DIPLOMAT East Africa - Volume 3 by Sven Boermeester

>>The Dying Art of Oratory PG 65 May - June 2010

Volume 003

Door to Region, Window on World

Football Fiesta

South Africa Hosts Soccer's Global Party PROTOCOL: Envoys Back Geneva Rules PG 25 BUSINESS: Regional Lobby Campaigns PG 39 Kenya KSh300

Uganda USh9000

Tanzania TSh7500

Rwanda RWFr3000

Burundi BUFr6000

South Africa R30

Rest of Africa US$4

USA $4

UK £3

Canada $5

Rest of Europe €3.5

•DIPLOMATIC LICENCE

South Africa Hosts Soccer's Global Party

very four years the world holds a mammoth month-long party. All and sundry and from all corners of the planet are invited, usually four years in advance. There is no dress code, but most usually flaunt their national colours and because they are creative with their attire this adds to the allure and spectacle of the global party. The end of this party usually sets in motion a four-year-long party in one country and a mourning period of similar length in another. While celebration and heartbreak are two sides of any competition, Africa can’t wait to celebrate the very advent of the party. If at the end of it an African country will celebrate for another four years that will be the icing on the cake. Welcome to the FIFA 2010 World Cup, the world’s greatest mass spectator sporting jamboree. This year’s cup is also the richest yet. The words of South Africa’s High Commissioner to Kenya, HE Tony Msimanga, carried in our March/April issue, will forever ring true: “Africa is living this World Cup and South Africa is hosting it. So this is our moment, our continent, our time and our World Cup.” We concur unreservedly. The FIFA World Cup which kicks off in South Africa on June 11 is Africa’s World Cup for several reasons. One, this is the first time the continent is hosting the finals of the premier competition of the planet’s most popular sport – football. Two, we of this continent have not had a chance to cheer our own teams and stars or the world’s football powers and their stars — or our favourite stars of the South American, European and Asian football leagues participating in this event — from close quarters. Three, never before has an African country had the honour of bringing to these shores so many people and so many cultures from all corners of the globe and for a prolonged party of friendship and passion, joyous celebration and, of course, the inevitable heartbreak. This is a great time for Africa to show the world it is made of caring and friendly and forward-looking, planning and purposeful, pleasant and proud people. Africans are keen to compete as well as organise, welcome as well as entertain and ready to play their rightful roles in world affairs. Four, the joy of the continent in hosting this World Cup is evident in the huge numbers of Africans who

have since 2006 scrimped and saved, worked early and late, long and hard to be able to make the journey to South Africa from the North and South, East and West corners of the continent. Five, Africans will be able for the first time to cheer their five teams on their own continent, which is also to say that South Africa’s Bafana Bafana, Ghana’s Black Stars, Cote d’Ivoire’s Elephants, Nigeria’s Super Eagles and Algeria’s Desert Foxes will have their supporters within shouting distance. African players have and continue to make a mark on the European football stage, arguably the most fiercely competitive of all football theatres in the world. But this time round, barring injuries, these stars who dazzle the world and their continent from worlds away will be on parade before their own adoring fans. Six, with the World Cup have come tourists, most of whom have seized this chance to see more than South Africa. African hospitality has been, and still remains, on show for all to Welcome to see and savour. There are businesspeople in South Africa and the FIFA 2010 on the continent at large who World Cup, the have travelled here because world’s greatest of, or taking advantage of, the mass spectator FIFA World Cup. On their way out they will sporting have known that Africa is the jamboree new business frontier; they will have seen and observed that African governments are keen to attract investors and visitors to their countries. That is to say they will have noticed the vast business opportunities available and be convinced African economies are the next tigers. Last, which could well be first, this is the right time for an African team to lift the FIFA World Cup trophy. It can be done. In 2002, debuting Senegal’s Lions of Teranga beat defending champion France and Algeria outfoxed and beat mighty West Germany 2-1 in Spain in 1982. Yes, Africa’s time has come!

May - June 2010

•IMMUNITIES & IMPUNITIES

Heard and Quoted “HE prayed with them and assured them that the church is doing, and will continue to do, all in its power to investigate allegations, to bring to justice those responsible for abuse and to implement effective measures designed to safeguard young people in future.” — An April Vatican statement from Malta, where the Pope met a group of clerical sex-abuse victims

“THE use of the phrase ‘special relationship’ in its historical sense, to describe the totality of the ever-evolving UK-US relationship, is potentially misleading and we recommend that its use should be avoided. “We have a special relationship with the US, but we must remember that so too do other countries, including regional neighbours, strategic allies and partners. The UK must continue to position itself closely alongside the US but there is need to be less deferential and more willing to say ‘no’ when our interests diverge.” — Mike Gapes, chairman of the then British House Foreign Affairs Committee in March

“Many people in this world do not recognise Nepal for its abundant resources and ancient civilisation yet they know Nepal as a politically unstable and economically poor country. This is not the final truth about Nepal.” — Binayuk Shah, Director of Nepal’s National Pavilion at the Shanghai 2010 Expo in China, in an interview with Xinhua News Agency.

May - June 2010

“The rumours regarding my engagement simply aren’t true. Jason is my manager and dearest friend. I love him with all my heart.” — Seventy-eight-year-old Elizabeth Taylor on her Twitter in April, quashing rumours she was about to marry husband Number 9

May - June 2010

•DIPLOSPEAK Have Your Say

Your Headlines Thrilled Me… YOU’VE SET THE BAR, NOW BEST IT!

RANT/RAVE

I was attracted to DEA by a review of it by renowned journalist Mutegi Njau of Citizen TV’s Power Breakfast Show. What caught my attention is the fact that Mutegi had good words to say about your magazine. This got me thinking, for I know Mutegi to be one who does not mince words in his criticism of the media. From his positive commentary, I knew this was a magazine I had to lay my hands on. I have not been disappointed. My only worry is that you have set yourselves such enviably high standards that the challenge facing you is how to maintain them. In fact, by setting such high standards and deciding to target a very segmented and specialised market, you will have to convince everybody that you have the energy to sustain that tempo by surpassing your already high standards! PROF HENRY BWISA, Jomo Kenyatta University, Nairobi

DON’T BE SHY Congratulations on a good-looking magazine. But does it read as well? Am not sure it does. Why? Because your story on the coming Presidential elections in Uganda has only incumbent Museveni pitted against his long-standing rival Dr Kizza Besigye, but are they the only ones who have expressed an interest in this seat? If there are others they deserve a mention. And why are you shy about declaring that South Sudan

I was attracted to DEA by a review of it by renowned journalist Mutegi Njau of Citizen TV’s Power Breakfast Show

will next year be Africa’s newest nation? All the hints are there in your two stories, but you do not say it loudly and clearly. This is the era of breaking news, isn’t it, sir? GODFREY K, Kampala

THRILLING HEADLINES DEA is a great read. It is your magazine that told us before anyone else that ticket sales for the FIFA World Cup in South Africa were dismal. Soon, the BBC followed and soon afterwards FIFA acted to make tickets available over the counter. That was a fantastic story by Alex Duval Smith. But over and above all this, it is your headlines that thrilled me — ‘Coalition of Collision’ (Kenya), ‘A Nation’s Tension Headache’ (Nigeria), ‘Isle of Darkness’ (Zanzibar), ‘Say it with the Kanga or Tell it on the Leso!’ (Culture) and ‘Libidoin-Chief’ (With a Light Touch). Keep up the good work. BRENDA SUNDAY, Zanzibar

May - June 2010

>>Damned By Omo River Dam PG 14 March - April 2010

Volume 002

Door to Region, Window on World

Resurgent Rwanda The Come-back Country

President Paul Kagame

UNITED NATIONS >>: Anna Tibaijuka's agenda PG 23 WORLD CUP >>: Africa's sporting bonanza PG 84 Kenya KSh300

Uganda USh9000

Tanzania TSh7500

Rwanda RWFr3000

Burundi BUFr6000

South Africa R30

Rest of Africa US$4

USA $4

UK £3

Canada $5

Rest of Europe €3.5

ONE-SIDED ABOUT KAGAME Your headline (Resurgent Rwanda) and kicker (The Come-back Country) were great for your shop-window, but, alas, that was it! True, President Paul Kagame has many positives going for him, but he also has many negatives. Why turn a blind eye on his failures and obvious ruthlessness? But I must say I admired your coverage of Sudan and Somalia, which was brilliantly prefaced by the piece titled ‘Arc of Crises’. ZAMBONANGA, Arusha, Tanzania

WE'D LOVE TO HEAR FROM YOU: Send your letters to, letters@ diplomateastafrica.com. Submission of a letter constitutes permission to publish it in any form or medium. Letters may be edited for reasons of space and clarity.

DISCLAIMER: All letters submitted to Diplomat East Africa are presumed to be intended for publication. The editor reserves the right to edit all letters. Readers are advised to keep their letters short and to submit their names and addresses even when these are not to be published.

PLEASE SHAPE UP! Of course, you are a bi-monthly, but what gives you the impression that’s time enough for us to plough through 100 pages of a magazine? You are too fat; shape up or we will never ship in! CATHERINE KADOH, Gigiri, Kenya

WHAT ARRANT NONSENSE! You gave acres of space to two academics to heap scorn on the age-old traditions of diplomacy, arguing that these are anachronistic. What arrant nonsense! Please give the opposing side space — same size and position — to sing praises to the values of the Geneva Protocols. SANE ADEBAYO, Bujumbura

>>The Dying Art of Oratory PG 65 May - June 2010

Volume 003

Door to Region, Window on World

Volume No 003 • May - June 2010

Football F b ll Fiesta Fi

South Africa Hosts Soccer's Global Party PROTOCOL: Envoys Back Geneva Rules PG 25 BUSINESS: Regional Lobby Campaigns PG 39 Kenya KSh300

Uganda USh9000

Tanzania TSh7500

Rwanda RWFr3000

Burundi BUFr6000

South Africa R30

Rest of Africa US$4

USA $4

UK £3

Canada $5

Rest of Europe €3.5

PUBLISHER Global Village Publishers (EA) Limited PO Box 23399-00625, Nairobi Vision Plaza, Ground Floor, Suite 19, Mombasa Road, Nairobi

TELEPHONES Landline: 020 2525253/4/5 Mobile: 0722 401739, 0722 787345 E-mail: habari@diplomateastafrica.com Feedback: editor@diplomateastafrica.com Subscription: subs@diplomateastafrica.com Website: www.diplomateastafrica.com

CONTENTS Table of

EDITORIAL Editorial Director: Kwendo Opanga Consulting Editor: Matt K Gathigira Managing Editor: Bob Job Wekesa Culture Editor: Ngari Gituku Staff Writers: Wycliffe Muga, Patrick Wachira, Jane Mwangi, Baron Khamadi, Christopher Mburu, Kiishweko Orton, Carol Gachiengo

MARKETING & SALES Marketing Director: Simon Mugo

BUSINESS EXECUTIVES Cornellius Mambili James Ngina Chris Nyaoro Derrick Wanjawa Eunice Kiarie Serah Wamaitha Paul Mucheru

DESIGN TEAM Daniel Kihara William Odidi Raphael Mokora

PHOTOGRAPHY Yahya Mohamed

CONTRIBUTORS Alex Duval Smith,Pretoria Biko Jackson, Nairobi Godwin Muhwezi, Arusha Edward Githae, Kigali Francis Sang’, Nairobi Godfrey Musila, Johannesburg John Gachie, Juba John Mulaa, Washington DC Julius Mbaluto, London Manoah Esipisu, London Mildred Ngesa, Nairobi Mishaeli Ondieki, Los Angeles Rodney Muhumuza, Kampala Peter Mwaura, Nairobi Robert Mugo, Alberta, Canada Wangari Maathai, Nairobi

CIRCULATION & SUBSCRIPTION Stephen Otieno

ADMINISTRATION Josephine Wambui

PRINTER

PG 86 DIPLOMATIC LICENSE

PG 84

CULTURE

Soccer’s Global Party ......................................

IMMUNITIES & IMPUNITIES..........

THE REGION Elections in the Region ............................... .. 6-12 Uganda’s Gays Debate .................................. 13 Hurdles to EA Political Federation .............. 14

Is Oratory a Dying Art? ................................. 65 EA The Cradle of intellect ........................... 66-67 Book Review: EA's Pop Culture ................................................. 69 Paulina-George: Authentic African Designer ........................ 70 – 71

EDUCATION E-Learning Empowers Africa ....................

DNA Horn of Trouble ............................................. 16-17 The Sudan: New Nation on the Cards ...................................... 20 Reprieve for the Jumbo ................................. 21-24 Nigeria, Cuba, Malaysia Envoys Speak ................................. 25-27 Russia Celebrates Victory Day .................................................... 29-31 Ramification of UK's Cliff - Edge Elections .................................... 33

Ramco Printing Works

CONFERENCING Meetings and Events as Tourism ............. Opportunity in Carbon Credits ................ Pan-African Media Caucus .......................

77-78 79 80

AT THE WHEEL China Takes Over Volvo .............................

GLOBAL STAGE Nigeria: Goodluck Jonathan takes over..................

82-83

ECONOMY DISCLAIMER: Diplomat East Africa may not be copied and or transmitted or stored in any way or form, electronically or otherwise, without the prior and written consent of the publisher. Diplomat East Africa is published at Vision Plaza, Second Floor, Suite 37, Mombasa Road, by Global Village Publishers (EA) Limited, Box 23399 – 0625, and Telephone 020-2525253/4/5. Registered at the GPO as a newspaper.

World Bank President on Third World ......... 36-38

COVER STORY FIFA World Cup Fever ...............................

84-94

SPECIAL REPORTS Grain Bulk Handlers ...................................... 39-50 East Africa Business Competitiveness ........................................... 53-62

DIARY What to Watch Out For, June-July 2010 .................................................

May - June 2010

•THE REGION Eastern Africa Beat

TANZANIA: Gearing for elections

Opposition Could Make Giant Leap after October, But… Political party income and expenditure will be monitored, as well as candidates’ election expenses, writes KIISHWEKO ORTON

PRESIDENT KIKWETE:

Eyeing second term

May - June 2010

ecent Opposition chest-thumping to the effect that they will increase legislator numbers come the October General Election gained momentum when the ruling Chama Cha Mapinduzi’s own outspoken MP for Kishapu, Mr Fred Mpendazoe, defected to them. The Opposition insists that the CCM votes will drop at all levels, implying that it would lose ground on an unprecedented basis. But CCM stalwarts are adamant that such claims must be dismissed without further ado. The reason, they claim, is that they are not backed by a shred of evidence or serious analysis of fact. However, local commentators

have argued that while the Opposition has not put its house in order to the extent of securing the Presidency, the number of its legislators may well increase in the Dodoma Parliament in October. The argument is largely hinged on the recent signing of the Elections Expenses Act 2009 by President Jakaya Mrisho Kikwete, which, they say, may snatch victory from rich CCM MPs since it limits the amount of finances that may be put into an election. In his four-and-a-half years at the helm, President Kikwete has vowed to ensure the credibility of Tanzania’s democracy by imposing tighter controls on election financing. Speaking to Diplomat East Africa, the Head of the Political Science and Public Administration Department of the University of Dar es Salaam, Dr Benson Bana, said the President seemed to have left no doubt over his commitment to fighting electoral graft. “The President tried to educate the public about the Election Expenses Bill he signed. This has also left no doubts that he intends to ensure there are clean elections this year,” Dr Bana observed. The don, who is also cochairman of Research and Education for Democracy in Tanzania (REDET), said the President will, after his term in

•THE REGION Eastern Africa Beat

office, among other things, be remembered for his anti-corruption crusade. He argued that the law is crucial to ensuring the credibility of councillors, legislative and Presidential elections in October, the fourth to be held since the country returned to a multi-party political system. “The whole electoral process... right from nomination of a candidate by a political party to actual election and activities after the polls, can all be subjected to legal scrutiny under the new law,” he observed. Signing the Bill, the President said his government, after ex-

tensive deliberations, decided to have the new Act to curb corruption in elections, noting that, if implemented properly, the new law would make leadership in the nation transparent to all. In the new setting, political party income and expenditure will be monitored, as well as candidates’ election expenses. The all-important new law makes provisions for, among other things, the funding of the nomination process, elections campaigns and elections in general. It all aims at dealing with ‘dirty’ money, illegal practices in the nomination process. It aims at providing for allocation, management and accountability of funds used in elections and campaigns. But local observers note that the law’s tighter controls on election funding is what may secure some more Opposition members more places if they sell their policies well enough to the rural electorate at the cost of ruling party legislators who initially engaged in vote-buying. Interestingly, the House has lately seen a new breed of younger people from higher learning institutions whose political character is more inclined to the opposition and who seem to speak to the aspirations of the voting class of Tanzanians. One of the weakest links has been the youth, especially in the urban centres. This shall be one of ruling party CCM’s major focal points over the next few months

BRIEFLY UGANDA

IDPs: Uganda Scores Uganda is the first African Union member state to ratify the AU Convention for the Protection and Assistance of Internally Displaced Persons in Africa, dubbed the Kampala Convention. Its instruments for ratification of the Convention with the Commission were deposited on March 4, 2010. Africa still hosts more than 17 million refugees and internally displaced persons (IDPs).

ADDIS ABABA

Maritime Strategy The AU has put together an African Integrated Maritime Strategy (AIMStrategy) to foster understanding of existing and potential challenges and allocation of resources to identified priorities. It also aims at designing a comprehensive, concerted, coherent and coordinated approach to improving maritime conditions in respect of environmental and socio-economic development. THE GAMBIA

Architecture Matters A Meeting of the African Governance Architecture in Banjul, The Gambia, has agreed on the appointment of focal points from all core institutions. The meeting also agreed on the development and circulation of the rules of procedure by the AUC as well as adoption of rules of procedure and launch of the platform by the core institutions. It was agreed that a communication and popularization strategy on the AGA concept be developed. — Reports by Xinhua News Agency

May - June 2010

•THE REGION Eastern Africa Beat

ZANZIBAR: Smooth elections anticipated

Why Karume Said No to ‘Third Term’ Sworn enemies of yore are making up this time round, reports KIISHWEKO ORTON

or the first time in the last three multiparty elections, Zanzibar elections are apparently shaping up with a sense of calm on either side of the political divide, save for some reservations during the first phase of a voter registration exercise last September. A calmer journey took shape when President Aman Abeid Karume and Opposition leader Maalim Seif broke the four-year standoff by agreeing to settle their political differences in November. But a month later, a high sense of irony in every sense took shape when the opposition Civic United Front, who had for four years refused to recognize Karume as the President of Zanzibar were the front-liners in calling for the Isles to head to go for a fourth term come this October, when the elections take place. RECONCILIATION

The subsequent political debate on the constitutionality of the call came hardly a few weeks after CUF and CCM made a breakthrough after being at loggerheads since the 2005 elections. President Karume’s second and final five-year term is due to end later this year, but his two former most significant critics, the CUF Secretary General Seif and the party Foreign Affairs Director Ismail Jussa came over to his side head-over-heels, telling the na-

tion that there was a need to allow Dr Karume to consolidate peace initiatives in the Isles. Karume kept silent but later came out to announce that he was against the move. The two seemed to lead the Third Term chorus, noting that “there is nothing wrong in letting him finish what he has started”. Here, they meant that since they had just made an agreement whose content no one knew, the current Isles President should be allowed to continue in office, so that he “can get the time” to consolidate what they just agreed upon in November last year. At the time in late December, it was unclear whether the ruling party, the Chama cha Mapinduzi (CCM) supported calls for Dr Karume to be given another term. Former Karume critic Jussa, made a legislator recently, observed: “Reconciliation in Zanzibar is more important than elections. We have had many elections in the past, but all have been a source of divisions rather than unity among the people.” Zanzibar had four elections before the 1964 Revolution — in July 1957, January 1961, June 1961 and July 1963, and three in 1995, 2000 and 2005 after the reintroduction of plural politics in 1992. “With the possible exception of the 1957 elections, none were conducted to the full satisfaction of the electorate,” Jussa told this writer.

May - June 2010

ISLES PRESIDENT:

On the home stretch

President Karume’s second and final five-year term is due to end later this year

CUF noted that what was really missing in Zanzibar was the people’s trust in institutions charged with organising and overseeing elections. They further hinged their arguments on a call that lasting harmony could only be attained in Zanzibar if the source of the mistrust that had existed for decades in the Isles were addressed. According to Jussa, contrary to the views of many, the problem in Zanzibar was neither historical nor did it have anything to do with the perceived differences between people hailing from Unguja and Pemba: “The problem in Zanzibar is antagonism between followers of the two largest parties in the Isles”. He added that the mistrust dated back to 1988, when several senior CUF officials were expelled from CCM. A lasting solution, he said, could only be found through building trust between the two political camps by making them work together in the running of State affairs. Fears reigned high that one of the CUF Members of the House of Representatives was to table a Private Motion during the February session seeking to lay the ground for the formation of an interim government, which would have seen President Karume being given another three years in office. But whether Dr Karume would be given another term was a constitutional matter, which could not be decided by a political party. It was the CCM’s propaganda secretary in Zanzibar, Mr Vuai Ali Vuai’s argument which seemed to have changed the political chessboard when he said that changing the Constitution to allow an extra Presidential term “will curtail democracy in Zanzibar”

â&#x20AC;˘THE REGION Eastern Africa Beat

RWANDA: Opposition cries foul

Another Kagame Avalanche in the Offing? A frisson of excitement and anticipation courses through the nation, but so does intimidation of Opposition off cials, EDWARD GITHAE reports The incumbent President Kagame vied for the first Presidential election, held in 2003. He romped home in the polls, which marked the end of nine years of transitional government. He won a seven-year term after running on a platform of national unity, boosting economic growth, strengthening governance and delivering justice. He has been the dominant figure in Rwandan politics since the Genocide over a decadeand-a- half ago. His popularity across the country is due in no small part due to

his successes of rebuilding and reconciliation. During his Presidency, Kagame has always had an unpretentious yet imposing presence. He is attentive, articulate and presents a clear vision for his country. He believes in economic development as the key to reducing poverty and advancing Rwanda. Sixteen years after the Genocide, Rwanda has embraced a new model of economic development. UNITED DEMOCRATIC FORCES (FDU-INKINGI). The PHOTO: DEA LIBRARY

n August 9 this year, Rwandans go to the polls to elect a government that will be in office for the next seven years. President Paul Kagame, the flagbearer of the ruling Rwanda Patriotic Front (RPF), is likely to face off with candidates from the United Democratic Forces of Rwanda, the Democratic Green Party and the Parti Social Imberakuri. The forthcoming election, unlike that held in 2003, has already created a frisson of excitement and anticipation, with use of intimidation targeting opposition officials being reported. At the moment, it is difficult to distinguish fact from fiction in such a highly charged environment. In recent times, grenade explosions in Kigali have set off a flurry of speculation about who is to blame, and reignited a debate about political space in Rwanda as the elections approach. The scenario has rather degenerated to using rhetoric and discourses on trivial and procedural matters rather than substantive matters such as the living conditions, development, poverty alleviation, rule of law, democratic and civic rights, and transparency in the use of public funds. Below is a breakdown of the main players in the race: PRESIDENT KAGAME â&#x20AC;&#x201D; RWANDA PATRIOTIC FRONT

VICTOIRE INGABIRE:

Demanded Government protection

May - June 2010

•THE REGION Eastern Africa Beat

party’s flag-bearer, Victoire Ingabire Umuhoza, left Rwanda for the Netherlands in March 1994. Prior to this, she worked with the Rwandan Customs Department of the Ministry of Finance. Ingabire lived in the Netherlands for 16 years before she quit her job as a financial manager with an American firm in 2009, to vie for the August elections. She will be the first female Presidential candidate in Rwandan history. “I come for peace and this peace will guide my political action to eradicate injustice and to break all the chains that imprison us,” Ingabire said upon landing on Rwandan soil 16 years after she left the country. Ingabire is seen as the strongest challenger to the President. However, despite the razzmatazz of her return from exile, she stirs controversy. Recently, she demanded Government protection after an unidentified youth group attacked her aide in Kigali. Opposition groups condemned the attack and accused President Kagame’s ruling Patriotic Front Party (RPF) of complicity, an allegation RPF refutes. Ingabire also came under fire for purportedly making assertions that Genocide survivor groups under their umbrella body IBUKA considered insulting. Local political analysts say the latest attack against Ingabire could have resulted from her recent controversial remarks. Kagame’s RPF Party has been swift and hard-hitting, accusing her of both “revisionism” and “divisionism” regarding the history of the mass killings in Rwanda in 1994. DEMOCRATIC GREEN PARTY

The Democratic Green Party, with a leadership drawn mainly

from English-speaking Rwandans. Its President is Frank Habineza and its Secretary General Charles Kabanda, one of the founders of the RPF in the 1980s in Uganda. The Green Democratic Party was launched in August 2009 in Kigali with the aim of creating a genuine and broad-based Opposition with a progressive and ecological vision. The yet-to-beregistered party has also been stopped several times in its efforts to organise its meetings.

He is accused of harbouring the “genocidal ideology” and is linked to elements behind recent grenade attacks in the capital. However, Ntaganda accuses the ruling RPF of being behind repeated attempts to remove him as party chief, with the aim of “destroying” the party. ALLIANCE

LOUISE MSHIKIWABO:

Kagame's RPF has accused Ingabire of 'revisionism' and 'divisionism' concerning the Genocide

PS IMBERAKURI

A relatively new party, having been formed in January 2009, the PS Imberakuri was created by exmembers of the Social Democratic Party (PSD), who claim to have abandoned the latter due to its continued alignment to the ruling RPF. Until recently, it was headed by Bernard Ntaganda, a lawyer by profession, who also served as a former chairman of a renowned Rwandan football club. Despite being the only registered opposition party, PS Imberakuri has had wrangles since its formation. In an idiosyncratic twist of fate, Ntaganda was deposed as party leader during an extraordinary meeting in which his deputy chief, Christine Mukabunane, assumed leadership until a new chairperson is elected soon.

May - June 2010

STATS &FACTS Ingabire returned to Rwanda 16 years after she left the country

During his monthly press conference late last month, President Kagame stated that Rwanda accepts divergent political views and political parties as long as they meet the requirements of the law. Singling out Ingabire and Ntaganda, Kagame added that it is disrespectful foreigners should view the Rwandan society through the prism of such people. This presents a number of imponderables regarding whether some of these prospective opposition candidates would vie for the elections. Faced with this situation, the three opposition parties have set up an alliance known as Conseil de Concertation Permanent des Partis de l’Opposition, to enable them to widen the democratic space by taking a common position on certain subjects and joint lobbying nationally and internationally. Presently, the group seems appallingly frail and ill-equipped for the elections. With Ingabire and Habineza yet to register their respective parties, amidst cries of intimidation, they may opt to back PS-Imberakuri’s Ntaganda. Before D-Day, there is interest about how the canvas is likely to unfold now until Election Day: bittersweet, even jagged. And with RPF riding roughshod over the Rwandan heartland, the opposition is in for a real shocker

•THE REGION Eastern Africa Beat

KENYA: State versus Church

Fight Over New Constitution By PATRICK WACHIRA

PHOTO: DEA LIBRARY

HE collective psyche of Kenyans, who are fond of describing themselves as political animals to the last man and woman, has its sights firmly trained on a new Constitution by year’s end. That is only if the current momentum and direction are maintained and sustained at the tempo leaders and politicians are fast losing control of. And the only bridge to be crossed, one that may prove to be too far, depending on the events of June, is a national referendum in which Kenyans will either affirm the new supreme law or throw out a 20-year-long endeavour that has been characterised by the shedding of sweat, blood and tears. The journey has been long and tortuous, with a myriad twists and turns. The document has oscillated between the Committee of Experts, Parliament and Attorney General Amos Wako and, in-between all the shuffling, Kenyans have lost track of what happened where, with various sittings at Naivasha, Kilifi, the Bomas of Kenya, Naivasha again and lately the Kenya Institute of Administration. It was at the latter place that attempts to tamper with the Draft to amend certain clauses failed to garner the requisite numbers and the document was left in its current state, with the onus being on the AG to publish it ahead of the plebiscite in June. If the new Constitution retains its form and content, the rules of governance and the terms of en-

gagement between the leaders and the people, which have been largely typical of a master-servant relationship, will change drastically and dramatically. Perhaps one of the biggest changes in the mode of governance is the devolution of power to regional and county levels, but not in the same manner as in a federal set-up. The counties, to be about 74 in number, will exercise power at distinct and inter-dependent levels and conduct their mutual relations on the basis of consultation and co-operation. In the new set-up, the president will have powers to appoint ministers from outside Parliament. The country will also see the establishment of supreme courts, as in the US, so that the Court of Appeal will cease to be the highest judicial arbitration organ in the land. But two clauses that have generated more heat than light in recent months might adversely affect the general direction the

May - June 2010

PRESIDENT KIBAKI AND PRIME MINISTER ODINGA:

Rare unity of purpose

debate and voting will assume: that of the retention of the Kadhi courts and the other on abortion. The point of departure is that inclusion of the Kadhis courts in the document is akin to embracing Islam within the state while shunting the more populous Christian faith. Abortion has rubbed Christian church leaders up the wrong way, what with their belief that any act that terminates life is evil, abominable and an affront to the core of the sanctity of life. If during retired president Moi’s reign, Church – State relations were always rocky, the constitutional debate has brought the two into a titanic clash this time around, bringing into sharp focus the political doctrine that government and religious institutions are best kept separate. The clause in question allows the abortion of a foetus if the life of the mother is in danger, but church leaders see it as a carte blanche for especially young women to engage in casual sex. As we went to press it had been divulged that the variegated Christian lobby now coalescing around the National Council of Churches of Kenya had linked with the American pro-lifers the bottom line being the opening of dollar purses to be unleashed for civic education. The green bucks will not be flowing Kenyawards from US churches alone though. East Africa’s longest constitutional making process has attracted liquidity from no less than the US government vide the US Ambassador, Michael Ranneberger with millions earmarked for, well civic education

•THE REGION Eastern Africa Beat

SEXUALITY AND POLITICS

Gays: Uganda Beats Retreats

ong before Idi Amin fled Uganda in 1979, the dictator had entered the imagination of many European editors as a psychopath, mass murderer and, let it be said, suspected cannibal. Amin has been dead since 2003, but, for especially infamous reasons, he still lives in the minds of many Ugandans. Now, thanks to the anti-gay mood that is prevailing in Uganda, foreigners in far-flung places are being re-introduced to an African nation that many remember as the home of Amin. As Amin stories go, this has to be damaging. The practical impact of the proposed legislation has been to incite the anti-gay sentiment of most Ugandans, but the most powerful consequence, even if the law is not passed, could well be the alienation of Uganda in influential international circles. To put it bluntly, the saga could end with the Aminisation, if such a phrase is possible, of Uganda’s reputation abroad. President Museveni, who is not known to believe in gay rights, seemed to wake up to this reality when he recently told a gathering of ruling party officials to “go slow” with the anti-gay debate. Museveni, in comments that stunned some Cabinet members and shocked some anti-gay activists, said anti-gay efforts in Uganda were hurting the country’s foreign policy. As it turned out, Museveni was not opposing the proposed legislation because he thought it was not needed; rather, he was taking a stand that someone more powerful wanted. The Ugandan leader had been receiving calls from many

quarters, including a telephone conversation with US Secretary of State Hillary Clinton, who, like US President Barack Obama, has publicly criticised the proposed law. Museveni’s admission of powerlessness was revealing on two levels. For the first time in his administration, the Ugandan leader was conceding that donors could actually tell him what to do. Even more significantly, however, he had summoned up the courage to say so. To understand how this could happen, it is important to study the wave of anti-Uganda material that blanketed the international press after the Anti-Homosexuality Bill of 2009 was tabled in the legislature. Not since the days of Amin has Uganda been in such negative rendering, condemned by rights groups and activists, newspaper editors, columnists, and several opinion leaders in Europe and America. The New York Times editorialised that Uganda should be turned into an international pariah if the law is passed, a position echoed by the Washington Post. In South Africa, the Sunday Times postulated that Uganda was ruled by “evil minds." Michael Gerson of the Washington Post, wrote: “It is sad when someone you care about threatens to do a foolish and destructive thing... Uganda has endured the rule of a psychotic — dictator and cannibal Idi Amin — and a pandemic that decimated a generation..." Most of the international criticism has lacked nuance, to the extent that it is directed at Uganda. The condemnation has failed to appreciate the fact that the proposal was written, as far as we can tell, by

PHOTO: EAST AFRICA COMMUNITY

By RODNEY MUHUMUZA

RETREAT:

Museveni’s admission of powerlessness was revealing

a lawmaker motivated primarily by politics. In fact, for proposing death for a crime he calls “aggravated homosexuality”, David Bahati, who represents a rural constituency in western Uganda, is favoured to win re-election. Uganda’s penal law already criminalises homosexuality, but the authorities have never been interested in arresting consenting homosexuals, except in cases where young boys have been allegedly sodomised by adults, the authorities do not really care what gays are up to. If Bahati’s legislation becomes law—and this is very unlikely, especially after Museveni made his stand known—it will not be the end of the world for Uganda’s gay community. It is hard to imagine how the proposed law would encourage the police to raid the homes of suspected gays, drag them out of their beds, take pictures, and proceed to arrest them in the name of the law. It would be a wretched job. Even if the current anti-gay sentiment in Uganda makes it seem like Ugandans are the most homophobic people on earth, the proposed law says more about the manipulative mind of one politician and less about the fears of a country. Here is a politician who spent five years in Parliament, did nothing to distinguish himself, and then awoke from his slumber thinking about gay sex. Coming just months before the General Election, his anti-gay efforts have vulgarised the national conversation at the wrong time. Bahati’s most spectacular contribution, however, may have been to demonise Uganda abroad

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•THE REGION Eastern Africa Beat

INTEGRATION: Enroute to single entity

Hurdles on Path to EA Political Federation By DEA CORRESPONDENT

he grand march to an East African Political Federation may have begun in earnest. So, is it time to pop the champagne bottle? Well, not quite. The journey may be set back by pitfalls that could mar progress. The founding fathers of the East African Community had envisaged that the penultimate stage for such a federation was the formation of a Monetary Union, still due. The Monetary Union caps the fruitful realisation of a Common Market protocol — already ratified by four states as we went to press — which in turn follows the actualisation of a Customs Union. Thus, the EAC appears to have acted fast and by-passed other regional bodies such as the Preferential Trade Area (PTA), which are, to all intents and purposes, moribund. Bills enacted by the East African Legislative Assembly (EALA), the parliamentary arm of the Com-

May - June 2010

munity, should take precedence over similar ones in existence in the partner states. But it appears that the unity of purpose that should inform such procedures may be lacking, after all. Even as a 15-member committee of experts work on a detailed review and analysis of the fears, concerns and challenges towards the federation, it has emerged that member states may be hesitant to cede sovereignty. This would pose serious problems for the operationalisation of the treaty. That is despite the fact that Section 4 Article 8 of the Treaty establishing the Community says that laws passed by the EALA shall supersede similar laws existing in partner states.

Eminent scholar Dr Odera Outa says the East African Court of Justice should assert its role and learn from the European Union, which adopts a “protectionist approach” to member states’ welfare: “States must cede a bit of sovereignty when they sign up as members of the EAC. You cannot eat your cake and have it”. Lawyer Gervase Akhaabi (EALA, Kenya) feels that harmonisation of laws and disparity in national laws is yet another challenge. Another bottleneck is financial sufficiency and multiple membership by partner states. Throw decision-making into the mix and the problem of consensus and you have the ingredients of a slow paralysis. But per-

SESSION:

PHOTO: DEA LIBRARY

A meeting at the AICC, Arusha

haps the biggest challenge of all is the absence of a follow-up mechanism to ensure that partner states implement the Community’s decisions. This, in effect, means that it is left to individual states and its affiliate arms to implement EAC decisions. In case of default, there is nothing anyone can do. Akhaabi feels so strongly about this that, in his words, “we need to ask if we will move the way we are moving. This lacuna needs to be addressed as we move towards deeper integration. Governments may not do anything but the people should speak and ensure that their problems are addressed”. The lawyer says that even the East African Development Bank,

which has been in the news lately — and not for the right reasons — is seriously underfunded, just as are many institutions of the EAC which rely heavily on donor funding. Given the premise that donors fund projects they have vested and invested interests in, it makes sense that the EAC should look towards a paradigm shift on funding. Apathy in the populace (or is it lethargy?) is another headache for EAC dreams. For instance, the Tourism and Wildlife Management Bill (2008), passed early this year, had been on the table for a year, yet, views were being sought about it with little response. But the Kenyan Minister for the

STATS &FACTS EALA has passed some 21 Bills and all partner states have enacted laws domesticating the Treaty but this has not been apparent to the populace, owing to lack of awareness

East African Community, Mr Amason Jeffa Kingi, is upbeat that the process is on-course. He says that the first attempt at the Community, which collapsed in 1977, fell for lack of political will by partner states as well as absence of clear pillars, among other reasons. “We are now creating the pillars. We build one, shake it, and, if it stands firm, we move on to the next one”, says he. With the Customs Union already almost a reality and the Common Market Protocol in the process of being ratified, Kingi feels the future is bright. In addition, EALA has passed some 21 Bills and all partner states have enacted laws domesticating the Treaty but this has not been apparent to the populace, owing to lack of awareness. It is with this in mind that the EAC has embarked on a public awareness campaign “to reach as many people as possible”. This will target schools, colleges and even ordinary members of parliaments. Indeed, there are plans to make EAC issues an area of study at university, with Moi having pioneered in this regard. Away from matters curricula, the East Africa Business Council is also unhappy with the pace of implementation of some of the ideas already on paper. For instance, four years after partner states vowed to eliminate Non-Tariff Barriers (NTBs), these are still evident in various aspects. The NTBs are most manifest in Customs and administrative procedures, police roadblocks, weighbridges, business registration and licensing and Immigration procedures. Work permits are still required, except in the case of Rwanda, which has done away with the requirement

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•DNA Diplomacy•News•Analysis

VOLATILE: Wars on all fronts

Horn of Plenty of Trouble

The huge security challenges experienced, writes WILLIAM LONGOMBA, have ramifications for the entire region

HE Horn of Africa presents a huge security challenge that is a source of serious concern for both eastern Africa’s diplomats and the continental African Union. The challenge the Horn poses is therefore both regional and international. In Somalia, the Transitional Federal Government (TFG) has yet to establish its control over the country and is steeped in an internal war of attrition with the AlShabab Islamic militants. Offshore pirates have created a logistical and financial nightmare for shipping companies and the ports of the region and inland governments and therefore adversely affected the international maritime trade. In the eyes of both regional and international diplomats, however, the cure for the pirate problem off the expansive coast of Somalia and in the crucial Indian Ocean shipping trade route lies on shore – in the creation of a stable Somalia. But even as the TFG struggles to

May - June 2010

ARMED AND DANGEROUS:

Unconventional fighters display their lethal ware

gain control of the country, other challenges plague its initiatives. Al-Shabab has threatened to attack neighbouring Kenya and Uganda, the latter a country with which Somalia does not share a border.

The militant group, which is believed to have links with Al-Qaeda, leading to fears Somalia could become Africa’s pre-9/11 Afghanistan equivalent, regards Uganda, which has troops in Somalia, as an en-

FRONTLINE FORMATION:

Somali ragtag fighters in action

emy. It accuses Kenya of recruiting young Muslim men to fight against it – which means in support of the TFG – and is similarly increasingly opposed to Ethiopia’s support for the TFG. To complicate matters, the Ogaden National Liberation Front (ONLF), a rebel group fighting for the secession of the province, announced in November that it had stepped up its offensive against the Ethiopian military. In the Cold War era, Ethiopia and Somalia fought a conventional war over the Ogaden region, with each claiming the area belonged to it, in 1977 and 1978, in the course of which Somalia’s air force was destroyed, never to fly again. Renewed conflict between the ONLF and Addis Ababa might open a new theatre of conflict for the TFG and Al-Shabab. The conflict over Ogaden also draws the attention of the West, Washington in particular, which would like to see Ethiopia act as a kingpin in the war against Al-Sha-

bab as an Al-Qaeda ally. On the run in Afghanistan and Pakistan and increasingly reliant on the Taliban for protection in both places, the West will be keen to see that Al-Qaeda does not establish a base in Somalia and therefore have the East African region within striking distance. Al-Shabab is not only a source of concern for Ethiopia with regard to the TFG and Ogaden separatists, but also has ramifications with Eritrea. The latter has furiously denied claims, made by the African Union and Nairobi, that it is arming AlShabab. Tension still characterises the relationship between Eritrea and Ethiopia, even though there is a peace pact between them. There is no war going on between them, but there is no peace either. There was a diplomatic spat mid-last year between Nairobi and Addis Ababa over a private Kenyan TV station’s documentary featuring the Oromo Liberation Front (OLF), another rebel group fighting against Addis. In weird disregard of freedom of expression and freedom of the Press dynamics in Kenya, Addis Ababa argued that the screening of the documentary was tantamount to giving publicity to the rebel group, as if Nairobi had any control over private media and as if the administration were in the habit of vetting media content beforehand. That Ethiopia would complain about the screening of an OLF film by a private TV station attests to the almost unreasoning sensitivity with which the Addis Government views any relationship between Nairobi and the separatists. Nairobi has serious concerns about Somalia, not least because of the continuing flow of refugees into Kenya and the growing influence of Al-Shabab on its doorstep.

In the Cold War era, Ethiopia and Somalia fought a conventional conflict over the Ogaden region

Kenya’s refugee camps in the north of the country have more than they should carry, risking a humanitarian crisis. A militant Islamic regime is not what Kenya wants to the north of its border, especially when it recalls the horror of the 1998 bombing of the US mission in the capital, the bombing of an Israeli-owned luxury hotel near Mombasa and an attempt to bring down an Israeli airliner on the same day, bang in the middle of a Presidential transition General Election campaign, five years later. Israel believes Nairobi should do more in containing the spread of militant Islam in the region by capturing those who were involved in the bombing of the Paradise and the failed attempt to shoot down the airliner. Uganda’s President Yoweri Museveni’s response to the threat of attack on Uganda by Al-Shabab was that Kampala would teach them an exemplarily punitive lesson if they made good their threat. But in the north of Uganda may lie an even more immediate problem for Kampala than Al-Shabab, in the person of Joseph Kony and his murderous Lord’s Resistance Army (LRA). Kony is wanted by the International Criminal Court, which has already issued a warrant of arrest for him, but that did not stop his LRA fighters entering southern Sudan in November and overrunning villages and killing innocent civilians. It is the kind of external security threat southern Sudan could do without, because, at this point in time, it is preoccupied with threats to the Comprehensive Peace Agreement amid widespread reports that both parties to the treaty, Khartoum and the Juba, are quietly preparing for war

May - June 2010

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ADVERTISER’S ANNOUNCEMENT

B.P.: 6929 KIGALI TEL.: (250) 252 570333, E-mail: info@mhc.gov.rw Website : www.mhc.gov.rw

Suspension of the 'Umuvugizi' and 'Umuseso' Newspapers: MHC Responds to RSF and CPJ

he Media High Council (MHC) wishes to dismiss the unfounded statements from the Committee to Protect Journalists (CPJ) and Reporters without Borders (RSF) relating to the recent suspension of two weekly newspapers, Umuseso and Umuvugizi. The two media watchdogs allege that the MHC violated the law by handing down the six months’ suspension to the two newspapers. Quoting Article 83 of the media law and an anonymous Kigali lawyer a habit they share with the newspapers they are defending, RSF argues that “the Council can only order a newspaper’s temporary or permanent closure if it has previously found it guilty of the same offence, which is not the case with either of the two publications.” It is unfortunate that organisations that claim to be internationally reputable and credible can base their conclusions on sentiments and hearsay rather than facts and evidence in the name of defence of media freedom. First of all, RSF needs to be informed that the MHC has no powers to order permanent closure of any media organ. That can only be done by competent courts of law as provided for under Article 84 of the Media Law. Secondly, it is not the first time the MHC has found these tabloids guilty of violating the media law and professional code of ethics, including serious offences. Indeed, as MHC media monitoring reports can show, these newspapers were summoned, warned, reprimanded and, in some cases decisions for their suspension

May - June 2010

taken, since 2004 for Umuseso and 2008 for Umuvugizi. These decisions were based on complaints from the public and MHC’s daily monitoring findings, which revealed that, on several occasions, these newspapers published false, sensational and inflammatory material aimed at creating a sense of fear and despondency amongst the Rwandan people, polarising the national security organs, insulting, slandering and defaming innocent individuals and interfering in other people’s private lives without good reason. Specifically, CPJ and RSF should be reminded that in 2004, after its refusal to accept mistakes, apologise and correct the wrong impression they had created as a result of articles in Umuseso’s Issue No. 186 of August 1-7, 2004, and following a public hearing of August 18, 2004, the MHC recommended the suspension of Umuseso for a four-month period. Although the suspension was not enforced by the relevant organs, the paper was later found guilty of the same offences MHC had observed and sentenced the editor to a oneyear suspended prison term and a one-million-franc fine. Also in 2009, the MHC decided to advise the Government to suspend the paper for a period of three months following a public hearing and refusal to comply with multiple warnings from the Council for violation of the law and professional ethics. Similarly, following a thorough analysis of certain publications of Umuvugizi newspaper between 2006 and 2008, the MHC exposed persistent

violations of the law and professional ethics by this paper, on the March 13, 2009, when it summoned the owner of this newspaper. After being showed all legal and ethical violations, the newspaper management was warned of the consequences if they did not respect the law. The same year, 2009, after receiving multiple complaints from some members of the public concerning this newspaper’s stories, the MHC sought written explanations and evidence from the management of the Umuvugizi newspaper. The paper’s management, however, defied the MHC and refused not only to provide the explanations but to also respond to the MHC’s letter. Consequently, the MHC issued a last warning letter dated September 2, 2009, which also ordered Umuvugizi management to apologise and correct their mistakes in the next issues. The above directive was not only ignored by Umuvugizi management but the legal and ethical violations have also increased since the beginning of 2010. This newspaper’s most recent publications have evidently disregarded the law. Apart from alleging an unsubstantiated coup d’etat recently, they have made calls on some military officers to desert the Army, apparently because their promotions have been delayed yet, according to Umuvugizi newspaper, “they can do better in civilian life”. Feeding into Umuseso’s call for the use of violence to change the governance and leadership of this country, since, according to them, all peaceful means of bringing about change have been exhausted, the two newspapers had crossed the line. In fact, Umuseso

PRESIDENT KAGAME:

Restored Stability

goes further to allege that even if President Paul Kagame cannot admit it openly, he lives in fear of being overthrown anytime and that he is incapable of protecting the nation from “the darkness which we are otherwise getting closer and closer to by the day”. These statements and many others published by the two newspapers violate the media law and other penal laws and constitute Press offences. As an institution responsible for ensuring respect for the law and professional ethics and protecting the public for whom media content is intended, the MHC could not stand by and watch any more. While we believe in and advocate media freedom, we recognise that freedoms come with responsibility and irresponsible media like those seemingly advocated by these international Press watchdogs helped instigate the 1994 Genocide in our country. Rwanda has been a victim of hate-media content and suffered massively in the process. We proceed from direct experience when we object to, and take legitimate and legal action against, all forms of hate media. Never again should any such media and journalism be tolerated and, or supported. Thus far, any well-intentioned person can now tell that this was beyond the mere recidivism the law protects the public from. Therefore, the MHC wishes to state unequivocally that the process of taking this decision was guided by and done in accordance with the Media Law, especially articles 13 (5), 73, 83 and 84. For these newspapers, however, violation of the law goes beyond the content of their publications to disrespecting the authority of the MHC and refusal to acquire Press cards, which are mandatory documents that, according to the Media

Law, identify a journalist in Rwanda. As highlighted above, the management of the two newspapers on a number of occasions have refused to respond to calls for written explanations, or not implemented MHC decisions yet this organ derives its authority from the law. Freedom to act illegally must not be condoned by anybody, anywhere. In addition, contrary to the allegations made by these organisations, the MHC management and Board wish to state categorically that this institution is independent both in theory (the Constitution) and practice (decision making). As such, the institution “takes no orders from any higher level of government”, as stated by RSF. We find this cheap and smear cam-

paign clearly intended to discredit the independence and impartiality of the MHC. This independence can also be confirmed from the composition of the Board of the MHC which is the highest decision- making organ. The Board is comprised of independent-minded individuals who are professionals and persons of integrity. They include two representatives of the private media, one representative of the private sector, one representative of civil society, one representative of the public media and two representatives of the Central Government. Patrice Mulama, Executive Secretary, Media High Council (MHC), Republic of Rwanda.

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•DNA Diplomacy•News•Analysis

THE SUDAN: Elections and after

Referendum to Usher in Africa’s New Nation Count down to Sudan's date with destiny By DEA CORRESPODENT

HE just-concluded controversial, multilayered and high-octane Sudanese elections were a study in political survival and skulduggery. And as all eyes now turn to the coming referendum, which will determine whether the mainly Christian South will secede from the Arabic-Islamic North and questions are being asked if that, too, is not a foregone conclusion. The country’s first multi-party polls in 20 years have achieved a two-pronged objective for both President Omar El-Bashir and Salva Mayardit Kiir, who carried the day in areas they were keen on and which form the bastions of their political nine lives. Bashir’s promise that the referendum will be held on schedule is not a tacit commitment that that will be done, for, even the polls were postponed a few times owing to various reasons. Kiir appears to have moved a step closer to clipping the powers and geographical reach of Bashir, by sweeping the vote in the south. His Sudan People’s Liberation Movement (SPLM) has threatened that the South will secede automatically and declare independence if the referendum is delayed. Sudan is, in many ways, facing a watershed moment in its long history of hostilities between the

north and south as its 38 million people must decide their political destiny in due course. International observers, have technically given the polls a clean bill of health, even as they pointed out that the elections did not meet international standards. Bashir, who was credited with a 68 per cent win, has emerged as the student “par excellence” of his mentor, former President Jaafar Numeiry, whose introduction of Sharia Law was seen as one of the biggest factor that led to the 22year old war between the North and South. Bashir has been in power since 1989. Although SPLM won 9 out of 10 seats for state governorships, there were allegations of electoral fraud in areas where it enjoys support almost across the board, the same way Bashir was accused of tampering with the electoral process be-

May - June 2010

PRESIDENTS KIIR AND BASHIR:

Going separate ways?

fore the actual polling. Thus, the two men applied the time-tested and almost guaranteed underhand methods of winning polls: tampering with the electoral registers, the dead turning up to vote, multiple registers, unregistered voters turning up to cast ballots as well as secret ballot stations with different versions of electoral registers. Voters’ rolls had additional names, too. Bashir’s hold onto power is now legitimised by the results of the poll and if there were perceptions of an iron fist, this will, in all probability transform into impunity, under the guise of having been “accepted” by the people. That the poll did not witness the sort of violent skirmishes that erupt in many states in the region and beyond is testimony that democracy is slowly ceasing to hold the high price that it has, with all the attendant negative labels. Compared and contrasted to the polls in say, Kenya in 2008, the Sudan elections were tacit proof that even with minimal violence, relative peace is possible during campaigns and electioneering. It must be a welcome relief for many Africans both living in the continent and in the diaspora that, to quote Kiir, neighbourliness will continue even after the polls and that “it does not mean that the River Nile will stop flowing to the north”

•DNA Diplomacy•News•Analysis

ENVIRONMENT: Saving endangered species

Charm Offensive Wins Reprieve for Jumbos At the heart of the wildlife dispute were divergent views on the 2007 deal that settled on a nine-year breather for the ivory trade, explains PAUL UDOTO

PHOTO: KENYA WILDLIFE SERVICE

frican delegates negotiating the destiny of the world’s largest terrestrial mammal reached the Doha United Nations International Wildlife Conference a divided house. Zambia and Tanzania sought to trade in more than 112 tons of ivory and the down-listing of the conservation status of their elephant populations while the 21-member African Elephant Coalition wanted a 20-year ban on the ivory trade and a reaffirmation of the June 2007 agreement brokered by the European Union. The run-up to the conference saw sophisticated diplomatic pitches made, not just in Nairobi and Washington DC but in Brussels as well. At the heart of the dispute were different recollections of the 2007 deal that settled on a nine-year resting period for the ivory trade. This was to be effective from a one-off sale of 105,000kg of ivory from Botswana, Namibia, South Africa and Zimbabwe to China and Japan. The sale, done in October/November 2008, was to allow for assessment and understanding of its impact on poaching, illegal ivory trade and elephant conservation. However, the point of contention was in the fine print. While the Coalition understood the spirit and rationale of the mora-

torium to be binding on all African range states, Tanzania and Zambia faced accusations of moving the goal posts by exploiting a loophole in the agreement’s wording. Eighteen representatives of the 21 African Elephant Coalition’s governments held a meeting in Brussels to lobby the EU to uphold the spirit of the Hague Agreement. “Allowing trade in ivory from countries where elephant populations may appear to be relatively healthy encourages poaching in all

CONTRABAND:

Hunger for tusks threatens elephants

countries,” the Coalition said in a communiqué after the meeting. The Coalition argued that legal trade provided cover for the unlawful trafficking of ivory, which directly stimulates the resurgence of poaching across the continent. This position was backed by the Environmental Investigation Agency (EIA) report “Open Season: The Burgeoning Illegal Ivory Trade in Tanzania and Zambia” that accused both countries of being at the heart of the booming illegal global ivory

May - June 2010

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•DNA Diplomacy•News•Analysis

trade and poaching. The Coalition’s other diplomatic charm offensive saw Kenya host more than 20 diplomats based in Nairobi to a bush breakfast to make its case at the historically symbolic Ivory Burning Site in the Nairobi National Park, where 12 tons of ivory was burned in 1989. Mr Julius Kipng’etich, the Kenya Wildlife Service director, told the diplomats that the spirit of the Hague agreement had been breached by the Tanzanian and Zambian governments. Once the split became evident in Doha, the Solomonic task of reconciling the feuding African siblings fell on the shoulders of the European Union, as was the case in 2007. The Coalition argued that Tanzania was flouting CITES rules on shared wildlife populations, noting that she ought to have at least consulted Kenya before submitting her proposal. DIVISION

But Tanzania side-stepped the charge, arguing that the elephant population had reached a point where they were trampling crops and killing many people and that proceeds from the sale of government stockpiles would be ploughed back into conservation and community projects. Tanzanian Minister for Natural Resources and Tourism Shamsa Mwangunga warned, “we run the risk of enhancing hostility against elephants by our local community, especially where human/wildlife conflicts are prevalent”. This was backed by Zambia’s Minister for Tourism supported this view. The CITES Panel of Experts dealt Tanzania’s proposal a mortal blow on the basis of weak law enforcement and compliance. The expert report raised concerns at the involvement of organised crime rings in Tanzania’s poaching and smuggling operations.

May - June 2010

This was followed by the verdict of 26 conservationists led by Sam Wasser, who published a commentary in the journal Science arguing that there was a clear link between one-off sales and the rise in poaching. To bridge the divide, the Coalition’s delegation, including the Kenyan Minister for Forestry and Wildlife, Dr Noah Wekesa, held discussions with Tanzania’s Mwangunga. These meetings proved futile. The Coalition suggested that Tanzania, Zambia and the Coalition all withdraw their proposals and revert to the 2007 resting period compromise. This was meant to provide a window of opportunity for consensus-building among African elephant range states. The Tanzanian delegation promised to consider the suggestion. The Southern African Development Community (SADC), which was supporting the Tanzanian and Zambian proposals, gave no feedback. Hours to D-Day, the EU convened a meeting of representatives of SADC and Coalition member countries in a last-ditch effort to reach a compromise. Each side was given a chance to re-clarify its proposal. The Coalition had a compromise position for negotiation but SADC was not ready and asked for time for further consultation. As it turned out, SADC neither reverted to the EU nor the Coalition with their decision. By 11pm, the Coalition and EU decided that the Coalition compromise position was meaningless without the SADC response. On D-Day, Tanzania amended its proposal on the floor by splitting it into down-listing and one-off sales. But the die had been cast and both proposals were defeated. In the afternoon, Zambia got cold feet and amended her proposal by dropping one-off sales but retained down-listing. Zimbabwe,

Norway, the US, Japan and South Africa supported the proposal. But Mali, Rwanda and Kenya opposed the proposal for betraying the spirit of the consensus reached at The Hague. Again, this was shot down by delegates, despite support from the US and some European nations. Once the revised proposals were defeated, giving elephants a new lease of life, Kenya and six other Coalition members withdrew their proposal to maintain the nineyear moratorium as agreed at The Hague. SOLUTION

Finally, the conference removed the elephant from the precipice and provided another chance for African range states to collaboratively find solutions to secure elephants in their habitats. For a start, they are to participate in and implement the African Elephant Action Plan that was approved and adopted by all the African elephant range states at the conference. The African elephant range states now look up to the CITES Secretariat to establish the African Elephant Fund as set out in the 2007 compromise. The plan is “a truly representative continental plan for comprehensive conservation and management of Africa’s elephants”, said Mr Patrick Omondi, the Head of Species Conservation at the Kenya Wildlife Service. The plan spells out eight strategic objectives that, if implemented, would enhance management and conservation of African elephants across its range. He suggests that a mechanism to house the African Elephant Fund under the African Union should be explored with a specific secretariat set up to oversee the implementation of the African Elephant Action Plan at the African Union (AU) level to help Africa approach elephant management challenges as one voice

•DNA Diplomacy•News•Analysis

CONSERVATION: New technology and the elephant

Of the Internet, Wildlife Crime and the EAC At the heart of the wildlife dispute were divergent views on the 2007 deal that settled on a nine-year breather for the ivory trade, explains WANJOHI KABUKURU banning his entire Cabinet from travelling abroad until a new Constitution is well on its way in place to allow an exception to the rule which saw Noah Wekesa, the Wildlife and Forestry minister, travelling to Doha. This was testimony of how important CITES is to Nairobi. In other words, the range countries of East, Central and southern Africa are major players in the multibillion-shilling global wildlife trade (both legal and illegal). While many people would want to think that the wildlife trade is all about elephant tusks, the reality is that it is much more than this and has surpassed human trafficking, and almost caught up with gunrunning and drug trafficking. The International Police Organisation

(Interpol) defines wildlife crime as the “taking, trading, exploiting or possessing of the world's wild flora and fauna in contravention of national and international laws”. ILLEGAL

JUMBO:

Poaching is a menace to the gentle giant

PHOTO: DEA LIBRARY

he 15th Conference of Parties (CoP15) of the Conference on International Trade on Endangered Species (CITES) simply known as World Wildlife Trade Talks took place in Qatar's humid capital of Doha in March. In these talks, unlike the Copenhagen Climate Change Conference, where Africa adopted a common position, disharmony among African neighbours reigned supreme. Nowhere was this divergence of opinion felt as strongly as within the East African Community (EAC) and the Common Market for Eastern and Southern African (COMESA) blocs. Kenya took an opposing position on elephants vis a vis her regional bloc members Tanzania and Zambia. Both Tanzania and Zambia had put in proposals seeking to downlist their elephant populations from Appendix I to Appendix II, paving the way for Dar es Salaam and Lusaka to offload their 90 and 21 tonnes of ivory stockpiles respectively. As expected Kenya stuck to her 20-year-old protectionist position, which rubbed her erstwhile neighbours up the wrong way. Why did the EAC and COMESA members risk friendly relations at CITES? Kenyan President Mwai Kibaki waived his own Executive Order

Conservative estimates put the global trade in animals, plants and their by-products at a mindboggling US$159 billion annually! A dossier released in 2006 by the World Wildlife Fund (WWF) and Trade Records Analysis of Flora and Fauna in Commerce (TRAFFIC) — a wildlife trade monitoring network — and entitled “The International Wildlife Trade and Organised Crime” revealed: “It is estimated that the global trade in animals, plants and their by-products is worth a total of around US$159 billion a year. Although the scale of the illegal trade is difficult to estimate, it is clear that the rewards it offers to unscrupulous, illegitimate traders, businesses, organised criminals and major organised crime groups are very high indeed and probably second only to the drugs trade in terms of the potential levels of profit on offer. These rewards are made possible by a market for wildlife species and derivatives which is fuelled by a range of factors, including fashion, the desire for luxury goods (including caviar and furs), traditional medicines, low-cost or rare

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timber and the personal obsessions of specimen collectors.” The trade in flora and fauna is obscenely lucrative, so much so that the dreaded Mafia (both Russian and Italian), the Chinese Triads, the Japanese Yakuza and the Central American drug lords are deeply enmeshed in it. The dossier also notes that these hardcore criminal organisations are using the highly profitable wildlife by-products by converting existing routes for illegal businesses in arms, drugs and human trafficking for those seeking a better life in the West. The report asserts: “The smuggling of rare and exotic specimens is fuelled by market demand from collectors, endangered species especially of tropical birds, reptiles, amphibians and orchids are sought by collectors for their aesthetic appeal, breeding potential and rarity. CITES-listed and other species protected by law command higher prices than those not protected, so illegal specimens will find a market among collectors prepared to overlook the means by which the specimens are obtained, and the environmental consequences of their actions. Specialist collectors exist for all wildlife parts, dead specimens, insects, skulls, birds and eggs.”

PHOTO: KENYA WILDLIFE SERVICE

Diplomacy•News•Analysis

AWARDED:

Winning delgates display trophies in Doha

REPORT

This dossier has now been followed up by a comprehensive online investigative study undertaken by the International Fund for Animal Welfare (IFAW) since 2004 which culminated in a highly illuminating report dubbed “Killing with Keystrokes: An Investigation of the Illegal Wildlife Trade on the World Wide Web” published in 2008. In this report IFAW found out that the Internet

May - June 2010

has become a fast growing marketplace for wildlife species. Following up on IFAW's report, with its official newsletter CITES Issue 19 under the banner headline “Investigating the Internet Wildlife Trade” the Conference reckons: “The Internet has revolutionised the way we exchange ideas, information and merchandise. Understandably, this pervasive and powerful technology has become the world’s largest marketplace, one that is always open for business. Unregulated, anonymous and unlimited, the Internet provides endless opportunities for criminal activity and transactions. Increasingly, it is the means by which the illicit trade in wildlife is conducted. The illegal wildlife trade is having a devastating effect on animals, ecosystems, and the communities that rely on them worldwide, making it one of the major wildlife conservation challenges of our generation.” A look at the US Fish and Wildlife Service

(equivalent of the Kenya Wildlife Service) records reveals that Kenya is the largest exporter of baboons to the United States. CROSS-BORDER

The East African Community countries are a major player in the wildlife trade, both as a major source and as a conduit of species. This explains the bad blood. While officials in Nairobi have continuously downplayed the icy relations with Dar and Lusaka, with KWS Director Julius Kipng'etich asserting, “Our relationship with Tanzania is good and we deal with several crossborder issues”, the real deal is that Dar and Lusaka are angry. However hard Nairobi may try to downplay the Doha talks effects on EAC/COMESA relations, the fact is they are strained and the sooner they embark on healing the better it will be for the regional economic bloc’s smooth operations devoid of sibling rivalries

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DIPLOMACY

Nigeria, Cuba and Malaysia Envoys on Africa Agenda

PHOTO: DEA LIBRARY

Cockcrow diplomacy, 800 projects in 46 countries and ‘Truly Asia’ plans to link up with JKIA are all factors in three very special relationships which JANE MWANGI discovered in a three-way interview

hat do Dr Chijioke Wilcox Wigwe, the Nigerian High Commissioner, Mr Julio Cesar Gonzales Marhcante, the Cubans Ambassador, and Mr Zainol Rahim Zainuddin, the Malaysian High Commissioner have in common besides being their iconic nations’ envoys in Kenya? Well, for starters, they hold fairly passionate views on their agenda for Africa. Speaking to Diplomat East Africa in their chancelleries in Nairobi, all three envoys articulated their home countries’ policies on a wide range of issues of both national and international interest. Dr Wigwe’s strongly-held views strike one as a testament of the

power of his passion and focus. He cherishes his profession and practices it with zeal and sagacity, masterfully juggling the numerous tasks entrusted to him. Mr Marhcante is a man whose position has given him solid ground to stand on and pride in his place in the world. His face never knows a dull instant; a lively personality dwells in that countenance. Mr Zainuddin is an astute individual with a diplomat’s air of grace under pressure. All three offered a glimpse into their service and their respective governments’ agenda for Kenya and the region. Diplomat East Africa: Looking at foreign policy orientation, what nations has your government given priority to and why?

Nigeria: Africa lies at the heart of Nigeria’s foreign policy. This is evident from our physical presence in 39 countries on the continent. Being located in West Africa, which is home to 16 countries, it makes sense for us to give priority to closer ties with the countries of the region, hence the formation of the Economic Community for West African States (ECOWAS) in 1975. However, the overall goal of Nigeria’s foreign policy is integration of the African continent. Cuba: Cuba’s foreign policy is a turf of solidarity and international WIGWE, GONZALES, collaborations, more so with the ZAINUDDIN: sister nations of the Third World. Hold Notably, during the past three passionate decades, Cuba offered direct supviews port to the national liberation about movements of Guinea Bissau, AlAfrica's geria and Cape Verde; defended agenda the territorial integrity of Ethiopia and Angola and granted a decisive contribution to Namibia’s independence and elimination of South Africa’s apartheid regime. During this period, 380,000 Cubans fought alongside their African brothers and sisters. From 1961 until 2009, Africa has benefited from 104,360 Cuban workers in 46 countries with over 800 projects in implementation and eight major areas of co-operation — notably health, sports, technology transfer and scholarship

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programmes, among others. The literacy programme exists in nine African countries; furthermore 31,486 young people have graduated from Cuban educational institutions from 45 Sub-Saharan African countries. Malaysia: It’s better late than never and, so far, there have been lots of agreements signed and MoUs and we feel there should be more direct contacts to have Malaysia and East Africa more closely connected. Your respective countries’ economies flourish — what is the secret behind this and what advice can you give developing nations in Africa? Nigeria: Oil will remain the major stimulus for economic growth for the foreseeable future, although a combination of nonoil variables has made significant inputs. The newest and perhaps most significant driver of our economic growth since the nineties is natural gas. In 2008 alone, the total value of foreign direct investment was $20 billion, most of it in oil and gas, agriculture and manufacturing. Another blossoming sector is the banking industry, which has seen the emergence of mega banks that have become major players in the global financial market. The relocation of the capital from Lagos to Abuja in 1991 triggered a mammoth development in the construction sector, which is still ongoing. Nigeria’s economy is also propelled by an ever-expanding telecommunications sector, a revitalised agricultural and agro-allied industry; an active transportation and aviation sector and a burgeoning solid minerals sector. Cuba: On the 52nd anniversary of its revolution, Cuba seeks to commemorate this period with

BIO DATA HE ZAINOL RAHIM ZAINUDDIN of Malysia is a 50-year-old father of two. He has served in the Administrative and Diplomatic Service of Malaysia as Assistant Secretary (North Africa and OIC), Ministry of Foreign Affairs, in 19891993. In 1993-1996 he served as Second Secretary, Embassy of Malaysia, Moscow, Russian Federation, before becoming First Secretary, Embassy of Malaysia, Tashkent, Uzbekistan, until 1999. In 1999-2001, he was Assistant Secretary (Policy Planning), Ministry of Foreign Affairs, before becoming Deputy Permanent Representative, Permanent Mission of Malaysia to the United Nations, Geneva. In 2004- 2006, he was appointed Deputy High Commissioner, High Commission of Malaysia, New Delhi, India. From 20062009 he served as Deputy Permanent Representative, Permanent Mission of Malaysia to the United Nations, New York. In 2009 he was appointed Malaysian High Commissioner to the Republic of Kenya and Permanent Representative to UNEP and UNHabitat. The Nigerian High Commissioner, HE DR. CHIJIOKE WILCOX WIGWE, of Nigeria 59, A FATHER OF SEVEN, also serves as Nigeria’s nonresident High Commissioner to the Seychelles. He is also the Permanent Representative of Nigeria to the UNEP and UN-Habitat, and also oversees Nigeria’s relations with the Republic of Somalia. He has served as the Director of the Asia and Pacific Division in the Ministry of Foreign Affairs, Abuja, from July to October 2007. Prior to that, he spent four years as head of the Social, Humanitarian and Cultural Affairs

the contentment of having transversed national limits to place itself on the top list of nations from the Third World. In these 52 years we have many things to be proud

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(Third Committee) at the Permanent Mission of Nigeria to the United Nations, New York, from July 2003 to July 2007. Between 2002 and 2003 he was the Director in the Office of the Minister of State for Foreign Affairs. He also served in various capacities in the Ministry of Foreign Affairs as well as Nigerian missions abroad, including Tokyo and Warsaw. He has a number of scholarly publications to his name, including a book titled Language, Culture and Society in West Africa. He is a lifetime/ platinum member of the Cambridge Who’s Who Registry of Executives and Professionals. He was recognized by the Universal Peace Federation (UPF) with the conferment of the title of Ambassador for Peace, a title best demonstrated when he negotiated and secured without payment of ransom the release of the crew of the Nigerian vessel the MV Yenegoa Ocean, captured for 10 months by Somali pirates in June 2009.

HE JULIO CESAR GONZALEZ is holder of BA in International Relations from the Higher Institute of International Relations in Havana. He served in the Ministry of Foreign Affairs since 1984 as has held different positions in the division of protocol and, America and Africa affairs. He has also served as deputy director of the multilateral division and advisor to the Deputy Foreign Affairs Minister. He represented his country as an envoy to Colombia and Austria before taking his current position as ambassador to Kenya, Madagascar and the UNEP and UN – Habitat. He has attended numerous international events among them several UN General Assemblies, Economic and Social Councils, human rights commissions, commission on sustainable development, UNCTAD meetings and a series of UNEP and UN – Habitat events. Gonzales is an official of the Central Committee of the Communist Party. He is married with three children and speaks both French and English.

of. We have managed to have free and universal education with equal access for all at all levels, as well as free access to quality medical services with a life expectancy of 77 years, up from 59 years. Full employment is now a reality, at the end of 2009 the unemployment rate stood at 2 per cent. We have succeeded in building a system that guarantees the enjoyment of all human rights for all people. Malaysia: The shift from an agricultural based economy to that of manufacturing and industry was a gamble that proved to be profitable. It was not easy having that mind shift simply because we were already in a comfort zone, thus change was very difficult. Our countryâ&#x20AC;&#x2122;s strong leadership and support from the Malaysian people as a whole helped to grow the process. Your governmentâ&#x20AC;&#x2122;s agenda for Kenya, what investment opportunities are in the pipeline? Nigeria: My responsibility is to promote economic and trade relations between our two countries by making Nigerian investors aware of the opportunities that exist in Kenya with a view to attracting direct investment to Kenya while pursuing the same objectives with respect to investments from Kenya to Nigeria. The past two years have witnessed a significant increase in the number of Nigerian investors entering the Kenyan economy. The big players to venturing into the market include Silverbird Productions and United Bank for Africa. There are also insurance and ICT companies here. I have extended invitations to two conglomerates from Nigeria, namely the Dangote Group and Chicason Group, to look into the market here. Cuba: In January 2009, dur-

ing the 4th Session of the Joint Economic Commission, held in Havana, it was decided measures would be taken to concentrate action in the field of bilateral cooperation so that Cuba and Kenya can continue enjoying friendly relations. The areas on top of the agenda are the fight to eradicate malaria and the local production of drugs. Cuba wants to complement the efforts that the Kenyan Government is already undertaking. We aim to start the programme in the second half of 2010. In addition is adult education and illiteracy eradication using various teaching methods, including audio-visual equipment. This programme is currently underway in Tanzania, where our Cuban consultants are already on the ground working with the people. This year, three Kenyans will be graduating from our school of medicine; we granted 15 scholarships to Kenyan students, seven being in the field of medicine. Cooperation is also ripe in the fields of sports and agriculture. We plan to set up an antidoping lab, currently there are only three such labs in Africa. We are also working on a proposal to apply sports-medicine as well as bringing Cuban coaches to train in areas such as basketball, volleyball and weight-lifting. We are also looking to create a school of sports with an aim of identifying and nurturing sporting talent from an early age. Malaysia: Plans are underway to have direct flights from Nairobi to Malaysia, hence serving the entire region because Nairobi is the hub for East Africa as Malaysia is for South-East Asia. There is a need to expose Kenya and its potential. Am passionate about three ar-

STATS &FACTS Nigeria in 2008 alone, the total value of foreign direct investment was $20 billion, most of it in oil and gas, agriculture and manufacturing.

eas of interest that am undertaking in bringing our countries closer together; trade, education and tourism. Liaising with my trade commissioner, we are organising around 30 Kenyan businesspeople to go to Malaysia, linking them with persons from similar professions, hence enabling them to share and learn from each other. Why do you fail to criticise the actions of the Kenyan Government unlike the case with your counterparts from America and Europe? Nigeria: Diplomatic relations and conduct among states are guided by a set of rules and regulations encapsulated in the 1963 Vienna Conventions on Diplomatic Relations. Article 41 goes on to define how a diplomat should conduct himself or herself within the territories of the receiving state. It states that it is the duty of all persons enjoying diplomatic privileges and immunities to respect the laws and regulations of the receiving state. They also have a duty not to interfere in the internal affairs of that state. We do not play to the gallery of the Kenyan media or the general public, which is often hungry for sensational headlines. We do not engage in cockcrow diplomacy. We do not call press conferences in our residences in order to offer advice to the Government of Kenya on how to implement reforms or how to proceed to have a new Constitution in place before the next General Election. Malaysia: We donâ&#x20AC;&#x2122;t interfere with the domestic affairs of a country because we realise everyone has a set way of doing things. We respect the leadership and democratic process; if any advice is sought from us we will freely give it

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CONTROVERSY

Gibe III Dam Issues

HE controversy surrounding the construction of Ethiopia’s Gibe III Dam, pitting development against conservation, has climbed a notch higher. And even as construction of the mega-project, estimated to cost US$2.7 billion, goes full steam ahead, it has emerged that opposition to the project by conservation lobbies may be much ado about nothing. Indeed, the Ethiopian Government has waded into the controversy with a tacit assertion that not only were wide consultations done on the viability of the project, but environmental impact assessment tests were carried out in accordance with strict national and international standards. The Ethiopian Electric Power Corporation (EEPCo) did thorough environmental and social impact tests before construction started and these complied with international requirements as reflected in the policies, safeguard procedures and guidelines of the African Development Bank, European Investment Bank and the World Bank. The studies covered wide-ranging areas, including environmental and social impact assessment (dam and reservoir), downstream impact, social management plan, resettlement action plan, roads realignment, public consultation and disclosure plan and archaeological studies and mitigation in the reservoir area. The studies laid strict emphasis on local communities and a series of public forums were held between 2006 and 2008, with local, regional,

zonal and federal officials and institutions taking part. Work on the dam, with a height of 243 metres, is nearing 50 per cent completion and the technology being used is that of Roller Compacted Concrete. When fully operational, the dam will hold 5.7 million cubic metres, with a crest length of 610 metres and width of 10 metres. Height above sea level will be 896 metres. The excavation and lining works for the three diversion tunnels is already complete. And over and above generating massive electric energy for Kenya, Ethiopia and neighbouring states, the dam will improve road access, health stations, schools, provide pure water and sanitation services, hitherto non-existent or in a poor state. The project offers enormous hope for indigenous tribes whose fishery production has been rudimentary. The project will now enable them to employ modern systems so that, above household consumption quantities, larger markets can be accessed. This is in contrast to observations made earlier by lobby groups and conservationists that the dam will deplete water levels and imperil marine and agricultural life of the people of the area where Kenya, Ethiopia and Sudan meet. Some 200,000 indigenous people live in the Lower Omo Valley through which the river passes and they rely on its yearly floods both for subsistence farming and to support their animals. The project is located 450km South of Addis Ababa in the Welayta and Dawro zones and is some 155km

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PHOTO: ETHIOPIAN EMBASSY

Opposition to the mega project by conservation lobbies may be much ado about nothing, argues YELIBU BELEW

BELEW:

Critics ignore dam's merits

downstream of the Gilgel Gibe II Powerhouse, itself operational since September 2009. The quality assurance and design review work for the dam is a joint venture between well-known international consultants ELC Electroconsult of Italy and Coyne et Bellier of France. Once completed, Gibe III is scheduled to produce some 1,870 megawatts of power. The project, scheduled to be fully commissioned in 2013, will boost the country’s hydropower generation capacity enormously and enhance energy production by 800MW, equivalent to 234 per cent. The scheme will, as a net effect, drastically increase what Ethiopia produces many times over. The project, the second largest in East Africa after DRC, will support the country’s Universal Electrification Access Programme, which aims to double access to electricity within a few years. The project will assist the communities living downstream with reliable and timely water supply and arrest irregular floods which wash away crops. It will also reduce evaporation losses in the flood plains. The continuous water supply will reduce extended drought periods for the people, thereby bringing stability and predictability. Contrary to claims that the future of Lake Turkana may be in jeopardy from reduced water levels, the project will ensure sustainable flow and positive hydrological balance to the Lake, which is characterised by high rates of fluctuations and level reduction at an alarming rate. It will also accelerate cross-border trading in electricity with neighbouring states and shift focus from thermal power, which is expensive and insufficient, to hydro-generation both in the region and in the international power markets The author is Deputy Ambassador of Ethiopia to Kenya

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Russia's Victory By DEA CORRESPONDENT

ENEATH the melodious tunes by brass bands and the roar of helicopters and planes doing striking aerial displays on May 9 to mark Russia’s 65th Victory Day, dark memories linger. The anniversary of the victory of the Great Patriotic War (the Second World War) is both a local ceremony and an international socio-political event of enormous significance for the world. It marks the day Russian forces routed and completely defeated Nazi Germany’s army, then consisting of troops from Finland, Italy, Hungary and Romania, then Nazi satellites. Germany’s high command envisaged a blitzkrieg, or storm. The war started on June 22, 1941, when Germany attacked Russia without warning, sparking fierce battles that raged all the way from the Barents Sea to the Black Sea. The Soviet Union became a united military camp where everyone lived and worked under the slogan “Everything to the Front, Everything for Victory!” Shortly, the Russians started produced more superior military hardware that promptly spelled trouble for the enemy. Russian officers and men displayed valour, heroism, indomitable courage, fortitude and bravery exemplified by the exploits of defenders of the Brest Fortress, Moscow, Stalingrad, Kursk, Leningrad, Sevastopol, Odessa, Kiev, Smolensk and Tula. The Battle of Stalingrad lasted six months up to February 2, 1943, when the enemy’s 330,000-strong army was encircled and defeated. The victory of the Battle of Kursk marked the turning point of the World War. Buoyed by this success, Soviet

forces launched several large-scale offensives near Leningrad and Novgorod, Ukraine, the Crimea, Byelorussia, the Baltic Republics, Moldavia and the Polar regions. It was precisely after Soviet forces completely overcame Nazi forces that Great Britain and the United States opened the Second Front in Europe in 1944. Germany suffered defeat after defeat, culminating in the gigantic Berlin Operation that became the final act of World War II in Europe. The operation involved two-and-ahalf-million Soviet servicemen launched on April 16, 1945. The army that stormed Hitler’s Reich itself was a juggernaut of 6,200 tanks, 8,300 aircraft and 42,000 guns and mortars. In the fierce battles that ensued, the enemy camp, one million officers and men were surrounded and eliminated. The Soviet Army destroyed 607 enemy divisions while the British and American forces accounted for 176 divisions. Germany lost 13.6 million people and 75 per cent of military equipment and weapons. The Soviets lost 26.6 million people. Unable to bear the onslaught, Germany surrendered unconditionally on the evening of May 8. The world learnt of this the next day. Mortars, shells, the staccato burst of machine gun fire and tanks suddenly went quiet. The war was over. May 9th was proclaimed in the USSR Victory Day. And to mark this Day, hundreds of army troops will take part in the biggest military parade in history in Moscow. All branches of the Armed Forces will march across Red Square. On display at the parade will be 159 vehicles of historical, current

and newest models of weapons and military equipment. To add to the pomp, 127 aircraft and helicopters will overfly the Square and form the digits “65”. These are used for strategic attack, fighter, bomber and transport aviation as well as combat transport. Part of the parade will also feature war veterans from the Commonwealth of Independent States and representatives of American, British and French armed forces. Russia believes that the Great Victory is a common spiritual heritage of all peoples of the former 15 Soviet Republics, whose forefathers upheld freedom, saved their fatherland and made a decisive contribution to the liberation of the USSR and Europe from fascist enslavement. The results of the historical drama of World War II directly influenced the course of world history and the development of international relations. The advent of the anti-Hitler coalition was a major diplomatic breakthrough of its time and represented an unprecedented example of states with varied ideologies and political systems rallying together to face and overcome a mortal threat to mankind. It is significant that the nations rose above their differences and renounced minor bottlenecks in order to crush the enemy and achieve victory. The war was a demonstration of how low man can sink, but, more importantly, showed unsurpassed instances of the greatness of the human spirit and the capacity for selfsacrifice in order to save friends. The unity of the Soviet people, patriotism, friendship between the nationalities and nations and just aims in the war bred valour at the front and heroic labour of the people in the rear and the eventual defeat of Nazism. And Kenyans should remember, as they struggle to create structures for better governance, that the cornerstones of friendship and self-sacrifice

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Russia, US Sign Historic Arms Reduction Treaty By DEA CORRESPONDENT

he United States and Russia have signed a treaty on measures for further reduction and limitation of Strategic Offensive Arms (SOA). The treaty, signed by US President Barack Obama and his Russian counterpart Dmitriy Anatolyevich Medvedev on April 8, was described as a well-balanced document fully matching the interests of national security of both the Russian Federation and the USA. The document ensures the real reductions of strategic arms, which corresponds to the real situation in the world “as well as to the nature of Russian-USA relations at the present stage”. The two powers agreed to re-

STRATEGIC POTENTIALS:

Russian Ambassador to Kenya and Permanent Representaive to international organisations Valery Yegoshkin

May - June 2010

duce the total quantity of warheads by one-third, seen against the previous treaty on reduction, which had set the upper threshold at 2,200 units. The new treaty also says that the quantity of strategic carriers will be reduced by more than twice under previous arrangements. “With all these, only the scheme of reckoning the operatively deployed warheads — those ready for immediate military use — shall be applied. That will show the actual picture of the strategic potentials of the Parties”. As for the so-called upload potential — the possibility to secretly increase the number of deployed warheads within a short time — it is rigidly restricted by the limit of the total quantity of deployed and non-deployed launchers. These are the Intercontinental Ballistic Missiles (ICBM) and the Submarine Launch Ballistic Missiles (SLBM). Also targeted are the deployed and non-deployed tactical warheads, restricted at 800 units. This upper limit provides extra impetus for liquidation and re-equipment of the Strategic Offensive Arms facilities. The link between Strategic Offensive Arms and Anti-Ballistic Missiles (ABM) is now a compromise: While there is no limit for developing ABM systems, Russia retains the right to pull out from the treaty in case of such increase of quality of quantity of the United States’ ABM possibilities.

According to Russia, such a move would significantly influence the “effectiveness of our strategic nuclear weapons, and it will be for the Russian side to decide the degree of such influence”. This safety net is a well-known legal principle, according to which the ground for concluding a treaty should not be altered and there is the right to terminate the treaty in case of significant change of that ground. “This is an absolutely honest position”, says the document. To increase the transparency of ABM programmes, the obligation not to re-equip and not to use the Intercontinental Ballistic Missiles and Submarine Launch Ballistic Missiles launchers for deploying antiballistic rockets on them and

vice versa is now legally binding. Russian and American representatives are to discuss how to distinguish between the various missiles and launchers within the Bilateral Consultative Commission. Furthermore, US antiballistic launchers at its proving grounds will be covered by the controlling mechanism of the treaty. Conventional non-nuclear warheads will be covered by the general threshold levels and subjected to the unifying controlling procedures. However, Russia clarifies that it has not given consent for the creation, deployment and eventual use of Strategic Offensive Arms in its non-nuclear version. “The Russian side is convinced that these facilities are of a destabilising nature

"The safety net is a well-known legal principle"

and they can still cause a nuclear conflict”. Whereas the old treaty was drafted in an atmosphere of confrontation between the USA and Russia, which considered each other potential enemies, the new one was concluded between partners intent on settling common tasks in disarmament, non-proliferation and strengthening strategic stability. Medvedev said the document did not give preference to any of the partners and there was no question of who won or lost. “What actually matters is that a mutually acceptable compromise has been achieved and that is beneficial for Russian-USA bilateral strategic relations, as well as for international stability and security on the whole ”

Embassy of the Russian Federation presents

The Crown of Russian Ballet

SEASON FOUR (MAY 29–31, 2010)

SATURDAY 29th MAY SAFARI PARK HOTEL & CASINO IN COMMEMORATION OF 200th ANNIVERSARY OF F. CHOPIN 7.00 PM – 10.00 PM F. CHOPIN – LES SYLPHIDES (CHOPINIANA) G. BIZET – CARMEN TICKETS: DINNER AND PERFORMANCE (7.00 PM) 3,500 KSHS, PERFORMANCE ONLY(8.30 PM) 1500 KSHS SUNDAY 30th MAY SAFARI PARK HOTEL & CASINO. BALLET MATINEE 1.00 PM – 4.00 PM SPECIAL PERFORMANCE FOR FAMILIES AND CHILDREN S. PROKOFIEV – CINDERELLA, EXCERPTS FROM WORLD FAMOUS BALLET TICKETS: LUNCH AND PERFORMANCE (100 PM ) 3000 KSHS, PERFORMANCE ONLY(300 PM ) 1500 KSHS CHILDREN UP TO 12 YEARS – 2000 KSHS AND 1000 KSHS RESPECTIVELY MONDAY 31th MAY ALLIANCE FRANCAISE (FRENCH CULTURAL CENTRE) 700 PM – 900 PM GALA–PERFORMANCE OF THE BEST OF CLASSICAL BALLET TICKETS:1000 KSHS ADULTS, 500 KSHS CHILDREN

TICKETS AVAILABLE FROM: RUSSIAN

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ART DIRECTOR: A. ALEKSIDZE CHOREOGRAPHER: A. EMELIANOV

EMBASSY (0722705037, 2728700), ALLIANCE FRANCAISE (340054/79), SAFARI PARK HOTEL&CASINO (3633000/3137, 8562222)

SPECIAL THANKS TO RED LANDS ROSES

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TRIBUNAL DECIDES

Minority Group Win African Union Court ruling in fourdecade-old land litigation sent ripples of excitement across the continent, writes EMMAN OMARI

inority communities whose rights have been trampled upon in the East African region will be trooping to Banjul, The Gambia, following the landmark ruling by the African Commission on Human and People’s Rights, the supreme African Union court, which found the Kenya Government guilty of snatching the Endorois’ ancestral land. The Endorois, a pastoral ethnic group of an estimated 60,000 people, fought unsuccessful battles through the Kenyan courts and finally decided to go to Banjul, where they have been battling with the Kenyan Government for the last seven years. Already, the ruling is causing excitement and could open the floodgates for the disadvantaged people in the region. Pending before the court are two other cases from Kenya — the Wagalla Massacre, attributed to the Kenyan Army in 1984 in Wajir and the Nubians, who are seeking to reclaim land in Kibera, Nairobi. In Uganda, the Karamajong, the Bakenye and Banyarwanda, who form minority groups and who have been agitating for their rights, could be preparing for the journey to Banjul, inspired by the Endorois ruling. In Tanzania, a group of bushmen, the Barbaig and of Albinos, who face a threat of extinction, might also make a trip to Banjul if they fail to be guaranteed proper protection by the Government in Dar es Salaam.

May - June 2010

The case filed on the Endorois’ behalf by the Centre for Minority Rights Development and the Minority Rights Group International in 2003 sought judgment over a decision by the Kenyan Government to evict the Endorois from their ancestral land around Lake Bogoria and turn it into a game reserve 37 years ago. The land in contention measures 197 square kilometres and is situated some 260 kilometres West of Nairobi. First, it was gazetted as Lake Hannington Game Reserve in 1973, then as Lake Bogoria Game Reserve the following year. The Endorois, who inhabited the land, were relocated to a scheme created in the neighbourhood. Their battle in the Kenyan High Court failed when a judge ruled that “the law did not allow individuals to benefit from such a resource simply because they happen to be born close to the natural resource”. Attempts to appeal in Kenya were frustrated for three years, when court administrators failed to issue a certified court ruling. The community’s representatives also pointed out to the Banjul court that members of the Endorois Welfare Committee and lawyers who were at championing the fight faced harassment from government. The case cited five grounds which the Kenyan State violated Articles 8, 14, 17, 21 and 22 of the AU Charter.

The relevant Articles vest in all people on the continent and, by extension, the world, the right to practice religion; the right to property; the right to culture; Rights to free disposition of natural resources; and the right to development. The African Court indicted Kenya after receiving oral and written evidence from both parties, including video tapes from the advocates of the Endorois at its sittings in Banjul. They cited other landmark cases which have come before it such as the Ogoni of Ken Serawiwa fame in the exploitation of oil wealth in the Niger Delta. They also quoted extensively from the case of the Saramaka of Suriname in which the Inter-American Court of Human Rights ruled that the State had the responsibility to ensure that people rights to resources are protected. The Kenyan Government in its arguments made several attempts to demonstrate that the Endorois are not a distinct community, that they have already been compensated, and that they were involved in decisions at every stage. For instance, the State argued that the Endorois are among the four sub-clans of the Tugen, the others being the Lebus, Somor and Alor. And in 1986 the Government paid 170 out of the 400 families compensation of Sh3,150 each (£30 at the time), which it acknowledged was to facilitate their movement. The State also argued that the group did not exhaust local avenues such as the Court of Appeal, intervention by their district commissioner and the County Councils of Koibatek and Baringo, who run the game reserve. KNCHR Vice-Chairman Hassan Omar Hassan promises that the commission will pursue the matter “to the end”

•DNA Diplomacy•News•Analysis

THE UNITED KINGDOM

Hung Parliament? Hang The Opposition! By KWENDO OPANGA

PHOTO: DEA LIBRARY

olitical leaders in Tanzania, Rwanda, Burundi, Ethiopia, the Comoros and Uganda must have viewed the results of the May 6 General Election in the UK with more than passing interest. The first five countries go to the polls this year and Uganda the next and each of the main parties would want to be sure they start in pole position, but they cannot look to the UK for inspiration. Britain’s three main political parties lost ground in the General Election which accounts for the so-called hung parliament and resulting post-poll uncertainty. New Labour, the governing party for the last 13 years, lost more than 80 seats in what must rank as its worst electoral performance in more than three decades. The Conservative Party, which had been in power for 18 years before Labour, gained more than 90 seats, but fell short of the 326 majority it needed to be able to govern alone comfortably by some 19 seats. The Liberal Democratic Party, popularly known as the Lib Dems, flattered to deceive during the five-week campaign when it appeared it would get a large share of the votes. Instead it lost seats and finished a distant third. By failing to give a single party the mandate to govern, the electorate forced the party leaders to

enter negotiations with a view to cobbling together a coalition or an arrangement that would see them form a government. That thrust the Liberal Democrat leader Mr Nick Clegg in the centre of the horse trading game. Clegg’s decision could make or wreck his political career and his party. Clegg was handed two suitors he would have wanted to give a wide berth. Embrace a defeated Labour and you end up in a coalition of the defeated. Get into the duvet with the Conservatives and you

BROWN, CLEGG, CAMERON:

No clear winner

give credence to the term strange bedfellows because ideologically Lib Dems are closer to Labour than to the Tories. Most important of all, the new government must make tough decisions that will involve substantial cuts in government spending and services. This could make for a very unpopular government that could be kicked out at the next election. But does the fact that Britain has not had a coalition government or minority government since 1974 mean, a hung parliament is a bad thing? It is strange for the Brits, but common on the European continent. Are African leaders ready to share power? The coalitions in Kenya (2008) and Zimbabwe (2009) were put together to end post-poll chaos because parties interfered with the votes and not because the voters failed to hand one party a decisive win. In Uganda, Rwanda, and Tanzania, and as was evident in the Sudan in April and Nigeria in 2007, opposition parties are more likely to be concerned with their acceptance, legitimating their activities and vote-cheating, than with sharing power. For the governing parties which are going to the polls this year and next, a hung parliament may be the least of their immediate worries; hanging the opposition may be most urgent

May - June 2010

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•PICTORIAL Lights•Camera•Action

March - April 2010

1. ROYAL ADDRESS: HRH Princess Maxima of the Netherlands addresses the gathering at the Africa-Middle East Regional Microcredit Conference in Nairobi in April. 2. ISLAMIC FINANCE: In deep discussion from left are Mr Jawad I. Ali, Managing Partner, King & Spalding, LLP-Middle East, Mr Ali Mohamed, Sheriâ&#x20AC;&#x2122;a Auditor Qinvest Doha Qatar, and Sheikh Muddassir H. Siddiqui, Shariâ&#x20AC;&#x2122;ah Expert, Partner, Denton Wilde Sapte-Dubai, during the Islamic Finance Conference held at Laico Regency in Nairobi in early May. 3. ROYAL PRESENCE: Her Majesty Queen Sofia of Spain at the Africa-Middle East Regional Microcredit Summit in Nairobi in April. 4. WELCOME: The Speaker of the National Assembly Mr Kenneth Marende, (centre) being welcomed by the Ambassador of the Russian Federation to Kenya, Mr Valery Yegoshkin,(right) and the Ambassador of Ukraine Mr Volodimie Butiaga, (left) during the occasion of the 65th Anninversary of the Great Patriotic Victory (WW11) at the Russian Embassy in Nairobi. 5. FINANCIERS: Mr Alex Nandi, Deputy Director Banking Supervisory, Central Bank of Kenya (centre) during the opening of the Islamic Finance Conference at Laico Regency in Nairobi, the Chairman, Gulf African Bank (left) and Mr Najmul Hassan , Chief Executive, Gulf African Bank. 6. ON TOUR: Participants tour some of the stands during the Africa-Middle East Regional Microcredit Summit in Nairobi. 7. EASTER RALLYISTS: The winners of the KCB Safari Rally Round Two, Lee Rose and Piers Daykin atop their Mitsubishi Evo 9 celebrate their victory in the Easter event. 8. VEEP MEETS BANKER TO THE POOR: Vice President Kalonzo Musyoka (right), Deputy Prime Minister and Minister for Finance Uhuru Kenyatta (right), the Managing Director Grameen Bank and Nobel Peace Laureate Prof Muhammad Yunus, and Mrs Ingrid Munro, during the Africa-Middle East Regional Microcredit Summit in Nairobi in April. 9. BANKER AND QUEEN: Prof Muhammad Yunus, Managing Director Grameen Bank, and Her Majesty the Queen of Sapin were among the guests during the AfricaMiddle East Regional Microcredit Summit in Nairobi in April. 10. TEXTILES SHOW: Mr Bruno Lanceleur of textile company Baobab shows off textiles at their stand in the Mauritius-Comesa Exhibition in Nairobi. 11. PAN-AFRICAN AFFAIRS: The former President of Mozambique, Mr Joaquim Alberto Chissano (left), chats with the Ugandan Minister for Information and National Guidance, Princess Kabakumba Labwoni Masiko, at the Pan-Africa Media Conference in Nairobi in April.

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•ECONOMY Investment•Technology•Prosperity

REPORTED SPEECH

The End of the Third World? The President of the World Bank Group, Mr ROBERT B. ZOELLICK, delivered a keynote address in mid-April at the Woodrow Wilson Centre for International Scholars, USA, in which he declared that it is time we put old concepts of First and Third Worlds, leader and led, donor and supplicant, behind us and adduced powerful and compelling reasons why, including Africa’s prospects as a Pole of Growth. The following are excerpts from the Zoellick presentation:

or decades, students of security and international politics have debated the emergence of a multipolar system. It’s time we recognize the new economic parallel. If 1989 saw the end of the “Second World” with Communism’s demise, then 2009 saw the end of what was known as the “Third World”: We are now in a new, fastevolving multipolar world economy – in which some developing countries are emerging as economic powers; others are moving towards becoming additional poles of growth; and some are struggling to attain their potential within this new system – where North and South, East and West, are now points on a compass, not economic destinies. Poverty remains and must be addressed. Failed states remain and must be addressed. Global challenges are intensifying and must be addressed. But the manner in which we must address these issues is shifting. The outdated categorizations of First and Third Worlds, donor and supplicant, leader and led, no longer fit. The implications are profound:

For multilateralism, for global cooperative action, for power relationships, for development, and for international institutions. MULTILATERALISM MATTERS

The global economic crisis has shown that multilateralism matters. Staring into the abyss, countries pulled together to save the global economy. The modern G-20 was borne out of crisis. It showed its potential by quickly acting to shore up confidence. The question now is whether this was an aberration, a blip? Will historians look back on 2009 and see it as a singular case of international cooperation or the start of something new? Some now view Woodrow Wilson’s attempt to create a new international system after World War One as an opportunity lost that left the world adrift amidst dangers. Will this be a similar moment? The danger now is that as the fear of the crisis recedes, the willingness to cooperate will too. Already we feel gravitational forces pulling a world of nation-states back to the pursuit of narrower interests. This would be a mistake. Economic and political tectonic

May - June 2010

The developing world is becoming a driver of the world economy

plates are shifting. We can shift with them, or we can continue to see a new world through the prism of the old. We must recognize new realities. And act on them. What is Different? The developing world was not the cause of the crisis, but it could be an important part of the solution. Our world will look very different in 10 years, with demand coming not just from the United States but from around the globe. Already we see the shifts. Asia’s share of the global economy in purchasing power parity terms has risen steadily from 7 per cent in 1980 to 21 per cent in 2008. Asia’s stock markets now account for 32 per cent of global market capitalization, ahead of the United States at 30 per cent and Europe at 25 per cent. Last year, China overtook Germany to become the world’s biggest exporter. It also overtook the United States to become the world’s largest market for cars. Import numbers tell a revealing story: the developing world is becoming a driver of the global economy. Much of the recovery in world trade has been due to strong demand for imports among developing countries. Developing country imports are already 2 per cent higher than their pre-crisis peak in April 2008. In contrast, the imports of highincome countries are still 19 per

cent below that earlier high. Even though developing world imports are about half of the imports of high-income countries, they are growing at a much faster rate. As a result, they accounted for more than half of the increase in world import demand since 2000. NEW POLES OF GROWTH

The world economy is rebalancing. Some of this is new. Some represents a restoration. According to Angus Maddison, Asia accounted for over half of world output for 18 of the last 20 centuries. We are witnessing a move towards multiple poles of growth as middle classes grow in developing countries, billions of people join the world economy, and new patterns of

ZOELLICK:

Global challenges are intensifying

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•ECONOMY Diplomacy•News•Analysis

integration combine regional intensification with global openness. This change is not just about China or India. The developing world’s share of global GDP in purchasing power parity terms has increased from 33.7 per cent in 1980 to 43.4 per cent in 2010. Developing countries are likely to show robust growth rates over the next five years and beyond. Sub-Saharan Africa could grow by an average of over 6 per cent to 2015 while South Asia, where half the world’s poor live, could grow by as much as 7 per cent a year over the same period. Southeast Asia has become a middle income region of almost 600 million people, with growing ties to India and China, deepening ties with Japan, Korea, and Australia, and continuing links through global sourcing to North America and Europe. The Middle East region is an important source of capital for the rest of the world, and increasingly a business-service hub between Asia, East and South, and Euro-Africa. Gross official reserves of the Gulf Cooperation Council countries were over $500 billion at the end of 2008, with estimates of sovereign wealth fund assets of as much as $1 trillion. If the Maghreb can move beyond historical fault lines, it can be part of a Euro-Med integration linked to both the Mideast and Africa. In the Latin American and Caribbean region, 60 million people were lifted from poverty between 2002-2008 and a growing middle class boosted import volumes at an annual rate of 15 per cent. AFRICA'S POTENTIAL

Tectonic plates could shift further. Africa missed out on the manufacturing revolution that lifted East Asia’s economies out of poverty and into prosperity. But Africa no longer needs to be left behind.

Today, in many African countries, even small, inexpensive items, such as soap or slippers, or basic tools or consumer goods, are imported. If Africans remove the barriers to producing these goods domestically and to local entrepreneurship, while creating conditions for outside investors to shift production to Africa, then African development could begin to look very different. Unlike past failed efforts to favor import-substitution interests behind protectionism, this approach can capture benefits from regional integration within global markets. What would it take? As a first step, the 80 per cent of Africans earning $2 a day or less need to earn enough income so they will be able to buy basic consumer goods. Agriculture is the main source of jobs and an early opportunity to boost productivity and income. To do so, investment is needed all across the agricultural value chain: property rights; seeds; irrigation; fertilizer; finance; basic technologies; storage and getting product to market. Since about two-thirds of African farmers are women, we need to help them get legal and property rights, and access to services.With slightly higher incomes and living standards, local manufacturers can target or customize for the local market, and eventually for export. To grow further, Africans need the things that Europe and Japan needed after World War Two: infrastructure; energy; integrated markets linked to a global economy; and the conditions for a vibrant private sector. These public goods will foster much more than local manufacturing. Today’s shifts open new opportunities. As the global crisis hit, some Chinese recognized that it was time to move beyond toys and footwear; China could move

May - June 2010

STATS &FACTS The developing world’s share of global GDP in purchasing power parity terms has increased from

33.7 per cent in 1980 to 43.4 per cent in 2010

up the value chain, increase wages and consumption, and expand its “harmonious society”. Chinese companies, in turn, could move lower value-added manufacturing elsewhere, including to Africa, following China’s resource developers and construction enterprises. Chinese companies can be encouraged to relocate manufacturing for both domestic production and export. These manufacturers bring know-how, machinery, as well as access to marketing and distribution networks. The World Bank is working with Africans and Chinese to create industrial zones. Early investors are sensing the promise in Africa and are not dissuaded by the risks – after Lehman Brothers and Greece, investors know developed markets can be risky, too. Changes in government policies can create opportunities for private sector growth, which in turn offers services to other entrepreneurs. In the ten years to 2008, the private sector has invested more than $60 billion in information and communications technology in Africa; 65 per cent of Africans are now within reach of wireless voice services, and there are 400 million mobile phones in use in Africa. IFC, the World Bank Group’s private sector arm, is helping catalyze this business revolution. A new IFC equity fund has attracted $800 million from sovereign wealth and pension funds to invest in companies in Africa, Latin America and the Caribbean. CONCLUSION

Modern multilateralism will not be a constricted club with more left outside the room than seated within. It will look more like the global sprawl of the Internet, interconnecting more and more countries, companies, individuals, and NGOs through a flexible network

Grain Bulk Handlers >> Not a Grain Lost pg 54 >> Interview with Chairman Jaffer pg 59 >> 1Oth Anniversary Address pg 62

Prime Minister Raila Odinga and GBHL Chairman Mohamed Jaffer

SPECIAL REPORT GBHL

Not a Grain Lost: How GBHL Revolutionised Bulk Handling of Cereals This massive World Bank-funded Complex, now celebrating this first decade, is one of its kind in the region and a tremendous success. Diplomat East Africa's WYCLIEF MUGA interviewed Mr DAVID HARRIS, who helped construct the terminal DIPLOMAT EAST AFRICA: Why don’t you start at the beginning and tell us how you came to be working here?

DEA: So why was this facility needed, when grain was already being handled at the port? Why this hurry to get it built?

DAVID HARRIS: I actually came here to construct this grain terminal. And I’d had a lot of experience previously — I had worked for the World Bank through Mersey Docks and Harbours Company in Maputo, where I rebuilt the sugar terminal — they have a big sugar terminal there which unfortunately had been destroyed during the civil war in Mozambique, together with other things like cement factories, refineries and everything else. In fact, the civil war was still going on when I first went there. So we rebuilt the terminal and operated it for about eight or nine years after that, and it was a great success. And on the strength of that Mersey Docks and Harbours and the World Bank asked me if I would come here and assist with the construction of this grain handling terminal. Which I did, and it took us exactly 13 months to build. I arrived on the first of October 1998, and we actually did our first ship in January 2000.

DH: Two reasons. First the port was getting congested because they could not handle ships fast enough. And secondly, when you borrow money from the World Bank, from Day One, you begin to pay interest; before you have even done the first thing. So by the time you get to the end of your construction here, if you are not earning you are in trouble. So obviously the sooner you start earning, the sooner you pay back. So construction has to be rapid and successful.

DEA: Looking at this massive complex, one would think it would take longer than that to build. Did it all come here prefabricated? DH: Well it did up to a point: The silos were built here; the concrete had to be laid; the buildings had to be constructed; then there was the big tower out there, etc. The machinery came in kit form to be assembled here; the ship on-loaders came in a kit form to be assembled here. But most of it was all constructed here. We actually made a workshop in Shed Three on the port, where we could build everything that we needed. And we basically finished it all in 13 months. We had been given 12 months to build it, and we completed it a month after.

May - June 2010

SPECIAL REPORT GBHL

DEA: How much cheaper is it to bring grain in bulk, as opposed to bringing it already in bags? DH: Well, first of all the ship can turn round and unload quicker, which obviously makes it considerably cheaper. The thing is that ‘shipping time’ and ‘time in port’ are the two crucial factors — plus the cost of the bags, of course. DEA: And all these can be substantially reduced if you can handle grain in bulk? DH: Absolutely. And the one thing we have been trying to get the millers to do — from Day One — is to install for themselves a little silo, or a couple of little

silos, at their mill, so we can deliver in bulk. Why have this double handling all the time? Why should we need to bag it all the time — then they take it off in bags, and when it gets to their mill, they tip it off the bag and into the mill. Why don’t they get themselves a silo, so we can deliver in bulk, and they take it in bulk, they grind it in bulk? There are some silos in Mombasa, but they are not next to mills: they are purely for storage. But if you are an importer with silos purely for storage, you are going to face a big problem at the port when trying to get your lorries out of the port. It’s chaos trying to get out. DEA: Accepting that your work was essentially technical, what was your understanding of the broader policy issues? Why did Kenya need a specialised grain terminal? DH: Purely and simply because Kenya, unfortunately, is not capable under the present system of supplying all its own needs. You need massive thousand-acre farms — or ten-thousand acre farms — to supply the amount of grain that’s needed here. You cannot provide all the grain needed in Kenya on very small farms, using the most rudimentary methods, unfortunately. What happens here is that when the father dies and he has four sons, the plot of land he owns is split into four; then the next generation is born and when those four boys die, each one of their plots is GRAIN HOUSE:

The Headquartes of GBHL in Mombasa city CONVEYOR BELT:

GBHL has invested heavily in technology

PHOTOS: GBHL

A grain terminal is a very important piece of equipment for any port — or for any country that has to import grain. Because to do it by the bagging method, if it is straight off the ship, is fine, but it’s expensive, and it’s fairly wasteful. Because a lot of the grain spills, which is usually because the “grabs” are inefficient — they don’t always close properly and they leak. And the leakage does not always fall on hard ground where you can clean it up; it drops into the sea, off the side of the ship. But having said that I must say that the bagging operations are also quite good. They were the link between the ship bringing the grain all in bags, and the ships bringing it more cheaply in bulk. So they were a step up.

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SPECIAL REPORT GBHL

split into four or five, for their boys. So you finish up with very small plots, which are totally ineffective for industrial farming. DEA: So it is in following our traditions of inheriting land from one generation to another, that we end up with agricultural land which is not viable for producing something like wheat? For I think in some good years Kenya is self-sufficient in maize flour. DH: Not lately. Don’t forget the country’s population is growing more rapidly. And there has been a change in eating habits too — people are now eating more bread, which is understandable.

that by 30,000 for an average ship, and you find we did 57 ships. That’s almost five ships every month. DEA: Are you saying that this would not have been possible without this facility? DH: You would have had five berths fully occupied doing nothing but grain. That is five out of a total of 12 berths. Then look at the vehicles trying to leave the port. Let’s divide that 35,000 tons carried by an average ship by the 30 tons that a lorry can carry. That’s 1,166 vehicles — that’s for one ship in five days. So how would this port handle that much traffic? It would not manage. You would have ships queuing everywhere. In fact, a lot of them would not stay — they would be gone, because the longer they stay, the more money they are losing. DEA: So how was offloading of grain done before GBHL was set up? And I am told there are still operators other than yourselves doing this.

PHOTO: GBHL

DH: Yes, they are still doing it — because the odd ship does not want to be delayed and are willing to pay more to unload. They are not many — there are very few now, and we are more or less on top of things. But before, it was a bagging plant on the berth, and the ship was unloaded by grabs, dropped into the bagging plant, and bagged. And the most they reached — but only sometimes — was 3,000 tons a day. But usually it was considerably less, because they were either waiting for transport, or it rained — or whatever. And the grabs used to leak. The wastage was terrible. If you looked under our berth when it’s working, you would see that there is not a grain on the floor.

THE BOARD:

GBHL boasts an experienced, skilled Directorship

QUESTION: So there was no doubt in your mind that what you were supervising and constructing here was something Kenya definitely needed. DH: Oh definitely. No question. In fact, it should have been built much earlier. I usually say that it would have been a luxury if it had been built 20 years ago; it would have been fantastic if it had been built 10 years earlier; and as it was, it was a revolution to build it when we did build it. It was definitely needed. DEA: Could you give us some of the figures which illustrate the improvements that came about when this much-needed facility for handling grain started to operate? DH: OK, last year we handled two million tons. Divide

May - June 2010

DEA: So your system takes the grain from the ship straight to the silos, with not a grain lost? DH: Not a grain lost. And also it’s monitored exactly to the ton and kilo that comes off the ship. So the Kenya Revenue Authority (KRA) has a printout of exactly what came off the ship. They know exactly what to charge Duty on, and what not to charge Duty on. DEA: Are you suggesting that under the old system you could not know how much grain had been imported into the country? DH: There was no way. It was hopeless. What you have got to bear in mind is that when you are bagging grain, you have to have a trickle system on your scale. So it fills up quickly and then it trickles the last bit in to get the right level, which slows you down, for a

SPECIAL REPORT GBHL

PHOTO: GBHL

start. And secondly we have what we call “the weight of the in-flight material”. The grain that is actually sitting in the bag is actually what it is weighing; the grain that is traveling from the trickle door to there is actually in mid-air. So it’s this bit that reaches the level; the gate shuts; and then that last bit of grain drops in. It’s called the in-flight grain. And that is very difficult to weigh and it’s very difficult to get it accurate on an estimate. So you are never accurate. Now this scale we have here is a volumetric totaliser scale. It fills to a physical level, and at that point the door slams shut. It then weighs what’s in it, and totalizes it to what has gone past. It might be three tons; it might be just over three tons; it might be just under three tons. It does not matter because it is totalizing all the time. So therefore you have great accuracy of what came off the ship. DEA: So, from the taxman’s point of view, this is a far more efficient and superior system to what existed before? DH: One hundred percent. DEA: But nothing is prefect. If you had to improve this facility, what would you do? What do you sometimes wish you had, which you do not have? DH: The big thing is not really us — it’s the others. It’s the transport, the rails — that is the thing that needs improving. We are improving our facilities for loading out: we have actually reached the point where we move nine-and-a-half tons in one day, from here, by road and rail. We have a total of 12 bagging lines, each one of which is capable of one ton per minute. But there are times when these are not bagging. When the vehicle is moving, obviously you have to stop.

DH: We have had government officials here; the millers have been here; everybody has been here. We have never refused anybody the opportunity to come and look. We did offer the millers at one time, particularly the ones in Mombasa — because all the mills are on the railway line — we got permission from the railways to run a conveyor down the entire line which we were going to feed from here direct. So we would have filled the mills direct. No transport; no bags, no labour; but the millers would not do it.

THE DOCK:

GBHL's efficiency reclines on state of art seafront equipment

DEA: These are businessmen who want to make money — and you are saying that even when something like this, which is clearly in their interest, comes up, they will not do it? That does not add up.

So you don’t get a continuous 60-minute hour. And there are some drivers who take up to 10 minutes to position the vehicle underneath the loader. So in our newer bagging lines we have a much different system — all the driver has to do is drive straight underneath. There are big yellow lines, and all the driver has to do is get between those yellow lines, and when the first vehicle goes he can go straight in, and in just 20 seconds we can be loading the next vehicle.

DH: I don’t know why. It was offered to them, but they all turned it down. They just did not do anything about it.

DEA: Not everyone will have the opportunity that I have had to come here, look around the entire facility, and get to understand how this place works. What arrangements have you for encouraging visitors to come here, so that more people will know exactly what goes on at Grain Bulk Handlers?

DH: That’s because they think we are a monopoly. We are not a monopoly at all. There are still the onquay bagging operators. And bear in mind that our accounts are monitored, audited, and a copy of our accounts has to go to the port every year. So how can we be a monopoly?

DEA: Now speaking of the millers, there are those among them who believe that GBHL needs some competition; that there needs to be a second terminal, similar or identical to this one, right here at the port of Mombasa. What do you say to this?

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SPECIAL REPORT GBHL

DEA: So would you say that you are heavily regulated by the port? DH: We are regulated. We cannot adjust our prices without consultation. DEA: But if a second facility were built right here, in your view, would that be an advantage to the nation in that you would have these two facilities competing? DH: No. There would be no advantage at all. They too would be regulated just as we are, and so there would be no cost advantage to the nation, that I can see. DEA: But are you not already working at full capacity here?

PHOTO: GBHL

DH: No we are not. We are increasing our capacity all the time. Technically speaking, we can handle — just as we are now — about 600 tons per hour. That is 14,400 tons a day. And bear in mind we are now purchasing a third machine. Add the new machine which we should have working in about a month’s time, and that would add some 7,000 tons a day, so we would then be able to handle 21,000 tons a day in total. We will be able to do two ships at once, or we will be able to do 21,000 tons a day off one ship.

SEA TO ROAD: A truck loads grain for upcountry

DEA: Working at that pace, would you say that this is enough for our country’s grain import needs, and that no additional facilities were needed? DH: It’s plenty. What is needed is more silos. We have made provisions for nine more silos which will take

May - June 2010

some 45,000 tons, and increase our storage. But the obvious solution would be for the Mombasa-based millers to install their own silos, and also for the Nairobi millers to build silos so that we can ship the grain up to them by rail in large quantities. And then the people from Uganda and beyond could also take their grain from Nairobi. DEA: So wheat imports destined for Uganda also pass through here? DH: Not just Uganda: Southern Sudan, Uganda and even Burundi. In fact, most of the Ugandan cargo comes this way. About 90 per cent of it. DEA: So this is a facility that serves the region, rather than the country? DH: Oh yes. And quite frankly if Dar es Salaam had one they would have the same problems. They do not have a grain terminal, but they do silos. They do it by the truckload: they fill a truck, and it drives up to the silo and tips the grain off, and then makes another trip. There is no link. But seriously what we have here at GBHL is a perfectly good machine; it is very well designed, if I say so myself; it works quite nicely and has proved itself over the years; and I believe it will be serving the country for a long time. With Kenya’s population growth rate, there will be grain imports for many years to come — and with this terminal we can take the surplus grain from any country that has a surplus. We can take it from Russia’s Black Sea area; from Australia; from Canada, Argentina — five years ago we even had a load from China, when they had a surplus. DEA: OK, let me just take you back to the terminal itself. If I understand you correctly, you have said that the terminal is more than adequate for Kenya’s needs; it’s regulated by the port and is not just operating like a freewheeling monopoly; and that to put such a terminal in the hands of importers would be irresponsible; and that because you are neither a miller nor an importer, and are focused on your core business, which is handling grain, you have no interest in controlling the prices of the final product. All that is very well, but did you also say that you are charging the millers less than they used to pay before you set up GBHL? DH: By half. And we have never increased the price in 10 years. We have absorbed the rising costs of electricity, diesel, labour, and so on, by improved efficiencies. We have been able to absorb those costs.

SPECIAL REPORT GBHL

‘I Set Out to Establish a World-class Grain Terminal’ Grain Bulk Handling Ltd Chairman Mohamed Jaffer spoke to Diplomat East Africa Correspondent WYCLIEF MUGA on the occasion of GBHL's 10th anniversary. Excerpts of their conversation

MOHAMED JAFFER: I am a Kenyan, and I come from Kenya. That is my short answer to that question. But, to explain further, I come from a long line of Kenyan Asians who have been prominent in the coastal region since 1900. In her book Challenge to Colonialism, which is mostly about her grandfather Alibhai Mulla Jeevanjee, the writer Zarina Patel mentions that, back in 1900, “there were three major Indian firms in Mombasa, those of Allidina Visram; Shariff, Jaffer & Co; and A.M. Jeevanjee”. Everybody has heard about Allidina Visram, and there is both a school as well as a public garden in Mombasa named after him. And everybody knows the Jeevanjee gardens in Nairobi, and the Jeevanjee family. The Jaffer family, though not as well known now as these other two, was just as prominent in business that far back. Let me quote just one other passage from that book: “In 1907, Winston Churchill visited East Africa on his way to a journey down the Nile. At his arrival in Kilindini harbour, the reception committee present included A.M Jeevanjee; Allidina Visram; Jaffer Dewji; C.M. Dalal; and the Liwali’s son, Sir Ali bin Salim”. The Jaffer Dewji mentioned there, along with the cream of the most prominent people in the Coast at that time, was my great grandfather. So, as you can see, I have very deep roots in this country. Very deep roots indeed, going back more than 100 years. And it is not only my grandfather Jaffer Dewji who was famous as a business leader. One of my great uncles, Haji Mohammedjaffer Dewji, was a lead-

PHOTO: GBHL

DIPLOMAT EAST AFRICA: The first thing I would like to ask you to do is to demystify yourself a little. Not much is known about you, unlike many other prominent businessmen who are always giving interviews and sometimes even appearing in TV talk shows. Who are you, and where do you come from?

ing religious leader and a scholar. And my own father, Mohamed Jaffer, who was a pre-Independence councillor in Mombasa, and a very fiery political activist of that time. So we have over the years excelled in various fields, and been very much a part of the history of this country.

TO THE COMMUNITY:

GBHL is a compassionate Corporate

DEA: So why then do you not go about making yourself more visible by making charitable donations and gifts to the deserving poor? MJ: I am in many ways a very private person; the kind of man who, after the day’s work, spends his time with his family in his own home, not the gregarious type who joins social clubs and likes to gather at such places in the evenings. This may have been a disadvantage, since it means that not very many people know me personally, unlike some other business leaders who you will

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see holding press conferences and leading the way in offering gifts to worthy charities, whose faces are very familiar to the public. But I must also say that I do my share of giving, even if I do not usually publicise it. For example, there is the Zekunze Clinic in Ganze Constituency, which was entirely built by Grain Bulk, to help provide health services in one of the poorest corners of Coast Province. We chose that place because we learned it had the highest infant mortality rate at the Coast, not for any political reason. Then since 2009, we have had two water bowsers which go all over the place giving out free water wherever it is needed. On several occasions we have supplied even the Coast General Hospital, when they were facing a water shortage for one reason or another. I would also point to the Jaffer Foundation, which pays fees for about 190 secondary school students, and 87 university students from all over Coast Province. Finally, there are many Harambee contributions which I make when some of my friends in politics approach me. I usually ask them not to mention my name when giving the money. My grandfather taught me when I was very young that it is better to do your charitable acts without seeking publicity for your generosity, and that is what I practice to this day. DEA: Now you mention friends who are politicians. You may be aware that there are those who argue that you must have some very powerful politicians behind you, otherwise you would never have been able to set up a huge new investment like Grain Bulk, and that to this day you work very closely with your friends in high places. MJ: I am aware of these rumours and allegations. In fact, during President Daniel arap Moi’s time, there used to be stories that Moi was my secret partner, for it was felt that I would not otherwise have been able to get the support of the Government, which was essential in establishing a facility of this size. It’s all nonsense. The former President supported me because this was the first World Bank-supported project of this size — over $35 million was lent to us — to be set up in Kenya for a very long time. You must remember that the plans for setting up Grain Bulk Handling were worked out during the 1980s and the 1990s, at a time when Kenya was being shunned by foreign investors for various reasons. So to have Grain Bulk set up this grain terminal — the only one in this region — was a big thing even for

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the Government. And Moi realised this, and he supported the project, and was our guest of honour at the official launch in the year 2000, which was also attended by directors of the International Finance Corporation (IFC) and the World Bank. DEA: And what about in the current Government? It is said that you are a close associate of the Prime Minister, Raila Odinga. MJ: That is an understatement. I consider the Prime Minister to be a personal friend, not an associate. The Hon Njenga Karume, who was Minister for Defence before the 2007 election, is also my personal friend. And the late Karissa Maitha, who in his time was the most powerful politician from the Coast — he used to visit me all the time and was also a personal friend. From Western Kenya I would point to the Deputy Prime Minister, the Hon Musalia Mudavadi, and the

SPECIAL REPORT GBHL

nopoly. Beyond that, I would prefer to leave this kind of question to be handled by Engineer David Harris, who was formerly our General Manager, and is now a part-time consultant with us. He was brought in by the World Bank to work on building the grain terminal right from the start. I think he is the best person to explain to you — and to all your readers — just exactly what Grain Bulk is, and what it does, and what its significance is for the Kenyan economy. DEA: What put the idea in your mind to establish this grain terminal at the port of Mombasa?

Foreign Minister, Moses Wetang’ula, as politicians whom I consider to be friends of mine. And may I add that I have known President Mwai Kibaki since 1986, when he was the Vice President and Minister for Finance. There is no mystery about this. I have very many friends in politics. And this is not surprising, because my father was a politician, and was a very active councillor in the pre-Independence Mombasa Municipal Council. I have been associating with politicians all my life. DEA: So, turning back to Grain Bulk Handling, you have been accused of operating a monopoly, which is only made possible through your influence among politicians. What do you have to say about this? MJ: I can only tell you that this allegation is completely unfounded and that Grain Bulk is not a mo-

MJ: It happened like this: Back in 1976, my family business, then known as Jaffer & Jaffer Ltd., set up the Inland Container Depot, which was one of the first container depots in Mombasa. But even before that, back when there was still the old East African Railways and Harbours Corporation, we had leased a plot from them to set up a timber storage yard, and also used these same premises for the manufacture of pallets — those wooden frames on which cargo is placed in warehouses, so that it is easy to take it up using a forklift. That, I would say, was really the beginning of my being involved in port-related business. Well, in 1983, mobile bagging operators were introduced in the port for quayside bagging of bulk grain and fertiliser. The first company to enter into this line of business was called Nectar. Later other companies also joined in. Some of them used our Inland Container Depot to store their containers, and this is how I came to be aware that there was a need for more efficient offloading of grain and fertiliser from the ships. It is out of that insight that the plan for creating Grain Bulk Handlers arose in my mind. Later, I was to go to the great port at Hamburg in Germany, and see exactly how it was done. But even before I visited the grain terminal at Hamburg, I already knew what could be done. Somehow, right from the start, I knew I could do this. I just knew. I also understood right from the start that it would not be easy, but I was determined to do it. DEA: It was a very long journey from November 13, 1984, when you first applied to the Kenya Port Authority for the way-leave from your plot just outside the port, to the berths at Kilindini, so as to make it possible for you to handle bulk grain and fertiliser imports; to February 14, 2000, when you handled

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‘Thank You All for a D he following is the full text speech delivered at the 10th Anniversary celebrations of Grain Bulk & Handling Ltd by the Chairman of GBHL, Mr Mohamed Jaffer, in Mombasa, a glittering event attended by the Prime Minister of Kenya, Cabinet ministers, captains of industry, coastal leaders and thousands of wananchi The Right Honourable Raila Amolo Odinga, Prime Minister of Kenya, Honourable Ministers, Honourable Members of Parliament, Prominent Businessmen, my dear friend the Hon Njenga Karume, Distinguished Guests, Friends and Family. Asalam Aleykum. I am genuinely pleased to have all of you present tonight to share in the celebrations of Grain Bulk Handlers Limited’s tenth anniversary. I thank you for taking time from your busy schedules and for attending tonight’s function to share in the celebrations. The presence of Government officials is of immense importance to me personally and to the Board, Management and Staff of GBHL. Interaction between governments and investors is central to the growth and development of the future of any nation. Ten years ago, Grain Bulk Handlers was officially inaugurated by the then President, His Excellency Daniel arap Moi, who declared it a State function. Back then the Government had foreseen the revolution that the investment was to bring to the sector and the

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PHOTO: DEA LIBRARY

benefits that such an investment will have to the economy at large. Ten years later it gives me a deep sense of satisfaction that the Government, through the presence of the Prime Minister today, finds it important to acknowledge the efforts that we as Kenyans continue making in building our nation. Thank you, Right Honorable Prime Minister and members of the Cabinet, for taking part in our celebrations. This clearly exhibits your commitment to support Kenyan investors in the future days and years to come. I am tempted to go down memory lane today. Way back in 1983, I “dreamt” of establishing a world-class terminal. To make my dream a reality, there were various challenges that I faced. The words of my grandfather constantly resonated in my mind. My Late grandfather used to say to me, ”Mohamed, with hard work, honesty and determination you will always succeed, provided your intentions are not selfish but are for the gen-

eral good of your people, your nation and in line with the ethics and principles of your religion”. Those words of my late grandfather still echo in my mind on a daily basis. When I dreamt, the dream of establishing a grain terminal, I was certain that if realised it would benefit our nation and the region, so I began to propagate my idea to family, friends, leaders of the nation and lenders. During this time, I met individuals who were special, who gave me the drive to follow my dream, who made it possible for my dream to become a reality and who I can never forget. At the same time, I cannot forget those people who thought my dream was not achievable and that it was a pie in the sky. Those people who laughed at my dream gave me more encouragement to follow my dream. Alhamdulilah, most of the special people who encouraged me are present here with me tonight. I wish to take this opportunity to thank a few special people. My Dear wife, Rehana, without your belief in my dream and your support through the years, I am certain that my dream would just have remained a dream. Thank you for your never ending support and belief in me. My family had to make important sacrifices as I pursued my dream. Most important, my eldest son, Mujtaba Jaffer, had to cope with a great deal of responsibility at a tender age. He has stood by me through and through and, to be honest, he has worked his way from being a transport supervisor to being a Business Direc-

SPECIAL REPORT GBHL

a Dream Come True’ tor and in April last year the Board found him fit to be the Managing Director. Without any element of paternal bias, I have seen Mujtaba Jaffer develop invaluable skills over the past ten years. I cannot let tonight pass without saying a special Thank You to him. Mr Gafur Pasta, I thank you for the true friendship and the support that you have given me over the last twenty years. As I am scanning through the crowd I have something to say about each and every one of you and your contributions to my success and the success of GBHL in various forms. You all are special to me and I thank you for the role each one of you has played in my life and in the life of GBHL. The Right Honorable Prime Minister, way back in 1993, when I first met him, motivated me to follow my dream. He said “Jaffer, developing anything is difficult. Whether it is to help build a nation, community, family or an organisation is difficult.

There are many challenges but you have to remain focused and patient to overcome the hurdles and, once you achieve your goal, you will never regret facing those hurdles”. He is entirely correct. Today as I look back at the challenges and the achievement of GBHL, I do not regret the problems that I had to face. Thank you very much, Right Hon Prime Minister. Now I would like to extend my appreciation to the true bearers of GBHL’s success in the past decade. Like I said, each one of you and your contributions are the real elements of GBHL’s success. Without our esteemed customers there would be no success. I say Asante... Without my staff there would be no success, I say Thank You… And without my Board there would be no success and I say Thanks to You… Most importantly, without the officials of the KPA who continually monitor and regulate us, it would not have been possible for us to surpass international standards of performance. To each and every member and staff of KPA, I say tonight Thank You for the discipline that you constantly instill in us and for your support and assistance. Before I sit down I want to remind you that I have not stopped dreaming ... I still dream and I have a dream… my dream is now to give back to society… my dream is now to invest my time and resources in helping to develop a new and steadfast generation that will have skills and perseverance and make dreams a reality of the

future. In our globalised world, education and skills are imperative for success. My next wish is to establish a university in Mombasa under the umbrella of the Jaffer Foundation. It is my dream that this university will have full fledged faculties of Marine and Port Development, Theology, Engineering, Management and Leadership and, with time to come, a Medical Faculty. Just a few months ago, I shared my dream with Professor Hyder, who coincidentally shares the same vision. He has been kind enough to invite me to share his dream to establish a University at the Coast. Thank You, Professor Hyder. We also have been promised the support of Prof Mazrui and other renowned international scholars. It is our earnest belief that this University will create our leaders of tomorrow who will dream, who will have the ability to make real those dreams and who will make Kenya now and in the future a power to reckon with. In realising our current dream I am certain that we will surely need the support of all those present here. The world is a circle where we all hold hands… I hope that just as you all have supported me in the past in making my dream of GBHL a success, your support in my next project will be forthcoming. Tonight’s function is in your honor. Please enjoy yourselves and take ownership of today’s function. Thank you to each one of you once again…

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your first ship. Thatâ&#x20AC;&#x2122;s a clear 16 years. Many investors would have given up long before 2001. What kept you going?

IN THE SHIPS HOLD:

PHOTO: GBHL

Cutting edge technology for discharge of grain from vessel

MJ: All I can say is that I was convinced that I could bring this project to a successful conclusion, and that I was determined to succeed in this. I never for one moment doubted that I would succeed. As you say, there were so many steps involved in this; so many conditions to be fulfilled, some raised by the financiers, others by the Kenya Port Authority, others by various government agencies. I had to employ very many professionals at the different stages of this journey, as international lenders require a very large number of professional reports for a project of this kind. I also traveled a great deal to the US, the UK, and France, negotiating for the money which was needed to set up this grain terminal. All this had to be done before the financiers would commit the first dollar to the project. And it was not easy. I have sometimes thought that I would have made far more money if I had dedicated those 16 years to just expanding ongoing businesses rather than starting something completely new like Grain Bulk. But I have no regrets. I set out to establish a world-class grain terminal at the Kilindini port here in Mombasa, and I was able to achieve this. That gives me a great deal of satisfaction, and I do not feel any regret about other oppor-

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tunities that I missed during the years I was struggling to make Grain Bulk a reality. DEA: In an article on GBHL which featured in The Wall Street Journal late last year, you are quoted as having said that you look forward to the day when your grain terminal will be converted into a grain exporting facility, and that you believe that Kenya will one day again be a grain exporting country. Could you elaborate on this? MJ: Kenya is at present harvesting only 6 per cent of the water it receives as rainfall. The rest, a full 94 per cent, flows into lakes and seas. I believe that if we could follow the example set by Israel and adopt modern techniques for harvesting rainwater and channeling it into irrigation projects, there is a huge opportunity to increase our acreage of land under productive agriculture (of which at present we are in fact only cultivating about 39 per cent). So I was not just saying this off the top of my head. This is something I have given much thought to. I believe that, with the right policies, we can have Kenya returning to being a net exporter of grain, as it was in the early years of Independence. All we need is the right land use policies. DEA: Finally, there have been reports that you plan to set up a fertiliser handling terminal at Kilindini. What can you tell us about this? MJ: At the present time, a major aspect of the cost of fertiliser to farmers is the cost of transport. In some cases we even get fertiliser free from some rich nations, but when you factor in the cost of transport, then you find that farmers still have to pay quite a bit for it. And part of these transport costs are right here at the port. At the moment, fertiliser can be offloaded at a rate of about 1,800 to 2,000 tons a day. So a 20,000-ton ship would take 10 to 12 days to completely offload its cargo at the current terminal. With the new fertiliser handling terminal that I would like to establish, a 20,000ton ship would take just one day to offload, leading to enormous savings in the final cost of that fertiliser when it eventually gets to the farmer on the ground. Itâ&#x20AC;&#x2122;s a wonderful project, which would have a huge impact on the lives of millions of small-scale farmers, and I am very disappointed that it is taking so long to get it started, purely on account of bureaucratic delays.

>>Fostering Private Sector Interests PG 74

SPECIAL REPORT >> Bring Back Cement Tax, Manufacturers Urge EA Govts page 40 >> Poll: Investors See Political Risk as Priority Regional Concern page 42 >> Business Community at the Heart of EAC Integration page 46

EABC SPECIAL REPORT

Bring Back Cement Tax, Manufacturers Urge EA Govts Massive foreign dumping depresses the market for local product By DEA CORRESPONDENT

n July 2008, the East African countries abolished Duty on cement imports in their respective national budgets in a bid to meet the region’s growing demand for the building material, probably quite unaware of the detrimental effects the move would have on the sector. Cement players in Kenya, Uganda, Tanzania, Burundi and Rwanda now urge the governments to move with speed to protect them from marauding foreign investors from, especially, Middle East and Pakistan which are now reportedly capitalising on the opportunity to monopolise East Africa’s once- lucrative cement market by a deliberate dumping, particularly in Tanzania. According to the East African Cement Producers Association (EACPA), the Pakistani Government extends heavy subsidies to its cement sector, a move that has

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made their products cheap on the market. In Pakistani, says EACPA, it costs between $11 and $17 to transport one tonne of cement from the Asian country to East Africa, with the government footing 35 per cent of the total cost. With Pakistani's Free on Board prices ranging between $50 and $56 depending on the location of the cement plant, the government subsidy amounts to between eight and 11 per cent discount per tonne. Cement players say the subsidy is “quite substantial”. “This subsidy is expected to increase Pakistani's export earnings by $322 million at the expense of other economies in East Africa,” the EACPA says, adding: “Besides increasing imports, the subsidy also envisages reducing the competitive pressure within Pakistan and allows for a price recovery after the drastic drop in prices.” Pakistani has an installed capacity of around 44 million

tonnes of cement against the local demand of 20 million. The local sector remains with an exportable surplus of over 13 million tonnes of cement after exporting to Afghanistan and India by the land route. The surplus is exported to the Middle East and Africa, especially East Africa, where current annual demand for cement stands at 7.1 million tones. As a result of the risk posed to the industry, the association is demanding the 35 per cent tariff for imported cement products be restored. EACPA chairman David Njoroge says there should be a $50 per tonne charge to supplement the 35 per cent tariff but the higher of the two should be charged. Says a grim-faced Njoroge: “The specific rate has been proposed to counter dumping and subsidies by the exporting countries as well as the under-invoicing of cement at the ports of entry. To avert the imminent collapse of

EABC SPECIAL REPORT

the seven cement manufacturing plants in East Africa, which employ more than 5,000 people, the Community must intervene and restore sanity in the sector.” EACPA also wants Uganda's request to import Duty- free cement products from Asia revoked. Njoroge says since the establishment of the EAC Customs Union protocol in January 2005, cement has been classified as a sensitive product with a Duty rate of 55 per cent: 25 per cent Common External Tariff (CET) and Suspended Duty of 30 per cent. The partner states also agreed that the CET on cement should be reduced by five per cent each year for the subsequent four years to stabilise at a target rate of 35 per cent by 2009. The tariff was designed to safeguard the cement industry in the region from the threat of dumping by low-cost producers. It would also cushion local cement prices from subsidies given to importers by their respective governments. “The EACPA is deeply concerned att these thes th ese e developments and is worried about the sur vival i l survival of tthe he ccem emen em entt in en indu dust du stry st ry iin n the e EAC cement industry if tthe he p arrtn tner er sta sstates tate ta tess do te d not tak ke partner take corr co rrec rr eccti tive v a ctio ct tio i n, n,” Mr Nj N joroge joro ge corrective action,” Njoroge said sa id id. d. said. Eco Ec on nomis om mis ists ts argue arg rgue ue that tha hatt the the inin in Economists flux ux of of ch chea eap ea p ce ccement ceme eme ent nt iimports mp por orts ts wil w illl il cheap will

in the long run have a negative impact on the local industry. They argue that the local cement industry is faced with high production costs resulting from high energy and labour costs and a poor distribution network. Although the EAC Common External Tariff is in three tariff bands — zero per cent for raw materials, 10 per cent for intermediate goods and 25 per cent for finished products — goods considered sensitive, like cement, often attract a higher tariff. At the establishment of the EAC in 2004, cement producers negotiated the CET and agreed that cement was to be considered a sensitive product due to its capital intensive investment requirements. EACPA says Tanzania is one of the worst-hit countries in the region, having received substantial subsidised cement imports from Asia, Pakistan in particular, flooding its local market sometimes at prices below those charged on locally produced cement. “S Som ome e factories factori t ies have been “Some rodu duct du ctio ion. n. forced to cut down p production. So hav have e st stop oppe ped d production,, Some have stopped send se ndi ding ing workers work rker k rs on n leave. lleave ve. Th The sending lo loca oca call ce ceme ment ment nt ccom ompa p ni pa nies ess a and nd tthe he local cement companies nati na tion ti onal on al e cono co nomy no my y iin n ge g ne era al wi will ll national economy general come ed dow own ow n cr crum umbl um blin bl ing in g un unle less le ss tthi hiss hi come down crumbling unless this

situation changes,” says EACPA. But even with the challenge of dumping, the sector stills seems lucrative to players with the recent entry of the world’s largest cement producer, the Sanghi Group of India, which has won a tender to extract limestone in West Pokot. Its subsidiary, Cemtech Limited, is already on the ground to establish an ultra-modern cement plant. The landmark mining rights were wholly granted to the cement giant on October 31, 2008, by the Industrialisation Ministry and the County Council of Pokot According to the Sanghi Group director in charge of Africa investments, Mr Rajesh Kumar Rawal, the proposed plant will look at various grades of lime, marble stone production and “investigate the possibility of exploring for further limestone, volcanic ash and gypsum deposits” in the surrounding areas. “We expect to produce more 0 ,0 00 , 00 ttonnes onness off ccem on emen entt than 6 600,000 cement h se. We per annum in the initial pha phase. will then expand to over one million ton ttonnes onne on ness in sub ne ssubsequent ubse ub sequ se quen qu entt ph p ases as es. lion phases. bject to t However, this will be subj subject avai av aila l bi biliity y of of additional ad addi ddi diti tion ti onall limelliimeime availability ston st o e usable for ccement em mentt manustone facturiing, fact g”R Ra awa wall sa said id d facturing,” Rawal said

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EABC SPECIAL REPORT

Poll: Investors See Political Risk as Priority Regional Concern Synovate carried out a study in EA and Ghana and came up with remarkable data By DEA CORRESPONDENT

usiness leaders in East Africa are raising the alarm over the region’s political instability, claiming that it may haunt investor confidence. So serious is the matter that in Kenya more than 76 per cent of business leaders perceive politics as one of the major risks facing them. According to the Business Leaders’ Confidence Index Report released last week by Synovate, political instability tops the list of risks facing the investment community, followed by competition and poor infrastructure at 38 per cent and 24 per cent respectively. As a result, businesses in Kenya are devising strategies aimed at countering political risk. Among the measures being implemented to enhance corporate growth are development of new products, expansion to other markets, mergers and acquisitions as well as cost cutting. The strategies are a significant departure from those that were being pursued only six months ago, such cutting back on capital spending and restructuring. The report says more than 66 per cent of company leaders in Kenya are planning to venture into new products in the next 12 months as a business growth strategy, while 47 per cent would expand their businesses to foreign markets. On the

other hand, 43 per cent would expand to the local market as 34 per cent engage in cost-cutting measures. Only six per cent are considering a capital spending slash. In a clear signal that the business community is ripe for the merger of the East African Community economies in July, 56 per cent of Kenya’s

of TZ’s business leaders told Synovate that competition is the major risk facing them businesses are intending to expand into Tanzania and Uganda, while 50 per cent want to invest in Rwanda. 32 per cent are planning to invest in Burundi and 18 per cent in South Sudan. Interestingly, some investors are also planning to put their funds in West African countries such as Liberia and Senegal. Even as other East African countries eye investment opportunities in Tanzania, that country’s business fraternity seems to appreciate the fact that the increased competi-

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EABC SPECIAL REPORT

EMOTIVE:

Kenyas take the law in their hands

POLLS CHAOS:

A Kenyan policeman battles rioters' inferno

tion is posing a great danger to their business returns. Over 27 per cent of TZ’s business leaders told Synovate that competition is the major risk facing them. 18 per cent of the leaders consider cheap imports and poor state of roads and communication network as the main risk facing their businesses currently. Despite elections scheduled before the end of the year, many of the businesses — 95 per cent — think the polls will not have a major impact on their operations. It is due to this stability that apparently over 22 per cent of business leaders say the country is a “very attractive” investment location. Democratic Republic of Congo is the most-sought-after investment destination for Tanzania’s investors — at 57 per cent — followed by Sudan, Burundi and Rwanda at 29 per cent. In Uganda, which goes to the polls next year, competition is the biggest business risk facing the country at 49 per cent, followed by political instability at 35 per cent. 25 per cent of the business leaders interviewed by Synovate say Uganda’s poor state of infrastructure is still a major issue that hampers the country’s business climate. Despite these challenges,

more than 65 per cent of business, leaders perceive Uganda as a “moderately” attractive business destination while 25 per cent say it is “very” attractive. Unlike Kenya’s businessmen, more than 47 per cent of Ugandans see Rwanda as the most viable place to establish their subsidiaries, followed by Burundi at 35 per cent. Only 12 per cent perceive Kenya, Southern Sudan and Tanzania as an investment destination. According to Synovate’s Managing Director George Waititu, Uganda’s hotel and tourism sector enjoys the highest confidence level at 91.7 per cent, followed by the financial services sector at 73.3 per cent and telecommunications sector at 66.3 per cent. Overall, the country has a business confidence level of 66.3 per cent. In Kenya, the financial services sector leads with a 73 per cent confidence level, services sector at 70 per cent, manufacturing at 69 per cent and hotel and tourism at 67 per cent. On average, the country’s confidence index stands at 69 per cent, the highest in the region. Tanzania has 61 per cent. In the coming six months, Tanzanians — about 50 per cent — project that the telecommunications sector will play a substantial role in propelling the country’s economic growth, 35 per cent say the manufacturing sector will lead the way while 33 per cent expect the financial services sector to enhance national growth. 11 per cent of Ugandans, on the other hand, say the country’s economy will perform “substantially better” in the next six months, 48 per cent predict a “moderate” growth while 29 per cent say the status will remain the same. The study, targeting top business leaders, was carried out in Kenya, Uganda, Tanzania and Ghana between March 21 and March 25 this year May - June 2010

EABC SPECIAL REPORT

High Energy Costs in Economic Powerhouse Kenya Hamper Region’s Potential Vimal Shah, one of EA’s foremost industrialists, warns of major impediments to foreign investment in the Community nations in a conversation with JOHN NDIEMA

he East African governments are being urged to create a more businessfriendly environment that will catalyse business growth in the region. The Kenya Association of Manufacturers Chairman, Mr Vimal Shah, says the region risks losing huge investment opportunities unless radical measures are taken to enhance EA’s business operations. As a step to ironing out the perennial high-to-prohibitive costs of power that have stalled business growth, Shah proposes that the Ke-

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nya Government introduce a twoyear tax window plan during which consumers will enjoy power at half the current cost. Kenyan manufacturers pay up to KSh35 per unit of electricity while their counterparts in Uganda and Tanzania pay only KSh6 per unit. The high power costs have eroded Kenyan competitiveness, hence the need for strategies to address them. Sources indicate that serious talks have already started between the Energy Ministry and Treasury for the introduction of the tax holiday, especially in the manufacturing sec-

tor. The move seems to have been chiefly driven by Kenya’s EAC counterpart, Uganda, which has over the years extended a direct subsidy to the manufacturing sector. Kenya’s high power costs have in the recent past resulted from the prolonged drought that caused a major drop in water levels in the country’s hydropower stations. With reduced output, Nairobi resorted to expensive emergency power sources as well as intermittent power rationing. To create a business-conducive environment and attract foreign di-

CLEAN ENERGY:

East Africa enjoys long solar spells

servation. The CEEC estimates that the 200 firms that participated in the recently-held sixth edition of the Energy Management Awards to recognise firms for their contribution to energy conservation saved $26,315,789 worth of energy last year and avoided carbon emissions of up to 530,000 tonnes. But even with the energy cost challenge, Shah says the year started on a positive note for the business community, especially with the coming into full effect of the EAC Customs Union in January. The protocol, which is also expected to spur economic growth, will allow for the free movement of goods, services, and labour within the region opening up a bigger market estimated at 126 million people and a Gross Domestic Product of $60 billion in 2008. Says Shah: “Kenya, considered the most industrialised economy in the region, will be among the key beneficiaries. This will however only happen if the business community takes the regional market seriously. What this means is that there will be a greater volume of trade among the five member states with the elimination of Customs tariffs on all traded goods and services between the Community’s member states.” Shah, whose day job is Bidco Managing Director, is credited for championing a better business environment in the region and says the establishment of the Customs Union is a major plus for businesses since they will be able to set up operations in any member state so long as they are East Africans,

Amount paid by Kenyan manufacturers per unit of electricity while their counterparts in Uganda and Tanzania pay only KSh6 per unit

rect investment, Kenya is currently pursuing a combined exploitation of hydropower, wind and geothermal energy sources. The Ministry of Energy says that by the end of 2011, Kenya will be able to meet the rising energy demand at affordable rates, and even export some to neighbouring countries. The current costs of energy have led to firms coming up with strategies to improve efficiency in consumption. So far, these firms have made savings of up to $36 million in energy bills, according to the Centre for Energy Efficiency and Conservation. As part of its approaches to encourage energy efficiency, the CEEC has introduced the Energy Management Awards to recognise firms for their contribution to energy con-

without being subjected to the prohibitive taxes currently charged on foreigners. Shah warns Kenya risks losing out on the benefits of the Union unless radical steps are taken by the government to invest in more and better roads, railways and power stations which will help reduce the cost of doing business, currently a major hindrance to doing business in the region’s economic powerhouse. “Indeed the private sector both in Kenya and within the region has the potential to unlock and increase trade volumes within the East African region, which currently stands at a mere 13 per cent. This is a pale comparison to Europe, which stands at 60 per cent and Asia at 40 per cent,” Shah points out. With the coming into effect of the EAC Customs Union, the trend of intra-EAC trade is likely to change but until the correct measures are put in place, the movement of goods within the Community will continue being constrained by cross-border controls. Other reforms the manufacturing guru says need to be addressed by the partner states are the review of transit procedures and treatment of goods destined inland, review and adoption of a harmonised single bond guarantee system and the establishment of a mechanism for the treatment of re-export duty from one partner state to another. For the free circulation of goods within the region, Shah says partner states are expected to fully implement the EAC Common External Tariff in order to avoid stay of application by some partner state, total commitment towards the elimination of Non-Tariff Barriers, simplification or elimination of rules of origin and addressing the multiple Custom Union memberships by some partner states May - June 2010

EABC SPECIAL REPORT

Business Community at the Heart of EAC Integration The Chairman of the East African Business Council Mr FAUSTIN BUNDU makes a compelling case for the private sector’s key contribution to the Community

he East African Community is one of the most progressive regional economic blocs in the world today. EAC this year successfully transited to a fully-fledged Customs Union and is on course to begin implementing the Common Market in July 2010. The deepened integration presents immense opportunities for the business community, in terms of larger markets, economies of scale and larger pools of human, financial, and physical capital. As the private sector, we are committed to continue playing our rightful role in the integration process, through increased trade and investment, enhanced competitiveness and increased employment, thereby accelerating the region’s economic growth. As members of the business community in East Africa, through our umbrella organisation — the East African Business Council — we have actively participated in all stages of integration. The private sector continues to enjoy unique interactive meetings with our Heads of States, other policy makers, as well as with the leadership of the EAC Secretariat, on how best our region can achieve competitive advantage and businesses can achieve returns on their investment. This willingness to partner with the private sector in addressing challenges impeding the full

realisation of the economic integration is a clear reflection of the resolve and commitment of the East African top political leadership to place the private sector at the heart of the EAC integration process. The EAC Customs Union has opened up business opportunities in the region and has paved way for an improved business climate although challenges remain. It has generated a liberalised cross-border trade, through the adoption of common policies to minimise Customs clearance formalities as well as enhance the predictability of economic policies. Since its inception, EABC has been very active in resolving impediments to the proper functioning of the Customs Union. One of our biggest undertakings

May - June 2010

SECTOR LEADERS:

Chairman Bundu and Vice Chairman Kiilu at a regional function

has been the elimination of NonTariff Barriers to trade. EABC has been championing this issue and, in recognition of this, in 2005, EAC mandated us to develop the NTBs Monitoring Mechanism for reporting and elimination of NTBs. In addition, EABC carries an annual Business Climate Index to monitor the progress in removal of NTBs and look at improvement in perception on key business climate factors such as access to land, level of taxation and the legal and regulatory framework, among others. Our other contributions, in the context of the Customs Union, include channeling of general policy issues to the EAC Summit and addressing the issues pertaining to rules of origin and double taxation. Our efforts continue in tandem with the needed policies and initiatives to ensure smooth progress towards full implementation of the regional integration instruments. However, challenges remain which include lack of structured engagement with policymakers at a regional level, frequent policy reversals, infrastructure bottlenecks and non-tariff barriers that increase the cost of doing business. We continue to engage the EAC leadership in an effort to address some of these challenges and our expectation is that the EAC Heads of State will indicate their commitment to addressing these issues both in the short and long term

EABC SPECIAL REPORT

Fostering Private Sector Interests

AGATHA NDERITU Executive Director, East African Business Council, delineates how the EABC ensures the region's business sector's agenda is part and parcel of the Community's dynamics

he East African Business Council (EABC) is the apex body of private sector associations and corporates from the five EA Community nations. As the private sector representative, EABC has observer status in organs and activities of the EAC. EABC therefore participates in various sectoral meetings, meetings of the Coordination Committee, Council of Ministers meetings and meetings of the Heads of State, with a view to ensuring that the agenda of the private sector is well articulated. Our Vision is to be an effective change agent for fostering an enabling business environment for a diversified, competitive, exportled, integrated and sustainable economy and our Mission is to promote private sector regional and global competitiveness in trade and investment. OBJECTIVES

Our activities are focused not only on leveraging all issues that impede full realisation of potential benefits of regional integration, but also on providing a platform where the business community can regularly discuss and drive reforms to ensure the environment for business is conducive. We provide a platform which enables the private sector to speak

Our Vision is to be an effective change agent for fostering an enabling business environment for a diversified, competitive, export-led, integrated and sustainable economy and our Mission is to promote private sector regional and global competitiveness in trade and investment

with a single East African voice and, in that capacity, perpetuate the maintenance of a routine and institutionalised interaction with the EAC Secretariat and dialogue with governments of the EAC partner states. We are also a key implementing agent for the EAC Private Sector Development Strategy that seeks to enhance a ‘people-centred’ but ‘private sector driven’ integration process. Amongst others, this includes developing and promoting the EAC as a preferred investment location; developing and promoting the EAC as a reliable and quality source of products/services and an unrivaled destination of tourism. The promotion of an enabling environment for business in East Africa, through addressing those factors that make the environment uncompetitive, such as poor infrastructure, high energy costs, poor access to finance, a poor legal and regulatory framework, among others. Ensuring smooth implementation of the EAC Customs Union by engaging EAC leadership and partner states government on impediments such as non-tariff barriers, lack of harmonisation of laws, unpredictability of policy, among others. Provision of information and sensitising the business sector in East Africa to the EAC integration

process and the opportunities it presents. Providing business-tobusinesses linkages, both locally and internationally, through various platforms such as trade missions, sectoral meetings, study tours, to name only a few. FOCUS

A smooth implementation of a fully fledged Customs Union and Common Market. Improved private-public sector dialogue and partnerships to ensure the private sector plays its rightful role in driving the integration agenda and the public sector plays the role of facilitating this. Reduction — and ultimately the elimination — of non-tariff barriers and other factors of trade logistics that lead to increased cost of doing business, with a view to making businesses competitive, both regionally and internationally. Leveraging the issue of energy, both in terms of cost, availability, quality of supply and investment by the private sector. This is based on the fact that energy is a key contributor to the region’s un-competitiveness. Articulating the interests of the private sector in both the on-going EPA and Common Market negotiations. Providing, in the right format and, in a timely manner, business and trade information to EABC members May - June 2010

EABC SPECIAL REPORT

‘Mitumba’ Menace Must Go if Motor Industry is to Flourish — GMEA Boss MR BILL LAY, Chairman, Kenya Vehicle Manufacturers Association (KVMA) and CEO of General Motors East Africa Ltd., spoke to DEA’s BOB WEKESA DIPLOMAT EAST AFRICA: What are the implications of the rollout of the Customs Union? BILL LAY: The EAC concept should be great news for the formal Kenyan motor industry — however, Duty-free market access for locally produced trucks and buses has been blocked by politicians who benefit from the uncontrolled importation of over-aged, undervalued mitumba imports. This is the case in all five EAC member states. DEA: Speaking as Chairman of the Kenya Motor Vehicle Industry Association, has the operationalisation of the Customs Union been matched by the expectations the industry had? BL: There has been no benefit from the Customs Union since it was launched January 1, 2005. In fact, the cost of advocating for EAC market access and fighting the corruption-based mitumba importers has increased our costs for lawyers, consultants and travel. DEA: Share with us some of the teething problems and challenges that have been experienced despite and in spite of the rollout of the Customs Union? Kindly enumerate and explain some of the teething problems? BL: Political jealousy and gamesmanship, the structure of the EAC, required all decisions to be unanimous. Special interest groups, including both public and private sector, often suggest the use of ‘technical study teams’ to delay decisions and frustrate honest stakeholders. Cancelled meetings, ministers and PSs departing Arusha before making decisions without delegation. Numerous CET violations by member states via national budget processes. DEA: In your estimation, which is the biggest stumbling block to the motor industry realising the ideal level of competitiveness in the region? BL: Mitumba importers and the political special interests generated from their excessive, under-taxed margins. DEA: Do you have any proposals for tackling the challenges that have been experienced in the infancy stages

May - June 2010

of the rollout of the Customs Union? BL: Yes, we have numerous proposals under review by EAC member states and in Arusha. In addition, we have submitted numerous budget proposals in support of a level playing field for investors in our industry. DEA: Have you presented suggestions for the streamlining of the Customs Union? BL: One, implementation of approved ‘rules of origin’ to recognise the value addition of local assemblers to enjoy Duty-free access as promised on January 1, 2005. This must include the approved provision for ‘substantial transfromation’. Two, proper evaluation and inspection of mitumba imports and a ban on used spare parts. URA, TRA and KRA should collect the proper tax on mitumba imports. DEA: What’s your take on the Common Market Protocol? BL: The Common Market deals with NTBs such as dual taxation, free movement of people and revenue sharing. I believe this phase of the EAC process will be filled with the same political hurdles and special interests as the Customs Union. As with many of the issues restricting private sector growth in East Africa, there is an overall lack of political will and leadership from member states and the EALA to do what is required to realise the potential growth. DEA: Share with us figures and statistics on the current and potential contribution of the motor vehicle industry in the region as it becomes a single market. BL: TZ, UG, RW and Bu together represent a market for locally produced commercial vehicles equal to the Kenya market. In other words, the Kenyan Industry in 2009 was approximately 6,000 locally produced units of which GMEA commanded over 40 per cent share or 2,400 ISUZU trucks and buses. With Duty-free access, the EAC market would be close to 12,000 units and GMEA share would increase to 50 per cent or 6,000 units. We would add a second shift, and hire 125 workers. Suppliers would also double their turnover. Only dirty politics and greedy, tax-avoiding mitumba importers stand in the way of that certain growth and success for both GMEA and the EAC motor vehicle industry

EABC SPECIAL REPORT

PHARMACEUTICALS

GlaxoSmithKline Launches Ambitious Marketing Offensive Product prices now pegged on buying power By PATRICK WACHIRA

laxoSmithKline has embarked on an ambitious programme to peg product prices on per capita income. The strategic move to price products in three models now depends on whether they are being sold in least developed, middle income or high income states. The net effect is that the same product is now being sold at different prices, depending on the market. Though initially the multinational will lose revenue, it is envisaged that the move will spur more sales volumes and improve access to medicines. The Managing Director and General Manager, Pharmaceutical Operations, East Africa, Mr John Musunga, says that although the move may suffer reduced profitability in the initial stages, “we may not recoup profits but we will see more innovative products”. The largest segment is that of anti-biotics, which treat at least 50 per cent of infections in Africa. GlaxoSmithKline recently reduced the prices of two of its flagship antibiotics — Zinnat and Augmentin — by between 30 and 40 per cent in the Kenyan market (prices went down from a high of Sh2,000 to a low of Sh800 on average). “The objective is to achieve improved access to healthcare in the developing world” says Musunga. The move will see 20 per cent of the profits channelled to the least developed countries (LDCs). Musunga says the pricing policy has changed so that “those who

can pay help those who are unable to achieve the overall effect of better healthcare”. He is optimistic that the positive changes that have taken place in the field of telephony and infrastructure to improve business operations for industry players will be continued for better performance. He cites roads and connectivity in Nairobi as areas that have seen significant improvement in recent months. However, he laments, a lot more needs to be done to improve the atmosphere of doing business in the East African region. Musunga says the pharmaceutical industry, being a highly regulated one, requires a unified approach to the entire business of creating procedures and rules. The extent of regulation varies from state to state, with Burundi having the least, while Kenya, Uganda and Tanzania have a lot

COUNTERFEITS:

Glaxo MD John Musunga explains the menace

more of the straitjacket. Explaining, Musunga says, special requirements must be met before a medicine is launched. Documents, in thousand-paged format, are submitted in triplicate, factory visits made, samples submitted and other procedures followed before it is registered. If this is replicated in all states, business would be tedious and impossible. One body is therefore needed to oversee all these processes in East Africa, as happens in Europe, where one registration in one state enables function in all EU states. “Patients will access innovative medicines at the same time across the board”, says Musunga. In Kenya such a process would take a year, in Uganda one-anda-half and in Tanzania anything between eight months and five years. Uganda has fewer innovative products, though. What is required is a unified approach to the supervisory function through one body, charged with the task of conducting post-market surveillance, border control and harmonising laws across the board. Such an authority should be domiciled in all the states. As it is at the moment, deregistered outfits could simply get away with malpractices if detected in one state by escaping to another and starting the whole process all over again. Musunga also feels that laws should be effected to protect local manufacturers against imports. The proposed Non-Tariff Barriers (NTBs) would aptly serve this purpose uniformly. May - June 2010

EABC SPECIAL REPORT

Patients, he says, should not be taxed over situations they have no control over and the 15-year period that it takes for patents to expire should be taken into account in implementing the NTBs. Governments, in addition, should have concerted efforts towards managing infrastructure, which is key in ensuring businesses flourish and citizens reap the attendant benefits. It does not make sense, for instance, that a ship should take a week to cruise over the seas to get to the port of Mombasa but goods once received take between a week and two to get to Nairobi. The cost of infrastructure is a problem that must be tackled as a matter of urgency, Musunga says. In Egypt, such a process would take just two days, the MD says. As a result of such delays affecting business in East Africa, the industry loses up to 30 days of sales in a year, or roughly 10 per cent of profits. Licensing is another area that poses a veritable headache for business operations in the region, with many licenses required from various authorities. For instance, in Kenya, one requires approval and licences from the Ministry of Trade, City Council, Kenya Revenue Authority, Ministry of Health, the Pharmacy and Poisons Board and quite a few others. “If the issue is revenue, then let us have one process that takes care of all these bodies. This should be a one-stop shop”, says Musunga. And GSK also suffered the global meltdown that swept across the world, with the West being the worst-hit. Local operations of GSK and profitability were worst last year, what with the effects of persistent drought, dwindling exports and reduced tourism earnings. However, the adverse effects are being counterbalanced by emerging markets such as China, Brazil and Russia, among other regions and states

May - June 2010

Safari Park Hotel & Casino ‘A world of Wonder …

afari Park Hotel and Casino is a destination in a world of its own. A five-star luxury hotel located 15 minutes drive from the City Centre, Nairobi. The Hotel stands in 50 acres of beautifully manicured gardens and offers a selection of 205 rooms, decorated and tastefully furnished with a taste of Africa with private rear and front balconies. The luxurious rooms have high speed wireless and cabled internet connectivity, Safe and 24 hours room service. It’s considered as the leading leisure and conference hotel in East and Central Africa and reknown for its combination of business and relaxation. The hotel’s five international specialty restaurants offer the finest dining in Nairobi and are the most inviting, each uniquely decorated in traditional themes ranging from the Far East to Europe. The Nyama Choma Ranch, the only African Restaurant in Nairobi is an ideal affordable stopover for tourists on Safaris to and from Mt Kenya or post conference tours. The Arirang Café, the latest’s Safari Park Hotel’s coffee shop, operates from the heart of the Kenyatta International Conference Center offers delicious bitings, quality beverage, Ke-

nyan tea, coffee and a variety of juices. A variety of great entertainment and leisure facilities is available; Sensual Safari Cats dancers & Acrobats, Paradise Casino, Cats Club Discotheque and Piano Bar. For relaxation and rejuvenation, The Safari Fitness Centre has ultramodern range of fitness facilities. The hotel prides in its wide range of contemporary to traditional designed meeting and banquet venues with capacity for over 1200 delegates. It is the home for the Meetings, Incentives, Conferences and Events (MICE) market. For that memorable wedding, ballroom or garden; ceremony, beautiful reception and to your honeymoon, the hotel is voted as the top wedding venue in Africa.

EABC SPECIAL REPORT

•WITH A LIGHT TOUCH Seriously Lighthearted

HUMOUR

Protocol Means Bowing until You Eyeball the Red Carpet By BALOZI DIPLOMACIA It is only gentlemanly, and, for genders’ sake, ladylike, for me to present my papers to your eminent and distinguished selves, all protocols observed [bowing double]. Because I am at the lowest of ranks in the ministry, you will often find me deferring and curtseying to nearly all officials; of course save for those lowly drivers of ministers, ambassadors, who are clearly beneath me in the pecking order. Though I am at the tail-end of the protocol office, I am better off considering I am slightly below Mautatu, the Third Secretary and Vice Consul, and above all the interns, drivers, kitchen staff, guards…you name them. Isn’t it something? Look, not many have a chance to bow in deference to the excellencies, lords, majesties…et al, who call our office daily, let alone get within hearing shot of them. Tell me, how many of the 120 million citizens of Mashariki mwa Africa get to a kilometre’s reach of my boss the Minister Mambo wa Kigeni and the other eminences other than in their living rooms — on television! My name, Balozi Diplomacia, is a latter day development. In my earlier days, I went by a name I am not keen to reveal just now for its gross undiplomatic candour. After completing secondary school, I was hired to serve as a tea boy in the embassy of one of the most powerful countries in the world.

This is when I started toying with expunging my former nouns and acquiring less rough-edged ones. Once, when my native, clatterclank name was translated to the Ambassador, he guffawed so hard and so long and then, catching his etiquette after the raw display of mirth, shook his head ruefully and left the terrace where I often served course upon course of repasts fit for royalty. For, my name, given to me in remembrance of an old deceased ancestor (RIP), translated into a combination of warthogs that use the bush for short and long calls. There was every reason for me to change name, not least because, as I learned, Malaya had become Malaysia, Nigeria had relocated her capital city from Lagos to Abuja, the Republic of Congo had changed to Zaire before the physician settled on DR Congo, James Ngugi wa wa Thiong’o had dropped James, Peking had become Beijing (or Bei Chini for the Swa wag). All these name changes I had eavesdropped on as His Excellency the Ambassador pep talked his guests on the patio, sipping a cup of high tea, watching the sun go down, the birds chirping in the distance, what he called ‘unwinding without wind coming out’. I must admit my prowess in the Queen’s language rubbed off me listening in on the countless conversations by the His Excellency and his many guests. So much so

that when job opportunities were announced for the new Mashariki mwa Africa nation, I literally talked my way into the protocol job there. In fact, I nearly died of shock when I saw some dimwit competitor for my current job arrive for the interviews wearing a pyrethrum profusion of a beard. Clinching the position was nothing like the difficulties of negotiating for the release of hostages that I had heard HE holler and persuade in turns on the phone during that crazy period when rebels from the south hijacked a bus full of tourists. Having observed HE’s and his guests’ demeanour closely for years, all I had to do was talk in measured tones, dropping high society hints here and there, all wrapped in a tongue that screamed sophistication. Of course I had turned up for the interview in a freshly pressed pin-striped suit, snow-white shirt and a black, red-spotted bowtie and polished-to-sparkle black brogues, after a fashion set by HE, particularly on occasions when he was on what he called ‘Class One A’ engagements. But perhaps what clinched the job for me was my brand new name, Balozi Diplomacia, a name I had acquired a week earlier as part of the preparations for the protocol job. The Civil Service hiring people fell for it, literally, head over shoulders. “You mean you are so committed to diplomacy that you have a name that fits the bill,” the leader

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•WITH A LIGHT TOUCH Seriously Lighthearted

of the interviewing panel said and let out a low whistle, upon which I bent double for the umpteenth time, just as I would have done when HE said anything to me, an instruction, greeting, small talk… name it, after all doesn’t protocol mean bowing — bending forward so low that you can eyeball the synthetic fibres of a red carpet? Close encounters with the woven wool or synthetic fibres of red carpets are a major part of my unwritten job description. And, as I usually philosophically say to myself, what is lower than a red carpet and yet makes those who use it walk tall? Now here I am, receiving guests who come to the Foreign and Overseas Office, right at the gate leading to the office, ensuring that the tea people bring the tea, coffee, cocoa, juice, water and assorted snacks promptly for the guests. The other day, one of the tea women…err, well, Asumpta, the tea lady, attempted to bypass me and serve the tea directly to the Minister and three guests discussing a very delicate matter. You can imagine my shock when, on coming from an errand the minister had send me on, I saw from a distance Asumpta attempting to open the main door leading to the Minister’s inner sanctum with one hand while precariously balancing the tea tray with the other hand. There are very rare occasions when my diplomatic guard is lowered and this was one such occasion. I hollered at the tea person as I quickened my pace. However, she was apparently determined to break protocol and continued delicately balancing the tray while attempting to open the door. This was definitely not my cup of tea! I broke into a trot and managed to stop that potentially ignominious breach

May - June 2010

BY K. VIDEDI

MR. AMBASSADOR SIR , A LETTER FROM OUR BELOVED COUNTRY. THANK YOU.

AMBA

SSADO

EEH. . . .SIR, BAD NEWS.

I HAVE BEEN POSTED TO SOMALIA !

AMBA SSADO

VIDEDI COMICS 2010

Debts deficits, PIGS! The European Union has moved fast to ensure a massive $147 billion bail -out of Greece lest the two dreaded D words of the financial world, debts and deficits, spread to plague other member countries of Portugal, Spain and Ireland and cause untold financial chaos on the continent.

Mad about Laughter Be Seen and heard Early in May there was a workshop in Zimbabwe in which participants were taught how to laugh and the importance of laughter. There were no jokes told and all participants were supposed to do was to make faces and induce laughter. A participant was quoted on radio as saying that at first it was a bit tacky but later all were rocking and rollicking with laughter. Over in India thousands gathered to celebrate the day of laughter and all were encouraged to laugh their heads off. Indeed, TV footage showed people in various stages of laughing, trying to laughing and coming up for air before resuming the laughing again. Perhaps the time not to take life seriously has come or perhaps Collective Madness Day should be inaugurated.

When Hurricane Katrina struck in the US state Louisiana, then President George Bush was accused of dilly-dallying in Washington as the people, mainly African Americans suffered at the hands of Mother Nature. In April the BP-owned oil platform in the Gulf of Mexico exploded and unleashed what could well be the largest spillage since Exxon Valdez. President Obama was accused of waiting for more than a week before visiting the area. If evidence were ever needed, this is it – politics is about being seen and being heard. If a disaster befalls some place in the US, the President should immediately move to the area and announce all measures of dealing with and or containing it, from the location.

The bigot leaked Leaking microphones! There was John Major calling the Eurosceptics in his Conservative Party bastards! There was the American lawmaker boasting to his colleague about his extramarital exploits! And there was late in April Gordon Brown of Labour on the campaign trail calling a long time Labour voter a bigoted woman. Of course, the media crucified Brown for that remark. But what galled her was that he referred to her as that woman! Whatever the case, she decided not to vote in the last election which provoked the headline: Labour loses one voter! Brown will live to regret meeting that voter!

•CULTURE REVIEWS•RAVES•REVUES•REPASTS

Is Oratory a Dying Art? From East African Hip-hop to the little-sung ‘Cradle of Intellect’, Kiswahili’s regional pull and the Commonwealth Book Prize, a rich menu for connoisseurs of all things cultural, writes NGARI GITUKU, EDITOR, DEA CULTURE

eafing through John R. Hale’s Lords of the Sea recently brought to mind the extent to which multiple public media outlets have affected the art of speech-making and persuasion. As an art, persuasion is the pillar of evangelism, politics and indeed many social contracts that define people’s ways and beliefs. Oratory — speech-making and persuasion in general — therefore occupy the very confluence where social negotiations are conceived and designed. In his book, Hale makes reference to Demosthenes (384-322 BC), who, in spite of having been a hopeless stutter and weakling in childhood, became one of the most celebrated Greek orators of all time. Where yesteryear school and college debates were honed through debating duels, Demosthenes’ oratory skills were initially nurtured by an unprecedented labour of love. To begin with the young man would practice voice projection and enunciation by way of putting a pebble in his mouth as he countered his stutter. He would also practice by the seaside, where he would try to outdo

the noises from ‘whistling winds and crashing waves’. Eventually, the boy who could not wrestle his peers or join them in hunting parties carved a niche for himself, courtesy of the gift of the gab. Unlike in situations where speaking well ends up as a romantic escapade, Demosthenes’ skills became useful in negotiating peace and freedom for Athens when Macedonia was clearly a power to reckon with. Armed with superior oratory, Demosthenes doggedly pressed on, along the way recording impressive wins in favour of Athens. Unfortunately, condemned by fellow Athenians for their failure to totally humiliate Macedonia, Demosthenes committed suicide, thereby marking what has famously been declared as the ‘the end of Greek political speech’. In hindsight, perhaps in a world susceptible to inter-clan, inter-state and many other partisan yet potentially rift-causing rank-closing views and attitudes, persuasion, be it through systematic harnessing of speech-making, negotiations and oratory skills, needs to find its way to the mainstream school curriculum

in the EA region. Who knows, this could be the way forward towards making the East African Community the cohesive bloc it aspires to be. As you ponder this, just imagine how much more the array of brilliant ideas carried in this section would make a harmony from our likenesses and differences as East Africans. See how Jackson Biko does it with his critique of music in the East African region and how (in his review of Professor Mwenda Ntarangwi’s East African Hip-hop) this genre of music makes the youth in the region look so integrated already. Carol Gachiengo’s piece, ‘The Cradle of Intellect’, traces great deeds and inventions from Africa while Baron Khamadi captures how each East African Community member country is contributing to the growth and establishment of Kiswahili as the region’s Number One lingua franca. Jane Mwangi, on the other hand, tells the story of a notable fashion designer with a unique African touch who work stands headand-shoulders above the rest in the regional market. Welcome to this section — enjoy reading it and make sure the team on DEA’s Culture platform gets your feedback

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•CULTURE Reviews•Raves•Revues•Repasts

IN THE BEGINNING

The Cradle of Intellect Unlike stereotypes to the contrary, Our Culture correspondent, CAROL GACHIENGO, goes on an investigative beat and finds Africa has a long history of and in diplomacy

frica has been known as the “Cradle of Mankind” for a while now. The oldest known skeletal remains of modern humans have been found in East Africa. The human remains found at Omo in Ethiopia are 195,000 years old, the oldest known in the world. Besides, evidence has been found of pre-humans in Africa at least 4 million years ago. Few will argue that mankind indeed took the first upright steps in Africa, and that it was here that the complex task of taming and mastering our environment began. But was that the beginning and the end of accomplishments in this part of the world? A look into Africa’s past reveals it to be the continent of many “firsts” and the birthplace of great architecture, science, medicine and literature that few know about. Indeed, diplomacy has a history in Africa as well. According to Robin Walker’s book When We Ruled, in 1414 the Kenyan coastal city of Malindi sent ambassadors to China bearing an unusual gift — a giraffe. In West Africa, the Songhai Empire

May - June 2010

had a Minister for Etiquette and Protocol in the 16th Century. Given the stunning facts about Africa’s accomplishments in a wide variety of fields, it is surprising that the continent is not better known as the “Cradle of Intellect”. Here are just a few of Africa’s amazing but little-known accomplishments from ancient times. DANCING STONES

The Dancing Stones of Ng’amoritung’a, an archaeological site near the Western shores of Lake Turkana in Kenya, certainly gives one pause for thought. At first glance, one would think the cylindrical pillars, about a metre high, merely interesting. Indeed, the Turkana people in the area have a story explaining the cluster of stones that has been there long before their time. The stones have been dated to 300BC. Legend has it that some strangers came upon local people dancing at the site one day. Perhaps their dancing skills were wanting, for despite the dancers’ pleas, the strangers burst into laughter. The result; the dancers instantly turned to stone. While the legend is entertaining, the truth is astonishing. The alignment of the pillars with the stars suggests an accurate and complex calendar system based on astronomical calculations. A 2,000-year-old calendar would

suggest that the knowledge of astronomy existed in East Africa at least that long ago. East Africa is not unique in this respect. The Dogon people of Mali have apparently had knowledge of astronomy for more than 500 years. They had drawings of the structure of the Milky Way Galaxy, they knew that the moon was “dry and dead, like dried blood”, and they observed and estimated the nature of the star today known as Sirius B, which cannot be seen without a powerful of telescope, and which was not discovered by Western astronomy until the 18th Century. IMHOTEP

Ask anyone to name the father of modern medicine and they will no doubt say Hippocrates. Today, doctors take the Hippocratic Oath to practice medicine ethically. But before Hippocrates, the Greek founder of Western medicine (460BC-370BC), there was Imhotep — the Egyptian. Scientists from the University of Manchester discovered medical documents written by Imhotep in 1500BC, a thousand years before Hippocrates was born. The document, along with the writings in ancient Egyptian and Greek texts, show that Imhotep diagnosed and treated over 200 diseases, including 15 diseases of the abdomen, 11 of the bladder, 10 of the rectum, 29 of the eyes, and 18 of the skin, hair,

nails and tongue. Imhotep treated tuberculosis, gallstones, appendicitis, gout and arthritis. He also performed surgery and practiced some dentistry. Imhotep extracted medicine from plants. He also knew the position and function of the vital organs and circulation of the blood system. It is no wonder that Imhotep was worshipped as a god in ancient Egypt after his death. Pyramids, Palaces and Bridges — Imhotep apparently did not believe in confining his genius to one field of knowledge. If he was the father of medicine, he might also deserve the title “Father of Architecture”, for he was the chief architect of the step pyramid at Saqqara in Egypt, one of the most brilliant architectural wonders of the ancient world. The pyramid is the oldest complete hewn-stone building complex known in history. Architectural prowess was not unique to ancient Egypt. Moving forward in time and southward in the continent, the ruins of Great Zimbabwe have proven that great architects lived here too. Built in the 14th Century, the stone city, complete with a palace for the king, was home to about 18,000 people. Amazingly, the stone walls, up to 5 metres high, were built without mortar. In Kenya and closer in time, a British engineer spoke of suspension bridges built with vines by the Kikuyu which equalled in engineering skill and potential durability any comparable bridges of wood he had seen in his own country. THREE R’S

Evidence of the early use of numbers in the Congo is found in the 8,000-year-old Ishango bone. The engraved marks on the Ishango bone led scientists to conclude that it was used as a lunar calendar.

In Yoruba and Benin in Nigeria, a complex number system has been used for a long time. Yoruba numerals demonstrated a capacity for abstract reasoning. In Egypt, mathematical papyri from 1800 BCE were discovered. They had formulas for the study of number theory, geometry, trigonometry and algebra. These were perhaps the first mathematics textbooks ever. It has been common knowledge for a long time that the earliest writing, hieroglyphics, had its roots in Africa. However, it wasn’t until the late 1970s that the true inventors of this writing system were known. On March 1, 1979, an article in the New York Times revealed new scientific knowledge indicating that the origin of the Egyptian hieroglyphic system was a black kingdom, known as Ta-Seti, at a place called Qustul, which preceded the first Dynasty in Egypt by twelve generations. Certainly, no discussion on the three R’s in Africa is complete without a mention of the University of Timbuktu, founded in the 12th Century in North Africa. There, Islamic scholars taught from manuscripts covering an array of subjects including astronomy, medicine, mathematics, chemistry, judicial law, government, and Islamic conflict resolution. At its peak, the University had 25,000 students. METAL

Over 1,500 years ago, Africans living on the western shores of Lake Victoria in Tanzania produced carbon steel using blast furnaces. The temperature achieved in these furnaces was higher than any achieved in a European machine until the Industrial Revolution. Lions Cavern in the Kingdom of Swaziland is the oldest mine in the world. This ancient mine found in an iron-ore mountain in Swaziland is at least 43,000 years old!

Ancient African Inventions and Discoveries You May Not Know About PLYWOOD: The earliest known occurrence of plywood was in Ancient Egypt around 3500 BC. The ancient Egyptians, perhaps suffering from a shortage of wood, glued thin sheets of high quality wood over a substrate of lower quality wood for cosmetic effect.

Palm oil was discovered in West Africa in the native palm trees as early as 5000 BC and was used to make Palm Oil wine, to fry food, and to make candles. SHAVING RAZORS: Glass tools for shaving were invented by 2000 AD in Kenya. They were made from volcanic glass found along the Njoro River.

Persons of pacific temperament, good judgment, genuine disposition and empathy are generally referred to as cultured men and women

CHEQUES: In the 10th Century in Ghana, a cheque for 42,000 golden dinars was written to a merchant in the city of Audoghast by his partner in Sidjilmessa. AFRICAN INVENTIONS OF THE MODERN WORLD Paul Kaine, a Nigerian engineer, invented a pocket electronic map that was patented in France and is now used all over the world. In South Africa, the entrepreneur Rajan Harinarain’s response to the housing of disaster stricken populations was to invent a foldaway house — complete with door, windows and electrical fittings — that can be erected in five minutes. The Ushahidi software, developed by Kenyan Ory Okooloh, is a platform that allows anyone to gather distributed data via SMS, email or web and visualise it on a map or timeline for use in crisis response. It has been used to help in the Haiti and Chile disasters And where this all came from—I suspect—there’s yet more…much more!

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•CULTURE Reviews•Raves•Revues•Repasts

African-made Movies Take Kenya and TZ by Storm Nollywood, Riverwood and Bongowood make feature films and TV soaps that are fast overtaking Hollywood’s in many regional cinema halls and living rooms, reports XINHUA NEWS AGENCY

ast year Western movies dominated almost all cinema halls in Kenya and Western soap operas have been doing the same in Kenyans’ living rooms. But this scenario is changing rapidly, and in its place African-made movies and soaps are taking over. And now the era of complete dominance of the Western soaps is over. Such soaps have to compete for slots on television screens with the emerging made-in-Africa-forAfricans movies. The new era, signalled by advancing technology, has seen Africa’s cinema industry come of age. And there are many quality movies worth watching in this explosion. Their topics are also varied and relevant with the African culture and settings. Now more African movies are competing with Mexican-made ones for the TV slots as opposed to the Hollywood soaps. The Afro-movies include the famous West African movies, mostly from Nigeria’s Nollywood. However, new ones have come of age and include Kenya’s Riverwood (named after a street in Nairobi, River Road) and neighbouring Tanzania soaps that go by the name, Bongowood (Bongo meaning brain, used to refer to Tanzania’s cosmopolitan commercial city of Dar es Salaam). The popularity of the African movies stems from the fact that the style and cinematographic language used in their production are slower, a typical reflection of an African setting. For instance, some of the movies delve into Africa’s history. Con-

sequently, most of the movies have moved from the traditional topics such as love, witchcraft, adventure and now feature contemporary issues such as politics, environment, youth, gender issues, ethnicity, drugs, technology and many other topical issues. Others delve into the continent’s history. The attire used in the movies are mostly African and as such make the viewer associate well with the movie. “What I like most in these African movies is that they have been acted by Africans who I can relate to very well. The settings are typically African; beginning with the cast, environment, language and accent and if there is any modernisation, then it is very minimal,” said Chakarawa Ajibade, a Nigerian residing in Kenya. The African jungles, deserts and plains are a sight to behold in the movies and reflect the reality of the continent’s God-given natural beauty. Such fertile aspects have even lured some Westerners to venture into African movies, but their appeal is yet to match that of a true African actor/actress. Ajibade noted that, unlike the Western movies, which he watches once in a while, it is the drumbeats, songs and dances with African tunes and the the witchcraft (juju) in the African movies that make him yearn for more. They make him feel as if he is back in Nigeria even though he is miles away.

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The allure of the movies has made many TV stations which once preferred the Western movies to now shift focus and begin airing the Afro-movies as one way of maintaining their audiences. Public transport vehicles that play DVDs have also followed suit and prefer showing Afro-movies to their passengers. Kinyanjui, a matatu driver in Nairobi, said his passengers prefer watching the movies because they are educative as opposed to the seductive songs played by some of his colleagues some of which have abusive language and are overtly sexual. Linda Leshan said she liked watching Hollywood soaps and still has a library of the many collections, but since the Afro-movies, especially those from Nigeria, flooded the market, she opened a new library which she said will never fill up since every day she gets home from work, she passes by a movie shop to get the latest release of the Afro-movies. “These movies are never exhaustive; one can watch them over and over. Sometimes I watch them till late into the night. They are full of humour, educative and relevant to an African setup,” she enthuses. The greatest problem dogging the movie industry is piracy, where millions are lost, robbing the artistes of their hard earned benefits and royalties. In Nairobi, pirated movies go for as little as KSh10 (less than a quarter of a dollar) in some streets, making it easy for anyone to buy original CDs and DVDs which are sold for over Sh500 (about US$7), cash that most people find it hard to part with. “Why would I waste my money buying an original CD for Sh500 in a shop instead of getting one from the streets for as low as Sh10? For the same amount, I would buy 50 CDs of different movies instead of just one,” Judy Kanyanga says frankly. The Music Copyright Society of Kenya says there are laws enacted in a bid to curb the vice, but each day scores of vendors on the streets still sell the pirated copies

•CULTURE Reviews•Raves•Revues•Repasts

BOOKS

Africa's Urban Youth Culture Roots TITLE: East African Hip Hop Youth Culture and Globalization AUTHOR: Mwenda NTARANGWI ISBN: 978-0-252-03457-2, Cloth $60.00, ISBN: 978-0-252-07653-4, Paper $20.00 PUBLISHED: 2009 PUBLISHER: UNIVERSITY OF ILLINOIS PRESS PAGES: 176 pages REVIEWED BY: JACKSON BIKO

he book East African Hip-Hop, subtitle Your Culture and Globalisation" by Mwenda Ntarangwi is interesting reading because it presents hip-hop not only as a social tool for the youth but as a juxtaposed platform onto which the creativity of the East African countries is played out. The salient influences of hiphop in the regional society are underscored well, with insights into the genesis and development of the music in the region. This journey of hip-hop starts late in East Africa — circa the early 1990s — and is very much a product of globalisation. But even though globalisation is an undeniable force in the development of hip-hop culture, the book silently strokes the theory that ideally hip-hop — even though generally thought to have started in the boroughs of the ghettos of black America — seems to have some origins in African culture. And so Ntarangwi emphasises a musical artistry that places emphasis on the different diverse cultures of our region. He says in part: “Placing emphasis on

cultural traditions within hip-hop helps us understand its role as a platform to discuss and construct African identity”. East African Hip Hop also looks at gender and how it balances out in this genre’s arena, picking the biggest female names in the industry, such as Wahu of Kenya and Zay B of Tanzania and examine the elements of their songs that clarify the issues pertaining to gender identity in the music industry. One of the critiques against hip-hop in East Africa is it reckless presentation of sexuality. It’s common knowledge that sex and sexuality are a hotcake in every culture and hip-hop seems to have bought into that idea wholesale; the more lewd a song, the better its reception is likely to be. The book doesn’t dwell too much on this, instead it presents a discussion on how hip-hop has been employed in dealing with the HIV scourge, one of the major issues in Africa at large. By telling a story about an experience that Kenyan artists Circuite and Jo-el had that involves condoms and the police, he opens up an interesting discussion of social matters that are

often left out of public discourse. Hip-hop, as the book says, is a tool that, if used sufficiently, should engage the youth in a public discourse on sexuality. And so after the three years of field work that involved interviews, analysis of live performances and over 140 songs, Mwenda delves into the growing cross-border exchanges within East Africa and the themes and messages that transcend just the local borderlines. Quite often, in his quest to get into the meat of the subject, Mwenda is forced to be in situations where he mingles with the youth in clubs or elsewhere, and it’s amusing to note the sort of subtle discomfiture (if not entire disconnect) that he might feel during these times. These experiences, even though narrated in a detached, even cheeky, style, seem to lend much credence to his analysis

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•CULTURE Reviews•Raves•Revues•Repasts

FASHION

Dazzling Style: Designer Delights in Flamboyance By JANE MWANGI

t is hard not to feel bedazzled as you walk into Paulina-George Fashions at the 680 Hotel, bang in the middle of the Nairobi

CBD. The rich full range of African fashion’s harmony comes alive, inspired by traditional fabrics and colourful shades, creating a chic, refined and modern style. This West African ensemble is on show in a stunning collection — from the gele to the aco-oke and the ankara to the ichafo from the Yoruba, Ibo and Hausa tribes of Nigeria. This is the intricate handiwork of Paulina Ifeoma Otieno, undeniably one of West Africa’s finest designers, creating a unique African print that is fast becoming the in-thing on the local Kenyan scene. Graceful and elegant, her enthusiasm is infectious and one cannot help but be entranced by her arresting beauty. Her maiden name, Ifeoma, means ‘beauty is in the eye of the beholder’. She studied at the Yaba College of Technology, the oldest school of design in Nigeria, before proceeding to study advanced fashion design at

May - June 2010

the London Academy of Fashion Design. However, her passion for fashion was inspired by her mother, a successful dressmaker in her time. Paulina started exhibiting in Kenya 18 years ago, participating in the Nairobi and Mombassa trade fairs as well as COMESA and at the KICC: “My very first clientele were from the Coast”. She readily admits that in those days very few Kenyans embraced fashion, but with time many are adorned African designs. Paulina makes no secret of her keen sense of style that has often been described as verging on the flamboyant. “For me dressing up is like breathing in air; I have always dressed this way,” she muses as the photographer busies himself setting up the shoot. “My descendants migrated from Benin, so, most of the time, we tend to dress like royalty. A woman’s beauty comes out in the way she dresses up. In Nigeria first impressions count a lot as opposed to Kenyans, who feel they have over-done it and are self-conscious about stares from others.” She goes on: “I make people feel very comfortable and open with me, I love to radiate peace and love and whenever people wear my clothes they feel happy”. The history of clothing dates back to Genesis in the Old Testa-

ment and Koran, where Adam and Eve covered their nudity with leaves after the Fall. Paulina describes an African dress code as one that reflects our identity: “We should all embrace African fashion because it’s regal and accentuates our complexion, be it black or brown. The West African design incorporates every culture; I call this place a proper West-African shop.” She delightfully goes on to describe her wide array of collections. The aco-oke (shawl) comes in silk and cotton form, it represents the clothe woven in the upper hills of Nigeria. The abada, made in Islamic style, is threepiece male attire, then there’s the iborun and the ichafo (headgear), worn by women to compliment and complete the entire outfit. On the other hand, the ankara (kitenge) is mostly popular for weddings while the lace shows style and elegance. She also sells golden jewellery and coral beads, with the latter depicting royalty and being very expensive. In addition is the gobi (a male cap) that is tilted to one side and hand-woven, made by the Hausa. Better known for dressing society’s upper crust, the crème de la crème — from socialites to businessmen and politicians — Paulina is quick to add that every class of Kenyans comes to buy from her: “A client who may look poor might be the friend of a very influential person; it is the lowly who will introduce you to the Who’s Who”. Then in a rather dramatic shift from design to her personal life, she gives a sneak peak into the other great love of her life — her husband George Otieno, the regional director of African Insurance and former diplomat who still maintains his diplomatic status under the AU. This daughter of the Ibo Delta area of Nigeria met her prince a week to her 20th birth-

day. “I am married to a complete gentleman, a man who loves me for who I am and what I do. He was captivated by the zeal and hard work he saw in me.” She says that he even went on to sponsor her advanced course in London. “He knows I love, eat and drink fashion and on occasion even tells me to offer advice and flyers to other women deemed to be fashionchallenged,” she says rather haughtily. “I was taught from an early age to treat all people equally, irrespective of tribe, creed or class. I also enjoy a very loving relationship with my Kenyan relatives,” says this Kenyanised Nigerian who speaks a little Dholuo, Kikuyu and Kiswahili. She observes: “African design is going far, it hasn’t reached its peak yet, but it’s getting there. God has already given us all the colors we need to make our fashion grow”. This experienced hand has advice for up-and-coming designers, “Never say never to any style of fashion simply because the time may not be right, as long as you have the idea and passion you can achieve anything”. On her vision for her creations, she says, “next year I plan to start mass production, my vision for Paulina-George has already begun as I have my own personalised shoes and am looking to personalise wrist-watches and kitenge. She is not limited to designing clothes as she also helped to complete the design of their first home in Runda — from the colour scheme to the tiles. When she is not working in the

GRACEFUL:

Paulina-George dresses the crème de la crème of society

warp and woof of high fashion, Paulina loves watching movies. “When I watch a movie I see the fashion aspect of it; from the setting and stylish décor to the clothes,” says the queen of fashion who draws inspiration from Yves Saint Laurent: “His style is like mine, he has always been the designer who makes me stop and look.” Life is simply beautiful for this fashion icon who does not know how to be sad. Her parting words: “Little drops of water make a mighty ocean and humility goes a long way in fashion as you are dealing with people. I have not given my best yet”

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•DEA HOTELS Lifestyles & Hospitality

GRAND: Elegance defined

Enjoy the 'Shisha' at Laico Regency Nairobi Based on six centuries of refinement, the hubble-bubble is a flavour-filled experience By DEA CORRESPONDENT elegant and enticing shisha, which is now a signature appeal in leading restaurants and five-star hotels. SHISHA TODAY

STATUS BAROMETER:

he shisha, in simple terms, is a water pipe used to smoke tobacco. It traces its origin from the 14th Century, when it was introduced to Turkey from India. From there it spread to Arab countries Iraq, Syria, Yemen and Egypt. It was initially smoked with a simple apparatus that had a coconut-and-straw look, but over the years it has developed into a sophisticated device. It is now a glass vessel with hoses to smoke attached to the body; a head that holds tobacco and hot coals, and a straw that runs from the head through the vessel.

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PROCESS

Tobacco is soaked in fruit shavings such as strawberry, apples or grapes. This mixture is then smoked through the large water pipe. The tobacco never burns, but is filtered as it is drawn through the water-filled, hand-blown glass base and inhaled through ornate, embroidered hoses. The vapour is incredibly smooth, sweet and aromatic. The development of the special apparatus has also brought a variety in the flavours smoked. In the place of hardcore tobacco, there is flavour added and different presentations, and, hence, the present-day

Shisha is now a nucleus of social interactions, a status barometer, and a symbolic tradition. The tobacco is now made from molasses and honey, giving it natural preservatives. From this age-old tradition, cultured, praised and hoarded worldwide for centuries and across the seas, we bring you this international cigar at home. The Shisha is now at Nairobi’s Laico Regency. The Royal Terrace Coffee Shop is the ideal setting; with a combination of the ambience and its location, you are at home with this coveted tradition. Not only have we got the latest prestigious apparatus, but also a choice of the flavours celebrated worldwide — Peach, Apple and Fruit Cocktail. The Shisha is fondly referred to as the “hubble-bubble”, which refers to the noise made by the Shisha pipes as one smokes. Life is work and leisure wrapped in one: so, mellow down with the aromas of fruits and flowers and take the Shisha trip with friends @ Laico Regency, Nairobi, Kenya Loita Street/Uhuru Highway PO Box 57549 (00200) Nairobi, Kenya www.laicohotels.com

•EDUCATION PURSUIT OF EXCELLENCE

ICT: Knowledge in cyber space

Empowering Africa through e-Learning The East African region has vast potential for this very lucrative service sub-sector By DEA CORRESPONDENT

roviding connectivity through use of technology is fast becoming a priority for many governments in sub-Saharan Africa. This is in tandem with the fact that knowledge is a prerequisite to building an empowered citizenry and able economy. In Africa, ICT is gradually providing support to learning, teaching and management processes within the education system. Microsoft, the worldwide leader in software, services and solutions in partnership with the Ministry of Education and stakeholders in the education sector graced the ICT Regional Conference held at the Kenya Institute of Education (KIE) on March 29-31. The conference brought together ICT research and development experts from Kenya and other countries in recognising the region’s level of connectivity and benefits of advanced telecommunications technology in education in this age when the integration of ICT in education is not only a global concern but a universally accepted trend. Microsoft’s presence in Africa continues to be felt through its penetration into Angola, Rwanda, Rwanda, Tanzania, Uganda, Botswana, Zambia, Zimbabwe, Mozambique, Malawi, and Ethiopia, not forgetting Kenya. Its sub-Saharan academic programme engages very closely with governments, institutions of learning, teachers and students with the sole objective of broadening access to technology and content. Other ICT providers slowly gaining momentum in the region include Televic, Smoothtel, NComputing, Octopus, ICT solutions Ltd (OIS) and African Virtual University. Together with Microsoft and VVOB, they showcased the collaborative spirit in transforming education in

Africa through e-learning. in According to Microsoft’s Mark Matunga, the worldwide corporation is in partnership with the Government of Kenya, USAID, Cisco and Intel, where they are working to establish a School Technology Innovation Centre in Nairobi, a model that has been promoted in other countries through the Microsoft Partners in Learning (PiL) programme. “We want teachers to promote e-learning and carry our flag high,” Matunga said. He

stressed that curriculum delivery will be a joint effort. The multipoint server was officially launched during the conference showcasing another innovation from Microsoft. Charles Sakari, Microsoft’s technology specialist, said that it enables one PC to be shared by many users therefore giving each user their own computing experience. “It is already in the East African market; furthermore it is cost-effective and interactive”

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•HEALTH Mind•Body•Soul

Executive Clinic Offers a Preventive Healthcare Service Created specifically for the manager who cares about his or her health, particularly after the fourth decade, this facility offers early detection and management of the conditions that afflict life-in-the-fast-lane lifestyles

he Nairobi Hospital’s Executive Clinic provides a one-stop, high-quality, comprehensive, fast, reliable and customer- friendly preventive healthcare service to patients. The Executive Clinic is a recent addition to the Nairobi’s Out-patient clinics and is situated in the spacious Short Stay facility above the Accident & Emergency department. The services are on an appointment basis, available by prior booking to ensure a satisfying personalised one–to-one consultative experience. The Clinic’s main focus is centred on preventive healthcare, a treatment process that enhances the availability of information to patients on how to prevent or detect age-related and lifestyle illnesses at the earliest opportunity, in order to seek medical attention first and fast. Early detection is the key to many critical illnesses and proper diagnosis and information save lives. The patient is seen by a doctor and offered a full medical evaluation, including a physical examination and several laboratory and radiological tests, all scheduled

May - June 2010

with the comfort and easy accessibility of the patient in mind. The Clinic is within proximity of ophthalmology, electroencephalography (EEG)/electromyography (EMG) and endoscopy services, providing a one-stop service for customers that may need further investigations. Referral to a subspecialist is indicated based on investigation results. The Executive Clinic team is supported by other hospitalbased support services, with high-level diagnostic facilities and expertise from the Laboratory and Radiology. This Clinic, otherwise known as the ‘Well Man’ or ‘Well Woman’ Clinic, is designed for wellness and for executives who value their health. The service empowers clients to make informed decisions about their health. There is an increasing incidence of heart disease, diabetes and cancer in our communities, more so after the fourth decade of life. This trend has necessitated the availability of ambulatory clinics for early detection and management of these conditions. An annual check-up visit is therefore highly advised for a status check on your health

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•CONFERENCING Meetings & Events

Conference Tourism is Ultimate Niche Market

BRIEFLY BRAZIL

Tourism Revenue Up Foreign tourists spent US$ 511 million in Brazil in February, a record revenue for the month since records began in 1947 and an 18 per cent increase over a year earlier, the country's central bank reported. But the figure is still lower than the US$ 566 million posted in January. Revenues from foreign tourism stood at US$ 433 million in February last year, the bank said.

SHITEMI BARON KHAMADI urgues

that the East African region needs to wake up to the fact that it has vast potential for this very lucrative service subsector

PHILIPPINES

PHOTO: DEA LIBRARY

Aviation Woes

urvivor epitomises reality TV. The energy and determination each contestant displays is astounding. It’s even more remarkable to learn that the Spanish series was recorded in Kenya — in the Tsavo National Park. And meeting those involved in the entire logistical process was a breathtaking experience. From doctors who ensured the cockroaches the contestants ate were okay to the wood used to light fire and the security for every-

one, all these services and many more were provided by a destination management company. Maniago Safaris is where the buck stopped. But this is just the tip of the iceberg, the 2003 International Conference on AIDS and Sexually Transmitted Infections (STIs) in Africa (ICASA) conference, the second largest conference to have ever been held in Kenya (with 7,200 delegates) was also handled by Maniago. Duncan Muriuki, the Maniago Safaris CEO, says, “Conference tourism is a niche market

THE AUDITORIUM AT KICC:

Conferences have a huge multiplier effect

National carrier Philippine Airlines, which has bled more than 15 billion pesos (US$ 337.6 million) in the past two fiscal years, is spinning-off its three non-core units as a last resort to avoid backcruptcy. PAL will spin off the following units: inflight catering services; airport services, including ground handling, cargo handling and ramp handling; and call center reservations. The move will enable PAL to save as much as one billion pesos ( US$ 22.5 million) a year, PAL President and COO Jaime Bautista said. The airline, however, will still have to pare its workforce by 3,000 employees and pay up to 2.5 billion pesos (56.3 million U.S. dollars) in compensation as part of cost-cutting measures. The employees'compensation can be partially funded via internally generated funds while investors are willing to cover the balance, Bautista said. — Reports by Xinhua News Agency

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•CONFERENCING sub-sector primarily revolving around service provision to business travelers attending seminars, film shoots, workshops, seminars and conferences”. Conferences offer a huge multiplier effect when they are held in a city. Primary beneficiaries are tour operators, hotels, transport providers, restaurants, curio dealers and conference service providers. Furthermore, private security firms, stationery providers, translators and extra staff always come in handy in making such an experience successful. This ripple economic effect has however not been exploited in East African. In Uganda, Speke Resort, Munyonyo and New Serena Hotel offer conference tourism facilities of international status in that country. In Tanzania, Arusha hosts the East African Community Headquarters and has the Arusha International Conference Centre, which is ideal for conference tourism. With gorilla trekking being ranked among the top green travel experiences in the world, Rwanda has great prospects. Source du Nil and Novetel are the two big hotels in Burundi, but, with each having less than 200-bed capacity, necessitate urgent consideration. With the exception of KICC and the UN Complex, hardly any other venue can host a large conference of ICASA’s magnitude. Nairobi barely has a 6,000-bed capacity. Other conferences that have been facilitated by Maniago include the Africities Conference, the recent 50th Anniversary of the Nation Media Group and the UN Climate Change Conference of November 2006. Mombasa is an ideal place, with a bed capacity of over 10,000, the warm climate and a variety of tourist attraction sites augmenting its appeal. Conference tourism in such an area will entice par-

PHOTO: DEA LIBRARY

Meetings & Events

STATS &FACTS Mombasa is an ideal place, with a bed capacity of over 10,000, the warm climate and a variety of tourist attraction sites augmenting its appeal

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ticipants to buy local souvenirs. As Muchiri explains, “Often their expenses are catered for by the organisations they represent, leaving them with substantial disposable incomes they can spend on the side”. The integration of the East African Community portends a brighter future for conference tourism. Opportunity came knocking when Maniago Safaris were asked to assist in the logistical preparations of the Commonwealth Conference in Uganda last year. However, bureaucratic issues vetoed this venture. An integrated Community would have allowed this conference to pass through Maniago’s hands. That notwithstanding the World Economic Forum meeting scheduled for Arusha should provide a springboard for increased opportunities from experts in this field. Furthermore, accessing logistical facilities like cars, translation and other expertise will be hastened with increased integration. Trend-setting business travelers

need to be offered better deals during their expeditions. “It is disheartening that a conference can end at 6pm just to find shops closed. A 24-hour economy would ensure every dollar is spent,” Muriuki points out. Any person attending a conference is a tourist and ensuring that these people visit tourist facilities increases yields. The lack of beds can be addressed by promoting home stays. There are many people with up-market mansions with unused rooms, these rooms can be used by delegates, hence spreading the undulation effects of hosting a conference. Muriuki says this strategy is highly successful in Durban, the premier conference tourism destination in Africa. An intimate knowledge of places, staff with experience and love for their jobs and multilingual expertise all comes in handy in placing Maniago on top of its game. Muriuki can say with confidence that “in terms of conference tourism, there is no other company that has that niche like us”

•CONFERENCING Meetings & Events

CLEAN DEVELOPMENT

EA Carbon Market Ground-breacking initiatives to bring in environmental and financial benefits By DEA CORRESPONDENT

PHOTO: DEA LIBRARY

he Kyoto Protocol’s Clean Development Mechanism (CDM) has 260 projects in 63 countries that reduce greenhouse gas emissions effects, earning valuable saleable credits. However, the CDM projects in Africa account for less than 2 per cent of those registered to date worldwide. There are 19 carbon sequestration projects in Africa, and seven are based in Kenya, Uganda and Tanzania, thus indicating that East Africa is currently the preferred region on the continent for international carbon investors. Carbon sequestration projects’ economic and environmental benefits are particularly relevant for Africa. African countries need increased investment to sustain poverty alleviation and infrastructure growth. The World Bank’s BioCarbon Fund is currently the biggest financier of carbon sequestration projects in the Horn of Africa. Others are the European Union, the Forest Absorbing Carbon Emissions (FACE) Foundation, Global Environment Facility (GEF) and the United States Agency for International Development (USAID). A new initiative set to bring environmental and financial benefits to local communities in the Ethiopian highlands is underway, thus becoming Africa’s first large- scale forestry project under the Kyoto Protocols. The scheme, dubbed the Humbo Assisted

MOTHER NATURE:

Forests clean environment of pollutants

Natural Regeneration Project, will cut an estimated 880,000 metric tones of carbon dioxide from the atmosphere over the next 30 years. Project financing has been provided by World Vision Australia and is jointly implemented by World Vision Ethiopia and Australia. Mrs Tenague Lemma, National Director of World Vision Ethiopia, pointed out that more than 2,700 hectares of degraded land in South Western Ethiopia has been restored since 2007. Registration of the project by the United Nations enables the future sale of over 338,000 tonnes worth of carbon credits by 2017, leading to the purchase of 165,000 tonnes worth of carbon credits by the World Bank Bio-carbon Fund. Interestingly, the local communities stand to benefit from

US$700,000 over a minimum of 10 years from the sale of carbon credits under the Bio-carbon Fund. What’s more, additional revenue will emanate from the sale of timber products in the project. According to the World Bank’s carbon finance unit site, the project will bring about the regeneration of the native forest that is expected to provide an important habitat for many local species and to enrich local biodiversity. Major environmental benefits will stem from the reduction of soil erosion and flooding. In particular, sediment runoff currently threatening the fragile ecosystem of Lake Abaya, located 30km downstream from the project site, should be reduced. In the meantime, the restored forest would also contribute to protecting springs and streams originating in the project area. Mr Assefa Tofu, Carbon Specialist with World Vision, said, “A lot of capacity building and negotiations were carried out and we faced some challenges such as the financing of the project in addition to the process being slow and demanding”. The overall objective, he said, is to take the project into different parts of Africa. On its part, the World Bank’s head of the Bio-carbon Fund, Mrs Ellysar Baroudy, emphasised that there are immense opportunities in Africa for re-afforestration and said that they are working closely with the Green Belt Movement in Kenya

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•CONFERENCING Meetings & Events

PAN-AFRICAN MEDIA CONFERENCE

Is The Press to Blame for Africa's Unflattering Image? By PATRICK WACHIRA

CAUCUS:

PHOTO: DEA LIBRARY

Kenya's Premier Raila Odinga (left) confers with the Aga Khan, President Kibaki and Tanzania's former President Benjamin Mkapa

free Press can, of course, be good or bad, but, most certainly without freedom, the Press will never be anything but bad. —Albert Camus THE role of the media in shaping Africa’s image, stability and direction came into sharp focus during the Pan African Media Conference in Nairobi in April. The conference, held to mark the 50th anniversary of the Nation Media Group, the largest news corporation in East and Central Africa, drew eminent personalities that ranged from heads of state to media practitioners and investors in the industry. And the role of the media in either stemming or fuelling conflict in a continent beset by armed antago-

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nism saw heated exchanges, though in an atmosphere regulated by decorum and diplomacy. Among those who took part in the lively discourse were two heads of state, Presidents Mwai Kibaki of Kenya and Paul Kagame of Rwanda, former Presidents Joaquim Alberto Chissano of Mozambique and Benjamin Mkapa of Tanzania, Nobel Laureate Wangari Mathai, the Aga Khan, heads of media institutions in Africa and media owners. It was Kibaki who set the ball rolling with his observation that the East African Community was the most advanced regional bloc in Africa and that many others were attempting to replicate it. “Interest in joining the EAC is a story worth telling. Let the media tell of the gains of the continent. Let us avoid afro-pessimism and those who think that nothing good can come out of Africa.” Kenya’s third President said Africa was overcoming her challenges in shorter periods than the West did in similar circumstances in their long history. New global dynamics were imminent as was a new constitution for Kenya. Describing Kenya as an epitome of media freedom, as evidenced by the number of outlets which have grown from just 16 radio stations and six TV stations in 1999 to over 80 radio stations and at least 19 TV sta-

tions, Kibaki challenged the media to rise from its current understanding of Press freedom to embrace the concept of responsible journalism. He added that the task of fighting graft, nepotism, the challenges of global warming and enabling the citizenry to make informed decisions lay squarely on the media. The Aga Khan was of the opinion that media freedom required vigilance and was not a licence to abuse. The sensitive matter of remuneration also reared its head, with the Aga Khan, who owns majority shares in the NMG, saying that journalistic independence depended on financial independence. But the devil was in the detail. When the plenary sessions started, it became apparent that harsh questions would be raised about the true role of journalists in times of war and conflict. Indeed, should journalists sound the alarm bells when they see the advent of peril? Yes, according to NMG Editorial Director Joseph Odindo, who told the conference the red light should go up for journalists if politicians addressed crowds in their mother-tongue on national television. And the media was in a unique position to guide the people, seeing that, at least in Kenya, it enjoys 80 per cent approval ratings by the reading public (in the UK it is a paltry 3 per cent!). Journalists found themselves in the moral dilemma of being in positions of great responsibility but little power when, in the post-poll chaos of 2008, some callers to call-in programmes spoke of houses burning, of being surrounded, and pleaded for help. Such dramatic scenarios can be a double-edged sword — as breaking news they have great value; but they can also constitute calls to vengeance and fan the spread of deadly violence

•AT THE WHEEL Motoring

ON A ROLL: World's largest car market

China Takes the Mother-in-Law Ride from the Land of ABBA By KWENDO OPANGA

n the 1980s the joke went that Sweden’s chief exports were rock and roll. Rock was exemplified by the hugely popular pop group ABBA and roll was the car. Yes, the car — Volvo. Volvo means ‘roll’ in Swedish and ‘I roll’ in Latin. If at the time and for a long time to come ABBA’s music ruled the world’s airwaves and discotheques, it was Volvo that rocked the roads worldwide as Sweden’s foremost automobile brand. Built in Gothenburg from 1927 to withstand and beat the tough and extreme weather conditions of Sweden and northern Europe, sturdy Volvo is to this day known for safety, comfort and longevity. Forget the longevity (19.9 years) and safety for which it has won awards and competed favourably with Mercedes and BMW in later years. In East Africa, and especially in Kenya, it is comfort that has always counted and is considered synonymous with Volvo. Dashing Kenyan journalist William Omoga, now deceased, famously boasted in 1992 that he drove a Volvo because “it’s the car that was made to carry, and meant to carry, a mother-in-law”. Omoga’s moral was you don’t carry your mother-in-law in any old jalopy. If you are going to carry your mother-in-law, give her a real treat in comfort and Volvo fitted the bill. Though for a long time Volvo was not known to be sleek and stylish,

but predictably box-like, it is worth noting that the Volvo 144, launched in 1966, was promptly voted “Car of the Year” and “Safest Car in The World”. Indeed, the stylish P1800 Sports car was driven by Roger Moore, he of James Bond fame, in the title role of The Saint television series of the 1960s that was based on the novels of Leslie Charteris. Volvo’s gears have since truly shifted since then. Yes, they have. China last year overtook the US as the world’s largest car market. And, a little-known 24-year-old Chinese firm named Geely in late March signed a deal buying 84-yearold Volvo from Ford. Ford had in 1999 bought Volvo Car Corporation from the Volvo Group. Volvo had fallen on hard times indeed. Ford bought Volvo for US$6.4 billion in 1999. Ford sold Volvo for US$1.8 billion. Geely, who bought Volvo in March, say they will pump in another US$900 million in a bid

to bring the Swedish icon back into the black. Oops! Before Volvo Group sold Volvo Car Corporation to Ford, it had cleverly and confidently sold itself as being in the company or an accessory of the affluent. It headlined golf – the Volvo Masters – polo, horseshow-jumping and yachting tournaments. Geely, on the other hand, may be China’s leading private car-maker, but its turnover, at least going by the 2009 forecasts, is only 16 per cent of Volvo’s and it has half the icon’s workforce. Geely has however made a major business statement and arrival on the international car market by buying Volvo. Many in the industry too will see Geely’s acquisition of Volvo as announcing China’s arrival as a global business power — on the road. With erstwhile ABBA not performing anymore, struggling Volvo may yet rock and roll again

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•GLOBAL STAGE Window on World

PHOTO: XINHUA

Swift Transition Marks Yar’Adua’s Protracted Exit Nigerians have been waiting so long to heave a collective sigh of relief, one way or another, over President Yar’Ardua’s predicament, that, at precisely the point they were able to do so — his passing — a watching world ponders for the next act in West Africa’s preeminent economy, population and power, writes KWENDO OPANGA

he transition was smooth and swift. President Alhaji Umaru Musa Yar’Adua died on Wednesday May 5 at about 9pm local time. On Thursday morning, at a ceremony that began at 8am, Acting President Goodluck Jonathan was sworn in as President and later the same day Yar’Adua was interred. Perhaps things went as smoothly as they did because Jonathan had been Acting President since February, when he was appointed to the post to fill the power vacuum created by the threemonth-long absence of Yar’Adua from Nigeria. The President had left Nigeria on November 23, 2009, for treatment at the King Feisal Specialist Hospital and Research Centre in Jeddah, Saudi Arabia, and his continued absence not only created

the vacuum, but led to sustained demonstrations and controversies. As Acting President, Jonathan had put in place his own Cabinet, which meant that he had disentangled himself from forces that were loyal to Yar’Adua and was ready to chart his own course. Already Jonathan had singled out electoral reform, power and energy and corruption as priority areas. In a sense then the transition from Yar’Adua to Jonathan, the transfer of power from President to Vice-President and from one government to another, had taken place before Yar’Adua died, or courtesy of his prolonged illness. The Acting President had also travelled to Washington in April for the nuclear summit convened by President Barack Obama and had used the opportunity to meet

May - June 2010

DECEASED:

President Yar' Adua battled with a prolonged ailment

other world leaders and field questions from the media on such varied issues as democracy in Nigeria, electoral reform and fighting corruption. The agenda Jonathan set himself on being appointed Acting Head of State mirrors Yar’Adua’s and points to his determination to pursue the same goals the departed President and himself set as the ticket for the People’s Democratic Party (PDP) in the 2007 Presidential election. When he was informed of the death of the President, Jonathan moved swiftly and deliberately, as a man comfortable in his station, to call meetings of senior government officials and ministers to Yar’Adua’s funeral. It had to be done equally swiftly because of Islamic traditions. Although he had been ailing, the announcement of Yar’Adua’s death still took Nigerians by surprise. Suddenly State television interrupted programming to announce the death of the Head of State and Commander-in-Chief of the Armed Forces. Yar’Adua, nicknamed Baba Go Slow because of his cautious approach to issues, will be remembered as the Head of State who meant well for his country, but whose agenda of electoral reform, meeting the power needs of his country and fighting corruption were hampered by ill health. He was reported to have been

•GLOBAL STAGE Window on World favour. Yar’Adua did acknowledge when he took the reins of power in May 2007 that the election had not been perfect, and that he was aware there were aggrieved parties. He however advised these parties to seek redress in the courts. Some would argue that his quest for electoral reform was informed by his experience during his controversial nomination as the PDP’s flag-bearer and the Presidential election itself. Many will want to see Jonathan carry through this quest. But the new President has only nine months to see through the promises he and Yar’Adua made on the stump and which he reiterated on being appointed acting President and which he has now inherited as successor to Yar’Adua. y if he When asked recently onathan would run for President, Jonathan ridge he replied that that was a bridge me to it. would cross when he came Now he must think aboutt it seriously because come the next election next year, he willl clearly have unfinished business he and PDP would like to tackle. he Second, there is the DP’s little local difficulty of PDP’s quires arrangement which requires changed that the Presidency be exchanged between the north and south. ner, but Yar’Adua was a northerner, m. did not complete his term. ner, but Jonathan is a southerner, m come will not have had a full term r’Adua’s May 29, 2011, when Yar’Adua’s term would have come to an end. le more He will have served a little r’Adua’s than a year of what was Yar’Adua’s term. It is possible that the northue that erners in PDP will argue they deserve a full term. It is also possible that southerners will demand

LUCKY BREAK:

President Jonathan look over the reins of power

their term and it is just possible that some PDP stalwarts from the north will run a candidate against the President. That does not make for a united party going into a an election which means the new President will have his hands full running government, keeping northerners and southerners and other Nigerians in PDP happy, as well as keeping the party itself together. To pick a leaf from the Jonathan book, these are bridges he will cross when he comes to them. But he it was who also said in March regarding the many issues he has to tackle that “although the time is short, like a determined athlete, we need no more than 100 metres to make our mark on the sands of good governance”

PHOTO: XINHUA

plagued by diseases which are terminal in nature, including kidney failure, brain damage and haemorrhage and acute pericarditis, a swelling of the sac that surrounds the heart. As Presidential candidate in 2007, he had to put his campaign on hold to go to Germany for treatment following a serious heart complaint. But he still would challenge those who doubted his fitness to a game of squash. Yar’Adua was the first Nigerian state governor as well as Head of State who publicly declared his assets. In both cases he set out to send a clear signal to public officials that he had no truck with corruption and was a believer in accountability. Under Yar’Adua the Federal Government entered talks with the militants of the Movement for the Emancipation of the Niger Delta (MEND), whose military attacks on oil installations, kidnapping of foreigners and guerrilla skirmishing with government forces remain a threat to the Nigerian economy. The talks led to a cessation of hostilities for a while and while no firm deal was struck with the militants, this signaled a departure from the pursuit of a military solution to MEND, which campaigns for a redistribution of the country’s oil wealth, and especially that from the Delta. Critics however argue that Yar’Adua did not deserve to be President in the first place because he was forced on the party by his predecessor, Olusegun Obasanjo, and that the Presidential April 2007 poll had been rigged in his

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•ENVOYS OF SPORT The World Cup

Let the Party Begin The FIFA World Cup tournament is the planet s premier plenipotentiary of sport

he World Cup is all about bringing humanity together in a celebration of togetherness. It is a high point like none other, a shattering climax, an apotheosis, the joyful collective shout heard around the world. It is therefore the world’s greatest single mass spectator sporting event. And the World Cup final is always a moment when the globe stands still. If the aliens of science

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fiction were ever to invade Earth, they could not choose a more appropriately diversionary moment than the World Cup final, whatever the teams in contention — the element of surprise would be total. This year the Cup — and the World — come to that location in Africa known as South Africa. And both the mega event and the world will get a welcome truly befitting Africa — they will be welcomed with rhythm. It is almost a cliché right around the world that rhythm plays a much larger part in the African tradition — from drumming and dance to the way people walk and otherwise comport themselves — than in any other. The world is coming to South Africa for the 19th FIFA World Cup fully expecting to be enticed, entranced and enthralled by African rhythm, from the scheduled spectacular opening ceremony to many other aspects of the tournament itself and its scenic venue, the Republic of South Africa — aka The Rainbow Nation — a microcosm of the African continent itself. To the power and poise of the Beautiful Game will be added the grace under pressure of African natural rhythm in an unforgettable mix; it has all the makings of a World Cup like none other. It will be a vivid and pulsating

month-long extravaganza, filled with the best of famed African hospitality, humour, wit and fun. With makarapa on their heads, vuvuzela in their mouths, palms on drums, feet stomping, hips swaying and in good voice, proud and loud with it, Africans will welcome the world. In the stands and VIP boxes, resplendent swathes of glittering traditional and national garb and the varied and valued colours of a myriad nations on display, the pomp and pageantry will announce Africa’s arrival on the World Cup global stage. On the turf, pantomimes, athleticism, nerve and verve purveying rich cultural heritages and march- pasts by the participating teams will focus the eyes of the world on every move as SA hosts Africa’s global party. The venue of this feast of the senses and the spirit will be Johannesburg’s Soccer City, the gleaming, calabash-resembling 94,700capacity stadium that is the largest on the African continent. The occasion will be the opening ceremony and opening match of the 2010 FIFA World Cup, dubbed Africa’s World Cup and hosted by South Africa. The day will be Friday, June 11 and although we are not in the business of clairvoyance the following we can confidently predict:

will look on attentively through the opening ceremony that will be aimed at displaying the very best of Africa with a view to both silently and loudly proclaiming — I told you it would be great! This hope for satisfaction will be shared by those witnessing the event in the stadium and those watching worldwide on television. They will have come and will be watching from nearby Cape Town and as far away as Cairo; from Lagos on the West Coast to Lamu (Kenya) in the East; from Khartoum in the Sudan, Africa’s biggest country, to Gambia in the Gambia, the continent’s smallest country. Perhaps in anticipation of such an atmosphere Blatter disclosed for the first time in early May in an interview with CNN’s Pedro Pinto that when he began the campaign for the World Cup to come to South Africa in the 1990s, he had always wanted SA to be the host. He did not explain why and he was not pressured to, but South Africa in 1995 played host to the Rugby World Cup, which it won before increasingly popular President Nelson Mandela, the world epitome of political forgiveness and architect of the Rainbow Nation. The infrastructure and the organisational know-how were therefore available, albeit on a smaller scale, but even better Blatter must have

MADIBA:

Brought Cup to Africa

reckoned that Mandela and South Africa symbolised what the FIFA World Cup is all about — bringing humanity together. Will he or will he not be there? The question is asked of Mandela, the world’s greatest living statesman. Information attributed to his grandson in early May indicated that Madiba, as he is affectionately called on the continent, would not be present. If that is his wish many would respect it, but still regret that he who campaigned so hard and long and around the world for the 2010 FIFA World Cup to be held in South Africa, and though old and frail, will not be physically present to witness the fruits of his labour. After the opening ceremony and match, the attention of the football fans in South Africa and the watching world will shift to the business of football, beginning with the relaxed round robin stage. But things begin to get interesting from the knockout stage. The tension creeps in; the tactical prowess of coaches kicks in, players are called upon to put safety first and expression or entertainment second. On both terraces and turf, there is joy for some and heartache for others. But in the end the Beautiful Game is still a many-splendoured thing — and the greatest Envoy of Sport known to the world yet. Welcome to Africa! Welcome to the FIFA 2010 World Cup!

PHOTO: GRAPHIC BY DAN

Soccer City will be packed to the rafters; it will be a melting pot of global cultures; and the score will be nil-nil when the referee starts the tournament’s opening match between South Africa and Mexico. However, behind the inviting messages on the makarapa; above the din of the vuvuzela and drums, and beyond the faces of anticipation and expectation, will be the hope that, after all the waiting, everything will come together. That, on the pitch and off it, South Africa and Africa will pass with flying colours. That trains and buses for teams and fans will run on time; that on the pitch the referees will follow the book and players play by the rules; that hotels and hospitality will be top notch; and that the safety of all will be assured. Carrying the continent’s hopes and fears will be South Africa’s Bafana Bafana, around which will rally a continent’s cacophony of cheers and jeers, hoots and toots, ahs and ohs for a fine shot and blind pass, tackle well-timed and tackle missed or deft dummy and inept effort. The quality and outcome of the match notwithstanding, all in the stadium and the millions that will follow the live TV broadcast around the world will look forward to a month-long football feast and fiesta without siesta. The proud hosts to the world, South Africa’s President Jacob Zuma and FIFA President Sepp Blatter,

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•ENVOYS OF SPORT The World Cup

Africa and the World Cup As the battle of titans reaches its zenith PRIMO LOMBARDO compares and contrasts the teams

PHOTO: DEA LIBRARY

fter six years of hard work, South Africa and indeed the whole of Africa are saying Ke nako (It is time) everybody descended on the continent for the world’s greatest sporting showpiece, the Fifa World Cup. It has been a tumultuous six years for the South Africans since May 15, 2004, when the world’s foremost living statesman Nelson Mandela masterminded the bidding process in Zurich. Creditably, the developing Rainbow Nation has done exceptionally well to put in place the requisite infrastructure for the

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quadrennial event in the face of hyper-critical Western media that have yet to forgive Fifa President Sepp Blatter for his gamble on Africa. But while the tournament organisers may have gone a long way to allay the fears, attention is sharply shifting to the actual business on the field of play. Again, pundits give South Africa’s national team, Bafana Bafana, a slim chance to go past two World Cup winners, France (1998), Uruguay (1930, 1950) and Mexico. South Africa leads Africa’s six-pronged assault on a tournament that has been won by only seven of the 204 countries

that make up the Fifa football family across eight decades. Nigeria, Cameroon, Algeria, Ghana and the Ivory Coast are the other flag-bearers of a continent that has yet to fulfill the legendary Pele’s prophecy that it would one day win the World Cup. The Didier Drogba-led Ivory Coast is thought to carry Africa’s real hopes of advancing the farthest in the month-long tournament that kicks off on June 11 at the Soccer City Stadium, Johannesburg. However, doubts persist, especially after the Elephants fell flat under the challenge of Algeria’s Desert Foxes during the Africa Nations Cup in Angola in January. Chelsea’s Drogba, 32, too has been a central figure in his club’s push for the English Premier League and fears abound he would have burned out by the time Ivory Coast come up against, Brazil, Portugal and North Korea. Ghana reached the finals of the Africa Cup of Nations, but lost 1-0 to Egypt and the Black Stars will be expected to build on that run if they have to better their second round showing in their World Cup debut in Germany four years ago. However, the Milovan Rajevaccoached team faces a race against time to make Chelsea midfielder Michael Essien fit for the finals. Essien, considered a vital cog in

dane revolution. The outcome was a hard but gallantly fought battle for the 2010 World Cup ticket that has since landed them in Group C alongside England, the USA and Slovenia. A second round showing would be a shock result that would surely earn the players a special place in the hearts of the Algerian populace.

the Black Stars’ midfield, has not been in action since late January with a nagging injury. Both Nigeria and Cameroon boast unrivalled talent in the continent, but, almost needless to say, disorganization is their middle name. ALGERIA

Algeria are returning to the global showpiece after 24 years and Rabah Saadane’s side, the Desert Foxes, may have well attained their target of reaching the finals ahead of Egypt, who they pipped to the berth via a play-off. Saadane led Algeria in Mexico ’86, where they finished bottom of Group D that comprised Brazil, Spain and Ireland. Some of the remnants of that side went on to lift the Africa Cup of Nations in 1990, but since then it was downhill all the way until the return of Saadane. The 63-year-old took it upon himself to scour around Europe to find players of Algerian descent, key among them the French-born Karim Ziani, 27, of Bundesliga side VfL Wolfsburg. Nadir Belhadj, 25, also born in France and currently playing for English side Portsmouth and Mourad Meghni of Lazio, Italy, who turned out for France’s Under-21 side agreed to be part of the Saa-

CAMEROON

THRILLER:

Yaya Toure (left) of Ivory Coast and Samuel Eto'o (below) of Cameroon

If Algeria could be excused on the basis of their pedigree, Cameroon have no such luxury after their precedent-setting 1990 performance. Cameroon’s potential has never been in doubt since Spain ’82, when they drew all their three group stage matches, including their 1-1 stalemate with Italy. Roger Milla is generally accepted as the best alltime African footballer, but countryman Samuel Eto’o (Inter Milan) has made a strong case in a glittering career that has also taken him to Real Madrid, Barcelona and Mallorca. South Africa 2010 will provide Eto’o with the perfect stage to shatter Milla’s pedestal. And as Pele said of Argentine star Lionel Messi, “They are always trying to compare someone to Pele. But I always joke with my Argentine friends that they must first choose who is the best player from Argentina. Then, when one of them scores a thousand goals, then we can start talking”. Eto’o must lift the Indomitable Lions if memories Milla’s Italia ’90 should be relegated to the backburner.

PHOTO: DEA LIBRARY

NIGERIA

A second round may not be a huge task to ask of the Cameroon, but only if they put behind them the ghost of disorganisation. The Netherlands, Denmark and Japan provide the challenge. In their den is French coach Paul Le Guen, a man who has all it takes to reassure Cameroon followers that all is not lost for the Indomitable Lions. Super Eagles flattered to deceive after their second round perforMay - June 2010

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PHOTOS: DEA LIBRARY

a group that has Argentina, South Korea and Greece. Nigeria, however, will still be crying out for a team leader — a player of the stature of Austin Okocha or Sunday Oliseh. In Peter Odemwingie, Nigeria has a skilful player but lacking in the charisma of Nwankwo Kanu, who, though he is the captain, offers little on the field of play. A second round ticket would be an outstanding result for Lagerback. mance in USA ’94, subsequently winning Olympic gold in Atlanta, USA. Four years later in France, Super Eagles imploded against Denmark in a 4-1 thrashing in the round of 16, despite having topped Group D by also beating Spain 3-2. And, come Korea/Japan 2002, Eagle confidence had hit an alltime low and it was no surprise when they missed out on the Germany ’06 party. After a topsy-turvy qualifying campaign and a below-

par performance in Angola 2010, Nigeria’s FA hired Swede Lars Lagerback to replace local tactician Shuaibu Amodu. One of the weaknesses always pointed out regarding Super Eagles is their lack of commitment and an almost lazy approach to the game even when utmost urgency is required. But with the appointment of Lagerback, a man reputed for creating well-drilled, hardworking teams, hopes abound that Nigeria should be able to withstand the rigours of

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BATTLE ROYALE:

From Top (clockwise) Algeria's Desert Foxes, South africa's Bafana Bafana, Ivory Coast's Elephants

GHANA

Black Stars hopes of bettering their second round showing have received some battering with the news of Michael Essien’s nagging knee injury. If Ghana can solve Essien’s injury problem and ensure inspirational captain Stephen Appiah (Bologna, Italy) is in the frame of competition action — having been out of competitive football because of injury — fans’ hopes will soar.

Africa. The studious former England coach is a firm believer of the 4-4-2 system of play. He will enjoy the bonus of having strong players in the mould of Didier Drogba, who can also play in such a defensive formation as 4-5-1 as the lone striker. As boss of Mexico, Eriksson also experimented with a more attacking 4-3-3 — but with little success. Whichever formation he chooses, Ivory Coast has the personnel to get his job done. Salomon Kalou (Chelsea), Guy Demel (Hamburg SV, Germany), Emmanuel Eboue (Arsenal), Kolo Toure (Manchester City) and Yaya Toure (Barcelona) form part of Eriksson’s potent arsenal. SOUTH AFRICA

Ghana won the 2009 Under-20 World Cup and some of the youngsters went on to star in the Africa Nations Cup, where they lost 1-0 to Egypt. Dominic Adiyiah, Opoku Agyemang, Kwadwoh Asamoah, Emmanuel Badu Agyemang and Samuel Inkoom are some of the youngsters to have come through, but the senior World Cup could be a tough asking. Ghana qualified for the finals unbeaten and it will be interesting to see how Rajevac approaches the guaranteed robust opposition presented by Germany, Australia and Serbia in Group D. IVORY COAST

The fixture against Brazil on June 20 at Soccer City, Johannesburg, has been marked in everyone’s calendar. Ivory Coast carries Africa’s hopes, what with the abundant talent in the side another Swede, Sven Goran Eriksson, will lead in South

The World Cup hosts will be under pressure to perform in front of their fans and also burdened with the weight of history as every home team has qualified for the second round. France will seek to put behind them the shame of having to qualify for the finals via Thiery Henry’s assist, dubbed the ‘Hand of Shame’. Uruguay believes it is time they bettered their 1950 triumph and Mexico, too, have a point to prove after a difficult qualifying campaign. And that is where South Africa’s problem lies — especially now they lack a proven hit man with Benni McCarthy belatedly returning to the Bafana Bafana fold after selfimposed exile. Everton’s Steve Pienaar is the only bright spot in the Bafana team. South Africa were not convincing in finishing third in last year’s Fifa Confederations Cup, which they hosted. A string of poor results prompted parting ways with coach Joel Santana and the return of Brazil’s World Cup-winning player and coach Carlos Alberto Parreira. Although the Brazilian believes they are getting into the rhythm of

REARING TO GO:

Ghana's Black Stars

their game, he acknowledges they lack an identity. Identity should, however, be the least worry for Parreira, who must find the goal scorers as Thembikosi Fanteni, Bernard Parker, Katlego Mphela, Katlego Mashego, Gert Schalkwyk or the recalled Siyabonga Nomvethe are simply not finding the net. The South Africa Football Association have put in place an R1 million campaign for each goal scored during the World Cup as an incentive for Bafana Bafana. But even then, South Africa’s campaign may hinge on good defensive display, which, again, could prove an Achille’s Heel. The World Cup hosts are silently crying for defenders of the calibre of Lucas Radebe, Mark Fish, David Nyathi, who, retrospectively, may have been born earlier than they should have. Captain Aaron Mokoena (Blackburn, England) should form the backbone of the defence and, should Nasief Morris (Recreativo Huelva, Spain) be recalled, partner him. Crowd favourite — and the only white player in the team — Matthew Booth provides the defensive height and stability. The comfort of playing in front of their fans could help spur Bafana Bafana into the second round ahead of Mexico and Uruguay

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AMBASSADORIAL TAKE

It’s an Image-changing Event, says German Envoy HE MARGIT HELLWIG-BOETTE extrapolates

the benefits of the tournament for Africa and the world

he 2010 World Cup has the potential to change the image of Africa, says German Ambassador to Kenya Margit Hellwig-Boette. Drawing from her country’s experience in hosting the tournament four years ago, Boette said the tournament helped improve the image of Germany in the eyes of the outside world. “It was a very wonderful experience for my country in 2006, as millions of people travelled to Germany or watched the tournament on television. It gave them the correct picture of our country,”she said in an interview with Diplomat East Africa. She said hosts South Africa and the continent as a

MARGIT HELLWIG:

It's wonderfull to host World cup

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whole can use a successful tournament to show the other side of the continent that is rarely seen in the Western media. “Most Germans — and other Europeans for that matter — do not know much about Africa. They only hear about it whenever there is hunger,disease or a natural calamity, but this is an opportunity for them to see the real Africa,” Hellwig-Boette said. She said apart from watching the World Cup visitors to South Africa will also be glad to see the wildlife and experience the passion of Africans. Apart from the image, Boette said the continent also has an opportunity to come together behind a common cause.

“The tournament brought us together as one as all of Germany from the East and West were united behind the national flag. It has the potential to do the same for Africa,” she said. She pointed out that the economic value of the tournament to Africa is another positive aspect that will come out of the event. Again drawing from her country’s experience, Hellwig-Boette pointed out that the last tournament left Germany a better country with plenty of new infrastructure built to accommodate the event. “Germany made a lot of money and there were many benefits to the country and the people. South Africa and Africa should expect the same benefits.” She disclosed that the embassy is organising a painting competition together with the German School that will run for the duration of the World Cup and the winners will receive impressive prizes. “We are using the competition to create awareness about the tournament among schoolchildren. This is our way of supporting the event,” she said. And does she think Germany can win the World Cup? “I will support them because last time they did not do very well, but I believe they can win it this time. The team is very good ”

â&#x20AC;˘ENVOYS OF SPORT The World Cup

Stars Skills

and Thrills Robin van Persiee Netherlands Versatile player who is used mainly as a winger in the national team and as a central striker at Arsenal. Played all four matches at the 2006 World Cup finals and scored against Ivory Coast in group stages. Missed most of the English Premier League campaign through injury.

Michael Ballack - Germany This is likely to be the last major tournament for the German captain who is desperate for World Cup success after collecting a runners-up medal in 2002. The midfielder also finished on the losing side at Euro 2008. Ballack has mended ties with Loew after a public spat following Euro 2008.

Cristiano Ronaldo - Portugal Has made the quick step-over and dipping shots from dead ball situations his trademark, but that is just part of his armoury. Speedy, tricky and elusive he mysteriously pops up behind the ball, in the air and on the ground, and scores.

Wayne Rooney -England Already with more than 50 caps, his bustling all-action approach, aligned with a keen eye for a pass, make him a defender's nightmare and a fan favourite.

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Jon Obi Mikel Nigeria Chelsea’s defensive midfield powerhouse and workhorse is quick and adept with the tackle and eager to dispatch colleagues to launch into enemy territory for attacks and counter attacks.

Lionel Messi Argentina

The Toure brothers Yaya and Kolo – Cote D’Ivoire Burly Yaya (left) has the rare ability to play the roles of holding and attacking midfielder as well central defender. Big brother Kolo though smaller is a central defender who also charges forward to end up in the box of opponents. Yaya plays for Spain’s FC Barcelona while Kolo plies his trade at England’s Manchester City where he is captain.

Samuel Eto’o - Cameroon A poacher in the box, a skillful runner into it and able to score with both legs as well as, but rarely, with the head. Eto’o’s quick turn and superior balance saw him free himself of a defender, create space and score past the near post to set FC Barcelona on the road to Champion’s League glory in 2009 at the expense of Manchester United. The Cameroon captain delights with his footwork and ability to exploit – in a flash the chink in the defenders’ armour.

Xavi Hernandez Spain FC Barcelona’s midfield dynamo whose foresight, quick thinking, ability to wiggle out of tight corners and pin-point precision passing makes him the natural choice for the role coaches and fans alike have come to call conductor.

Andrea Pirlo- Italy The World Cup winner has recently played much further forward for Italy than Milan and is the side’s main creative force given Cassano has been overlooked. His form has dipped in the last few years but is still a pass master.

A brave little genius to whose left foot the ball seems wedded. With that foot he will dodge his way through a forest of defenders, dummy goalkeepers, lift the ball above defenders and goalkeepers and singlehandedly destroy teams. Without doubt the best player in the world.

Arjen Robben Netherlands Good dribbler and equally good header who likes to operate from the right wing, cut deep into the field and into positions from which he shoots hard and low or high and sizzling into the bottom or top corners from 20 metres out.

Kaka – Brazil His languid mien is deceptive. His work rate is high. He is difficult to shake off the ball and his right foot packs a cracker of a shot. Dangerous charging into the box as he is in it.

Franck Ribery - France He jinks and ducks as he hugs the left touchline or cuts deep into the field to set team mates and self into probing defences, knocking the ball around and teasing opponents into making mistakes. The Bayern Munich playmaker has speed and an explosive shot.

Didier Drogba – Cote D’Ivoire Big, tall and strong, Drogba is a powerfully built and menacing predator. He is armed with a fierce shot, killer instinct and hunger for ball and goal that sends shivers down the spine of even seasoned defenders. When Drogba is not heading or kicking them in he is heading and kicking the ball away from his box in a defensive role. A desperate Drogba is dangerously volatile.

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High-flying Emirates are the Official FIFA Partner 2010

Emirates Airlines has served East Africa since 1995, and is one of the sponsors of the World Cup in South Africa. Diplomat East Africa’s CHRIS MBURU interviewed Mr ESSA SULAIMAN AHMAD, Emirates Regional Manager for East Africa, ahead of the Beautiful Game’s premier event DEA: How deeply involved is Emirates with the World Cup? AHMAD: Emirates is an official FIFA Partner from 2007 to 2014, meaning that the airline holds rights to all FIFA events during this period. This includes both the 2010 and 2014 FIFA World Cups, as well as the FIFA Confederations Cup, FIFA Club World Cup, the FIFA Under-20 and Under-17 World Cup, the FIFA Women s World Cup, FIFA U20 Women s World Cup and the FIFA Beach Soccer World Cup. Through this deal, Emirates benefits from enhanced global media exposure, and an association with FIFA s special events and development initiatives. DEA: How many flights will be operating per week from Dubai to which South African cities? AHMAD: Emirates will provide football fans from across the East Africa region the choice between five daily flights to South Africa (three daily flights to Johannesburg, one daily flight to Cape Town and another to Durban). Johannesburg will host 15 World Cup matches, Cape Town eight matches and Durban seven matches. DEA: At what fares from Dubai in US dollars? AHMAD: Emirates offers competitive fares to its three South African gateways. For the best available fares, we advise our customers to check our website: www.emirates.com. DEA: How can East African passengers use Emirates to fly to the World Cup, considering that Kenya Airways, Air Malawi, Rwanda Air, South African Airways, etc., are all flying to South Africa? What special offer is Emirates

offering to entice passengers from this region to connect via Dubai? AHMAD: Emirates is offering a number of tailor-made travel packages that include flights, accommodation, ground transportation and match tickets through our Emirates’ FIFA World Cup 2010 Travel Packages. These packages give customers flexibility at very competitive rates. When you book an Emirates’ package, no matter where your team is playing — be it Rustenburg or Cape Town or any of the other eight venues — you will be transported from your chosen hotel to the match and back again, even if it is all the way across South Africa. Emirates’ Follow Your Team FIFA packages starts at AED14,145 (KSh282,900) with departures out of Dubai, based on double-room occupancy. This includes international Emirates flights to South Africa, five nights’ hotel accommodation in your selected base camp, a Category 1 match ticket and all the ground transportation logistics. A package for the final match which includes international flights to South Africa with Emirates, three nights hotel accommodation in the customer’s selected base camp, a Category 1 match ticket for the final and all the ground transportation logistics starts at AED20,040 (KSh400,800), based on double-room occupancy. DEA: Any arrangements in EA to pick passengers from here and fly them to SA directly? AHMAD: All customers flying on Emirates will transfer through the airline’s hub in Dubai, where they will enjoy seamless connections to South Africa. DEA: When do the Emirates A380s start plying the route to Jo’burg? AHMAD: Emirates now has eight A380s serving Toronto, London Heathrow, Paris, Seoul, Bangkok, Sydney, Auckland and Jeddah. We have no immediate plans to operate the A380 to Africa, but this is something we may consider for the future

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•DIARY Looking Forward

AITEC Kenya ICT Congress 2010 7-8 September 2010 Kenyatta International Conference Centre Nairobi, Kenya

INTRODUCTION Kenya’s ICT sector is on the eve of a transformation with the landing of the country’s first undersea fibre cable in 2009. The Conference will provide an ideal opportunity for the country’s ICT managers and professionals to assess the impact this transformation will have on their organisations and what are the optimum strategies and technologies they should deploy to maximise the benefits. In addition, the exhibition will provide a platform for vendors to promote and launch their new and improved ICT products and services to decision-makers in government and business.

WHO SHOULD EXHIBIT The expo is a showcase for Information and Communication Technology products and services and therefore invites all companies involved in this sector. These will include Telecommunication Service Providers, Mobile Phone Operators, Computer Hardware Resellers, Computer Accessories Suppliers, Software Developers, Web Solutions Developers, Systems Integrators, ICT Consultants, Training, Internet Service Providers, Data Operators, Communication Equipment Resellers and ICT Projects and Programmes.

CONFERENCE The exhibition will run in tandem with a conference on the latest developments in the ICT sector. Areas that will be discussed include: Policy, legal and regulatory issues, applications and new technologies. Some of the areas to be covered will include mBanking, eCommerce, mGovernment, eHeath, eProcurement, eSecurity, Policy and Strategies on Telecommunication Infrastructure Development, Datawarehousing, Security and Rural Connectivity.

UPCOMING NATIONAL DAYS COUNTRY

DAY

Algeria

July 5

Argentina

July 9

Bahamas

July 10

Belarus

July 3

Belgium

July 21

Burundi

July 1

Cape Verde

July 5

Colombia

July 20

Democratic Republic of the Congo

June 30

Croatia

June 25

Djibouti

June 27

Iceland

June 17

Kenya

June 1

Liberia

July 26

Madagascar

June 26

Malawi

July 6

Maldives

July 26

Mozambique

June 25

Peru

July 28

Philippines

June 12

Russia

June 12

Rwanda

July 1

Samoa

June 1

São Tomé and Príncipe

July 12

Seychelles

June 29

Solomon Islands

July 7

Solomon Islands

July 7

Tonga

June 4

United States

July 4

Vanuatu

July 30

Venezuela

July 5

UNITED NATIONS CALENDAR JUNE

EVENT

4 5 17 20 23 26

International Day of Innocent Children Victims of Aggression World Environment Day World Day to Combat Desertification and Drought World Refugee Day United Nations Public Service Day International Day Against Drug Abuse and Illicit Trafficking and International Day in Support of Victims of Torture

JULY First Saturday 11

International Day of Cooperatives World Population Day

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