This is an article I wrote in Foreign Policy about the role that Western countries play in African corruption.
It’s no secret that corruption is a problem in Africa. Some $50 billion in illicit finance flows out of the continent every year, according to the United Nations. In the first 40 years of independence alone, Nigeria’s leaders stole or
squandered an estimated $400 billion. But as the barbed comments from Buhari imply, these leaders had accomplices in the West. Britain and other developed countries are not the cause of Africa’s corruption, but they are certainly an impediment to its eradication.
African governments are fighting a battle on two fronts. Even when they successfully prosecute corruption at home, they often have to restart litigation in foreign countries to have any hope of accessing the stolen funds. In other words, they must litigate every crime twice: domestically to secure a conviction, and abroad to recover the money. This all but ensures that the stolen funds won’t be repatriated in full, since foreign lawyers typically collect a percentage of the money they recover. For African governments, illicit financial flows are lose-lose. But for Western firms, they’re win-win: There are profits to be made whether or not the money is eventually recovered and returned.
Interview with the new Emir of Kano Muhammed Sanusi II (AKA Sanusi Lamido Sanusi) about the Boko Haram insurgency in northern Nigeria.
Key points made by Sanusi:
- Islam “preaches education for all adherents”.
- Marrying young Muslim girls off at a young age is actually a cultural (not Islamic) practice “that is not consistent with the teachings of the (Muslim) religion)”.
- Poverty level in northern Nigeria provides a fertile breeding ground for militancy. Says the same thing happened in the Niger Delta.
- Boko Haram insurgency must be tackled via an economic “Marshall Plan” for northern Nigeria.
- Says insurgency calmed down in Kano because of investment in infrastructure there.
- “As long as people are gainfully employed they are not likely to jump into the bandwagon of insurgency”.
Report on the growing online shopping sector in Nigeria.
Al-Jazeera report focusing on the economies of three African countries: Nigeria, South Africa and Zimbabwe.
Although Nigeria’s economy is typecast one-dimensionally about oil, Nigeria’s agriculture sector accounts for 40% of GDP. It also spends a whopping one-third of Nigeria’s federal budget on food imports.
Sub-Saharan Africa will be home to seven of the world’s ten fastest growing economies in the next five years. At a recent Thomson Reuters event, U.S. Sen. Christopher Coons joins top African investment managers and business leaders before a live audience to identify key opportunities and ways to address risks, in a panel moderated by Reuters Editor-at-Large Sir Harold Evans. The video features local investors such as Yemi Lalude of Adlevo Capital and Bismark Rewane of Financial Derivatives Company Limited as well as a number of Africa focused foreign investors. Watch the video below.
Good article in the Guardian about how Nigeria’s rising middle class are outnumbering most foreign shoppers in London.
*Nigeria has 142,000 visitors to the UK per year.
*US supermarket giant Wal-Mart sees space for 50 stores in Nigeria.
*Other big name brands like Apple see potential in Nigeria’s expanding economy and rising middle class.
Al-Jazeera feature on youth unemployment in Nigeria. Despite Nigeria’s fast-growing economy and rich natural resources, there do not seem to seem to be enough jobs to go around for the hordes of young graduates each year.
Demographics are not helping either. Nigeria also has one of the fastest growing populations in the world, which is set to double by the year 2035. Rising unemployment + rising population growth = big trouble ahead.
In other news, Dangote is apparently in talks with South African company Tiger Brands to sell a controlling stake in his flour company Dangote Flour Mills PLC for about $125 million dollars.
He also plans to spend $7.5 billion dollars in the next 4 years to expand his business.