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Archive for the tag “World Bank”

Uganda: Civil Society Position on Tax Revenue Measures for FY 2017/18 (21.04.2017)

Rwanda 1994: Gen. Paul Kagame letter of 10. August 1994 (Confidentiel)

Uganda: CSBAG – “Reducing Wastage and Curbing Inefficiences to Finance our Priorities for the FY 2017/2018 (09.04.2017)

Uganda: “Rejection of bids for upgrading of Rukungiri-Kihihi-Ishasha/Kanungu Road Proc Ref UNRA/Works/2016-2017/00035” (29.09.2017)

Kenya: Monetary Policy Committee Meeting (27.03.2017)

REDD+ Kasigau Corridor Project: Lacking results and with questionable affiliations!

There are a December 2016 report written by Jutta Kill and published in parts by the European Union. The name of the Report are: “The Kasigau Corridor REDD+ Project in Kenya: A crash dive for Althelia Climate Fund”. This report tells a worrying story of how a project is a possible revenue source, instead of being there for climate change use or even local development. This sort of project and funding should be used for sort of projected land titles that saves the forests or create land that the owners can earn on instead of destroying the land. Something most of the REDD+ funds and projects is about, making sure the forest and the agricultural lands are kept and saved by the use of funding from donors and project builders.

One of the first hard-hitting quotes from the report are: “In addition, several reports document how land use restrictions imposed by the Kasigau Corridor REDD+ project hit pastoralists and ethnic Taita and Duruma communities particularly hard while these groups receive very few if any of the benefits the REDD+ project provides to local communities” (Jutta Kill, P: 4, 2016).

So if there are donors who seems to be positive to projects and development projects that isn’t being there for the locals, than why are they offering the monies and using the time to facilitate the project in Kenya?

The Taita Hills REDD+ Project in Kenya has been marketed by Althelia, the project developer Wildlife Works Carbon, institutional funders like the EIB and media supporting market-based environmentalism as the Fund’s signature investment. Wildlife Works Carbon has been operating the Kasigau Corridor REDD+ project in south-eastern Kenya since 2005” (Jutta Kill, P: 6, 2016). So with this in mind the Althelia has offered certain amount of money on the table, as this was the signature investment, even as it have no benefit for the local communities. The Althelia had done this: “For four of the projects, the Fund’s annual reports indicate that the investment is made in the form of loans whereas for the REDD+ project in Kenya, the 2015 audited financial report mentions an investment through an ‘Emission Reductions Purchase Agreement’ (ERPA). Four of the five projects are also covered by a US$133.8m loan guarantee that USAID has extended to the Althelia Climate Fund in 2014. As of 31 December 2015, investors had disbursed €18,36m of the €101m committed” (Jutta Kill, P: 5, 2016). So the development project are funded through loans that are guaranteed by the USAID, but extended into the Althelia Climate Fund, so the two are co-operating in the direct funding of the REDD+ Kenya. So they are rubber-stamping and giving faith to the projects.

The ‘Stand for Trees’ Initiative, a brainchild of Wildlife Works and supported by USAID, has become an important source of revenue – some say, a lifeline – for many private sector REDD+ projects” (Jutta Kill, P: 17, 2016). So that the Wildlife Works that works inside this REDD+ project, that are using the funds from USAID and EIB, are complicating it more as the other revelations that should worry the ones who cares about the environment and accountability of ones running it: “The Kasigau Corridor REDD+ project’s financial lifeline came from the International Finance Corporation (IFC), the private sector arm of the World Bank, and BHP Billiton, the mining company with a record of severe environmental damage and forced displacement of communities that stretches back decades and continues to this day” (Jutta Kill, P: 18. 2016). So why would a mining company cares about an environmental project in Kenya, unless they we’re earning funds and getting profits on the project?

You can really understand the issues of the IFC and BHP Biliton involvement, when the local communities gets no benefit or contributing to the projects.

So when you have the Althelia Climate Fund, which is funded with loans from the World Bank private corporation branch IFC and the USAID loans, together in corporation of BHP Bilition, as the REDD+ Project in Kenya is in works with both Wildlife Works, as the ‘Save the Tree’ brainchild. As this was the Althelia signature project. That there are problematic forces in play when the EIB are supporting the REDD+ projects as well, either directly through loans like USAID or like IFC. Therefore, the many actors are surely paying and donating favorable loans so the owners of the fund and the ones living of it makes this the lifeline for the Wildlife Works, even as this one doesn’t have the impact on local communities.

Just as one key observation:

One of the most striking observations was how locally, people referred to Wildlife Works as “the company”. The reasons for this seemed twofold. For one part of “the community”, Wildlife Works is “the company” that instructs guards to confiscate cattle and goats; that prevents the poorest community members in the area from collecting even dry branches for firewood when “the company” itself runs a charcoal production business on the REDD+ project area; that puts up water tanks on residents’ land without even asking permission, let alone paying for the use of the land; that claims to dedicate initially 1/3 of carbon revenue sales to local community projects, but does so in a way that means benefits from these “community” projects are captured by local elites. For example, ranch shareholders who receive 1/3 of the revenue from the carbon credit sales might also sit on the “community development committees” that decide how the 50% of the profit from carbon credit sales” (Jutta Kill, P: 21, 2016).

Another insulting observation:

A carbon offset provider offering carbon credits from the Kasigau Corridor REDD+ project writes on its website that “committees determine what projects to undertake, prioritizing them by need and feasibility. ‘So many people have problems with water, so water projects—water tanks, water pipelines—always come first,’ said Pascal Kizaka, a local chief and committee board member” (…) “Exploring the location of one of the “water pipelines” advertised as an activity of the Wildlife Works Carbon REDD+ project revealed that far from what was suggested by the large placard outside the building (a One Vision Center), it seemed that the Wildlife Works contribution to the “water pipelines” project had been just the guttering along the side of the building’s roof and piping to connect the gutters with a water tank constructed by others. People also commented about bore holes put in by “the company” that had never provided any water” (Jutta Kill, P: 23, 2016).

So the Company, the Wildlife Works are supposed to provide water and pipelines. Still, there aren’t any who has been provided with the water, even as the REDD+ Committee Board Member Pascal Kizaka claims, as the locals and community says otherwise. This together with the lacking proof of the help with carbon credit sales and the control of land. This whole development project seems sketchy and a lifeline for Wildlife Works instead of being there for the local Kenyan Communities. Therefore, the use of IFC and Althelia Climate Fund, seems like way of misusing Carbon Tax and Carbon trading, instead of developing the Kasigau project for the Taita and Duruma communities. That deserves better and also deserves that when people and organizations comes in that they does not earn on their misfortune, but actually comes with projects serving them. If not this is just a way of fraudulent development industry, that no republic deserves. Peace.

Zimbabwe: Moto Republik Demolition Press Release (10.03.2017)

Opinion: Kenyatta’s outburst in Turkana County isn’t worthy of any President, Uhuru should apologize to the people of Turkana!

“My concern is not leadership… My concern is to initiate projects that will change the lives of Kenyans… If you think you can threaten me, look for someone else. I will seek votes from you like any other person… whether you vote for us or not. It will not be the end of the world”Uhuru Kenyatta in Turkana in 8th March rally there!

That the current President of Kenya Uhuru Kenyatta of the Jubilee Alliance Party who is starting the rallies for the General Election of August 2017. The President was in Turkana County as the man with the plan, but suddenly as the Governor Josephat Nanok addressed the government and their ways of taking funds from the County. This is county that has about a 1 million citizens, maybe not Kalenjin or Kikuyu, but still Kenyan citizens. So Kenyatta still represent these people if he likes it or not. The Elmoro and other pastoral tribes still deserve his service delivery.

As the press release after the visit of the county was even saying this:

“President Uhuru Kenyatta has criticised Turkana Governor Joseph Nanok, saying the arid county had little to show for more than Kshs 40 billion of devolved funds disbursed over the last four years. President Kenyatta said the ODM-led county was a shameful example of poor service delivery to Kenyans” (President.go.ke, 2017).

So that he in heated words to the public in Turkana had to even dismiss the governor and his opposition party. That shows that he forget his own place as his government hasn’t really showed that much acts or delivery to the Council of Governors who has even address the lack of funds. Therefore, that his address of Turkana Governor Nanok is weak tea.

That the Turkana people deserved better from their President, is without a doubt. It is the governors wish and will to get more for his county, as much the President wants more his nation when he do deals with foreign nations. Therefore, Kenyatta had to a few years back defended the sugar-agreement with Uganda. Surely, people have forgotten that trade and border trade with Uganda. Still, the Turkana County Governor is only defending his own record and his own county. The President is allowed to do the same, but for someone who is now rallying for his second term, these sort of words sounds out of bounds.

That President Kenyatta attacks a ODM Governor with this sorts of outburst and claims, as well as saying that the citizens and voters of Turkana doesn’t matter is special. Kenyatta saying he doesn’t need Turkana people and the Elmoro, is really disturbing, as he surely would need their resources and oil. The Kenyan government would and should support the county, not only for industry, but for their pastoralism and safety. These sorts of border communities have often been neglected, but now with the Tullow Oil fields. It suddenly matters.

Kenyatta should be on the market and prove his character, which he can provide and make sure the governance of the nation is at a better stat, but with the current fate of strikes in an election year, with the growing state debt and the corruption scandals, clearly is evident of mismanagement. So that Kenyatta feels attacked and under fire isn’t strange, but his baseless wounded soul would redeem himself if he actually took charge and fixed it. Since he is in the midst of the government that has created the environment it is in. Therefore, Turkana County Governor might hit a nerve, that went into his spine and therefore he retaliated.

Kenyatta doesn’t want to be weak, even has the turmoil and the election year isn’t going smoothly. President Kenyatta should take credit where it is due, but not scold governors as the peril and the issues of government is created from the top. If there issues with governance in Turkana, it could easily stem for the brazen disregard of governance from the Central Government, which means that Kenyatta and his administration has collectively created the problems.

Lodwar should be more important for Uhuru Kenyatta as his father Jomo Kenyatta was illegal detained there by the British Colonial Authorities, still he now doesn’t need the locals and the pastoral people. The other major town in the county is NGO capital of Loki or Lokichogio. The other important place in the county is Kakuma Refugee Camp, one of camps that the government plans to shut-down together with Dadaab.

So Kenyatta should act wiser and be more Statesman, instead he uses wild-words and allegations that could easily backfire, as I didn’t need much thinking before addressing him without force or write to anything personal about the honourable President. With that in mind, the President shouldn’t need to personally address the Turkana as unnecessary voters in coming elections, because of what their governor did say. The President should just dismiss the Governor, not dismiss a whole county and region. He should apologize about that and should also show that his emotions went running out of fashion. Then if he wants to say something about the governor and his speech, do that with honour of the elected he is in and with understanding the position the President puts him in.

President Kenyatta lost it and therefore it has been addressed. Time to man up and carry it as a man. Confess and deliver the truth, not play for the gallery, but be there for all the people. Turkana County and their people deserve it, so does the rest of Kenya. Peace.

Reference:

President.go.ke – ‘President Kenyatta censures Turkana Governor for lack of development’ (08.03.2017) link: http://www.president.go.ke/2017/03/08/president-kenyatta-censures-turkana-governor-for-lack-of-development/

Opinion: Suddenly President Kagame doesn’t want Rwanda to be dependent on the West!

For Africa as we wait to see what unfolds and adjust, we should be learning the lesson that we should not be entirely dependent. We will wake up to the reality there are things we should be doing for ourselves. You have made it appear that your situations are perfect and you want others to emulate you. Then you are surprised by what unfolds. It is what you have been hitting us with that is coming back to bite you. I did not change the constitution. If you want to know the truth you will find it is the people who did, not me. My satisfaction lies in the truth that we have not been involved in harming our people. What we are doing is to develop our country. If we don’t take care of ourselves, no one else will. As long as Rwandans are happy, we will keep doing what needs to be done. We will be listening to what others say but we will not be distracted from what needs to be done.”

-President Paul Kagame speaks to Gerard Baker, editor in chief of the Wall Street Journal, at the closing session of Invest in Africa conference.

President Paul Kagame of Rwanda, the long lingering Executive of Rwanda has compelled his words against dependency of the West. Surely, he has had this in mind for while in his own haven, as the Rwandan government has been a donor friendly. Therefore, that he claims now to take a stand against them shows the sudden change of attitude. However, it is sudden donors and programs that have stopped coming Kagame’s way, therefore the Rwandan government have started to run a giant tab of external debt instead of donor aid grants. Like look at some quotes from companies that establish the economic output and the financial flow of nations, like Deloitte and KPMG!

Rising debt:

“According to BMI, total external debt levels in the country have been rising steadily in recent years, from 16.1% of GDP in 2010 to an estimated 30.5% of GDP in 2015. Debt levels for 2016 and total external debt are forecast to amount to 35.2% of GDP and will be composed mostly of government debt” (Deloitte, P: 4, 2016).

Failing Foreign Aid, therefore rising debt:

“The primary headwind to the Rwandan economy in the 2016-2025 period will be the impact on debt as a result of falling foreign aid. Despite prudent fiscal policies to date, increases in debt levels will follow from the fall in foreign aid, since Rwanda is now deemed fit to transition from grant-based financing to loan-based financing by the IMF” (Deloitte, P: 5,2016).  “The government has been compelled to adopt a more prudent fiscal policy stance in an attempt to reduce the country’s dependence on donor support and increase fiscal autonomy. Recent external headwinds have encouraged the government to ease demand for imports by reassessing its infrastructure investment programme. This will undoubtedly have a negative impact on economic growth. That being said, the benefits of lower donor dependence and improved macroeconomic stability should outweigh the costs related to lower growth over the short term. Turning to external balances, Rwanda’s wide merchandise trade deficit is expected to maintain a shortfall in the overall current account going forward” (KPMG, P: 4, 2016).

“Aid harmonization has been improved and progress continues to be registered in the implementation of the Paris and Busan commitments especially the use of national budget and procurement systems. The Bank was the 6th largest Official Development Assistance (ODA) provider to Rwanda in 2013/14, accounting for 9.4% of total ODA26. The World Bank and EU invest in agriculture and energy whereas the leading bilateral DPs focus, among other things, on human development and social protection (Annex 8a). Annex 8b summarizes the progress made in implementing selected indicators as captured by the Donor Performance Assessment Framework. Use of the sector budget support (SBS) instrument has increased the share of Bank support disbursed using country systems. Under the DPCG, the Bank actively participates in activities to enhance the implementation of EDPRS II such as the 2014/15 assessment of SWGs” (AfDB, P: 9, 2016).

So if you look at the financial policies of the republic of Rwanda, some of it is not really chosen as the donors funds that has been suspended or stopped might be for several of reasons. That might be that if they accept the funds they have to follow a spectre of policies and interferes with the power that Kagame wish to achieve. The RPF and Kagame has total control of Rwanda, the export and the import, also owns dozens of the businesses. So the Rwandan government had to switch their economy with more loans, instead of donor aid. The loans are coming in through external debt as the external donor funds and grants have dwindled.

Therefore, the excuse of suddenly wanting to be independent is more a need, than a wish. If it was a wish earlier, than the AGOA or USAID to the RPF would have stopped decades ago. That should be common knowledge of the relationship between Paul Kagame and Bill Clinton. It is not that it is positive that the Rwandan Government want’s less aid is a healthy stance. Still, the excuse isn’t eaten by me.

The reality is that the increased debt instead of donor grants will hurt the economy, as the levied interest rates and other cost will hurt the economy. It isn’t healthy to be dependent of the aid either, but the reasons now seem more to reactionary than real intent. I am sure Paul Kagame would love funds from Belgium and France to build hospitals and clinics in rural regions of Rwanda. So, suddenly the West isn’t good enough, especially when they are questioning his reasons for staying in power and not having any successors while his regime is keeping a close lid on the opposition. Therefore, the economy and independent from the world becomes more important because then he needs to less show of transparency and accountability. Peace.

Reference:

AfDB – ‘RWANDA BANK GROUP COUNTRY STRATEGY PAPER 2017 – 2021 (October, 2016).

Deloitte – ‘Rwanda Economic Outlook 2016 The Story Behind the Numbers’ (June 2016)

KPMG – ‘Economic Snapshot H2, 2016 – Rwanda’ (15.10.2016) link:

https://home.kpmg.com/content/dam/kpmg/za/pdf/2016/10/KPMG-Rwanda-2016-Snapshot.pdf

World Bank Group President Calls for Urgent Action on Hunger Crisis (08.03.2017)

WASHINGTON, March 8, 2017—World Bank Group President Jim Yong Kim today issued the following statement on the devastating levels of food insecurity in sub-Saharan Africa and Yemen:

“Famine is a stain on our collective conscience. Millions of lives are at risk and more will die if we do not act quickly and decisively.

We at the World Bank Group stand in solidarity with the people now threatened by famine. We are mobilizing an immediate response for Ethiopia, Kenya, Nigeria, Somalia, South Sudan, and Yemen. Our first priority is to work with partners to make sure that families have access to food and water. We are working toward a financial package of more than $1.6 billion to build social protection systems, strengthen community resilience, and maintain service delivery to the most vulnerable. This includes existing operations of over $870 million that will help communities threatened by famine. I am also working with our Board of Directors to secure the approval of new operations amounting to $770 million, funded substantially through IDA’s Crisis Response Window.

The World Bank Group will help respond to the immediate needs of the current famine, but we must recognize that famine will have lasting impacts on people’s health, ability to learn, and earn a living. So we will also continue to work with communities to reclaim their livelihoods and build resilience to future shocks.

We are coordinating closely with the UN and other partners in all areas of our response. We know that resolution to this acute crisis will not be possible without all humanitarian and development actors working together. We call on the international community to respond robustly and quickly to the UN global appeal for resources for the famine.

To prevent crises in the future, we must invest in addressing the root causes and drivers of fragility today and help countries build institutional and societal resilience.”

Background

A famine means that a significant part of the population has no access to basic food, suffers from severe malnutrition, and death from hunger reaches unprecedented levels. Children under five are disproportionately affected. A famine can affect the well-being of a whole generation. Famine was officially declared on February 20 in South Sudan, impacting approximately 100,000 people, and there is a credible risk of other famines in Yemen, Northeast Nigeria, and other countries. Ongoing conflicts and civil insecurity are further intensifying the food insecurity of millions of people across the region, and there is already widespread displacement and other cross-border spillovers. For instance, food insecurity in Somalia and famine in South Sudan are accelerating the flow of refugees into Ethiopia and Uganda. The UN estimates that about 20 million people in Nigeria, South Sudan, Somalia and Yemen are on the “tipping point” of famine. Drought conditions also extend to Uganda and parts of Tanzania. The last famine was declared in 2011 in Somalia during which 260,000 people died.

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