part of a bigger problem that provides opportunities for the provision of infrastructure to support the projected 50 percent of the population who will migrate to Africa’s urban centres within the next 15 years.

He cautioned that instead of urbanization merely resulting in the indiscriminate mushrooming of slums in African cities, Africa should seize the opportunity to provide equitably, infrastructure such as modern roads, social housing, commercial malls, safe drinking water, and reliable power generation and transmission systems for its rapidly growing population.

He observed that “If I am constantly calling for investment in Africa’s human resource, it is because I recognize that human capital, properly trained and harnessed, remains the key to Africa’s socio-economic and political development”.

He pointed out that Ghana has learnt lessons, both from its own past and the history of other nations. He stressed that these lessons have informed Ghana’s strategic decision to empower local participants as critical players in the country’s newly emerging oil and gas industry.

In order that its effect could be concretized, President Mahama said a draft legislation instrument on local content was being examined to ensure a perfect integration of the extraction of the natural resource with the local economy through gas processing, fertilizer production and refinement of petroleum products among others.

In view of this overarching objective, President Mahama continued,

“Africa is seeking partnerships for the mutual benefit of both investors and its people. A partnership that would transfer technology to the continent, a partnership that will create jobs, a partnership that will ensure growth and a decent life for its people”.

FG Excited As Nigeria Is Set To Host 2014 World Economic Forum...

africaisdonesuffering — Sat, 11 May 2013 15:15:00 -0400

FG Excited As Nigeria Is Set To Host 2014 World Economic Forum On Africa

Nigeria is to host the 24th edition of the World Economic Forum (WEF) on Africa in Abuja next year.

The Coordinating Minister of the Economy and Minister of Finance, Dr Ngozi Okonjo-Iweala, made the announcement at the close of the 23rd edition of the WEF in Cape Town, South Africa on Friday.

Okonjo-Iweala thanked the WEF for choosing Nigeria as the next host, expressing the readiness of the country to make the next edition as exciting as possible.

She said that the choice of Nigeria was appropriate given its position and huge economic potential.

“I think we epitomise a lot of things about Africa. We have the excitement, the passion, the entrepreneurship, the private sector drive and the glow for the future.

“But we also epitomise all of the difficult challenges of the continent such as infrastructure deficit, governance issues, corruption and transparency,” she said.

According to her, a combination of these opportunities and challenges in one country makes Nigeria the most exciting place to be on the continent.

Okonjo-Iweala said that the future of Africa was bright, judging by the commitment and passion demonstrated by participants in the forum, especially the Young Global Leaders, who represented the youths of the continent.

The Director General, Nigeria Economic Summit Group, Mr Frank Nweke Jnr, said that Nigeria was excited to be the host of the next WCF.

He said that President Goodluck Jonathan had already mandated the team to organise a successful forum.

africaisdonesuffering: (Where I Stand) Week 2: Tension and...

africaisdonesuffering — Sat, 11 May 2013 15:12:50 -0400

africaisdonesuffering:

(Where I Stand) Week 2: Tension and Cultural Differences

There’s an elephant in the room and we pretty much can’t continue to ignore it. We can’t continue to pretend it’s all rosy. In different ways, we’re dealing with issues of colour, race, identity, culture, ethnicity, etc. And it all affects how we view and relate to each other.

“You can live in the hotel for all your life but at some point you’ll need a home, and Africa is home”.

I quote this from one of last week’s entries. As an African, I immediately came to agreement with it. Afterall, no matter how far away I go, Africa will always be home. But I didn’t realise it was not as straightforward until I was drawn to consider how I’d take the statement, had I been of indirect African descent. Even if I decided that Africa is home, it won’t make me any less foreign to the people living there. They have different ways of receiving people not directly from their countries. In Ghana for example, a foreign accent could easily land you the label “obroni”. The tag, which isn’t intended to be derogatory or negative in anyway suggests you’re foreign and that makes me wonder if it’s possible to be a foreigner in your own home. I’ll leave that to you to answer.

It’s not that easy to live in this imaginary utopia we’ve created for ourselves. This week, as part of the Rise Africa JelyPals Diaspora series, we’ll discuss the Tensions Between Africans and Blacks of Indirect African Descent. Indeed, Africa is home but having gone our separate ways so long ago, being raised up in different environments, going through experiences of the civil rights movements and other similar movements, the diaspora also becomes less of a hotel and more of a home.

This week, lets put aside the diplomatic skills we use to swerve issues relating to these tensions and face the awkwardness and find answers to these questions.

-Michael Annor

"For Africa to become a major player in the pharmaceutical sector, it has to start partnerships with..."

earth2infini — Sat, 11 May 2013 15:12:39 -0400

“

For Africa to become a major player in the pharmaceutical sector, it has to start partnerships with companies outside the continent that have the technology, the people and the intellectual property.

The African Union has started with the development of a Pharmaceutical Manufacturing Plan for Africa to promote private-public partnerships to push the pharmaceutical sector.

”

- Africa’s Pharmaceutical Industry Faces Numerous Challenges | Big News Network

African Economic Growth Depends on Science and Technology

tpappy2001 — Sat, 11 May 2013 14:53:00 -0400

Since the end of colonial era in the continent of Africa, nearly all of the countries that formed the organization of Africa unity are still lagging beyond in their quest to advanced science and technology. The sad situation has reduce the economy of Africa countries to either moribund or regressing despite the recent claim by United Nation applauding economic growth in some part of the continent. Whether you take UN claim as a disguise or irony, the true nature of Africa economy is one lacking real income, poor health care system, hunger and starvation, infrastructural collapse and dysfunctional social institution. The blame to why Africa continues to see the past in the present is being attributed to so many factors that include: lack of proper initiative and oversight for internal growth, corruption and mismanagement, ineffective planning and policies, limited entrepreneur initiatives and innovation, imbalance of trade due to over dependence on single sector of the economy. While all of these factors tend to play significant role, the biggest setback is African government inability to prioritize capital project and focus on completing one task before commencing a new scheme.

From the beginning of human age, no one single country has ever had it easy developing science and technology. Even the Americans and Europeans all pass through tough times in their quest to reach the pinnacle of science. They learn from the caveman ideology of using his skills to manufacturing simple tools that append value to his life. The knowledge gains from the blueprint of caveman techniques constitute what is now described as modern day technology. The caveman ideology has played a key role in transforming western countries from agrarian economy to industrialized super power, Taiwan and Korea to silicon microelectronic giant, china and Indian leaders in information and communication technology, Brazil championing renewable energy and Malaysia semiconductor technology. The government of these countries uses available resources and invests on local manpower, and their success was based on carefully designed plans and strategies.

While admitting that Africa countries has failed to follow the footstep of successful industrialized countries, it’s imperative to note that several countries in Africa has plans in place to develop science, but most of this plans are misleading because the political environment in Africa is not one that strive for result. The foundation of any technological change in Africa must begin with government showing interest in research and development, encourage science projects and invest in entrepreneurs with genuine innovation. For Africa to take its place on global stage, government attitude must change from just depending on foreign aid to fund science projects. Instead Africans must take a more pragmatic approach of maximizing local resource to improve infrastructure, modernized agriculture, industrial system, and education.

Finally, African countries must take science and technology very serious because it’s the primary mechanism that drives economic growth and provides the key to unlocking the continent huge potentials in both manpower and natural resources. If Africa is to compete globally and reduce trade imbalance, it must embrace locally made materials and improve on better technology that will enhance processing of local natural resources, find ways to integrate the best and the brightest mind to research on science projects.

Ed’s note: This is a reader submission, please feel free to write back to us, either as letters to the editor or a screed on a topic that relates to our themes here..

"African growth strategies Under its Vision 2030 programme, Kenya plans to develop its technology..."

earth2infini — Sat, 11 May 2013 08:38:46 -0400

“

African growth strategies

Under its Vision 2030 programme, Kenya plans to develop its technology hub - popularly referred to as Konza City - and its rail infrastructure
Uganda wants 80% of its population to have access to electricity and safe water within 30 years
Nigeria aims to be among the 20 most-developed economies in the world by 2020
Ethiopia is building a network of dams and wind turbines to generate electricity that it hopes will reach 70% of the country by 2016

”

- BBC News - How can Africa move away from aid dependence?

africaisdonesuffering: Where I Stand: Auburn Butterfly...

africaisdonesuffering — Thu, 09 May 2013 22:21:58 -0400

africaisdonesuffering:

Where I Stand: Auburn Butterfly Conversation Week 1

Auburnbutterfly.com joins in on the conversation. Once again, for this week we’re looking at linking the bridge between Africans and people of African descent. The following questions should guide you and help you understand the responses in the video below. Feel free to read them yourself and share with us your response, thoughts, opinions and personal experiences. All participation is greatly appreciated! Let’s get the discussion started!

How would you briefly describe Africans/people of African descent from what you’ve experienced?

How much of the media’s representation of Africans/people of African descent impact the mentality of other people?

Were you aware that there was a difference between the Africans/people of African descent? If yes, when did you become aware?

Do the lives of Africans impact the lives of members of the Diaspora?

What do you feel contributes to misconceptions about Africans/African Americans?

If you could speak with an African/African-American what are some things you would like to speak about?

Do you think the rest of the world sees Africans and members of the Diaspora as one people? Why do you think they do? Do you agree?

What can we do to change the perception of the two groups of people and bridge the gap of separation because of cultural differences?

What is the benefit of connecting the bridge between Africans and people of African descent? Why is it important? Has it always been important?

africaisdonesuffering: Where I Stand: Voice in the Community...

africaisdonesuffering — Thu, 09 May 2013 17:20:06 -0400

africaisdonesuffering:

Where I Stand: Voice in the Community Week 1 Video

For this week we’re looking at linking the bridge between Africans and people of African descent. The following questions should guide you and help you understand the responses in the video below. Feel free to read them yourself and share with us your response, thoughts, opinions and personal experiences. All participation is greatly appreciated! Let’s get the conversation started!

How would you briefly describe Africans/people of African descent from what you’ve experienced?

How much of the media’s representation of Africans/people of African descent impact the mentality of other people?

Were you aware that there was a difference between the Africans/people of African descent? If yes, when did you become aware?

Do the lives of Africans impact the lives of members of the Diaspora?

What do you feel contributes to misconceptions about Africans/African Americans?

If you could speak with an African/African-American what are some things you would like to speak about?

Do you think the rest of the world sees Africans and members of the Diaspora as one people? Why do you think they do? Do you agree?

What can we do to change the perception of the two groups of people and bridge the gap of separation because of cultural differences?

What is the benefit of connecting the bridge between Africans and people of African descent? Why is it important? Has it always been important?

Economic Growth in Senegal and Regional Stability in West Africa: A Conversation with His Excellency President of Senegal Macky Sall | Brookings Institution

earth2infini — Wed, 08 May 2013 16:40:33 -0400

Economic Growth in Senegal and Regional Stability in West Africa: A Conversation with His Excellency President of Senegal Macky Sall | Brookings Institution

Lessons in Economic Integration for African Union | Inter Press Service

earth2infini — Wed, 08 May 2013 15:51:57 -0400

Lessons in Economic Integration for African Union | Inter Press Service:

As the African Union celebrates its 50th anniversary this year, it is still younger and less integrated than the 56-year-old body that is now the European Union, and, according to politicians and diplomats, has a big advantage over the Europeans as it charts its own path of integration.

Africa can see where Europe has tried to move too far, too fast. But it can also see where the Europeans have succeeded, as it plans its own path towards greater integration.

“Africa in particular has a need to integrate to take advantage of its massive resource economies of South Africa, Angola, Ethiopia, the Sudans and probably the whole Sahel area – and growing populous economies such as Nigeria and the Democratic Republic of the Congo,” former South African Trade and Industry Minister Alec Erwin told IPS.

Erwin negotiated his country’s trade, cooperation and development accord with Brussels, and has extensive experience in dealing with the EU.

Solar solutions in Ghana | West Africa

earth2infini — Wed, 08 May 2013 04:44:03 -0400

Solar solutions in Ghana | West Africa:

The Ghanaian government plans to double installed capacity from 2,800MW in 2010 to 5,600MW in 2017.

The majority currently comes from hydroelectricity: output from the 1,020MW Akosombo Dam is due to be joined later this year by another 400MW from the Bui Dam.

Deregulation of Ghana’s energy industry started in the mid 2000s and is ongoing. A clear legislative framework has attracted independent power investors.

A renewable energy law that came onto the statute books in December 2011 provides further incentives for renewable investors, such as an obligation to be connected to the network and feed-in tariffs that guarantee a price for their electricity.

Last year, energy ministry deputy director Seth Mahu said the government is looking for $1bn of investment in renewables

Ambassador Amina Mohamed may have missed the opportunity to...

earth2infini — Wed, 08 May 2013 04:35:33 -0400

Ambassador Amina Mohamed may have missed the opportunity to become the first woman and indeed first African to head the World Trade Organisation (WTO) recently, but she now has an opportunity to add a feather in her hat with the nomination to become Kenya’s next Foreign Secretary.

Mohamed, who currently works as the Assistant Secretary General and Deputy Executive Director of the United Nations Environment Programme (UNEP), was picked to spearhead Uhuru Kenyatta’s foreign policy on Tuesday.

She is a seasoned diplomat with an equally vast career in the public sector having worked as the Permanent Secretary for Justice and Constitutional Affairs before assuming her current position.

The soft spoken mother of two is a career public servant whose record spans over 26 years and has also worked in the ministries of Local Government and Foreign Affairs.

While accepting her nomination at State House on Tuesday, Mohamed said she would discharge her new duties diligently if her nomination is approved by the National Assembly.

“I am humbled and I feel privileged and uniquely honoured and I will be waiting for your instructions on what I should be doing next,” she told the Head of State Uhuru Kenyatta and his Deputy William Ruto.

(via Diplomat Amina lands Foreign Affairs docket | Capital News)

East Africa's 'embarrassment of riches' in energy

earth2infini — Wed, 08 May 2013 04:30:14 -0400

East Africa's 'embarrassment of riches' in energy:

Mozambique, one of Africa’s poorest states, and neighboring Tanzania are set to become major natural gas producers, while Kenya, deemed the cradle of mankind, sits on at least 10 billion barrels of oil.

These are the centerpieces of a burgeoning energy boom that’s transforming East Africa into a vast source of oil and gas for energy-hungry Asia 3,000 miles away across the Indian Ocean.

“You have almost an embarrassment of riches in Mozambique and Tanzania, in terms of the volumes of gas being discovered,” said Philip Wolfe of UBS financial services, which advises Thailand’s PTT Exploration and Production, now a major player in Mozambique.

“In Mozambique, they’ve only just scratched the surface and have already found so much gas.”

After about two years’ exploration, around 100 trillion cubic feet of natural gas has been found in the Indian Ocean off the former Portuguese colony and Tanzania. That’s equivalent to nearly all of Iraq’s gas reserves.

Djibouti, Democracy and the Horn of Africa (Page 1 of 2)

earth2infini — Wed, 08 May 2013 04:19:08 -0400

Djibouti, Democracy and the Horn of Africa (Page 1 of 2):

A key enabling factor for achieving sustainable prosperity is the growth of intra-African trade as well as trade with the rest of the world. Djibouti is blessed with a strategic position.

Ethiopia, a thriving country and economy of over 80 million people, relies extensively on Djibouti as its pathway to the sea. We hope to become a gateway not just for our immediate neighbours but for all of East Africa - connecting the region to markets in Europe, the Middle East and Asia and bringing economic benefits to our citizens and the region.