Rwanda: Latest News
Staff, 3:59 pm
Wind and solar power in Africa are short-term solutions that cannot fix serious, immediate problems. African cities need abundant, reliable electricity, and they need it now. Wind and solar do not equal real economic development or really improved living standards. African governments need to stand up to Europeans, global banks and environmentalists who oppose big power plants in Africa. Our leaders need to remember that Europe and the U.S. did not have a World Bank or other outside help when they modernized and industrialized. They did it themselves.
Staff, 2:57 pm
At a time when aid is under political pressure, a bold approach is needed to maximize the efficiency of donor resources. While governments in Africa are spending more on public infrastructure themselves, outside finance is still required, especially for regional projects — rarely a priority for national governments. Aid from Africa’s traditionally generous foreign donors is set to shrink. There may be a solution. The “Big Bond” is a strategy for leveraging foreign aid funds in international capital markets to generate financing for massive infrastructure investment.
Staff, 12:01 am
The fall in African private equity investment in 2016 could be a short-term blip. Among the losers was US-based Carlyle, one of the world’s winningest investment firms. Carlyle invested $147m in Nigeria’s Diamond Bank in 2014. The bank’s market cap fell by 90% over the subsequent two years. Bob Geldof’s PE firm 8 Miles just invested in Blue Skies, a British fruit firm that operates in Africa. Utilities including telecoms were the most popular target for private equity investment in 2016. West Africa was the most active region.
Peter Pedroncelli, 2:18 am AFKI Original
Many countries in Africa have extremely high central bank interest rates compared to most of the world, but there are some who boast lower rates that compare favourably on a global scale. Lower interest rates allow the people of that country to be able to afford loans and pay them back at more favourable rates versus countries where the interest rates are much higher. In comparison, the United States federal reserve has an interest rate of 1 percent, while the United Kingdom’s rate is currently set at 0.25 percent. We take a look at 13 African countries with the lowest central bank interest rates.
Tom Jackson, 10:06 am AFKI Original
Vancouver tech innovator Barrett Nash was drawn to Rwanda for its repuation as an easy place to start a tech business. Rwanda issues entrepreneur visas to foreigners. It’s a lab-like environment where innovations can be cooked up and then brought to other African markets, Nash said. “Many startups try to conquer a market before they’ve mastered a product. A startup needs to grow into markets like Lagos and Nairobi, but getting the product right first is more important. Rwanda has created a continent-leading platform for taking this first pivotal step.”
Dana Sanchez, 4:10 pm
For many Western companies, Africa is a fresh start — an opportunity to build facilities and processes that are environmentally friendly and safe. And don’t forget the tax breaks. Manufacturing in Africa is expensive, training and the quality control are expensive. Most apparel will continue to be made in Asian countries where labor is still relatively cheap and infrastructure, in place. But in China, the world’s apparel manufacturing leader, wages have increased 80% since 2010.
Dana Sanchez, 1:02 pm
It’s not just Africa that needs research and researchers for its own use. The world needs African researchers — 1 million of them in the next 10 years — and a leading U.K. university hopes to help bridge the gap. The world needs the unique knowledge and perspective that African researchers can provide to solve shared global challenges, says David Dunne, director of the Cambridge-Africa Programme. “We can’t have a situation where 14% of the world’s population — living on a continent with unique culture, diversity and environment — contributes less than 1% of published research output.”
Dana Sanchez, 4:16 pm
The world’s largest furniture and homeware store, Ikea, has collaborated with some of the best designers in seven sub-Sahran African countries to curate its first African collection in what is described as an effort to “democratize design.” Ikea says it wants to tap into the “creative explosion” happening across the continent. The furniture and homeware collection will focus on “modern rituals and the importance they play in the home.” The collection probably won’t be accessible in the African cities that inspired it. Ikea’s only African outlets are in Morocco and Egypt.
Dana Sanchez, 12:35 pm
Facebook beat Wall Street expectations for sales and user growth in the fourth quarter of 2016, and it credits Internet.org, its free basic version of the internet in developing countries, for helping make that happen. It added more users worldwide in the fourth quarter than any quarter since the company went public in 2012. Founder Mark Zuckerberg’s vision is to get more Africans online. “This isn’t a purely altruistic venture,” an analyst said. Internet.org, is available in 23 African countries through partnerships with mobile operators.
Staff, 12:55 pm
To fulfill its economic potential, Africa must industrialize and it’s well suited to do so. The question is how. The economic growth experienced in recent decades has not been sustainable or inclusive. Africa’s economies must move beyond producing raw materials to build competitive manufacturing with added value. Developed countries’ experiences will help Africa avoid the pitfalls of unbridled industrialization, especially environmental damage. Africa is committed to industrialization. The process is already underway in Ethiopia, Ghana, Rwanda, and Senegal.
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