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Ed Webb

It's Africa's Turn to Leave the European Union - 0 views

foreignpolicy.com/...can-union-european-union-trade

AU EU diplomacy trade development migration

shared by Ed Webb on 05 Aug 20 - No Cached
  • African visions of an integrated continent with political solidarity and interlinked prosperity are as old as decolonization, but until recently there were few indicators that it was heading in the right direction. The Organization of African Unity, founded in 1963, was widely regarded a mere dictators’ club and was succeeded in 2002 by the African Union, whose reputation fares marginally better. Modeled to a fault on European Union institutions, the AU remains both overly centralized and lacking in capacity and accountability. But in the last three years, the AU has begun to emerge as a globally relevant actor because it overcame a major hurdle to pan-African progress.
  • In 2018, the African Union adopted the African Continental Free Trade Area (AfCFTA), the largest trade agreement concluded since the World Trade Organization in 1995. At more than $2.5 trillion, the economy of the African Union is nearly the size of the British and French economies, which rank sixth and seventh in the world.
  • Developing in parallel to this trade liberalization and harmonization is a treaty on continentwide freedom of movement, which together paves the way for a customs union and gives political momentum to the African Union passport project, which would allow visa-free travel among the AU’s 55 member states
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  • increase intracontinental trade—an area in which Africa lags far behind the other continents.
  • a new era in which the AU can finally leverage its collective economic clout in its political relationships with the rest of the world. Now is the time for African leaders to take stock of their existing relationships and examine whether they are helping the AU achieve its Agenda 2063 vision, a 50-year strategic plan with goals closely linked to the U.N. Sustainable Development Goals for 2030 that were adopted in 2015.
  • The 2019 Africa SDG Index finds that “Across the board, African countries perform comparatively well in terms of sustainable production and consumption as well as in climate action … but perform poorly in goals related to human welfare” such as poverty, hunger, and affordable and clean energy.
  • evidence that EU priorities for African development do not correspond to the continent’s areas of greatest need. The joint institution between the EU and the African, Caribbean, and Pacific countries for agricultural development ostensibly strives to “advance food security, resilience and inclusive economic growth in Africa, the Caribbean and the Pacific through innovations in sustainable agriculture,” yet the solutions it envisions would be marginal improvements, not transformational changes
  • Strengthening the value chains of small and medium-sized agribusinesses is desirable but not optimal, as it reinforces the existing trade dynamic of exporting raw materials to Europe. In sum, EU agricultural development policy is largely a neocolonial enterprise committed to protecting its own agricultural market and producing value-added goods for export; it is a greater vehicle for European soft power and merchant interests than for African capacity-building.
  • The current architecture through which EU institutions have in recent years provided about $6 billion in annual aid to Africa—its second-largest source of multilateral donations—also stunts African economic integration and divides the continent politically
  • the Emergency Trust Fund for Africa, which diverts 73 percent of the European Development Fund toward combating the European migration crisis at its external points of origin
  • participating in the African, Caribbean, and Pacific Group prevents Africa from working with Europe toward African-oriented solutions. Involvement in this top-down, donor-recipient framework deprives Africa of agency and leaves it vulnerable to its patron’s priorities
  • New European Commission President Ursula von der Leyen made a symbolically significant trip to AU Headquarters in Addis Ababa a week after taking office in December 2019. She came bearing a $188 million aid package for health programs, electoral systems, environmental policies, and economic development initiatives to buoy her message that the EU is going to be more than just a source of handouts from now on: “The African Union is a partner I count on and I look forward working within the spirit of a true partnership of equals.” If that sounds familiar, it’s because the EU has been deploying this flattering talking point of a “true partnership of equals” for more than a decade.
  • despite not wanting to talk about migration in Addis Ababa, von der Leyen is continuing the post-Cotonou negotiations that began in 2018—which inject aid conditioned on migration control as a central plank of the relationship between the EU and the African, Caribbean, and Pacific states
  • The AU and its members have other options. Both China and the United States offer models of development assistance that meet Africa’s development needs better than the European Union’s. The European Development Fund won’t vanish, and slow-growing Europe is ill-positioned to compete with China’s largesse on infrastructure projects.
Ed Webb

To Achieve the Sustainable Development Goals, the World Will Have to Think Local - 1 views

foreignpolicy.com/...-goals-sdgs-think-local-cities

UN SDGs development finance opinion analysis cities urban globalsouth

shared by Ed Webb on 29 Jan 23 - Cached
  • the post-World War II architecture is reaching its structural limits. In particular, it is incompatible with the achievement of the Sustainable Development Goals, the successor to the Millennium Development Goals, which are 17 objectives designed to bring sustainable development to every part of the world—notably the world’s developing nations and, in particular, the world’s least-developed countries. The new goals include completely eliminating global extreme poverty, managing sustainable production and consumption cycles, ending all forms of discrimination against women and girls, and strengthening resilience and adaptivity to hazards tied to climate change.
  • the current global financial architecture centers on sovereign states, with international credit and the benefits of such credit—notably the ability to raise capital in order to fund projects, including infrastructure—tending to flow to countries rather than to the neediest local communities themselves.
  • even if international donors and investors encourage better national governance, and they should, funding for local projects still competes, often unfavorably, with national government priorities—such as national defense, foreign affairs operations, government salaries, and national budget deficits
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  • In the era of the Sustainable Development Goals, local communities are almost always the lead development actor. In fact, a deeper examination of the goals’ underlying targets shows that almost 65 percent of them are supposed to be implemented by local governments. And yet the global financial architecture does not operate on that basis.
  • Around 80 percent of global GDP is already being generated in cities, while 68 percent of the total global population will be made up of urban residents by 2050, according to World Bank data
  • of the 1.4 billion-person increase in population projected to occur within developing countries by 2030, 96 percent are expected to live in urban areas. And 30 of the world’s 35 most rapidly growing cities are in the least-developed countries.
  • Relative to national governments, local governments are singularly positioned to advance projects to address climate change, including infrastructure projects for climate adaptation and resilience: They have the clearest understanding of local needs, they are able to convene local stakeholders to democratize the creation of a climate action plan, for example, and they can pass appropriate policies in much easier fashion than central governments.
  • cities are stuck between hoping that more money trickles down from the central government or accessing international credit. But in a nation-centric system, the second is often impossible
  • Under this nation-centric architecture, national debt determines whether cities can access international credit almost regardless of that city’s own debt profile
  • In Bangladesh, when cities were graded for credit at the local level, over a third of them attained a rating that was above investment grade. Yet those ratings make no difference, because Bangladeshi capital markets are not accessible by municipalities. The same is true for many cities in developing and least-developed countries, such as Kenya, Morocco, Botswana, and Indonesia.
  • between now and 2050, the urban population in sub-Saharan Africa is expected to more than triple, reaching approximately 1.3 billion people. Yet, barring fundamental changes, the region will likely lack the levels of capital investment necessary to finance development to support this population growth—including investment in infrastructure and urban planning, as well as commercial and residential real estate. If financing is not able to reach the local level, this will practically assure that the rise in urbanization in this part of the world, as well as others, will coincide with a rise in poverty—especially urban poverty and the growth of slums and unplanned communities—and its attendant consequences.
  • Urban areas can leverage their new capability and financial strength to help rural areas access international credit, whether by creating a pooled fund where urban and rural areas can issue a single bond or by collectively accessing thematic funds that focus on specific interests like climate change, women’s economic empowerment, or financial inclusion.
  • an independent municipal investment fund that will exclusively focus on delivering investment to local projects, notably in developing countries and particularly in the least-developed countries—the creation of which was supported by the United Nations Capital Development Fund, United Cities and Local Governments (an umbrella organization for local and regional governments around the world), and the Global Fund for Cities Development (their technical partner). The hope is that the successful investments will create demonstration effects that will incentivize public and private lenders to expand financing of the municipal finance space.
Ed Webb

Trade for an inclusive circular economy | Chatham House - International Affairs Think Tank - 0 views

www.chathamhouse.org/...ade-inclusive-circular-economy

trade economy sustainability SDGs inequality

shared by Ed Webb on 04 Aug 22 - Cached
  • The circular economy offers a value-chain approach to tackling this problem. Rather than the current linear flow of materials through the global economy, in which they are extracted, processed, manufactured, used, and finally disposed of as waste, a circular economy uses a systemic approach to decouple economic prosperity from material use by maintaining a circular flow of resources through regenerating, retaining or adding to their value, while contributing to sustainable development. The circular economy not only encourages sustainable production and consumption, but could also contribute to tackling the 45 per cent of global emissions that cannot easily be mitigated through the shift to renewable energy and energy-efficiency measures,2 and help halt and reverse land degradation and biodiversity loss.
  • Circular trade has grown strongly in value over the past two decades. For example, the value of trade in second-hand goods, secondary raw materials and waste for recovery rose by more than 230 per cent (from $94 billion to $313 billion) between 2000 and 2019, with the global export value of trade in goods rising by around 195 per cent over the same period.4 The value of trade in maintenance and repair services increased from $74 billion to $108 billion between 2015 and 2019.5
  • Although circular trade is a key enabler of a global circular economy, a range of regulatory and technical challenges are inhibiting its advancement. These include a lack of mutually recognized definitions, classifications, interoperable standards, regulations and conformity procedures concerning circular economic activities or goods. Furthermore, as an emerging area of activity, the circular economy has itself only been embedded to a limited degree in bilateral, regional and plurilateral trade and economic cooperation agreements. This restricts the scope and potential for collaboration around transboundary issues such as illegal waste, supply-chain transparency and traceability, investment or the issues pertaining to mutual recognition, technical barriers to trade, and trade facilitation.
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  • If an explicit goal to reduce inequality is not built into the global circular economy transition, then it is highly likely that these inequities will create a ‘circularity trade divide’, in which the gains accrued from circular trade are highly unevenly distributed between developed and least developed countries.
  • around 45 per cent of the total global value of trade in secondary goods and materials, waste and scrap occurs solely between high-income countries, compared with only about 1 per cent between low-income countries and middle- to high-income countries
  • countries in the Global South are often the final destination for internationally traded low-value or illegal waste
  • The circular trade divide, should it persist, will act as a significant barrier to a globally inclusive transition to a circular economy, and impede progress on the UN’s 2030 Agenda for Sustainable Development and Sustainable Development Goals (SDGs).
  • This paper sets out a framework for inclusive circular trade, intended to enable a more inclusive pathway for the circular economy transition. The framework was developed through the work of an alliance of organizations spanning Africa, Southeast Asia, Latin America and the Caribbean, and Europe.
Ed Webb

Forget 'developing' poor countries, it's time to 'de-develop' rich countries | Global D... - 1 views

www.theguardian.com/...de-develop-rich-countries-sdgs

development economy climate growth opinion

shared by Ed Webb on 15 Oct 15 - No Cached
  • Ed Webb on 15 Oct 15
     
    Forget developing poorer countries - it's time to reverse the over-developed world.
Ed Webb

The WTO 20 years after the 'battle of Seattle' | Business and Economy | Al Jazeera - 0 views

www.aljazeera.com/...rs-after-the-battle-of-seattle

IR opinion WTO trade globalization sustainability

shared by Ed Webb on 21 May 21 - Cached
  • On the 20th anniversary of the protests against the World Trade Organization (WTO), evidence of its harm to workers, healthcare, farmers, and the environment – and particularly to developing countries – has proven its critics right.
  • At the time of the protests, the WTO was less than five years old. But critics had already seen how the largest corporations in the world had succeeded in using its founding – and the good name of trade in promoting prosperity – to achieve a new set of agreements covering not just trade in goods but also trade-related investment measures, trade-related intellectual property (IP) rules, agriculture and services. These new agreements, far from the original goals of multilateralism, gave new rights to trade (which are exercised by corporations) and constrained government regulation in the public interest. 
  • corporate elites hijacked “trade” and rigged the rules to distribute income upwards, while reducing protections for people who work. Highly paid professionals (like doctors) are protected (by being able to regulate their own licensing) and businesses are given market access rights and predictability. Meanwhile, workers are forced into unfair competition without a minimum floor for protections, and developing country workers have been kept at the lowest levels of the global value chains
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  • As rich countries have been allowed to maintain their level of agricultural subsidies – which are mostly handed out to large producers, not family farms – developing countries have not been allowed under WTO rules to subsidise food production for domestic consumption to guarantee food security, nor to protect their farmers from unfair dumping.
  • subsidies for the environmentally damaging production of oil and gas remain undisciplined, while countries have successfully sued each other in the WTO for directing subsidies towards greener fuels, especially if they try to create jobs at the same time.
  • The environment has suffered as countries use environmental exploitation as a comparative advantage, and trade is responsible for a growing percentage of the greenhouse gases that contribute to climate change.
  • supporters of the WTO were able to get developing countries to agree to a new round of trade talks only by claiming it would be a “development” round – ie, one that put the needs of developing countries at its heart.  Since then, unfortunately, developed countries have never delivered on their promises to address the constraints that bad WTO rules put on development
  • most developing countries that have gained from trade have done so by exporting to China, whose growth is usually attributed to its divergences from the WTO model. 
  • At a time when most conversations regarding Big Tech are around the need for stronger antitrust and tax enforcement, and how their model of surveillance capitalism should not be allowed to shape the contours of our media, democracy, human rights, education and social relationships – or even how to break them up – they are working through the WTO, without public debate, to gain a new constitution that will consolidate their power and profits.
  • the problem with the dispute system is that it adjudicates according to a set of rules guided by corporate interests
  • The crisis is that people around the world have suffered through nearly 25 years of a damaging pro-corporate trade model, encapsulated by the WTO, and the domestic policies of austerity that have led to uprisings on four continents, mass migrations, and the election of right-wing governments in many countries.
  • We all need a global economy that facilitates decent jobs, access to affordable medicines, healthy food, and a thriving environment. Nearly all governments agreed to this mandate through the Sustainable Development Goals (SDGs) and Agenda 2030 in 2015. The rules of the global economy should be shaped around ensuring that trade can help achieve these goals, but at the minimum, it should not constrain governments from doing so.
  • The solution to the current conflicts on trade policy is not a false nationalism that nonetheless expands corporate control, nor a defence of the current failed corporate system. We need a wholly different system than that embodied in the WTO, just as the protesters clamoured for in Seattle 20 years ago. That will require a multilateral vision of ecological stability, shared prosperity, and leadership committed to that vision. Until then, we can expect more crises. 
Ed Webb

unctad.org | Africa could gain $89 billion annually by curbing illicit financial flows - 0 views

unctad.org/...newsdetails.aspx

Africa development economy finance crime smuggling UN UNCTAD trade

shared by Ed Webb on 29 Sep 20 - No Cached
  • Every year, an estimated $88.6 billion, equivalent to 3.7% of Africa’s GDP, leaves the continent as illicit capital flight, according to UNCTAD’s Economic Development in Africa Report 2020.
  • these outflows are nearly as much as the combined total annual inflows of official development assistance, valued at $48 billion, and yearly foreign direct investment, pegged at $54 billion, received by African countries
  • From 2000 to 2015, the total illicit capital flight from Africa amounted to $836 billion. Compared to Africa’s total external debt stock of $770 billion in 2018, this makes Africa a “net creditor to the world”
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  • These outflows include illicit capital flight, tax and commercial practices like mis-invoicing of trade shipments and criminal activities such as illegal markets, corruption or theft.
  • IFFs represent a major drain on capital and revenues in Africa, undermining productive capacity and Africa’s prospects for achieving the Sustainable Development Goals (SDGs).
  • in African countries with high IFFs, governments spend 25% less than countries with low IFFs on health and 58% less on education
  • In Africa, IFFs originate mainly from extractive industries and are therefore associated with poor environmental outcomes.
  • The report shows that curbing illicit capital flight could generate enough capital by 2030 to finance almost 50% of the $2.4 trillion needed by sub-Saharan African countries for climate change adaptation and mitigation
  • Of the estimated $40 billion of IFFs derived from extractive commodities in 2015, 77% were concentrated in the gold supply chain, followed by diamonds (12%) and platinum (6%).
  • Specific data limitations affected efforts to estimate IFFs. Only 45 out of 53 African countries provide data to the UN International Trade Statistics Database (UN Comtrade) in a continuous manner allowing trade statistics to be compared over time.   The report highlights the importance of collecting more and better trade data to detect risks related to IFFs, increase transparency in extractive industries and tax collection.
  • Regional knowledge networks to enhance national capacities to tackle proceeds of money laundering and recover stolen assets, including within the context of the African Continental Free Trade Area (AfCFTA), are crucial in the fight against corruption and crime-related IFFs
  • Tax evasion is at the core of the world's shadow financial system. Commercial IFFs are often linked to tax avoidance or evasion strategies, designed to shift profits to lower-tax jurisdictions.
  • Nigeria’s President Muhammadu Buhari said: “Illicit financial flows are multidimensional and transnational in character. Like the concept of migration, they have countries of origin and destination, and there are several transit locations. The whole process of mitigating illicit financial flows, therefore, cuts across several jurisdictions.”
Ed Webb

The fishy business of a Chinese factory in The Gambia - BBC News - 0 views

www.bbc.com/...world-africa-65204179

Gambia China resources corruption sustainability SDGs fish fisheries

shared by Ed Webb on 28 May 23 - No Cached
  • For many years the fishmeal industry has raised questions about sustainability. It uses vast quantities of fish, such as sardinella and bonga, which make up at least half of The Gambia's total protein intake.
Ed Webb

See where water is scarcest in the world - and why we need to conserve - Washington Post - 1 views

www.washingtonpost.com/...water-scarcity-map-solutions

water climate development economy SDGs agriculture

shared by Ed Webb on 16 Aug 23 - No Cached
  • An analysis of newly released data from the World Resources Institute (WRI) shows that by 2050 an additional billion people will be living in arid areas and regions with high water stress, where at least 40 percent of the renewable water supply is consumed each year. Two-fifths of the world’s population — 3.3 billion people in total — currently live in such areas.
  • the Middle East and North Africa regions have the highest level of water stress in the world. Climate change is shifting traditional precipitation patterns, making the regions drier and reducing their already scarce water supplies. Population growth and industrial use of water are expected to increase demand.
  • The WRI analysis accounts for surface water, but not groundwater stores that are tapped when lakes, rivers and reservoirs run dry. This means the new estimates may underestimate risk. Many rural areas use groundwater for drinking water and farmers worldwide rely on it for irrigation. But groundwater often replenishes much more slowly than surface water.
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  • Only half of 1 percent of the world’s water supply is fresh water in liquid form. The rest is saltwater or frozen into glaciers.
  • its biggest use, globally, is for food production
  • “It’s much more useful and easier to live with if the water all comes regularly and without these extremes. But more and more, that’s not the case.”
  • If surface water is in short supply, people often turn to groundwater, which can be rapidly depleted. In India, nearly 60 percent of the population makes a living from farming. For decades, the government supported farmers by subsidizing the cost of diesel to run water pumps and tractors and by purchasing wheat and rice at an artificially high price. Water demand to irrigate rice and wheat fields is contributing to groundwater depletion in the northern region of Punjab.
  • “More people demand more water, but also each person demands more water as they get wealthier,” Iceland said. “So as you get wealthier, you move from a more grain and vegetable-oriented diet to a more meat-oriented diet.”
  • Growing and feeding a cow to create one pound of beef requires as much as 1,800 gallons of water, by some estimates. Calorie-for-calorie, that’s almost eight times as much water as vegetables and 20 times as much water as cereals like wheat and corn.
  • Water-intensive crops like sugar cane and cotton could also drive demand in sub-Saharan Africa, where water use is expected to double over the next 20 years. Many areas still lack infrastructure to reliably deliver water for irrigation. As those pipelines are built, more farmers will have access to water, which will further strain surface water supplies. Inefficient water use and unsustainable management could lower gross domestic product in the region by 6 percent, according to WRI.
  • One Saudi company is growing alfalfa in the Arizona desert, pulling from the area’s groundwater supplies. That alfalfa is then shipped overseas to feed cattle in Saudi Arabia, where industrial-scale farming of forage crops has been banned to conserve the nation’s water.
  • Water is also integral to mining lithium and other minerals used in electric vehicle batteries and renewable energy infrastructure. These critical minerals are often found in arid places like Chile, which is already water-stressed and is projected to use 20 percent more water by 2050, according to WRI.
  • Since farming accounts for the most water use globally, experts say that micro-sprinklers and drip irrigation instead of flood irrigation are an important solution.
  • reducing meat and dairy consumption can decrease individual water footprints. Reducing food waste could also help reduce water use. In the United States, more than a third of food ends up in the landfill. The biggest single contributor to food waste is throwing away food at home.
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