Opinion: President Museveni praises Equatorial Guinea for it’s rampant Oil-Corruption; wants to learn his tricks!

In these days the President Yoweri Kaguta Museveni of the Republic of Uganda are on a state visit in Malabo, visiting and learning tricks from the Equatorial Guinean President Teodoro Nguema Obiang, who has used the oil to enrich himself and his loyal subjects. Not build a welfare state, but make sure the family of Obiang get wealthy. Certainly, Uganda is preparing for their own oil production in the Lake Albertine basin, as the pipeline building from the production to the Port Tanga in Tanzania.

This is why President Museveni are visiting Equatorial Guinea to learn the tricks of the trade, as the state of Uganda are still in the dark of the oil-deals between the international companies and the state. We can wonder how the funds will be spoiled and how Museveni plans to use the oil funds for personal gains. If so, he wouldn’t praise President Obiang, who has his whole career to spend the oil profits from his republic. This is what Museveni wants to learn, since his career has been tricking out all sorts of play from Ugandan republic. The petroleum profits can be misspent and hidden just like in the republic of Obiang. Take a look!

President Museveni’s praise:

We are therefore in Equatorial Guinea for two things: looking at how to support prosperity of one another and how to push for our strategic security. I also congratulate Equatorial Guinea for using it’s oil and gas very well. When I was last here for the AU Summit, I noticed gaps between the airport and the city centre. Today, all these gaps were gone. In their place are new, well-planned buildings. And I see the city is refurbished. Some people say oil is a curse but in Equatorial Guinea it is a blessing” (Yoweri Kaguta Museveni, 26.08.2017)

Business in Equatorial Guinea:

Since the discovery of the offshore oil deposits, many investors have shown great interest in the country. Foreign direct investment inflows into the country had thus been consistently high for the past years. Nevertheless, in 2016 the FDI inflow amounted to USD 54 million, a sharp decrease from USD 233 million recorded the previous year (and the historical peak of USD 2.73 billion in 2010) . The total stock of FDI in the country is currently at USD 13.4 billion” (…) “Corruption in particular is problematic. In addition, the business climate of the country remains rather unfavourable for investment. Cumbersome procedures and high compliance costs slow licensing and make starting a business more difficult. Weak regulatory and judicial systems may discourage foreign investment as well, along with high credit costs and limited access to financing. The government controls long-term lending through the state-owned development bank. Equatorial Guinea ranked 178th out of 190 countries in the 2017 Doing Business report published by the World Bank, losing three spots compared to the previous year” (Santander Trade, 2017).

Son of the President on trial:

The corruption trial of Teodoro Nguema Obiang Mangue, the son of the president of Equatorial Guinea, ended in Paris on 6 July with the prosecution calling for a three-year jail term, a €30 million (US$34 million) fine and the confiscation of assets. The Tribunal will return a verdict on 27 October. The 48-year-old vice-president of Equatorial Guinea was not in court to hear the prosecution’s claim that he used money stolen from his country’s treasury and laundered through a shell company to fund a lavish lifestyle in France” (Transparency International, 2017).

This was what that is well-known of the Equatorial Guinea corruption and the son of President has also had challenging cases in the United States. Now the son is also having alleged fraud and criminal charges in France. Clearly, the Ugandan President has already known for corruption behavior. Therefore, even a state agency of PPDA has some words, that the government needs strict regulations before procurement and infrastructure development. This will be clearly important when it comes to petroleum industry. Take a look!

PPDA strict regulation on public procurement:

Public procurement is a key pillar of the public financial management system. The country’s budget and plans are translated into actual services to our people through the public procurement system. It is also the link between the public sector and the private sector as it is the medium through which the private sector does business with Government. Public procurement therefore involves large sums of money and as our budget grows with the priorities of Government remaining infrastructure development, the proportion of the budget earmarked for public procurement remains significant and therefore calls for strict regulation” (PPDA, 2017).

Audits and investigations by the Public Procurement and Disposal of Assets indicate that corruption in the procurement process manifests more in the evaluation of bids, reported to be at 58%. PPDA’s Manager Capacity Building Ronald Tumuhairwe says such corrupt practices lead to awarding of contracts to incompetent individuals hence shoddy works in several government projects” (…) “He adds that the second process where corruption manifests is awarding of contracts at 12.5%, followed by receipt and opening of bids, reviewing evaluation of bids, advertising and signing of contracts” (Sebunya, 2017).

President Museveni clearly has own agencies saying it is important with strict regulations on procurement and infrastructure developments like the ones needed for oil industry in the republic. The regulation of oil industry is lax, to make sure the state isn’t transparent with its profits and taxation of the industry. This is what Museveni wants, that the state and the public doesn’t know the contracts or the agreements between the parties involved. That is something President Obiang surely have the capacity to teach Museveni. And how to make sure his family is earning from the state resource, instead of the public and the state itself. Peace.

Reference:

Transparency International – ‘ON TRIAL FOR CORRUPTION: FRENCH PROSECUTORS DEMAND JAIL TERM AND €30 MILLION FINE FOR OBIANG’ (11.07.2017) link: https://www.transparency.org/news/feature/on_trial_for_corruption_french_prosecutors_demand_jail_term_and_30_million

Santander Trade – ‘EQUATORIAL GUINEA: FOREIGN INVESTMENT’ (August 2017) link: https://en.portal.santandertrade.com/establish-overseas/equatorial-guinea/investing-3

Sebunya, Wycliffe – ‘Corruption manifests most in the procurement process – IG’ (25.08.2017) link:http://radioonefm90.com/corruption-manifests-most-in-the-procurement-process-ig/

PPDA – ‘EVALUATING INNOVATIVE ANTI CORRUPTION POLICIES IN PUBLIC PROCUREMENT IN UGANDA’ (02.08.2017) link: https://www.ppda.go.ug/evaluating-innovative-anti-corruption-policies-in-public-procurement-in-uganda/

Somalia: Bancroft Statement on the Operation in Bariire (25.08.2017)

Correction – Somali National Army conducted security operation near Bariire (25.08.2017)

Somali National Army conducted security operation near Bariire (25.08.2017)

Burundi: “Object: Demande de Dissolution du Parti MSD” (22.08.2017)

UK Continues to Support Most Vulnerable in Sudan Through Cash Assistance (21.08.2017)

KHARTOUM, Sudan, August 21, 2017 –  The United Kingdom has contributed £4.5 million (US$5.8 million) to the United Nations World Food Programme (WFP) to provide essential food assistance to nearly 370,000 internally displaced people (IDPs) in Darfur for two months.

The Department for International Development (DFID) contribution will allow WFP to support IDPs through cash-based transfers, which will provide people with vouchers and e-cards so they can buy food and essential supplies of their choice at contracted local traders.

“The UK Government is committed to working with WFP to meet the humanitarian needs of displaced people within Sudan,” said Acting Head of DFID Sudan Kate Orrick. “We have provided a total of £53.5 million to WFP since 2013, providing vital assistance to hundreds of thousands of people in Sudan and enabling them to start rebuilding their lives.” 

“The use of cash and vouchers enables greater choice and dignity for vulnerable Sudanese, stimulates the local economy, and has the greatest positive impact on those receiving our support,” Orrick added.

WFP will use the contribution to support 288,000 IDPs in North and West Darfur states and nearly 81,000 IDPs in Otash camp, located in South Darfur state.

“We are grateful to the people and Government of the UK for this contribution towards our cash programmes, which is a more efficient form of assistance and allows for greater autonomy and dignity while providing a lifeline to those most in need,” said WFP Sudan Representative and Country Director Matthew Hollingworth.

With UK support, WFP successfully launched the first cash programme in Sudan last year in Otash camp in South Darfur. During the pilot phase of the cash transfer programme (October 2016 to March 2017), nearly 75,000 IDPs in Otash camp received approximately US$37.50 per person for five months. The assistance was provided through a prepaid card swiped against a Point of Service (POS) device at pre-selected shops.

In Sudan, the introduction of vouchers in 2009 and cash assistance in 2016 continues to transform the relationship between vulnerable displaced people and their food needs. Cash-based assistance provides people with greater choice of food items and access to locally-preferred ingredients, while stimulating the local economy and supporting WFP’s needs-based approach in a protracted crisis. Over the past six years, WFP in Sudan has expanded the use of cash over regular food distributions. Evidence gathered through ongoing monitoring and feedback from people receiving WFP support shows that cash-based transfers are generally the preferred form of assistance.

Throughout 2017, WFP plans to support more than four million vulnerable people in Sudan, including IDPs, refugees, people affected by climate change and host communities. WFP provides such support through a range of activities, including emergency food assistance, cash-based transfers (or vouchers), nutritional support, and resilience-building activities to help communities become increasingly independent.

Burundi: CNARED-GIRITEKA – Communique de Presse (17.08.2017)

Burundi: Communique de Presse No. 18/Olucome/08/2017 – Portant Sur la Priere Interconfessionelle Organisee par le Parti au Pouvoir CNDD-FDD (17.08.2017)

IGAD Revitalizing South Sudan Peace Process (18.08.2017)

Drought-stricken herders in Ethiopia need urgent support (11.08.2017)

Pastoralist communities are facing huge losses of livestock.

ROME, Italy, August 11, 2017 – Supporting herders to get back on their feet and preventing further livestock losses and suffering are crucial in drought-hit Ethiopia where hunger has been on the rise this year, warned today the Food and Agriculture Organization of the United Nations (FAO).

Drought has devastated herders’ livelihoods as it exhausted pastures and water sources, leading to a significant number of animals dying or falling ill, particularly in the southern and southeastern regions of the country as other areas recover from previous seasons’ El Niño-induced drought.

Drought-hit pastoralists face reduced milk production, rising malnutrition, and have limited income-earning capacity and severely constrained access to food.

Some 8.5 million people – one in 12 people – are now suffering from hunger; of these, 3.3 million people live in Somali Region.

The current food and nutrition crisis is significantly aggravated by the severe blow to pastoral livelihoods. For livestock-dependent families, the animals can literally mean the difference between life and death, especially for children, pregnant and nursing women for whom milk is a crucial source of nutrition.

With up to 2 million animals lost so far, FAO is focusing on providing emergency livestock support to the most vulnerable pastoralist communities through animal vaccination and treatment, supplementary feed and water, rehabilitating water points, and supporting fodder and feed production.

“It is crucial to provide this support between now and October – when rains are due – to begin the recovery process and prevent further losses of animals. If we don’t act now, hunger and malnutrition will only get worse among pastoral communities,” said Abdoul Karim Bah, FAO Deputy Representative in Ethiopia.

By providing supplementary feed and water for livestock, while at the  same time supporting fodder production, FAO seeks to protect core breeding animals and enable drought-hit families to rebuild their livelihoods. Animal health campaigns will be reinforced to protect animals, particularly before the rains set in, when they are at their weakest and more susceptible to parasites or infectious diseases. FAO-supported destocking and cash-for-work programmes will also provide a crucial source of cash for families.

Funding appeal

FAO urgently requires US$ 20 million between August and December to come to the aid of Ethiopia’s farmers and herders.

FAO has already assisted almost 500,000 drought-hit people in 2017 through a mix of livestock feed provision, destocking and animal health interventions, thanks to the support of the Ethiopia Humanitarian Fund, Switzerland, Spain, Sweden through FAO’s Special Fund for Emergency and Rehabilitation Activities, the United Nations Central Emergency Response Fund, as well as FAO’s own Early Warning Early Action fund and Technical Cooperation Programme.