ACCRA, Ghana–(BUSINESS WIRE)–Western Union Company (NYSE:WU, a leader in global payment services, today celebrated its 20th anniversary in Africa. With over 34,000 locations and connections to millions of bank accounts and mobile wallets in more than 50 countries and territories, across Africa, the Western Union network serves millions of senders and receivers with a choice of 120 currencies.
To celebrate this special milestone, Western Union’s President for Africa, Middle East, Asia Pacific, Eastern Europe and CIS, Jean Claude Farah, in addition to Aida Diarra, Western Union’s Regional Vice President and Head of Africa and other members of the Africa leadership team visited the first agent location at ADB (Agricultural Development Bank) that offered Western Union money transfer services for the first time in Africa in 1995. The WU leadership team also visited Ecobank head office in Accra and marked the occasion with the launch of the Account Based Money Transfer services through ATM in Ghana.
The Western Union 20th Anniversary celebration in Ghana in Africa, coincides with a speech made by President Barack Obama at the African Union Headquarters in Addis Ababa, Ethiopia, where he is quoted saying:
“Today, Africa is one of the fastest-growing regions in the world.Africa’s middle class is projected to grow to more than one billion consumers.With hundreds of millions of mobile phones, surging access to the Internet, Africans are beginning to leapfrog old technologies into new prosperity.Africa is on the move, a new Africa is emerging.”
Western Union is committed to the expansion and development of its pan-African network which provides a critical link to the ever growing African Diaspora living and working in countries around the world.
“More than 30 million Africans live outside their home countries, contributing billions of USD in remittances to their families and communities back home every year1”, said Jean Claude Farah. “We are very humbled to play a role in helping them move their money as they seek to elevate their economic status, meet emergency needs, support healthcare requirements, contribute to the education of future generations and in many instances build their own small businesses. By moving money for better for 20 years Western is enabling a world of possibilities for Africa and in Africa.”
Aida Diarra added, “Through the work we do we also enable economic activity and job creation. Currently over 155,000 Front Line Associates (FLAs) are employed in our agent network on the African continent. Western Union invests in training these FLAs developing their business, technical and compliance skills.”
In addition to the socio-economic impact that remittances enable, the company also supports philanthropic activities in Africa via the Western Union Foundation which has a long history of giving back to communities across the African continent. It supports organizations that promote economic opportunity and growth for individuals, families and entire communities throughout the region. Since its creation, the Western Union Foundation has committed to $8.703 million in grants and donations to 158 NGOs in more than 40 countries across Africa.
About Western Union
The Western Union Company (NYSE: WU) is a leader in global payment services. Together with its Vigo, Orlandi Valuta, Pago Facil and Western Union Business Solutions branded payment services, Western Union provides consumers and businesses with fast, reliable and convenient ways to send and receive money around the world, to send payments and to purchase money orders. As of March 31, 2015, the Western Union, Vigo and Orlandi Valuta branded services were offered through a combined network of over 500,000 agent locations in 200 countries and territories and over 100,000 ATMs and kiosks. In 2014, The Western Union Company completed 255 million consumer-to-consumer transactions worldwide, moving $85 billion of principal between consumers, and 484 million business payments. For more information, visit www.WesternUnion.com.
Dear His Excellency (H.E.) President Yoweri Kaguta Museveni!
I write to you since in the recent day you got rejected to meet with the American President Barrack Obama who will visit Kenya on the 24. July 2015. This is today! And he wouldn’t meet you in Kenya!
It must be a slap on your face Mzee that your ally in America is saying “no to see you”. When he is in your neighborhood. When he steps on land in East African Community and will not see you. Your sending troops for them into Central African Republic on the goose hunt for your lost cause for so long in Northern Uganda. The famous LRA and Joseph Kony! The one man that even the American army want to get rid-off! Then they failed together with Ethiopia in Somalia where you have been charged together to fight Al-Shabab. The Americans are certainly happy that you do this and don’t cost them much compared to send their own troops.
Mzee there many reasons why President Barrack Obama is saying no to see you. He is firstly meeting Kenyan president Uhuru Kenyatta. Who is turning into Americans ally in the area of late, even if you fight wars for them and use enormous levels of resources as well, still he doesn’t expect your courtesy call. You have been in charge of Uganda since October 1986. Obama is in his last term he has been lucky to only be Head of State in the country from 2009. He is not like you a true and tested leader like you! Even if he has Nobel Peace Prize. He got before really stepping into the office.
He has also been parts of wars. You have sent your own people and now they don’t even talk to you. I am not sure is because you have latest visits abroad to any great western powers. Was to Russia and then you started to buy army equipment from them instead of American. That is sure a slap to the face or the U.S. Arms producers, the cancelling of a planned military exercises on the 19. June of 2014, because of the “Anti-Gay Bill”! Since then it’s been cold from the American government and the White House. Then you’re buying expensive military equipment for your army from Mzee Putin of Russia. It’s okay that Obama had a burger with his predecessor Medvedev. Still with the Ukraine situation and Putin back in the hot-seat the turning relationship has also hit a snag. So don’t get the possibility to eat a burger in Nairobi with Obama.
So you’re now hurt by the almighty Obama. I am sure you wished yourself was directly mediating in Burundi, instead of the Defense Minister Crispus Kiyonga. You’re in Uganda dealing with your own election then being there looking good for the press. The sad thing for you is to see your former weapon brothers going against you like Jean Patrick Amama Mbabazi. Who is trying to take your candidacy in your own party the NRM! And even worse for you is that the man who has fought against you for so long Dr. Kizza Besigye has gotten crowds where-ever he steps and moves around in the country. And your methods of chasing the opposition like a headless chickens, don’t help you at all Mzee Museveni. You think it does, but up to the election, you just look foolish to all the pundits. You look like a weak man instead of the man who has been in power since the 80s. You have cut loose so many big men before going into power, like Gen. Oyite Ojok, Yusuf Lule, Tito Okello, Milton Obote and Idi Amin. Before that the country was in shambles and you have made in some kind of peace. You could have been a hero! If you had left after your two first terms then you have been left with a decent legacy. That’s would have been since you gave the country a constitution and peace nearly on all places. You struggled with the Northern Uganda. And still continue to pay back to SPLM and South Sudan because of their help in the area. This is not popular that for the U.S. that your involved there without an official mandate.
I am sure that there are more issues for why Barrack Obama isn’t in your presence right now Mzee Museveni. So you are not the poster-boy and future leaders of Africa in 80s and beginning of the 90s. Where you and Kagame your former allies was seen a breath of fresh air! Now you are not the one who the west looks for hope in the continent. And you wonder why? That is because history repeat itself and you have broken your own words time and time again.
I am sure it’s been fun to have over the President of Zambia Edgar Lungu. But that is no Barrack Obama and with the power of U.S. And he could help you with military equipment. Though they not doing business as the Russians and taking pieces of the future oil industry instead of money. So I am sure that hurt your pride Mr. President. But know that the party has still fractions that are loyal to you because you pay them. The leaders who showed you support after last election victory was President Mugabe of Zimbabwe, former Kenyan President Daniel Arap-Moi, the now former Kenyan President Mwai Kibaki, Deputy Prime Minister Uhuru Kenyatta, President of South Sudan Salva Kiir and the Somali President Sheik Sharif Sheik.
But none of this can help you as the American President and honor your presence. You have run a country as long as I have lived. And to get turned down and spend time with newcomer from Zambia must be low-key moment for you. Since you have been so useful to the American government and fought the wars they don’t want to. I am sure you’re having a bad day. Though not saying it since your hurt and parts of you might wish you didn’t visit Russia last time. And you should have tried to mend up with Americans who has supported you through the 90s and 00s. That refinery has cost you and the pipeline for the oil has been dodgy as well. But you’re so close and just need another term to the Lake Albert becoming your black gold. Until then you just has to use the well-used methods of keeping people in order and follow the party line. Though this doesn’t help you with your relationship with the American Government unless you break your principle and rules. Which is sacred to you and that is understandable. The American president only has eight years to do his thing and then he is gone. You have sit eight years in power when it was 1994. By then you we’re support Kagame and the RPA in Rwanda. So the issues with America should go over. You have their old weapons and know how they call on you when they wars they don’t want to fight. So your not best buddies today, but maybe during next term if their getting a republican president in the White House he might support you, because he will only care about policy, not about who as long as he looks good during the whole deal. Tomorrow is another day Mr. President His Excellency Yoweri Kaguta Museveni! You will shine again. Believe that and by now your mustard seed should be a big plant and give a good yield. Though Dr. Kizza Besigye is stealing your crops, don’t worry people will vote for you, even if they don’t know they do! The Electoral Commission is your people, you’re safe and good. You just have to wait until the U.S. need you again. Then you will get granted to meet with the Nobel man himself. Maybe even in your own Statehouse in Entebbe.
There is reports you get a courtesy call in Ethiopia, but for a great man like you that feels like you been snubbed twice already by the American President. I am sure your hurt and tried to patch up the hurt with a meeting with the Zambian President to be the big shot in East Africa. While your neighbors president get him directly for visits. Uhuru Kenyatta the Kenyan President and also meeting with Hailemariam Desalegn Boshe the Prime Minister of Ethiopia in their homelands. While you have travel to Addis Ababa to see him for a short time and not an official visit like they are getting. And you have been their ally for decades and when they’re in your area they don’t show you respect you deserve. For God and for country!
Now I will go through how the IMF is describing the economic situation in Uganda. It will have similarities with the budget of 2015/2016. Seem like the Ministry of Finance in Uganda. The numbers and fiscal standards are exactly the same. Still I think it will good to see and give what the Western Hemisphere and the monetary organ is saying about the economy of Uganda. So that people can see the similarities and also the difference quotes from the situation.
Min Zhu the Deputy Managing Director and Acting Chair in the IMF commented on Uganda in this way:
“The economic policy mix is expected to remain focused on attaining growth and inflation Objectives” (…) “The Bank of Uganda is encouraged to remain firmly focused on the maintenance of price stability” (…) “Enacting regulations to implement the new PFM Act and a charter of fiscal responsibility, and improving cash management are critical remaining reforms. Amending the Bank of Uganda Act and enacting financial institutions legislation are key steps to further enhance central bank independence and strengthen financial resilience”.
The Executive board:
“Uganda’s recent economic performance has been favorable. Real GDP growth is projected at 5¼ percent for FY2014/15 supported by a fiscal stimulus and a recovery in Private Consumption” (…) “Economic policies in FY2014/15 have supported growth and stability objectives. The fiscal deficit is estimated at 4½ percent of GDP, below previous projections, on account of a sharp tax revenue increase” (…) “The outlook is promising. Growth is estimated at 5¾ percent in FY2015/16 and an average 6¼ percent over the medium-term, driven by scaled-up public investment and a rebound in private demand”.
The Executive Board Assessment:
“Directors stressed the need for continued fiscal discipline in the pre-electoral environment, and recommended strengthened communication with the markets” (…) “Directors welcomed the adoption of the Public Financial Management Act, and advised prompt enactment of its regulations”.
Staff report from the 12th June 2015:
Context:
“Security concerns following unrest in neighboring countries and terrorist attacks in the region have weighed on Uganda’s spending needs, exports, and remittances. Declining donor support in reaction to concerns about governance and human rights and reduced development partners’ aid budgets have spurred domestic borrowing requirements” (…) “During a period of moderate growth, inflation has come down significantly from its 33 percent peak in 2011; and despite a decline in international reserves and a pickup in public debt, both remain at comfortable levels” (…) “The reduction in the stock of domestic arrears was smaller than targeted reflecting a decision to backload intra-year repayments, but the annual target is expected to be met. Contracting of nonconcessional borrowing (NCB) for hydropower plants (HPPs), roads, and electrification was within the $2.2 billion limit. Most end-March ITs were met” (…) “The approval of the Public Financial Management (PFM) Act in November 2014 was a major milestone, and structural benchmarks on finalizing preparation on its regulations and the Charter of Fiscal Responsibility (CFR) were observed. The Treasury Single Account (TSA) set-up has laid the stage for improved cash management although more time will be needed to eliminate movements of cash and incorporate donor accounts in the system. The submission to parliament of amendments to the Bank of Uganda (BoU) Act was postponed” (…) “the government has started the implementation of an ambitious investment package aimed at narrowing the infrastructure gap, enhancing regional integration, and preparing for oil production”.
Recent Developments:
“real GDP growth was 4½ percent in FY2013/14, driven by services, trade, construction, and manufacturing—below the estimated potential of about 6 percent” (…) “The nominal exchange rate against the US dollar appreciated by 7 percent in the year through February 2014, and since then depreciated by 20-25 percent” (…) “The real effective exchange rate appreciated by about 4 percent in 2014, mainly reflecting the weakening of Uganda’s main trading partners’ currencies” (…) “Annual core inflation fell to 2.7 percent in December 2014 and rebounded to 4.8 percent in May 2015” (…) “GDP was revised upwards by 17¼ percent in FY2009/10, the base year. The services sector and to a lesser extent the agricultural sector increased their share in GDP, while the share of industry and construction declined” (…) “Short-term benefits of the oil price decline have been less pronounced in Uganda than in other countries in the region. In the past nine months, petrol average pump prices have declined by 10 percent in domestic currency” (…) “Oil investments might be delayed in the context of lower profitability. Moreover, many interrelated investment decisions are dependent on the oil price, including granting production licenses; signing commercial and financial arrangements; developing engineering, procurement and construction plans; and agreeing on transnational infrastructure works” (…) “The current account deficit remained large owing to structurally high trade deficits. Imports of capital goods and petroleum products are increasing, while both coffee and non-coffee exports have stagnated since mid-2013 reflecting depressed food exports to South Sudan” (…) “The monetary policy transmission asymmetry is explained by the banks’ cautious focus on loan recovery and their high operating costs, coupled with some crowding out effects as government’s domestic borrowing requirements increased at that time” (…) “The number of commercial banks has increased from 14 to 25 with a large influx of foreign banks, which currently hold 80 percent of assets” (…) “the BoU kept a tight policy stance, holding the CBR constant at 11 percent from June 2014 to April 2015, and then raising it to 12 percent, on account of global developments and the ongoing and expected exchange rate pass-through. The BoU’s intervention in the foreign exchange market has been focused on its program of announced dollar purchases for reserve build-up, but in the last few months it has been intervening on the sale side to smooth the fast-paced shilling depreciation. This intervention, along with increased infrastructure-related government imports, drove reserves down from $3.2 billion in end-December to $2.9 billion in mid-May (about 4 months of imports)”.
Economic Outlooks and Risks:
“Public investment financing, alongside weaker exports and tourism receipts, will drive the current account deficit up while preserving reserves at 4 months of imports” (…) “Low consumer prices—with average core inflation projected to remain within the PSI consultation inner band at 3½ and 6¼ percent for end FY2014/15 and FY2015/16″ (…) “Slower growth in key trading partners and further spillovers from lower global liquidity could trigger capital outflows, squeezing liquidity and generating currency mismatches for banks and corporations. In the medium term, the complex commercial and legal aspects surrounding FDI in the oil sector could delay the planned investments”.
Supporting Medium-Term Growth:
“The latter has been at the center of the authorities’ economic agenda as infrastructure investments of around $11 billion—including PPPs—are expected over the next ten years” (…) “With recoverable crude oil reserves of 1.7 billion barrels out of potential reserves of 6.5 billion, oil production would start in FY2020/21 under a model that entails a crude export pipeline and a domestic refinery” (…) “Uganda ratified the Monetary Union Protocol, and has been actively participating in work to establish EAC regional institutions and to create a fiscal surveillance process” (…) “the Uganda Revenue Authority (URA) to improve enforcement and compliance, but a sustained increase in the ratio will require incorporating the large informal sector into the tax-paying portion of the economy and ensuring that large taxpayers comply with their obligations” (…) “Sustainable financial deepening will largely rely on making steady progress on financial inclusion, which will in turn depend on actions to boost the bank deposit base; enhance the intermediation role of non-bank financial institutions, including the National Social Security Fund (NSSF); and develop the money and capital markets” (…) “Staff’s debt sustainability analysis, which includes the infrastructure package as a whole, concludes that the public and publicly guaranteed external debt-to-GDP ratio in net present value (NPV) terms would peak at about 25 percent in FY2020/21. Even combined with domestic borrowing plans, total public debt would remain well below the benchmark associated with heightened vulnerabilities” (…) “The tax-to-GDP ratio in Uganda was one of the lowest in the region prior to the GDP rebasing and is definitely the lowest afterward. Over the past ten years the ratio only increased by 0.2 percentage points per year, on average” (…) “Planned improvements include URA’s efforts to assess income from rental properties and identify businesses that are accessing local services but not filing national tax returns. Use of enhanced controls and creation of a single central processing center for all customs clearances should boost customs revenue” (…) “EAC convergence criteria, Uganda has targeted a tax-to-GDP ratio of 25 percent by 2021”(…) “Social protection in Uganda is entrenched in the Constitution, Vision 2040 and the NDP II. Interventions have nonetheless been limited and fragmented—with only 0.4 percent of GDP a year devoted to direct income support and 1.2 percent of GDP to total social protection”.
Maintaining Fiscal restraint while raising Public Investment:
“The overall deficit increased by 2 percent of GDP between FY2011/12 and FY2014/15” (…) “The overall deficit is projected to increase by an additional 2½ percentage points by FY2017/18 fueled by a continued expansion in capital spending (3¾ percentage points) and a small increase in current spending (¼ percentage point), and curtailed by a further improvement in revenues of at least ½ percent of GDP each year” (…) “the supplementary budget used part of the windfall revenue and expenditure savings to cover operational shortfalls at several ministries, and Electoral Commission outlays, among other pressing needs. All in all, the overall fiscal deficit is now projected to reach 4½ percent of GDP (6¾ percent in the program) and issuances of securities in the domestic market should remain within the target” (…) “The FY2015/16 budget will increase the overall fiscal deficit to 7 percent of GDP largely financed by NCB on favorable terms” (…) “The contingency provision was reduced by 0.2 percent of GDP at the time of budget approval to facilitate one-off spending on police activities linked to the election and allowances to parliamentarians, leaving little budget flexibility and requiring prudent execution in the year ahead”.
Protecting the Inflation objective:
“Some challenges remain, including insufficient institutional arrangements to prevent government’s use of deposits in BoU accounts beyond agreed levels, and shortcomings in inflation forecasting capabilities and fiscal-monetary policy coordination” (…) “Given the high share of imported goods in the CPI, import prices play a key role in inflation behavior, with an estimated pass-through factor of 0.4–0.5” (…) “The BoU has taken steps to reduce volatility in overnight market rates by allowing all banks (previously only primary dealers) to access BoU operations”.
Securing a more effective contribution of the Financial Sector to Growth:
“The BoU does not stress test banks’ resilience to lending rate hikes because of insufficient data availability” (…) “High dollarization. 37 percent of deposits and 43 percent of loans are denominated in foreign currency” (…) “banks’ business models, with a large share of assets devoted to investments in Treasury bills, reflect cautious risk taking, as well as curtailed policy predictability given the large swings in interest rates, thus jeopardizing credit growth”.
Building Institution and improving the Business Environment:
“Core fiscal targets: These targets are based on the EAC convergence criteria, and consist of an overall deficit target of 3 percent of GDP by FY2020/21 and an annual debt ceiling of 50 percent of GDP in NPV terms”.
Staff Appraisal:
“That fiscal policy decisions will be strictly aligned to the budget is essential to influencing banks’, corporations’, and households’ behavior. Even more critical, however, is that policy implementation adheres to the budget to build a track record of fiscal discipline during pre-electoral periods and preserve the economic objectives”.
Afterthought:
Can you believe it and how the inflation numbers together with the borrowing are not totally the same, that is for the reason that the Budget Deficit has been set by the government of Uganda is on the size of the yearly budget instead of the GDP as the IMF they set it there, the number will significant better and also smaller. Still, the Yearly Review which was ‘Value for Money’ told the same, even if the number will be different next year from URA and Ministry of Finance, Planning and Economic Development (MoFPED) will hopefully drop similar numbers next time. Since the numbers for deficit are going up and also the loans because of missing donor money. While waiting for the money from the Oil Development. Still, wait for how the budget year 2015/2016 will go. Peace.
How the Implementation of the IMF Policy Support is going:
Letter from the Ministry of Finance, Planning and Economic Development (MoFPED) to the IMF:
Reference:
International Monetary Fund – IMF Country Report No. 15/175: STAFF REPORT FOR THE 2015 ARTICLE IV CONSULTATION AND FOURTH REVIEW UNDER THE POLICY SUPPORT INSTRUMENT—PRESS RELEASE; STAFF REPORT; AND STATEMENT BY THE EXECUTIVE DIRECTOR FOR UGANDA (July 2015).
My opinions after listening to Tamale Mirundi rants:
If your ever think that this guy actually has been living as a spokesperson for living and being a called serious man! Than at this moment you will struggle with that, right? He doesn’t seem like that after this tale and speeches. Neither if you respect anybody he talk about. It’s hard to take him serious when he speaks about changing borders to get more Oil to Uganda from Democratic Republic of Congo. An the tale about London and Cameroon, poisioning wells, seriously? Then the struggles and cons of Maj Edith Nakalema and Brigadier Proscovia Nalweyiso in the Statehouse. As a Press Secretary of the President of Uganda. Is talking cracy here..! And whatever: he says isn’t showing character as he wishes. He sounds more like a litte afraid man! That he forsees that somebody will steal the goatmeat from his plate. After that he is trying to convince the public of staying the course for the Team Museveni 2016. Hope he got enough cars to sell on the used market in Kampala. Because as a serious spokesman and Presidential Press Secretary Tamale Mirundi is sounding just like a Lone Ranger on steroids. Enjoy! Peace.
Measures announced today by FIFA fall far short of what is required to clean out corruption at FIFA and its associations.
Instead of agreeing to a serious independent reform commission, FIFA today announced yet another task force made up of 10 FIFA confederation members and one independent chair who has not yet been named. This will not be sufficient to win back trust in FIFA.
So far nine current and former officials face corruption charges in the United States. A judge has called FIFA a racketeering-influenced corrupt organisation. Those charged include officials on the highest FIFA committees and responsible for FIFA’s governance and compliance.
There are on-going investigations into the awarding of the World Cup in 2018 and 2022, and the Swiss authorities are investigating 81 suspicious activities involving FIFA.
Transparency International said that without a real independent reform commission there can be no confidence that FIFA can end its corruption crisis.
“FIFA is a rotten democracy where votes can be bought, bribes can be made and money can be laundered. It has promised reform many times before and failed dismally. They have failed fans and supporters today,” said Neil Martinson, Transparency International’s Director of Communications.
Transparency International with the #NewFIFANow campaign and the International Trade Union Confederation will continue to put pressure on the sponsors to ensure FIFA makes the kind of root and branch reforms that will lead to a new culture of integrity.
Transparency International says that to clean up FIFA has to:
appoint independent non-executives to the Executive Committee, changing the President is not enough
conduct independent integrity checks. FIFA announced it would introduce in-house integrity checks as part of the Ethics Committee remit
complete public declarations of interests; publication of salaries is not enough
two terms limited to four years and no more
complete financial transparency for FIFA, the regional confederations and the national football associations
Sepp Blatter was in charge when most of the corruption took place over many years. He should step down immediately. Potential candidates to replace him must accept that without an independent reform commission there will be no confidence or trust in FIFA.
Press contact(s):
Zurich:
Neil Martinson +49 1721994938
Deborah Unger +44 7432166622
FIFA’s own statement on the new Ethics commitetee:
FIFA statement on proposals by Ethics Committee regarding Code of Ethics:
“FIFA fully supports the initiative to further enhance the FIFA Code of Ethics (FCE) announced today by the chairmen of the adjudicatory and investigatory chambers of the independent Ethics Committee, Hans-Joachim Eckert and Cornel Borbély(…)The request and proposals are in line with the ongoing FCE revision process started by FIFA and the Ethics Committee in 2013. We are dedicated to improving FIFA as an organisation, and will continue to strengthen its governance and accountability. Our work in this area continuously evolves, and we are focused on achieving the highest standards for the international football community(…)The current version of the FIFA Code of Ethics was drafted in cooperation with and was approved by the Independent Governance Committee (IGC) in 2012, following a proposal from the Task Force Ethics Committee established at the time, as part of FIFA’s reform process initiated in 2011”.
In this day and age we have peoples in power who wish to stay there. They stay in power on overtime. They change the constitution and amendments to make sure that they can get re-elected. The irony is that many of this leaders accepted when they came into power the new constitutions and laws. After a while and their terms running out they have to switch the laws for their own purpose. The laws are supposed to be for the best of their countries and not one person or party. Therefore you see reactions in these nations as they see that their leaders continue at any cost. This makes people to react like they did in DRC in January while Joseph Kabila opted for a third term. The coup in Burundi was another type of reaction to their president Pierre Nkurunziza changed the law so he could run for a third term. Also the public reacted to it. It’s also happening in Rwanda where the RPF and their president Paul Kagame will change laws so he can run for a third term. They are following the suit of President Museveni in Uganda. Who came to power with the rifles in 1986 and made a constitution in 1995. And abolished the term limits in 2005. And is soon running again in 2016, in this piece I will describe the position of the countries land by land in the East Africa. This is from Burundi to Uganda.
Burundi:
In the end of April in 2015 the Constitutional Court made an amendment that gave CNDD-FDD party flagbearer Pierre Nkurunziza an possibility to stand as a president for the third term. His first term was he selected by the parliament and not the people in 2005, the second term he was elected through elections in 2010. So this spring the President made moves to secure power again and break with the Arusha Agreement to secure himself more years as president of Burundi. There was supposed to be an election after the new amendment was passed this year. Parts of the military went on a coup d’etat when the President Nkurunziza was in Tanzania on an EAC conference. The Coup was squashed quickly. But the protest has continued. The election has been postponed. There has been refugees going to DRC, Tanzania and Rwanda following the protest against a third term for Pierre Nkurunziza. But the opposition and the protest against the third term has not stopped in the country since the last election. The violence between government army and the protesters are continuing. And the official election for his third term is still to come.
Democratic Republic of Congo:
In Democratic Republic of Congo the son of the late assassinated Laurent-Desire Kabila, Joseph Kabila has been in charge since 2001. His first election was won in 2006. Already in 2011 he got won the election the second time. Now since the spring Joseph Kabila has worked on making sure he could get a third term. There been responses from opposition and NGOs. #Telema protest happened in January when the draft for third term was made. Still been silence from the government since then. But there has been movement again during late summer and July.
Kenya:
In Kenya they got a new constitution in 2010. The constitution specifies that the President have a certain limit of two terms. The last President of Kenya was Mwai Kibaki he led the country from 2002-2007. He won the second election in 2007 that lasted to 2013. In 2013, some issues from the opposition to the winning election of Uhuru Kenyatta the son of the first president of the newly independent Kenya Jomo Kenyatta. So the Supreme Court handled the case and gave Uhuru Kenyatta and his Jubilee Alliance their stamp on the first term for him. There are no current plans of changing the 2010 constitution to abolish or change the levels of terms for presidents in Kenya.
Rwanda:
In Rwanda the RPA came to power after the genocide in 1994. After this the RPA became RPF is Rwandan Patriotic Front from the former Rwandan Patriotic Army. Paul Kagame was the Vice-President until 2000 when the National Assembly and government ministers elected him as president. In 2003 a new constitution came to force. Paul Kagame was relected in that year. Second election was in 2010 where he won in a landslide. Now he is working on tweaking the constitution to fix it so that Paul Kagame and the RPF can in power yet another term after next election.
Tanzania:
Tanzania has a special place after Julius Nyerere was in charge of the country since independence from 1964 to 1985. The Constitution of Tanzania is from 1977. That says that the president can only be in charge for two terms of 5 years each. After Julius Nyerere reign this has been followed. The party that he started is still running the country. First was president after Nyerere was Ali Hassan Mwinyi from 1985 to 1995. After him came Benjamin Mpeka from 1995 to 2005. The recent President is stepping down Jakaya Kikwete after taking his two terms from 2005 to 2015. In the next election the Party of the Revolution (CCM) has choice been on the new president candidate John Magufuli. President Kikwete will not be like his neighbors who try to stay in power and make amendments to the constitution.
Uganda:
Yoweri Kaguta Museveni came to power after a coup d’etat in 1986 to overthrow of Obote II and the interim government of Tito Okello who came with an army of rebels from Tanzania with support of Julius Nyerere. This was the NRA (National Resistance Army) who later became the NRM (National Resistance Movement). After being in power a long time the new constitution came into being 1995. The first presidential election in a one-part state was in 1996. The same was in 2001. Both of these elections President Museveni won landslides in the county. To change so that President Museveni could be voted in again, the Parliament abolished term limits that year and also opened for multiparty elections. In 2006 the first multiparty elections under the new regime happen and Museveni won a landslide in the election. The next election in 2011 was reported to be rigged by the regime and President Museveni won with 68%.. Right now he is preparing for yet another term as president of Uganda. After running the country since 1986 and he has “won” 4 elections and is making ready for his fifth. This election is going to be held in February 2016 and the nation is already gearing up for the primaries as we speak. In both the NRM party and also the opposition, though the Public Order Management Bill is putting restraint on dissidents from the NRM.
(This post was updated on 21.07.2015 – because of some wrong information. Its now corrected). Peace.
“It’s interesting that these themes of crime and political corruption are always relevant” – Martin Scorsese
In this last week there been big corruption cases that have unfolded in the media. The biggest ones are FIFA officials and that former PM of Italy has been sentenced to jail for three years. Both of those cases are well addressed by all major media. So I don’t need to blast them. This here is more or less known. Therefore I write my peace quickly because well, corruption has to be put a lid on. If not you have to address it in the sunshine and let those who steal money from the common man get time to send them to the law and get a just verdict. The pursuit for quick money will not stop. But as long as there are money and an opportunity for some to earn an extra shilling for very little work and make some money or get kickbacks for buying something while working for the government. Well, we as a public can’t accept that. So here are cases all from the mountains of Norway to the delta of Nigeria unto the public perception on road building in Peru. Enjoy!
Earlier this week in Norway a four former executives of the fertilizer company Yara was sentenced and judged in a corruption case. The time they will spend in jail is from 6 months to 3 years depending on how involved the executive was. This case is involving the corruption accusations that the company bribed officials in India and Libya (Økokrim, 2015).
In the U.S. on the 10th of July the former Governor of Virgina Robert F. McDonnell stood trial in court for his a weird connection with a Richmond business man. That the former governor helped the businessman while getting paid to clear his own monies issues. He was already gotten to court in September last year and sentenced to 2 years in jail (Zapotosky, 2015).
In China the Communist Party continues to charge people on corruption. The latest man who has allegedly been corrupt is Patrick Liu a senior executive in the internet company of AliBaba. He isn’t charged for the actions he has done as an executive at AliBaba, but where he used to when he worked at the Social Network site Tencent (SkyNews, 2015).
In the Netherlands there been indicted six civil servants from the police department and defense ministry for taking bribes while purchasing vehicles and trucks for the representative ministry and department. The bribes came as kickbacks and foreign trips on the supplier’s paycheck. The whole total of suspects in this case is 47. So there will be more information to come during the next months (DutchNews, 2015).
In Malawi the President Mutharika and his personal aide Ben Phiri are central in a huge corruption case. This case involves the statehouse deals between Central Medical Stores Trust and the contract valued at MK1.4 Billion to Malawi Pharmacy Limited (Kangwele, 2015).
In Nigeria the former leader of the Head of Service of the Federation (HOS) Mr. Steven Oronsaye was recently charged for involvement in an N2.1bn graft case while being the head of the civil service. A part of the money (N1.2bn) that was siphoned away from the civil service was sent through the company of Global Services Limited and 2 persons connected to the company were also in court. It is also alleged that that Oronsaye siphoned N6.2bn from the pension fund through fake contracts and supplies that never got delivered to the civil service. They will again go to court on Monday the 13th of July in the meanwhile they are detained (Ejike-Abuja, 2015).
In Peru meanwhile the government heads are expected to have been corrupted while building the highway between Peru and Brasil. 71% of people believe corruption was involved while building the Interoceanic highway. The three involved officials are Alejandro Toledo and Alan Garcia. Even President Ollanta Humala is expected to corrupt as well over the building of the road (Ojeda, 2015).
Hope you got something out of it. It’s a worldwide phenomenon. Greed doesn’t sleep it just has many forms. And a quick buck is also something a person wishes. Peace.
In this day and age there can still come some surprises like out of the wind a leaf will fall to the ground. It makes a sound and a whistle. You can never be up to speed about everything. I know about the Ethiopian dam projects, but certain industrial projects have gone in the wind. But then out of nothing the ICL buying out Allana Potash in the Danakil Depression caught my eye. Therefore I started doing research and seeing if I could get some information on the matter. A lot of information isn’t above the sea level yet, it’s still loose ends though. The licenses and the agreements between any company and the sovereign nation of Ethiopia are not at bay. But all the other information is saying certain stories. And tell how big of an issue this can get. Especially when you see how many companies is a-part of this shindig. Hope you get some information that you didn’t before and learn about the Danakil Depression in the Afar Region in Ethiopia.
Introduction to the area:
“The potash potential of Ethiopia was dormant until World War II where Italian and other foreign companies initiated exploration activities in different parts of the extremely hot Danakil Depression of northern Ethiopia, where temperatures regularly exceed +50°C. The companies exploited a number of mineral resources, such as potash and sulphur. The Danakil depression is found down to 110 m below sea level. The evaporites of the central parts of the Danakil Depression cover an area of 1165 km2, the major part of which is known as the Salt Plain” (…) “The Afar region of north-east Ethiopia is covered by Quaternary lacustrine sediments and volcanic rocks of the East African Rift Valley. The central part of the Danakil Depression is covered by a thick evaporite succession (Salt Formation), which is partially covered by Quaternary volcanic rocks” (Geus, 2010).
“ETHIOPIAN POTASH CORP. (ETHIOPIAN POTASH) has signed an Option Agreement to buy over G&B Central African Resources, which holds the title for the G&B Mineral Property in the Danakil Depression, Afar State, Ethiopia” (…) “Pursuant to the Option Agreement, upon the Option Closing, the Founders will also receive, on a pro rata basis, an aggregate of 20,000,000 Resulting Issuer Common Shares at a deemed price of $0.20 per Resulting Issuer Common Share, as incentive payments for their roles in reorganizing, financing and developing the business of G&B and in negotiating the Option Agreement” (…) “The value of the Danakil Potash Permits, the option and the payments under the Option Agreement were determined and negotiated through arm‟s length negotiations. The Danakil Technical Report was filed with the Exchange on December 3, 2010” (…) “ETHIOPIAN POTASH commissioned the production of a Technical Report in compliance with NI 43-101 to both summarise past exploration and to provide guidance for further project development. As a first step this Preliminary Resource Assessment Study (PRAS) from the independent consultant ERCOSPLAN, a German consultancy firm with more than half a century of experiences in industrial potash mining and processing was prepared” (…) “According to official information, exploration and mining licences were granted to Sainik Coal Mining Private Limited from the Ethiopian Ministry of Mines and Energy in 2007. Referring to this source, the deposit is estimated to contain resources of 160 million tonnes (without further specification)” (…) “ALLANA POTASH CORP. reports in 2008 for the part of the Musley deposit within their property an inferred resource amounting to 31.3 million tonnes of sylvinite at 25.4% KCl and 73.9 million tonnes of kainitite at 18.8% KCl, not taking into account mining and processing losses” (…) “The Musley Deposit, in the extension as defined by PARSONS, contains 171.27 million tonnes of mineralised material (55.63 million tonnes KCl) and partly extends onto the G&B Danakil Property. Six of the historical drill holes are located within the south western part of this property” (…) “The modelling of the 6 drill holes within the G&B Danakil Property and nearby drill holes south of the property resulted in inferred geological sylvinite resources of 28 million tonnes at an average grade of 29% KCl from the so-called Sylvinite Member, with additional inferred geological sylvinite/carnallitite resources of 5 million tonnes at an average grade of 22% KCl from the sampled part of the intermediate Member and inferred geological kainitite resources of 95 million tonnes at an average grade of 18% KCl. In these numbers, no deduction for mining and plant losses are considered. Resource estimations refer to the G&B Danakil Property only” (…) “The Danakil Depression stretches some 200km between Lake Bada (lake level 50m below sea level) in the NNW and Lake Acori (lake level 94m below sea level) in the SSE. The deepest point is located at Lake Assale where the lake level is 128m below sea level. This desert area is characterised by a flat surface that is interrupted by only few hills known as Mount Dallol, Black Mountain and Ashe Ale” (…) “Danakil Potash Exploration: Licence 3137-3150/2000 – 265.05km²” (…) “The mining policy of Ethiopia has received partial updating via the Mining and Income Tax Proclamations in 1993 and the supporting Mineral Operations Regulations in 1994 . These laws were established to stimulate the development of mining and to guarantee the property rights of both local and foreign investors. The preamble to the new mining law states that the law recognizes the significant role of private investment in capital formation, technology acquisition and marketing of minerals. The laws foresee different kinds of permits. The permit holders have both rights and obligations” (…) “The Danakil Depression is known as the hottest place on Earth, and is consistently hot throughout the year. Dallol‟s record high of the annual average temperature for an inhabited location on Earth of 34°C was recorded between the years 1960 and 1966” (…) “Because of the harsh conditions, the area of the G&B Property is very sparsely populated, and is mostly only temporarily inhabited by the Afari nomads. In the north western part of the G&B Danakil Property the small (temporary?) settlements of Ghebro (local salt extraction), and Iremle are located. In the northernmost part of the G&B Bada Property several small settlements are situated adjacent to the agriculturally used area on the alluvial fan of the Ragali River delta” (…) “road access is limited, but since 2010 it is in relatively good condition. No railway facility is available. No supply of electrical energy, fresh water and internet access is present. Connection to global system for mobile phone communication (GSM) is not available; the only option for communication at the site is via satellite telephone or radio. Mechanical and technical services as well as fuel cannot be obtained on site. Reasonable infrastructure for this is either present at Mekele or Afdera” (Raushe, 2011).
Information on AgriMinco:
“Following the completion of the maiden National Instrument 43-101-compliant mineral resource estimate, the operator of Danakil Holdings Ltd., Plinian Capital LLP, requested a preliminary investigation into the economic viable mining and processing options for the Danakil potash resources” (…) “AgriMinco’s chief executive officer, Bruce Cumming, comments: “Whilst the results are encouraging, they must be seen against the backdrop of uncertainty that the company continues to face due to the difficulties experienced in attempting to raise additional finance and the existing debt burden the company carries. We continue to focus our efforts on completion either of a capital raise or a corporate transaction. Under the terms of the JV agreement and the amendment thereto, AgriMinco was required to contribute 30 per cent of expenditure in excess of the agreed free carry by April 7, 2014” (…) “The operator of the joint venture, Plinian Capital, and Circum Minerals Ltd., the 70-per-cent joint venture partner, have consented to the release of the information contained herein” (Cumming, 2014).
140122_BHPBillitonLogo
BHP Billiton pulls away:
In 2012 pulled BHP Billiton out of the Danakil Depression. The spokesman for the company commented on it like this: “They already informed the ministry they want to leave” (…) “We have made a decision to discontinue exploration activities in Ethiopia” (…) “This was because following completion of sufficient work it’s not expected to meet BHP’s investment criteria”. The company didn’t deliver any more information to why they pulled away from the project at the time (Davison, 2012).
License giving to Allana:
“The Ethiopian Ministry of Mines has issued a mining license for the country’s Danakhil Potash Project to Allana Potash – a Canadian mineral exploration company. The license was issued after its approval by the Ethiopian council of ministers. A detailed review of the projects feasibility study and the Environmental, Social and Health Impacts Assessment (ESHIA) by the Ministry of Mines and other government departments had been carried out” (Wanene, 2013). “Approval of the ESHIA is conditional on the fulfillment of several action plans, most of which are identified in the ESHIA and already in place. These include monitoring ground water in the region (ongoing), resettlement of two small villages (in progress) and a commitment to community development (part of Allana’s Community Development Plan). Approval of the Company’s ESHIA is necessary for the granting of a Mining License in Ethiopia. The Ministry continues to review Allana’s application for the Mining License and meetings last week in Ethiopia indicate significant progress has been made in the evaluation of the Company’s Feasibility Study. While this work is ongoing, Allana is optimistic that the granting of the Mining License will occur in the next few months” (Mbendi, 2013).
Beginning information on Allana:
Allana had already before 2010 was finished had 60 drilling holes in the Danakil Depression. “Allana tacked on 28 drill holes from its wholly-owned Nova project, which occupies roughly 132-sq.km adjacent to its Dallol concessions and was picked up in a merger with Nova-Ethio Potash in November 2012”. The president and CEO Farhad Abasov is excited and was quoted saying: “We are excited to see the large increase in total mineral resources on the project and the significant conversion of inferred mineral resources into measured and indicated mineral resource categories” (…) “Potash resources continue to expand with our exploration activities which are ongoing on the Nova license. We are encouraged that significant additional mineralization of [carnallite and kainitite] has been delineated and will initiate further study on these resource estimates” (Northern Miner, 2013).
Basic information on Allana:
“Allana’s potash project is comprised of four potash concessions (Danakil Potash Project) located in Ethiopia’s northeastern Danakil Depression totaling approximately 312 square kilometers” (Allana).
“Major Advantages:
Allana has completed a NI 43-101 compliant technical report for the three concessions. The technical report highlighted several unique advantages of this project:
An inferred mineral resource of 105,200,000 tonnes of potash mineralization (Sylvinite and Kainitite) with a composite grade of 20.8% KCI
Near-surface (shallow-depth) potash mineralization (within 50 metres of surface)
Potential for solution or open-pit potash mining
16 drill holes immediately on Allana’s property
2 hole intersect 45 metres of potash mineralization at a depth of 680 metres – demonstrate significant potential to expand potash resource
Unique environment that may provide for low-cost production utilizing solar evaporation and geothermal power
MOP (muriate of potash) and SOP (sulphate of potash) production is feasible (NaFinance, 2009)”
Allana raised funds for construction:
“Abasov and company have raised over $90 million in equity markets and has sufficient cash reserves to reach the construction stage. And the news keeps getting better. Just last month, Allana’s debt financing process reached a new milestone as the company further de-risks the project” (InvestorIntel, 2013). “At this stage, little is known about the role of Ethiopian banks in the transaction for the loans between Afreximbank and Allana Potash” (Keffyalew, 2013). Allana Potash, a Vancouver-based mining company listed on the Toronto Stock Exchange, is set to acquire financing for its mammoth potash mining project in Danakil Depression in the Afar Regional State of Ethiopia in the order of 11.1 billion birr from the little-known-in-Ethiopia Africa Export/Import Bank-Afreximbank (Seyoum, 2013). “In Ethiopia, we are at the moment looking at potash project. It is about $600 million and we are still at the preliminary stage, but we are positive about that,” said Denys Denya, AfrEximBank’s Executive Vice-President for Finance, Administration and Banking Services” (Andualem, 2013).
Getting power-supply to the Danakil depression:
“The study is initiated by the request of Ethiopotash SC for 70MW of power. Ethiopotash, a company established by Dutch investors, is now managed by Yara International, which, in May 2012, upped its share in the company from 16pc to 51pc. Yara International, the Norwegian fertiliser manufacturer, itself is established with a majority share by the Norwegian government” (…) “The area will get power supply from Mekele, Tigray.
“We have studied all options, but Mekelle is better,” Mekuria said. “Since the area is not included under the EPPCo electricity expansion projects, the company will cover the project cost,” he added. However, both Mekuria and WondimuTakele (Eng), state minister for MoWE, say that it is not yet known how much it could cost supplying electricity to the Danakil Depression. The company wants the power supply to be ready for 2014, according to the company’s request” (…) “The project cost of the Danakil Depression concession could reach two billion Birr, according to Hoslestad” (Mesfin, 2012).
The Yara study itself confirms the mining potential in Ethiopia:
“The independent study identified an annual production of 600,000 metric tons sulfate of potash (SOP) over 23 years from reserves (Kainite, Carnallite and Sylvinite) at Yara’s Danakil concession. The company, which aims to begin mining activities in 3Q, 2018, is now seeking equity partners to develop the project” (Yara, 2015).
The potash from Danakil depression goes further:
“The product will be trucked 790 kilometres to Tadjoura, Djibouti, where the project includes a product storage and handling terminal at the new port currently under construction by the Djibouti Port Authority” (Topf, 2015).
Allana Potash getting bought by ICL:
On 22nd June 2015 bought the whole company of 100%, even if it had already bought 16.22% in 2014. So ICL bought the rest now in June 2015. With this trade the ICL get rights to develop the Potash project in Danakil depression. ICL has faith in the Ethiopian government and plans for infrastructure to succeed with the development of the potash mines at the sight in the Afar region of Ethiopia. ICL President & CEO Stefan Borgas, said, “We are delighted to complete our acquisition of Allana Potash and appreciate the strong support of Allana’s Board, management team and shareholders in conducting the process expeditiously. Our purchase of Allana is in line with ICL’s “Next Step Forward” strategy to broaden our sources of raw materials globally and to focus on high growth, emerging markets. Allana gives us a major mining concession in Africa, as well as a talented on-the-ground team with whom we intend to pursue our development of potash resources in Ethiopia. We are excited about the potential of establishing a strong potash platform in the Afar region that will enable us to serve rapidly growing fertilizer markets throughout Ethiopia and Africa, at large, as well as our growing customer base in Asian markets, and which will complement our existing potash operations in Israel, Spain and the UK. We are encouraged by the initial support of our activities by the Ethiopian government, which we trust will be translated into the assistance that we require to fully develop Ethiopia’s natural resources for the benefit of Ethiopia, its farmers and its people, as well as for ICL” (ICL, 2015).
Afterthought:
I won’t write much here now. Because this piece is already at a major size, but I look forward to follow the Danakil Depression and see how this industrial and mining adventure will go. How the companies will earn their cash and how the reports from the area will be. Especially how the Ethiopian government will deliver information on the matter, which will be amazing. Because they keep so much information at bay and never really release anything. Hope you got some knowledge and understand better how this is in Afar Region in Ethiopia. Peace.