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Debt Relief: Private Creditors to Assist Africa

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By Adedapo Adesanya

Private creditors have established the Africa Private Creditor Working Group (AfricaPCWG) to assist African countries and other debt providers to contain the economic impact of COVID-19 across the continent.

African governments are fighting to manage the fallout from the coronavirus, which the World Health Organisation has warned could infect between 29 million and 44 million on the continent in the first year if not contained.

African countries face a combined $44 billion debt-servicing bill this year alone.

AfricaPCWG is an initiative to represent the views of international private creditors invested in Africa and to work with countries on their financing needs during the COVID-19 crisis.

As part of its duty, AfricaPCWG will provide African Governments, the United Nations Economic Commission for Africa (UNECA), the G20, the International Monetary Fund (IMF) and other Multilateral Development Banks (MDBs) a forum through which all stakeholders can engage transparently and constructively with different categories of private international investors in African sovereign and corporate debt to coordinate the resolution of broad issues arising due to the COVID-19 crisis.

AfricaPCWG will coordinate the views of over 25 asset managers and financial institutions representing total assets under management in excess of $9 trillion, it said in a statement on Friday.

“The AfricaPCWG understands that private sector creditors have an essential role in assisting some of the world’s poorest countries to contain the economic impact of COVID-19, and stands ready to buttress efforts being made by the multilateral and bilateral sectors by offering its collective institutional experience to provide guidance and support on a case-by-case basis.

“Participants in the AfricaPCWG forum have already established a number of core principles of engagement. Upmost amongst these is the belief that a one-size-fits-all solution will be counter-productive for the nations and people of Africa.

“Such an approach risks needlessly cutting many countries off from international commercial debt markets and is likely to lead to an overall increase in the cost of capital for all emerging market sovereign and corporate debt issuers for years to come.

“Each African country has its own very particular fiscal and social dynamics, with some governments having developed hard fought, low cost access to debt markets, and these distinct profiles must be acknowledged as part of any successful approach to debt management.

“Future generations of Africans will need to access private capital to invest in hospitals, roads, education, healthcare systems and other infrastructure critical for economic and societal development. A rushed, blanket approach developed during a time of crisis will put that crucial long-term access to capital at risk.” It said.

As participants in the AfricaPCWG, Lars Bane of Farallon Capital Europe LLP, Kevin Daly of Aberdeen Asset Management PLC, Alex Garrard of Amia Capital LLP, Mike Hugman of Ninety One UK Limited, Hans Humes of Greylock Capital Management, LLC, and Nicolas Sagna of Pharo Management, Inc. noted the following:

“Global cooperation is vital at this time of COVID-19 crisis, which is why international private creditors invested in the continent have established the Africa Private Creditor Working Group.

“We stand ready to provide support to all countries across the continent on a case-by-case basis, ensuring that the conditions for continued access to private capital remain in place, which is so vital for the development of societies and economies in the years ahead.”

Adedapo Adesanya is a journalist, polymath, and connoisseur of everything art. When he is not writing, he has his nose buried in one of the many books or articles he has bookmarked or simply listening to good music with a bottle of beer or wine. He supports the greatest club in the world, Manchester United F.C.

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US-Israeli War on Iran: Africa’s Reactions Through the Prism of the Global South

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Senator Mushahid Hussain

By Kestér Kenn Klomegâh

In an interview, Senator Mushahid Hussain, President of Pakistan-Africa Institute for Development and Research (PAIDR), explicitly offers a few important insights into the US-Israeli war on Iran and its implications for BRICS+ and Africa. Here are the interview excerpts:

What’s your interpretation of the US-Israel war on Iran, in the context of developments in the Middle East region?

The US-Israel illegal and unwarranted war on Iran was spearheaded by [Benjamin] Netanyahu (Prime Minister of Israel) and actively supported by [Donald] Trump (President of USA) as a Joint Operation with three fundamental goals: a) decimate the Islamic Revolutionary Regime; b) reshape the Middle East as part of Zionism’s ‘Greater Israel’ Project; c) preclude any possibility of establishing a Palestinian State with Jerusalem as its capital.

What is your assessment of Iran’s joining BRICS+ in 2025, China’s and Russia’s roles as members of this association, in this US-Israel war with Iran?

China and Russia have played, by and large, a low-key diplomatic role in supporting Iran but without any active political initiatives. BRICS is divided from within, as India is keen to curry favour with the USA and avoids close association with BRICS since the time that Trump attacked BRICS last year. But China & Russia are clear political beneficiaries of the war as American prestige is at an all-time low, having got entangled in an unwinnable war, resulting in weakening of the US ‘sole superpower’ image.

As an Asian expert, how would you characterise Africa’s reactions? And do you think that reactions were objectively authentic, basing perspectives broadly on Arab and Middle East contributions to Africa’s development?

Africa’s reactions to the war are primarily through the prism of the Global South, viewing Iran as resisting American-Israeli hegemonic designs, as, for example, manifested in two examples: South Africa’s rejection of American pressures to wean South Africa away from its support for Iran. Plus, Somalia joined Pakistan and China in supporting the Russian resolution in the UN Security Council seeking an immediate ceasefire and negotiations to halt the War, despite strident Western/US opposition to the Russian resolution.

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Middle East War: World Trade Facing Worst Disruptions Since World War II

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By Adedapo Adesanya

The Director-General (DG) of the World Trade Organisation (WTO), Mrs Ngozi Okonjo-Iweala, has said the global trading system is experiencing the worst disruptions in the past 80 years.

The trade body chief warned about the consequences as the WTO ministerial conference opened Thursday in Cameroon.

“The world order and the multilateral system we know has irrevocably changed,” she said, adding: “We cannot deny the scale of the problems confronting the world today.”

The organisation’s 166 members appear deeply divided as trade ministers gather in the Cameroonian capital for the WTO’s top conference, amid global economic turmoil linked to the Middle East war.

Over four days in Yaounde, WTO members will try to revitalise an institution weakened by geopolitical tensions, stalled negotiations, and rising protectionism — against the backdrop of the war in the Middle East, which poses a serious threat to international trade.

“The scale of the problems confronting the world today, even before the conflict in the Gulf, destabilised trade in energy, fertiliser and food,” Mrs Okonjo-Iweala said.

“National governments and international institutions alike have been struggling to navigate rising geopolitical tensions, intensifying climate pressures, and rapid technological change.

“Accompanying these shifts has been an increasingly loud questioning of multilateralism,” she added.

Mrs Okonjo-Iweala said these disruptions were just one symptom of broader upheavals shaking the international order created after World War II to prevent a repeat of the disasters of the first half of the 20th century.

“It feels appropriate that at the moment when the world is in turmoil with conflict in the Middle East, Sudan, Ukraine, and elsewhere, at this time of great disruption and uncertainty, we have gathered in Africa to discuss the road ahead for the global trading system,” she said.

“Africa is the continent of the future.”

WTO ministerial conferences are typically held every two years. The current edition in Yaounde is the second to be held in Africa, after Nairobi (Kenya) in 2015.

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France Ensuring Africa’s Partnership Sustainability

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By Kestér Kenn Klomegâh

The United States-Israeli war in the Islamic Republic of Iran is shattering Africa’s economic landscape and leaving emotional devastation. Europe is fractured, but completely. France has taken the initiative to create a platform in Nairobi, the capital of Kenya, located in East Africa. More than 2,500 corporate executives from across the continent, spanning 55 African countries, would take up the challenge during a two-day in-depth discussion on the existential threat of the Middle East conflict. Participating business leaders’ engagement over geopolitics, finding new paths to massive new investment, would be the central theme, while expressing commitment to forge new mechanisms for economic cooperation between Africa and France. The high-ranking guests from regional economic blocs are expected to join, teaming up to share practical thoughts and build awareness beyond the current Middle East conflicts and their impact on Europe and Africa.

The common goal: new perspectives on innovation, new business directions in the context of geopolitical threats. Based on Africa’s untapped natural resources and human capital, communicating clearly with business executives and political leaders, high-ranking speakers plan to dissect and design the future. Strengthening Africa’s and France’s economic cooperation forms the irreversible target and will ultimately be incorporated into the conference declaration. Cautious reflection indicated that the relationship between Africa and France is still pragmatic, as both agreed to renew and thoroughly review the existing economic potentials at the two-day conference in Nairobi.

Experts and Conference coordinators told this article’s author that the French government and business circles involved in trade and economic cooperation with African countries were invited to participate, lay out their comprehensive business architecture. Africa and France will focus on the developing manufacturing and extractive industries, setting up special economic zones, energy and transport infrastructure, digitalisation, and the agro-industrial complex—education and training in the sphere of entrepreneurship.

France has already worked out a financial mechanism to support joint business across Africa, while Africa’s financial institutions pledge their commitment, plan corporate strategies and support for joint investments in the localisation of production chains in Africa, which covers both agricultural and mineral processing.

President William Ruto and French President Emmanuel Macron both acknowledged that the strategic pathway should focus on unlocking Africa’s potential, driving sustainable industrialisation, and targeting economic growth across Africa. Harnessing the untapped resources and utilising the huge human resources is France’s priority in consolidating the current bilateral engagement and collaboration.

In a statement, President Ruto underlined tthat he summit reflects a shared commitment to strengthening bilateral ties and deepening multilateral cooperation to advance global goals. The agenda will focus on key areas, including reform of the international financial architecture, energy transition, green industrialisation, the blue economy and connectivity, artificial intelligence, sustainable agriculture, and health. It will spotlight the role of young entrepreneurs, civil society, and international organisations in shaping solutions to pressing global and regional challenges. The May summit is described as part of the renewal of relations between France and Africa, emphasising genuine partnerships and shared progress.

The agenda will focus on key areas, including reform of the international financial architecture, energy transition, green industrialisation, the blue economy and connectivity, artificial intelligence, sustainable agriculture, and health.

In addition to the May summit by France, the European Union countries are increasingly strong economic partners for many African countries. It therefore beholds African leaders and business people to necessarily explore available possibilities and windows that have been opened. The EU has unveiled €300 billion ($340 billion) alternative to China’s Belt and Road initiative — an investment programme the bloc claims will create links, not dependencies.

In an official document, it said the European Commission is examining:

– Support AfCFTA implementation and the green transition;

– Improve trade and investment climate between the EU and Africa;

– Reinforce high-level public-private dialogue;

– Enhance long-term dialogue structures between the EU and African Business Associations;

– Unlock new business and investment opportunities, including in the areas of manufacturing and agro processing, as well as regional and continental value chains development.

It is further included in the joint communication of the European Commission (EC) entitled “Toward a Comprehensive Strategy with Africa”, which sets forth what the EU plans with Africa. The Joint EU-Africa Strategy takes into cognisance the most common interests such as climate change, global security and the achievement of the United Nations Sustainable Development Goals (SDGs).

Just as China, India and the United States, so also France, and other European countries are exploring emerging opportunities offered by the African Continental Free Trade Area (AfCFTA), which provides a unique and valuable access to an integrated African market of 1.5 billion people. In practical reality, it aims at creating a continental market for goods and services, with free movement of business people and investments in Africa.

Looking ahead, France intends to capitalise on Africa’s most transformative economic sectors and make strategic moves by collaborating, as a mutual partnership remains dynamic and adaptable. Despite growing geopolitical tensions, France’s approach and its long-standing ties still offer an alternative partnership model that many African leaders find very appealing.

The challenge for the future will be to ensure these ties evolve in ways that serve Africa’s development needs, while navigating the increasingly complex global politics. As Africa is indiscriminately open for business, on May 11-12, 2026, African and French Heads of State and Government meet together to chart a new path for innovation, growth, and cooperation. Kenya will hold this investment summit for France to position Africa as a key partner in global innovation and economic development while strengthening bilateral ties with France and advancing Africa’s collective agenda on the international stage.

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