Pin it
Thursday, May 23, 2013 | Last Updated 8:47 PM
Loading
    Subscribe |  Advertise |  Feedback |   e-paper    rss RSS
Image Loading
Budget


img
Africa & World
Women kicked out of mall for expletive cancer caps
23/5/2013 16:12
Women kicked out of mall for expletive cancer capsTwo women were reportedly kicked out of a Pennsylvania mall for sporting expletive cancer caps.
Thunderstorms pummel US tornado disaster zone
23/5/2013 15:40
Thunderstorms pummel US tornado disaster zoneSevere thunderstorms barreled through this Oklahoma City suburb at dawn Thursday, complicating clean-up efforts three days after a powerful tornado killed 24 people and destroyed 2,400 homes.
US photographer Leibovitz wins top prize in Spain
23/5/2013 16:20
Spain honoured the US photographer Annie Leibovitz, known for her iconic portraits of a naked John Lennon and a pregnant Demi Moore, with its top humanities prize on Thursday
Our democratic revolution Our democratic revolution
8/4/2013 9:18
The holding of the fifth Brics (Brazil, Russia, India, China, South Africa) Summit in South Africa for the first time, on March 26-27, was indeed an important moment in our country’s long history of international work and international solidarity.
Brics bank, world dominance? Brics bank, world dominance?
3/4/2013 10:45
The fifth Brics Summit recently hosted in Durban has come to an end with great fanfare and celebrations that progress has been made with the announcement that a Brics development bank will be established.
 
Other Africa & World News
PreviousNext
Italy's Berlusconi in tax fraud scheme as PM, judges sayItaly's Berlusconi in tax fraud scheme as PM, judges say
23/5/2013 19:10
Former Italian Prime Minister Silvio Berlusconi was involved in a tax fraud scheme while he was head of government
 
Importance of protein in weight lossImportance of protein in weight loss
23/5/2013 16:17
Protein is one of the three macronutrients that are the basis of a healthy diet. All (protein, fat and carbohydrate) play an important role in health but protein is thought to be of great importance during weight loss as research has shown it is the most satiating macronutrient.
 
US photographer Leibovitz wins top prize in SpainUS photographer Leibovitz wins top prize in Spain
23/5/2013 16:20
Spain honoured the US photographer Annie Leibovitz, known for her iconic portraits of a naked John Lennon and a pregnant Demi Moore, with its top humanities prize on Thursday
 
Women kicked out of mall for expletive cancer capsWomen kicked out of mall for expletive cancer caps
23/5/2013 16:12
Two women were reportedly kicked out of a Pennsylvania mall for sporting expletive cancer caps.
 
Thunderstorms pummel US tornado disaster zoneThunderstorms pummel US tornado disaster zone
23/5/2013 15:40
Severe thunderstorms barreled through this Oklahoma City suburb at dawn Thursday, complicating clean-up efforts three days after a powerful tornado killed 24 people and destroyed 2,400 homes.
 
Eleven ways to have a rocking married lifeEleven ways to have a rocking married life
23/5/2013 14:17
With divorces throwing many marriages apart, there are those who feel that this institution is in urgent need of an overhaul if it is to remain relevant and not become the sham modern marriages are increasingly ending up as.
 
Stockholm youth riots spread to southern suburbsStockholm youth riots spread to southern suburbs
23/5/2013 14:20
Youths threw stones at Swedish firefighters and police officers overnight Thursday as a fourth consecutive night of unrest swept into the southern suburbs of the capital, Stockholm
 
UN chief visits Goma after deadly fightingUN chief visits Goma after deadly fighting
23/5/2013 14:07
UN chief Ban Ki-moon arrived in the DR Congo flashpoint city of Goma on Thursday after three days of sometimes deadly fighting between rebels and government forces
 
Tunisia making progress against 'terror' groups
23/5/2013 13:47
Prime Minister Ali Larayedh said on Thursday that Tunisia is making progress in its bid to dismantle "terrorist" cells despite the presence in the country of armed groups and recent clashes with Islamists
 
Soldier's murder is attack on Britain, betrayal of Islam: Prime MinisterSoldier's murder is attack on Britain, betrayal of Islam: Prime Minister
23/5/2013 13:27
Prime Minister David Cameron said on Thursday the brutal murder of a soldier by two suspected Islamists on a London street was an attack on Britain and a betrayal of Islam.
 
Twilight: Breaking Dawn leads 2013 Teen Choice nomination listTwilight: Breaking Dawn leads 2013 Teen Choice nomination list
23/5/2013 13:03
Vampire film 'Twilight Breaking Dawn Part 2' has topped the 2013 Teen Choice Awards nomination list with seven nods.
 
One way to boost sleep: turn off your tablet, smartphoneOne way to boost sleep: turn off your tablet, smartphone
23/5/2013 12:46
If you want to improve your sleep, a new report published in the journal Nature on Wednesday advises shutting off your tablet well before bedtime.
 
Japanese climber, 80, becomes oldest atop EverestJapanese climber, 80, becomes oldest atop Everest
23/5/2013 12:16
An 80-year-old Japanese mountaineer became the oldest person to reach the top of Mount Everest on Thursday - although his record may last only a few days. An 81-year-old Nepalese man, who held the previous record, plans his own ascent next week.
 
Angelina Jolie’s aunt has breast cancerAngelina Jolie’s aunt has breast cancer
23/5/2013 11:56
Just a week after actress Angelina Jolie announced that she had undergone a double a double mastectomy to reduce her risk of developing breast cancer; her aunt announces that she is battling the disease.
 
Winfrey, Jolie make 'World's Most Powerful' women listWinfrey, Jolie make 'World's Most Powerful' women list
23/5/2013 11:55
Talk show host Oprah Winfrey, actress Angelina Jolie and singer/businesswoman Beyonce Knowles have made it onto Forbes magazine' annual 'World's Most Powerful' women list.
 

classifieds

 
jobs

 
mobi
 
African Press Organisation

IMF Executive Board Concludes the 2013 Article IV Consultation with Libya

TRIPOLI, Libya, May 23, 2013/African Press Organization (APO)/ -- On May 17, 2013, the Executive Board of the International Monetary Fund (IMF) concluded the Article IV consultation with Libya.1

Background

The political situation is normalizing, but the government lacks control over parts of the country. While the new government brings together various interest groups, it continues to face a fragmented political landscape and tribal power struggles, which complicate the writing of a new constitution and efforts to reestablish security and the rule of law.

The loss of hydrocarbon revenues during the crisis and UN sanctions on Libya created considerable pressures. On March 17, 2011 the UN Security froze Libya's foreign assets, which made the Central Bank of Libya (CBL) unable to provide adequate foreign exchange to the market. In response to foreign exchange shortages, demand for cash, and increased government spending, on March 6, 2011 the CBL imposed limits on deposit withdrawals. Nevertheless, the impact of the conflict was mitigated by confidence arising from large foreign exchange reserves.

Economic activity collapsed during the conflict with real GDP declining by 62.1 percent and average consumer prices increasing by 15.9 percent. The fall in hydrocarbon exports in 2011 led to a budget deficit of 15.4 percent of GDP and a sharply reduced current account surplus. The restoration of hydrocarbon production underpinned growth of 104.5 percent in 2012 while inflation declined to 6.1 percent. The budget had a surplus of 20.8 percent of GDP and the current account surplus widened to 35.9 percent of GDP.

The financial situation began to normalize in early 2012 after the removal of UN sanctions on the foreign assets of the central bank. In 2012, broad money grew by 11.5 percent with a modest shift from currency into deposits and credit to the private sector increased by 30.3 percent. Although the conflict will have caused asset quality to deteriorate, the systemic impact on the banking system should be modest in light of the liquidity buffer provided by banks' substantial reserves, along with limited claims on the private sector and the implicit government guarantee of loans to state-owned enterprises. Preliminary data show that nonperforming loans increased modestly in 2011 and 2012.

On January 6, 2013, the General National Council (GNC) passed a law banning interest in financial transactions. The law was gazetted on March 21, 2013 and banks will no longer be allowed to pay interest to or receive interest from individuals. Companies and state entities will be prohibited from receiving and paying interest from the beginning of 2015.

Executive Board Assessment

Executive Directors welcomed the rebound in economic activity and the favorable growth outlook. They noted, however, that lingering political and security uncertainties and a pronounced vulnerability to oil price fluctuations add to the significant challenges faced by the transition, including the need to support the reconstruction effort while maintaining macroeconomic stability. Against this backdrop, Directors encouraged the authorities to move rapidly in the implementation of their reform program.

Directors welcomed the authorities' intention to articulate and implement a strategic vision for economic development, including setting up a governance framework based on transparency and accountability. They noted that credible and efficient institutions and a favorable business environment will be crucial to create employment opportunities in the private sector and reduce hydrocarbon dependency.

Directors agreed that promoting financial intermediation is key to fostering macroeconomic stability and growth. In this regard, they encouraged the authorities to develop a comprehensive financial sector reform strategy to streamline regulation and strengthen the supervisory framework. In addition, they urged the authorities to adopt an Anti-Money Laundering/Combating the Financing of Terrorism (AML/CFT) law in line with international standards and devote resources to its effective implementation.

Directors noted that the recently-enacted law banning interest in financial transactions in the absence of Sharia-compliant institutions and framework would preclude conventional bank lending. They recommended that the authorities consider delaying the implementation of the new law until the financial sector is able to comply with it.

Directors noted that expenditure is skewed toward wages and subsidies, which is eroding policy buffers, undermining the fiscal position, and reducing space for priority infrastructure spending. They supported the authorities' efforts to implement an extensive subsidy reform in combination with a safety net and welcomed plans to develop a rules-based medium-term framework that would help ensure fiscal sustainability and intergenerational equity.

Directors welcomed the authorities' intention to adopt a comprehensive reform strategy for public financial management. They urged the authorities to integrate the sovereign wealth fund system into the fiscal framework and prohibit all elements of the system from participating in domestic investment. Directors also encouraged the authorities to enhance transparency and accountability in the governance of the Libyan Investment Authority, consistent with international good practices.

Directors noted that the currency peg to the SDR has served Libya well. They cautioned that continued fiscal expansion is likely to lead to an appreciation of the real exchange rate and deterioration in the external position, which calls for prudent fiscal policy and far-reaching structural reforms to improve external competitiveness and boost non-oil growth prospects.


Libya: Selected Economic and Financial Indicators, 2008–13


2008 2009 2010 2011 2012 2013


(Annual percentage change, unless otherwise indicated)

Production and prices


Real GDP

2.7 -0.8 5.0 -62.1 104.5 20.2

Nonhydrocarbon

6.5 7.1 6.1 -52.5 43.7 24.5

Hydrocarbon

-0.5 -7.7 4.0 -72.0 211.4 16.7

Nominal GDP in billions of U.S. dollars

87.2 63.1 74.8 34.7 81.9 94.6

CPI inflation (average)

0.0 2.0 2.5 15.9 6.1 2.0


(In percent of GDP)

Central government finances


Revenue, of which:

68.4 52.9 64.9 50.3 72.3 72.9

Hydrocarbon

61.3 44.7 58.8 47.8 69.2 69.5

Expenditure and net lending, of which:

43.1 55.9 56.1 65.7 51.5 53.7

Capital expenditure

25.4 26.1 25.6 8.2 5.3 10.8

Overall balance (deficit -)

25.2 -3.0 8.9 -15.4 20.8 19.2

Nonhydrocarbon balance

-36.1 -47.8 -50.0 -63.2 -48.4 -50.3


(Changes as a percent of beginning of the year money) stock)

Money and credit


Money and quasi-money

47.8 12.5 3.6 25.0 11.5 4.5

Credit to the economy

5.6 0.5 4.1 -2.6 4.5 1.4


(In billions of U.S. dollars; unless otherwise indicated)

External Sector


Exports, of which:

62.1 37.1 46.8 19.1 62.2 64.6

Hydrocarbon

60.7 35.7 45.4 18.7 61.0 63.1

Imports

20.9 22.0 24.6 11.2 25.7 30.5

Current account balance

37.1 9.4 14.6 3.2 29.4 24.9

(As percent of GDP)

42.5 14.9 19.5 9.1 35.9 26.3

Overall balance (deficit -)

15.7 5.2 4.5 6.0 16.9 18.2

(As percent of GDP)

18.0 8.3 6.1 17.2 20.7 19.2

Reserves


Total foreign assets (NFA + LIA investments)

126.1 138.3 171.5 176.9 190.3 208.7

Net international reserves

91.9 100.3 101.8 111.6 124.5 142.7

(In months of next year's imports )

40.7 39.0 78.3 41.6 39.1 40.0

Exchange rate (dinar/US$)

1.2 1.3 1.3 1.2 1.3 1.3

Real effective exchange rate (eop)

108.6 104.8 107.0 122.8 147.9 …


Sources: Libyan authorities; and IMF staff estimates and projections.


1 Under Article IV of the IMF's Articles of Agreement, the IMF holds bilateral discussions with members, usually every year. A staff team visits the country, collects economic and financial information, and discusses with officials the country's economic developments and policies. On return to headquarters, the staff prepares a report, which forms the basis for discussion by the Executive Board. At the conclusion of the discussion, the Managing Director, as Chairman of the Board, summarizes the views of Executive Directors, and this summary is transmitted to the country's authorities. An explanation of any qualifiers used in summing up can be found here: http://www.imf.org/external/np/sec/misc/qualifiers.htm.

D.R. CONGO: TOP HUMANITARIAN OFFICIAL CALLS FOR PROTECTION OF CIVILIANS

GOMA, Democratic Republic of Congo, May 23, 2013/African Press Organization (APO)/ -- Humanitarian Coordinator Moustapha Soumaré is calling for all parties to respect international humanitarian law after three people were killed and 14 wounded by shells dropped north-west of the city of Goma on 22 May.

On 22 May, three shells exploded in the crowded neighborhood of Ndosho, located in the north-west of the city of Goma killing three people and wounding another ten. The explosions, which took place next to churches, provoked panic among the population, causing many to flee towards downtown Goma in search of safer haven. The previous night, three shells exploded next to Mugunga III IDP camp, about 10 km west of Goma which hosts 13,000 IDPs, wounding four people and destroying several houses.

“I am very concerned with the developments yesterday in Goma” said Moustapha Soumaré, the Humanitarian Coordinator in DRC. “Civilians have been injured during military operations because military positions and military actions are taking place too close to where civilian populations are located, a violation of International Humanitarian Law. Civilians should not be mistaken for military targets. I call on all parties to take all measures necessary to avoid civilian casualties.”

Thousands of people, including internally displaced persons, have fled insecurity since fighting resumed on 20 May 2013 between the Armed Forces of the Democratic Republic of Congo (FARDC) and the M23 rebellion. Some have sought shelter in churches and schools in the center of Goma town, while others have moved towards the city of Sake, located 25 km west of Goma.

North Kivu, one of the country's mineral rich province, has been destabilized for decades by armed fighting, maintaining the population in a cycle of insecurity and vulnerability.

“As the humanitarian community, we are extremely concerned about the protection of civilians and the insecurity which is hindering our capacity to assist people in urgent need of help. Humanitarian agencies are calling for total, unimpeded access to those in need”, added M. Soumaré.

The mineral-rich province hosts more than 973,000 internally displaced people, representing more than one third of the 2.6 million displaced people in the country. Since November 2012, humanitarian agencies have worked to mobilize the resources required to assist hundreds of thousands of people still displaced or returning home. Humanitarian organizations fear that the current deterioration of the situation risks exposing even more people to increasing suffering and need

Statement Attributable to Under-Secretary-General and Emergency Relief Coordinator Valerie Amos

KHARTOUM, Sudan, May 23, 2013/African Press Organization (APO)/ -- The purpose of my visit to Sudan was two-fold: first, to look at humanitarian operations in the country; and second – given the sometimes difficult relations between the Government of Sudan and the United Nations on humanitarian issues – to work to build trust and confidence so that we are in a stronger position to help meet the humanitarian needs of people in Sudan.


During the last three days I received a warm welcome and had some very constructive and informative meetings with the President, other senior Government officials in Khartoum and Darfur, as well as with UN Member States, UN agencies, NGOs and other humanitarian partners. In all my meetings I have stressed the desire of the international community to assist in meeting the needs of war-affected people in Sudan.


Sudan is a country that faces a number of different challenges: on-going fighting in Darfur; unresolved conflict in South Kordofan and Blue Nile; rebel attacks that have spread recently to North Kordofan; a massive displacement crisis; and high levels of malnutrition in many parts of the country, including Eastern Sudan, where some of the highest malnutrition rates have been recorded.


Since my arrival, I have had a chance to see first-hand the humanitarian situation in Darfur. Yesterday I was in Zam Zam camp for displaced people just outside El Fasher. Despite all the hardship that the people in Zamzam camp have endured over the last ten years, I was sorry to see that they still suffer from a lack of adequate basic services, including schools and the necessary education materials for their children. There are hundreds of thousands of children all over Darfur who were born in camps and who have never known life outside these camps. We cannot forget these children. They are the future of Darfur and of Sudan.


And the women also need our help. Speaking of life in a camp, one woman said to me that she feels like a bird in a cage.


I was particularly shocked when we visited some of the new arrivals in Zam Zam camp. I saw people who had recently fled fighting in South Darfur sheltering under small pieces of tarpaulin in the hot desert sun, in desperate conditions. Although the situation in Northern Darfur, where I visited, is now much calmer than it was earlier this year when fighting erupted in the Jebel Amir gold mining area, in other parts of Darfur fighting has unfortunately continued. The UN estimates that 300,000 people have fled fighting in all of Darfur in the first five months of this year, which is more than the total number of people displaced in the last two years put together. This is an extremely worrying situation and it is clear that humanitarian aid agencies are struggling to cope.


I am concerned that despite overall needs increasing, the amount of funding available to us is decreasing. This is for a variety of reasons, including concerns about where we are permitted to go because of the on-going conflict, competing needs in other countries, and a difficult global economic environment. We have a serious funding crisis in Sudan. We need to attract more funds from our traditional donors, but we also need to expand our partnerships and attract funding from other Governments in the region and elsewhere.


We cannot let Darfur slip off the radar screen of the international community. With 1.4 million people still living in camps, and a majority of the people in Darfur still suffering from inadequate access to basic health care, education and other services, the challenges remain enormous.


We also need to change the way we work. After ten years of major humanitarian operations in Darfur, we need to find more sustainable ways of supporting displaced people who have no other option but to remain in the camps. We need to build stronger bridges between humanitarian and development work. In this regard, I welcome the Darfur Donors Conference which recently saw US$ 3.6 billion in pledges for Darfur, including a commitment of US$ 2.6 billion from the Government of Sudan.


With regard to South Kordofan and Blue Nile, I am pleased to see that aid agencies in Sudan have greater access to war-affected people in Government-controlled areas today than they did a year ago – particularly in Blue Nile. But I am worried about the safety and well-being of civilians in the war-affected areas that are not under Government control.


The stories we hear from refugees arriving in South Sudan and the poor conditions in which many of them arrive, are a constant reminder of the hardships faced by people in the war zone. Farming is affected, food is in short supply and people die every day from a lack of access to adequate health facilities, clean water and other basic services. Ordinary people – men and women, boys and girls, the sick and the elderly – are paying the price. We know this also from those humanitarian organisations which have crossed the border to assist people in desperate need.


The UN and the international community has in the past condemned the Government of Sudan when there have been reports of armed attacks targeting or affecting civilians, as we do everywhere else in the world. However, it is important to note that rebel movements in Sudan are also responsible for similar crimes. I was shocked to hear detailed reports of the recent attacks on civilians and civilian infrastructure by the Sudan Revolutionary Front in Northern Kordofan and parts of South Kordofan. I condemn these attacks on civilians in the strongest terms.


Once again it is the civilians who are paying the biggest price in this war. The people of Sudan have suffered enough. I call on the parties to stop the fighting and to resolve their disputes by peaceful means. And above all, I call on the parties to protect civilians and to respect their obligations under international humanitarian law.


I welcome the direct talks between the Government of Sudan and the SPLM-N that started in April under the auspices of the African Union High Level Implementation Panel. I hope the talks will resume soon and that they will lead to a resolution of the conflict so that people can return to their homes and start to rebuild their lives.


In the meanwhile, the UN has called on both the Government and SPLM-N to agree to a one week moratorium in fighting to allow it to carry out a polio vaccination campaign for 150,000 children under the age of five. Sudan has recently been declared polio free and leaving pockets of unvaccinated children risks reversing this hard-won status. The vaccines have no military value. Both sides have agreed in principle for the vaccination campaign to go ahead, although the SPLM-N has insisted that it should take place from Kenya or Ethiopia rather than from Sudan. We will be meeting with both sides to try to resolve this issue so that the vaccination campaign can take place quickly, before the rainy season makes the roads impassable.


Whether it is Darfur, South Kordofan or Blue Nile, what is needed above all else is for the fighting to stop and for the conflicts to be resolved by peaceful means. The people of Sudan have suffered enough. Everyone I have spoken to in Sudan in the last three days has told me that what this country needs now is peace, not more war.


African Union donates funds to Darfur for development, peace-building

EL FASHER (DARFUR), Sudan, May 23, 2013/African Press Organization (APO)/ -- The African Union (AU) Commission and the joint AU-UN Mission in Darfur 23 May signed an agreement under which the AU will provide nearly US $3 million for a variety of humanitarian, development and peace-building projects in Darfur. These funds were originally part of a US $10 million donation from the Government of Japan for this purpose. According to the agreement, the funds shall be administered by the Trust Fund for the Support of Lasting Peace in Darfur.

UNAMID delivers medical supplies to North Darfur population

EL FASHER (DARFUR), Sudan, May 23, 2013/African Press Organization (APO)/ -- The African Union - United Nations Mission in Darfur (UNAMID) in collaboration with the World Health Organization (WHO) airlifted on 21 May more than 1.5 tons of critically needed medical supplies to thousands of civilians in El Sereif and Saraf Omra localities, North Darfur.


The supplies, which included pharmaceuticals, laboratory supplies and other related items, were immediately transferred to medical facilities in these locations.


This joint effort came after more than 170 cases of Hepatitis "E" were reported in the areas, where, apart from the permanent population, more than 60,000 internally displaced persons have taken refuge.



AfDB Approves a USD 20 million Trade Finance Line of Credit for UT Bank Ghana to Support SMEs and Local Corporates

TUNIS, Tunisia, May 23, 2013/African Press Organization (APO)/ -- The Board of Directors of the African Development Bank (AfDB) (http://www.afdb.org) approved on Tuesday, May 22 a USD 20 million Trade Finance Line of Credit for UT Bank Ghana (UT Bank) to support the trade finance activities of Small and Medium Enterprises (SMEs) and local corporates in Ghana.


Logo: http://www.photos.apo-opa.com/plog-content/images/apo/logos/african-development-bank-2.png


As the Ghanaian economy continues to grow and diversify, there is increasing need to address critical market demand for Trade Finance by supporting businesses in key economic sectors such as agriculture and light manufacturing. This facility will therefore foster financial sector development, enhance regional integration through intra-African trade, and contribute to government revenue generation. Counting roll-overs, the Project is expected to facilitate approximately USD 140 million of trade in essential raw materials, intermediate and finished goods, and equipment to support economic growth in Ghana.


This 3.5-year facility is AfDB's first trade finance intervention in Ghana since its participation in the Ghana Cocoa Board (COCOBOD) syndicated Commodity Finance Facility in 2009. The Project is designed to enhance UT Bank's capacity to provide appropriate trade finance support to SMEs and local corporates, thereby promoting inclusive growth and contributing to Ghana's economic progress.


The facility not only aligns with AfDB's Ten-year (2013-2022) Strategy and Ghana Country Strategy, but also resonates well with UT Bank's strategic intent to become a significant provider of trade finance solutions to SMEs in Ghana. AfDB's additionality in this Project stems from its ability to provide UT Bank with medium term resources that are not readily available in the trade finance market under the prevailing economic environment.


Distributed by the African Press Organization on behalf of the African Development Bank (AfDB).


About UT Bank Ghana: UT Bank is a mid-sized, indigenous Ghanaian bank headquartered in Accra, Ghana. Established in 1997 as a non-bank financial institution, UT Bank has over the years transformed into a full-fledged commercial bank that is recognized as a strong SME partner in Ghana. With strong shareholder support from institutional investors, including major Development Finance Institutions, UT Bank is listed on the Ghana Stock Exchange. It has approximately 600 employees and 26 branches across the country.

http://www.utbankghana.com


Contacts Information: Sabrina Hadjadj Aoul, Senior Communications Officer, T. +216 71 10 26 21 / C. +216 98 70 98 43 / s.hadjadjaoul@afdb.org - Yaw Kuffour, Lead Trade Finance Specialist, T. +216 71 10 22 85 / y.kuffour@afdb.org

Press releases are also available in the Bank's website at http://j.mp/AfDB_Media



AfDB Approves a USD 100 million Risk Participation Agreement with Commerzbank AG to Boost Trade Finance in Africa

TUNIS, Tunisia, May 23, 2013/African Press Organization (APO)/ -- The Board of Directors of the African Development Bank (AfDB) (http://www.afdb.org) approved on Tuesday, May 22, a USD 100 million unfunded Risk Participation Agreement (RPA) between the AfDB and Commerzbank AG under which the two banks will share the default risk on a portfolio of qualifying trade transactions originated by issuing banks in Africa and confirmed by Commerzbank AG. This facility will help address critical market demand for trade finance in Africa by providing support for trade in vital economic sectors such as agribusiness and manufacturing. It will foster financial sector development, regional integration, and increase government revenue generation ultimately improving Africa's sustainable economic growth.


Logo: http://www.photos.apo-opa.com/plog-content/images/apo/logos/african-development-bank-2.png


The majority of African banks have small capital bases which constrain their ability to obtain adequate trade limits from international confirming banks and to undertake sizeable transactions that have significant development impact. Moreover, despite the growth in trade risk distribution globally, local banks in Africa have not significantly benefitted from this growth. AfDB's additionality lies in the use of its “AAA” rating to share trade risk and expand the trade finance capacity of banks in Africa, thereby expanding trade and strengthening regional integration.


This RPA facility, running over a 3-year period, is 50/50 risk sharing arrangement that will enable Commerzbank AG to match AfDB's undertaking in every transaction, thereby creating a maximum portfolio of up to USD 200 million. The facility will also result in the provision of significant support to African banks and SMEs. Counting roll-overs, it is expected to facilitate about USD 1.2 billion of trade in equipment, raw materials, intermediate and finished goods over the 3-year period.


Moreover, the proposed facility aligns with AfDB's Regional Member Countries' priorities to promote trade as was reaffirmed by the African Union at its 18th Ordinary Session in January 2012. It is also in line with the Bank's Ten-year Strategy and Regional Integration Strategies which seek to consolidate its engagement in trade finance in Africa.


Distributed by the African Press Organization on behalf of the African Development Bank (AfDB).


About Commerzbank AG: Commerzbank AG is a leading international bank headquartered in Frankfurt, Germany. It is a leading provider of trade finance in Africa with a trade portfolio of approximately of USD 6 billion and an active network of over 500 correspondent banks on the continent. Commerzbank AG captures significant trade flows in Africa and it is one of the leading European banks in terms of LC issuance and reimbursement in Africa. It has six representative offices in Africa located in Cairo, Tripoli, Addis Ababa, Lagos, Luanda, and Johannesburg. Commerzbank AG's long term ratings are A2/P-1 (Moody's), A/A-1 (S&P) and A+/F1+ (Fitch).For further information please visit: www.commerzbank.com


Contacts Information: Sabrina Hadjadj Aoul, Senior Communications Officer, T. +216 71 10 26 21 / C. +216 98 70 98 43 / s.hadjadjaoul@afdb.org - Yaw Kuffour, Lead Trade Finance Specialist, T. +216 71 10 22 85 / y.kuffour@afdb.org

Press releases are also available in the Bank's website at http://j.mp/AfDB_Media



The African Union condemns the suicide attacks in Arlit and Agadez, in Niger

ADDIS ABABA, Ethiopia, May 23, 2013/African Press Organization (APO)/ -- The Chairperson of the Commission of the African Union (AU), Dr. Nkosazana Dlamini-Zuma, strongly condemns the two suicide attacks that took place this morning in Arlit and Agadez, in Niger. She expresses the AU's full support to the Niger authorities' resolute efforts in the fight against terrorism. She also reiterates the AU's deep appreciation for Niger's contribution to the deployment and operations of the African-led International Support Mission in Mali (AFISMA).


The Chairperson of the Commission stresses that the terrorist aggression against Niger highlights the need for sustained efforts by all African States to combat the scourge of terrorism and transnational organized crime. In this regard, she reiterates the AU's commitment to support the countries of the region, especially in the context of the follow-up to the conclusions of the ministerial meeting on enhancing security cooperation and operationalizing the African Peace and Security Architecture in the Sahelo-Saharan region, held in Nouakchott on 17 March 2013, and those of the regular meetings of the Heads of Security and Intelligence Services of the countries of the region, the first of which took place in Bamako on 18 April 2013.


The Chairperson of the Commission stresses that terrorism and cross-border organized crime are serious threats to peace and security in Africa as well as in the rest of the international community, and calls for increased engagement to overcome these challenges.


ECA urges for shift in Africa's narrative about its development prospects

ADDIS ABABA, Ethiopia, May 23, 2013/African Press Organization (APO)/ -- “Just as our forefathers and foremothers laid the foundation for our dignity and freedom from oppression, we have the collective responsibility to lay a sound basis for the prosperity of present and future generations.” The statement was made by Carlos Lopes, the Executive Secretary of the UN Economic Commission for Africa today at the Twenty-Third Ordinary Session of AU Executive Council holding from 22-23 May ahead of the arrival of the Heads of States and Governments expected over the weekend.

While acknowledging the progress made by the continent over the past 50 years, he urged the Council to not get carried away by the positive assessments coming from the outside world.

“It is essential for Africa to recall its historical challenges, understand its current context and strive to control the narrative about its development prospects,” he said; and stressed the need to undertake our own frank analysis, generate robust home-grown statistics and reach our own conclusions on future directions for the continent and drawing lessons from history and from elsewhere to construct Africa's own transformative agenda.

He also said that it is not a coincidence that due to the emphasis now placed on structural transformation, "we now have an Africa that is growing, more self-confident and playing a greater role on the global scene." “In other words, we are on the cusp of an African Renaissance.”

The Executive Secretary highlighted some key strategic issues for the attention of the Council and that he stressed, must be addressed in order to bring about the structural transformation of the continent: the nature of Africa's relations with the international community; and the need to be rid of negative perceptions.

On relations with the international community, Mr. Lopes called for more profitable partnerships to reinforce the structural transformation of the continent. “It means better negotiation of contracts. It means the ability to attract capital by dispelling myths and misunderstanding of conditions in the continent. It means saying enough when any endeavour is not in favour of Africa. It means Africa first,” he said.

With regard to negative perceptions, he said that Africa needs to be off-radar with regards to conflicts – “be they inter-state, civil wars and insurgencies, terrorism, piracy and the like.” He said that some of these conflict and governance issues continue to define Africa in the eyes of the outside world, yet Africa might be “no worse than other regions in such instances.”

“This means better governance across the board. It means that we have to stem illicit financial flows and ensure participatory governance.”

He told the Council that Africans should not let these negative perception stick any longer and that Africans must “take control of the narrative about this continent and we cannot continue to rely on received wisdom.”

On learning from history and from elsewhere, he called for a construction of Africa's own transformative agenda. “If we are conscious of this, then it becomes quite obvious that the state has an important contribution to make to development,” said Lopes, pointing out that this is with particular regard to industrial policy, the provision of infrastructure, the proper management of natural resources as well as research and development.

He also noted that to come up with an all encompassing and implementable vision, the Africa 2063 project of the African Union to which ECA and the African Development Bank (AfDB) are giving support deserves devoted energy from everyone, including governments, private sector, civil society, women and youth groups.

Mr. Lopes drew from intellectual and trailblazers of panafricansim such as Marcus Garvey, W.E.B. DuBois and George Padmore, Mwalimu Julius Nyerere and acknowledged their role in the pan-African ideals that led to the promotion of continental unity and the establishment of the OAU as a political manifestation of this noble objective, and recalled Patrice Lumumba's assertion, ‘Africa will write its own history and in both north and south, it will be a history of glory and dignity'.

ANGOLA: From Theory to Practice / It's Time to Guarantee the Capacity of Human Rights Defenders to Act / Preliminary findings of a fact-finding mission on the situation of human rights defenders

PARIS, France, May 23, 2013/African Press Organization (APO)/ -- The Observatory for the Protection of Human Rights Defenders, a joint programme of the International Federation for Human Rights (FIDH) and the World Organisation Against Torture (OMCT), carried out a fact-finding mission in Angola, from April 21 to May 1, 2013, to analyse the context in which human rights defenders are operating in the country. The mission delegation met with, amongst others, members of human rights NGOs, journalists, lawyers, artists, along with representatives of national authorities, political parties and foreign diplomatic missions. The first-hand testimonies gathered during the mission and the analysis thereof reveal an environment marked by the persistence of hindrances to the ability of human rights defenders to carry out their activities freely, despite an avowed commitment from the Angolan authorities to strengthen dialogue and cooperation with civil society on human rights issues.


10 years after the end of a 30-year long war which claimed one million lives and left one-third of the population displaced, while Angola is benefiting from a fruitful oil exploitation and growing political influence on the regional and international scenes and despite the recent adoption of legal and institutional reforms to guarantee respect of fundamental rights and freedoms, multiple human rights challenges are yet to be addressed to laying the foundations of democracy and the rule of law in the country. In a socio-political context still marked by the prevalence of widespread poverty, endemic corruption and marginalisation of the opposition, Angolan human rights defenders are facing different kinds of obstacles preventing them from monitoring, documenting and denouncing human rights abuses in a satisfactory manner.


The mission gathered numerous testimonies from human rights defenders, including journalists who are systematically subjected to judicial and administrative harassment, threats and various forms of restrictions to their freedom of association, expression and/or assembly, in particular when they raise “sensitive” concerns on issues such as governance, access to justice, corruption, forced evictions, exploitation of natural resources or the situation in the Cabinda province. The mission delegation also collected information on the evolution of and difficulties faced by the youth movement that emerged in early 2011, calling for the end of a political system based on patronage, inequalities and lack of transparency. Structural impediments to the work of human rights defenders were also raised during the mission. The NGO registration process remains complex, costly and opaque and the NGO sector is crippled by a lack of human resources and financial sustainability.


Furthermore, according to the information collected during the mission, the judiciary is perceived as an institution subservient to political direction, influence and pressure, that does not effectively play its critical role in the defence, protection and enforcement of fundamental rights and freedoms. This bodes ill for the proper and effective operation of human rights defenders.


“Angola is facing tremendous human rights challenges which require the involvement of all relevant actors. Human rights activists have a key role to play in the process to strengthen democracy and the rule of law. Yet, despite the declared willingness of Angolan authorities to abide by their national and international human rights commitments, information collected during our mission depicts an environment marked by a persistent distrust of dissenting voices, a context we consider to be detrimental to the building up of a strong and sustainable civil society ”, declared Justice Thomas Masuku, who headed the mission delegation.


The Observatory will soon release a full mission report on the situation on human rights defenders in Angola with specific recommendations to the authorities, aimed at guaranteeing the rights of human rights defenders in the country.


 
http://www.dmma.co.za/ sudoku