Transcript Document

CAMARA de COMERCIO
URUGUAYO AFRICANA
Desayuno de Trabajo – “ Nueva plataforma de negocios para Uruguay en
Africa Subsahariana”
Presentation by Ms EM Hajie
South African Head of Mission
on
“Mutual benefits for Uruguay and Sub-Saharan African
countries derived from the visit of the African
Delegation”
16 October 2014
The African Union:
Objectives, Organs & Committees, Financial Institutions
•
•
•
•
•
•
The African Union was officially launched in 2002 in Durban, South Africa
Benin, Democratic Republic of Congo, Ghana, Mozambique, Niger and
Nigeria are six countries that form an integral part of the African Union’s 54
member states
Amongst several objectives , Article 3 of the AU’s constitution includes the
objective for member states to establish necessary conditions to rightfully
participate in the global economy & international negotiations AND also to
promote sustainable development of economic, social & cultural levels
ECOSOCC (the Economic, Social and Cultural Council) is a professional
group that advises on related matters and is one of the various AU organs
The AU has Specialised Technical Committees at Ministerial level which
address sectorial-specific issues e.g. Agriculture, Trade & Customs,
Industry, Science & Technology, Energy, Natural Resources & Environment,
Transport, Communications, Tourism, etc.
The AU Financial Institutions are – African Central Bank, African Monetary
Fund and African Investment Bank
SWOT ANALYSIS (African delegation)
Strengths
 contains vast mineral deposits &
natural resources
 contains large tracts of land with
enormous potential for agriculture
 contains rivers and lakes with the
potential for considerable energy
from hydro-power
 lots of sunshine through out most
of the year for solar energy
 weather is conducive to wind
energy
 economic structural reforms that
encourage Foreign Direct
Investment
 natural beautiful landscape and
wildlife is conducive for Tourism
Weaknesses
 language barrier – Spanish mostly
not spoken or used in business
 poor income distribution (unstable
middle class)
 relatively prone to natural
disasters such as droughts and
floods
 public debt owed to international
organisations such as the IMF and
World Bank
SWOT ANALYSIS (African delegation)
Opportunities
 relatively high demand for
manufactured goods
 potential for beneficiation of raw
material and mineral ores
 potential for infrastructure
development
 potential for technology
development
 mass potential for bio fuel
development
 coastal boundaries on both the
Atlantic and Indian oceans for
further development of fisheries
industry
Threats
 contagious diseases such as
Ebola
 pockets of religious extremism
 pockets of regional conflicts that
occasionally flare up
 potential for political instability due
to instances of dire poverty
NIGERIA
•
•
•
•
•
Nigeria’s GDP was recently re-based to include e-commerce,
telecommunications, music and the film industry (Nollywood) – the 2013
figure was US $503 billion.
The re-basing enables Nigeria to scientifically and accurately calculate the
contributions of each economic sector; and also which sectors have made
the most progress and which sectors are lagging behind – a breakdown of
the different sectors is available in table format is available on request
The re-based data has placed Nigeria as the 24th largest economy in the
world, which puts it on par with Belgium and ahead of Argentina, Austria and
Iran; making it more attractive to foreign investors
Nigeria’s economy grew at 12.7% between 2012 and 2013. The government
intends to sustain the growth and make it more inclusive of the general
population
As the economy grows, incomes rise and demand for goods and services
increases. With a population of 170 million and a large middle class section
GHANA
•
•
•
•
•
•
•
Ghana’s economic industrialization makes it one of the more economically
sound countries in Africa
The industrial base is relatively advanced and includes electronics
manufacturing, mobile phone manufacturing and automotive industry
manufacturing
Agriculture, textiles, gold mines, crude oil and gas refining also form part of
the economic activity and Ghana intends to aggressively grow these sectors
by the year 2020
It imports military technology and industrialization equipment
Ghana gets 97% of its energy from Hydropower and exports some of this to
neighbouring countries. Wind energy also contributes significantly to its
industries
It has begun the construction of the fourth largest solar power plants in the
world, which uses photovoltaic (PV) technology to convert sunlight directly
into electricity. It is due to reach full capacity at the end of 2015
Ghana has mechanisms to attract investments into its biomass & bio-energy
sectors by creating relevant financial and tax incentives. The objective is to
produce ethanol and biodiesel on a sustainable basis. The long-term vision
is to surpass Brazil as the world’s largest bio-fuel producer
DEMOCRATIC REPUBLIC OF CONGO
•
•
•
•
•
Democratic Republic of Congo is widely considered to be the richest
country in the world regarding natural resources, with untapped deposits of
raw minerals estimated to be worth more than US$24 trillion
Mining was the main driver of economic growth during 2013 at 8.1% and
several mining companies have since passed from exploration to production
Economic growth is conservatively projected at 8.5% for 2014 and 8.6% for
2015.
The main economic drivers are mining (copper, cobalt, gold), reconstruction
of roads and energy infrastructure
Congo is also investing heavily in agriculture and related agribusiness to
offset any decline in the demand for minerals and lessen the risk of reduced
foreign direct investment due to conflict in the east of the country
MOZAMBIQUE
•
•
•
•
•
•
Although Mozambique is one of the least developed countries in the world,
in 2013 it posted a robust 7% economic growth mainly due the mining of
coal
Projections for 2014 (8.5%) and 2015 (8.2%) look good due to the focus on
infrastructure development mega-projects.
The agriculture sector employs 70% of the population, but lacks the same
dynamic growth and is expected to post a mere 4% progression. However
the potential for this sector is high especially for cash crops such as cashew
nuts, tea and tobacco. Productivity is expected to increase once political
stability is achieved. National elections are due 15 October 2014
With a large coastal line on the Indian ocean, fishing also has a lot of
potential particularly the export of prawns
The tourism sector has received a boost through development of the “Peace
Park” which links with the Kruger National Park in South Africa and
Gonarezhou Wildlife Park in Zimbabwe
Imports include foodstuff, textiles, vehicles, fuel, machinery & equipment
BENIN
•
•
•
•
The economy of Benin still remains underdeveloped and dependent on
subsistence agriculture and cotton. Cotton accounts for 80% of official
export receipts
A modest fishing fleet provides fish and shrimp for export to Europe
The manufacturing sector is very small and confined to light industry which
processes primary products.
Benin imports foodstuff, capital goods, and petroleum products
NIGER
•
•
•
•
•
•
Niger has serious financial and economic problems due to the persistent
price slump of uranium.
When the uranium-led boom ended in the late 1900’s, the economy
stagnated and new investment has been very limited.
Niger’s government actively seeks foreign private investment and considers
it key to restore economic growth and development.
Niger’s two uranium mines are owned by a French-led consortium and
operated by French interests.
Niger has known coal reserves and currently the coal is extracted from an
open pit mine and is used for fuelling an electricity generating plant that
supplies energy to the uranium mines.
Niger imports rice, machinery, vehicles and parts, petroleum and cereals
SWOT ANALYSIS (URUGUAY)
Strengths
Weaknesses
 Stable economy
 Stable democracy
 One of the most economically
developed countries in South
America
 Host to important international and
regional organizations
(MERCOSUR, ALADI, etc.)
 High standing in multilateral
arena
 Proximity to Africa
 An active Afro-Uruguayan
community
 Small size economy
 Language
SWOT ANALYSIS (URUGUAY)
Opportunities
Threats
 Investment in Uruguay is declared
of national interest by law and
offers attractive incentives to
foreign investors
 Government is looking for trade
partners in Africa, moving away
from MERCOSUR
 Uruguay can be used as gateway
to South American countries
 Uruguay has free trade zones
 Competition from the Far East
Sources and References
•
•
•
•
•
•
•
•
•
•
OECD development centre
UNDP
African Development Bank
East African Centre for Law and Justice
African Economic Outlook (publication)
The Guardian – United Kingdom (publication)
CIA World Fact book (publication)
Global Edge – Michigan State University Business School (publication)
Global Finance Magazine (publication)
Bloomberg.net (internet site)
THE END