China-Uganda’s Win-Win Cooperation is Bearing Fruits

By Akech Sarah Elias

In international relations and foreign policy, diplomacy is considered to be a major catalyst for good relations of countries and a step-in introduction and implementation of social-economic development projects of a country. Like in human beings, good cooperation and relations among countries which is always characterized by effective diplomacy, international relations and foreign policy aid in promoting development of countries; because, in most cases, it is diplomacy that influence countries where to invest or which country to cooperate with. In that process, a country with good relations with neighbors and beyond is most likely to attract investments and developmental cooperation from such countries as opposed to those without or with shaky relations. Also, diplomacy and good relations of countries especially among neighbors and arguably beyond are key when it comes to promotion of stability which is very key in economic development.

Talking about foreign policy and diplomacy, whereas it is true that foreign policy is a guiding framework for national interests, and that it facilitates countries in determining their goals, values and national interests which results into formation of alliances and treaties, formed alliances and treaties at times are meant to strengthen one country against the other or indirectly promote hegemony. This explains why some countries especially from the west often impose conditions for their relations with other countries acting as superior other than equal partners as United Nations charter dictates that all independent countries are equal!

However, when it comes to China-Uganda relations and broadly, China-Africa cooperation, the two sides cooperation are a text book example of partnership of equals and win-win cooperation. For several decades, China has always based its relations with African countries guided by principles of sincerity, real results, win-win cooperation, amity and good faith while dealing with African countries! It is these principles today, that guide Sino-Uganda relations and in many ways, both sides are benefiting from this this brotherly cooperation.

In economic engagement, China’s engagement with Uganda has been characterized by substantial investments and collaborative projects. A 2021 report by the UN Conference on Trade and Development revealed that China had become one of Uganda’s largest trading partners and a major source of foreign direct investment.

Further, a 2019 report by the famous Brookings Institution, observed that China has also been actively involved in infrastructural development in Uganda with the main focus on transportation oil and energy and the report argued that such investments are key for Uganda’s social-economic development explaining that China is doubling down investments in Uganda and generally African countries key sectors at a time when fewer funders are willing to support infrastructure projects. One prominent example is the Kampala-Entebbe Express highway which was constructed with the help of Chinese funding. This project has enhanced connectivity, reduced transportation costs, and boosted trade within the country registering thousands of users daily.

China’s economic engagement with Uganda has been boosted by bilateral trade and investment agreements and treaties. A case in point follows the signing of the Free Trade Agreement in 2018 by the two nations which have fostered trade expansion. With China granting up to 98% of Uganda’s taxable items zero-tariff into their market, one can safely argue that trade between the two countries will grow further with Uganda’s agriculture sector benefiting more.

Still on economic benefit of a flourishing Sino-Uganda relations, the May 2021 China-Uganda Authorized Economic Operator (AEO) which came into force on 1st June 2023 will see the two friendly countries enjoy preferential policies in terms of document review and goods inspection. This will definitely facilitate the customs clearances of goods between the two countries thereby facilitating trade and by extension easing the work of Uganda Revenue Authority.

With AEO, Uganda will benefit from this arrangement in terms of streamlining trade finance and

revenue collection which is aligned to China’s Revenue collection practices and enhancement of

trade framework. If critically analyzed, the main informing aspect for Uganda to enter this mutual arrangement was on a basis of China’s stand on the global floor of trade. The arrangement was also meant to further the corporation between Uganda and China on the basis of the Forum on China-Africa Cooperation (FOCAC). This way, Preferential treatment will be accorded to the goods coming from China to Uganda and vice versa thereby strengthening trade between the two countries.

As a result of the good relations between the two countries and enabling environment, as of 2022, China’s direct investments in Uganda reached 131 billion US dollars. And, since the start of this year, Chinese enterprises in different fields such as food processing, mobile home appliances and textile industries have entered into Liao Shen Industrial Park and China-Uganda Mbale industrial parks injecting over 84 million USD in Uganda’s economy. Also, over 2200 jobs for locals have been created as a result of the said investments.

In conclusion, as a result of China-Uganda relations, the benefits coming from the said relations have been key in Uganda’s economic development process and hence. Therefore, despite some challenges and criticism especially from Sino-Africa skepticists, China’s significant role towards Uganda’s economic development cannot be ignored and the two sides as the two countries embark on building a community of shared future and prosperity in the new era.

Akech Sarah Elias is a visiting researcher at Sino-Uganda Research Centre and a law student.

 

 

China-Africa Joint Development: Beyond Slogans

By Moshi Israel

To understand the drive behind the concept of China-Africa joint development, one needs to know exactly what China wants from Africa and what Africa wants from its relationship with China. The cooperation between Africa and China aims to be a symbiotic relationship where benefits are shared fairly and at times equally.

The key objectives for forming alliances and partnerships among nation-states are for security and trade. Through joint development partnership, China and Africa can ensure their respective economic security because the concepts of trade and security within the framework of international partnerships and relationships often intersect. One way they intersect is through the correlation between trade and economic security. Good trade policies and practices can lead to economic security which is at a larger scale is a form of national security. A rich and successful country is secure in many ways. Joint economic partnerships ensure and insure the national security of all involved.

During the China-Africa Leader’s Dialogue in August of this year, in Johannesburg South Africa, President Xi Jinping highlighted the fact that China was steadily marching towards achieving its second centenary goal of becoming a ‘great modern socialist country in all respects that is prosperous, strong, democratic, culturally advanced, harmonious, and beautiful. He reiterated that China was pursuing its rejuvenation on all fronts through a Chinese path to modernization. This is China’s vision for itself and by analyzing this vision, we can deduce exactly what China wants with Africa. In short, China needs a stable, developed, independent, and reliable Africa to conduct business and foster civilizational exchanges for a shared future of prosperity. China can help Africa achieve its development ambitions and Africa can help China realize its ambitions for its people and vision for a world of harmonious coexistence.

China intends to expand the global market and make it diverse and less dependent on the core countries of the Western bloc. China, itself a developing country has decided to look south for developing markets, where it can trade its products and in turn assist the development process of countries in the global south. Through BRICs+, BRI, FOCAC and other initiatives, China has consistently courted Africa and made its intentions clear. Symbolic of the deep ties between China and Africa is the elevation of relations to a Comprehensive Strategic Cooperative Partnership in 2018 during the Beijing FOCAC summit.

For this relationship to work smoothly, Africa needs to know what it wants from China and fortunately, this is increasingly clear as stipulated through Agenda 2063. It is an agenda that seeks to transform the continent into a global powerhouse of the future. Through Agenda 2063, Africa aims to deliver on its objectives for sustainable and inclusive development. The agenda is driven by the Pan-African spirit rooted in the desire for unity, self-determination, freedom, progress, and collective prosperity. Agenda 2063 is an affirmation of pan-Africanism and the African Renaissance.  This pan-African vision was assented to by African leaders through the 50th Anniversary Solemn Declaration during the golden jubilee celebrations of the formation of the OAU/AU in May 2013. The vision imagines an integrated, prosperous, and peaceful Africa, driven by its citizens, representing a dynamic force in the international arena.

Under the current global political climate, Africa and China need each other. President Xi recognizes this with precise clarity and therefore has spearheaded efforts and a renewed drive by China to rejuvenate, reinvigorate, and redefine its relationship with Africa. The result should be a limitless friendship that is much more integrated and equal where both party’s interests are protected through joint efforts.

Proposed areas of collaboration include; working to safeguard a peaceful and secure global environment, building an open and inclusive world economy, and promoting an equitable and just international order. Also, China through the assurances of its president seeks to cooperate with Africa to enhance the synergy of both party’s development strategies, support Africa’s voice in the international arena, support Africa’s industrialization and Agricultural modernization, and implement a plan on China-Africa talent development.

The joint development of Africa and China will mostly rely on the initiatives proposed by the latter. These initiatives include the GDI, GSI and GCI, (Global Development Initiative, Global Security initiative, and Global Civilization Initiative) all respectively addressing the key problem areas of development deficit, security challenges and a gap in mutual learning between civilizations.

By analysing these initiatives, we can decipher that China’s partnership with Africa is not solely based on economic gains. It goes further and beyond the limitations of realpolitik. China is not focused only on practical considerations when it comes to partnership with Africa, the rationale of cooperation is also rooted in moral and ideological concepts. China and Africa consider themselves family with a bond forged through history. A past of shared suffering under colonialism, imperialism and racism binds Africa and China. The latter’s lessons of wisdom through the ‘miracle’ of unprecedented development can be an inspiration to Africa’s own renaissance.

The African Union has embraced the idea of an integrated continent through the African Continental Free Trade Area (AFCFTA). A more integrated Africa is a powerful one and Beijing supports this process. It is a popular view both in Africa and China that Africa’s own path to modernisation should be an African idea with African characteristics. By pushing its own modernisation path, China indirectly shows Africa the way and it is up to the giant continent to map its own path by learning what is practical from China’s experience.

For so long, the African continent has been underestimated and under looked. Africa has experienced its own centuries of humiliation and has forever struggled to raise its head above water. However, the continent, with the help of China has changed the narrative and is back floating and ready to swim. Africa is projected to have a population of over 2.7 billion people by 2060, well above the combined populations of both India and China. In the same year the continent is projected to have a combined output of $16 trillion and a vibrant middle-class market. China on the other hand is the second largest economy in the world and has a lot of potential to be the world’s leading economy with time.

It is therefore, this potential that makes China-Africa joint development an interesting prospect. Together, a better multilateral world is a reality and a shared future for all humanity is guaranteed.

The Writer is a Senior Research Fellow with Development Watch Center.

A New Era in China- Africa Relations: What’s in it for Uganda?

By Moshi Israel

Yesterday, on the 27th of this month, Sino-Uganda Research Centre (SURC), the lead Think Tank on China-Uganda relations, and Development Watch Centre, Uganda’s leading Think Tank on foreign policy analysis hosted a symposium at fairway hotel in Kampala. The theme of the symposium was to have an in-depth look at a new era of China-Africa relations and what Uganda in particular could gain from it.

 

Several experts, dignitaries, members of the media fraternity, and Politicians from Uganda and China attended the symposium. The Guest of Honour was Her Excellency the Vice President of Uganda, Jessica Alupo, represented by the Right Honourable Rebecca Kadaga the 1st Deputy Prime Minister and Minister for East African Affairs. H.E. the ambassador of China to Uganda, Zhang Lizhong also graced the event with his presence. Also, delegates from major Chinese companies in Uganda such as CNOOC, Sinohydro, and China Communications Construction Company were present and were given the opportunity to discuss their work and challenges in Uganda.

In her speech, the chief guest acknowledged the vital role of think tanks in guiding policy formulation and implementation and recognised the key role SURC could play in making this a reality in Uganda. She pointed to the importance of independence in research exhibited by the Sino-Uganda Research Centre and noted its importance for the benefit of Uganda, China, and the world.  Furthermore, her speech emphasised the need to discuss China-Uganda relations candidly. In one of her key points, the guest of honor pointed to the need for Africans, in general, to control the narrative of cooperation with China without leaving room for distortions from cynics. This is an important point because for the most part relations between China and Africa are distorted by Western media and often painted in a negative light. Therefore, think tanks have an urgent role of setting the record straight through unbiased research that seeks to find the truth. The new era of China-Africa relations should be one in which the two parties control the narrative and avoid the use of Western frames to approach and debate issues.

The speech also, called upon governments in Africa and Uganda in particular to engage more with think tanks in setting national agendas. For the SURC to be the only think tank in the whole country to study and drive debate on the relationship between Uganda and one of her biggest trade partners shows that there is a gap between academia and government that needs to be covered. The chief guest was jubilant in pointing out the milestones China and Uganda have achieved since the bilateral talks in Beijing on 25th June 2019, between Presidents Xi and Museveni where they agreed to lift the two country’s relations to a comprehensive cooperative partnership. This set the stage for the betterment of China and Uganda relations which have hit a peak in recent years.

The vice president appreciated the fact that China does not seek to interfere in Uganda’s internal matters and assured the Chinese that Uganda is open and safe for China. She hinted at the fact that Uganda as a developing country has a lot to learn from China. The vice president understands that whereas China achieved modernisation and poverty alleviation through adhering to the principles of a socialist economy with Chinese characteristics, Uganda as well as Africa can create a development path with Ugandan and African characteristics.

Another important area that Her Excellency touched on was trade and investment. Uganda’s trade with China keeps growing and bilateral trade between the two states grew by 28.8% in the first quarter of this year. However, Uganda’s market in China is still low and has room for improvement as long as “Ugandan farmers produce high-quality products with value addition.” In a world facing a resurgence of nationalism that has left more countries hostile to anything foreign; for example, the countries that engaged in vaccine nationalism, the Vice president through her representative the Right Hon, Rebecca Kadaga thanked China for standing with Africa in supplying free vaccinations in a show of true friendship and win-win partnership.

H.E. the Ambassador, Zhang Lizhong also addressed the symposium and strongly condemned all efforts to undermine the relationship between China and Africa. He commented on the various projects that Chinese companies have accomplished and are on the verge of completing with Uganda. The ambassador also lauded his tours around Uganda and his most recent visits to western Uganda. Uganda has great tourist potential and beautiful scenery which the ambassador noted could play a significant role in Uganda’s economic development. The ambassador noted that China has extended a tax-free incentive to Ugandan exports. Furthermore, China will continue to expand its assistance to Uganda in the health sector, infrastructure, energy sector, Agriculture, and all other potential areas of cooperation.

The ambassador shared his perspectives on the role of government strategic planning in China that led to the elimination of absolute poverty and the modernisation of China. The emphasis was also placed on China’s development path which seeks to cooperate with the rest of the world through the concept of mutual benefit. Projects such as the Belt and Road are landmarks of China’s commitment to the development of African nations. He noted that the CPC (Communist Party of China) will always champion international cooperation instead of confrontation and that China-Africa, and in particular China-Uganda relations can only go higher in this new era.

The symposium also held a panel discussion where Ugandan experts and delegates from Sinohydro, CNOOC, and other Chinese companies shared thoughts on China’s projects in Uganda, challenges, and potential solutions. The representative from CNOOC shared the progress of the Tilenga oil project at King Fisher in Hoima. CNOOC has been instrumental in improving the lives of people in local communities surrounding the project and all Ugandans generally. CNOOC has employed thousands of local workers in both skilled and unskilled, provided scholarships for numerous Ugandan engineers who have subsequently been employed by the company, and just recently CNOOC has announced another round of scholarships for talented students. The company has built health centers in the local areas of Kikuube and eased access to water by constructing the Buhuka Gravity Scheme that supplies safe and clean water to over 1300 local residents. CNOOC has also engaged in environmental protection in collaboration with the National Forestry Authority by aiding and providing tools to ease law enforcement in the Bugoma forest reserve. This also aims to reduce the negative impacts of climate change in the Albertine region.

The symposium has been a milestone and is a potential trendsetter in the think tank domain within Uganda. Through the activities of SURC and Development Watch Center, the debate for a better, more knowledgeable, and progressive Uganda has been given a vital push forward. The Executive Director and founder of both think tanks, Dr, Allawi Ssemmanda noted that it is high time think tanks got the recognition they so deserve in Uganda as stakeholders in policy formulation and implementation. He emphasised that think tanks and academicians can play a crucial role in propelling a country like Uganda forward by leading the debate on issues that matter by analysing and providing a nuanced understanding of complex global and domestic issues for all citizens.

Moshi Israel is a Researcher with Development Watch Centre.

 

 

China’s Cooperation with Africa is a Win-win Cooperation

By Arnold Katende Ricky and Ssemanda Abdurahim

Dear Editor, on Thursday 27th July 2023 Sino-Uganda Research Centre, a Ugandan Think Tank dedicated to analysis of Uganda’s foreign policy and diplomacy in international milieux with focus on China-Uganda relations left me deeply thinking much about China-Uganda cooperation.  The symposium which ran under the theme “A New Era of China-Africa Relations: What is in it For Uganda?” saw different scholars and researchers discussing different topics among others China’s development path to modernisation and what lessons can Uganda and Africa in general draw from it, and role of women in development among others.

Partly organised to discuss likely implications of the 20th National Congress of the Communist Party of China (CPC) in regard to China-Africa Cooperation as well as the outcomes of the China-Uganda cooperation, Sino-Uganda Research Centre released results for research entitled “perceptions about China-Uganda Relations: Public and Key Stakeholder’s Perspectives,” towards China-Uganda relations. The findings showed that majority of Ugandans are happy and support China-Uganda cooperation with 76% of Ugandans commending China’s role in supporting Uganda’s development plans especially through infrastructure funding support crediting the support for improving the countries road sector, creating employment opportunities to Ugandan and training as well as offering scholarship opportunities.

While according to Sino-Uganda Research Centre, only 22% of Ugandans believe China’s loaning terms to Uganda are fair, with the discussion of China’s development assistance, one can conclude that this area is always left out by Ugandans and Africans in general to be analysed and discussed by western media who arguably always want to criticise China’s engagement with the rest of the world. This is partly because; by playing a positive role in economic development of developing countries, China shrinks the so-called traditional development partners’ role who are largely western countries and secondly, because in most of Chinese funding are implemented by Chinese firms, a negative narrative is created since these Chinese firms take contracts which western countries firms normally want. Therefore, the negative feeling of Chinese loans to African countries should always be expected because of western media narratives and propaganda.

Indeed, Professor Timothy Kerswell of Chinese University of Hong Kong explained that most of negative views towards Chinese loans are as a result of what he described as “penetration of the so-called ‘Western Debt’ trap Narrative” which lacks facts.

While lauding Sino-Uganda Research Centre for investing time and resources in research that focuses on shaping Uganda’s interests, the First Deputy Prime Minister of Uganda and Minister for East African Affairs, Rebecca Kadaga, who represented the Vice President Jessica Alupo under scored importance of researchers and think tanks being independent while conducting their work. She stressed that; “aware that credible and independent research is very important in guiding policy formulation and implementation, I would like to encourage and urge you to make sure that your work is done in total observance of the principle of independence in research for the benefit of Uganda, China, and the world.”

Kadaga stressed that for the last 61 years, China and Uganda have enjoyed good relations which has seen China’s continued support to Uganda in areas such as infrastructure, agriculture, health, industry, and energy sectors emphasised Uganda government is commitment to strengthen ties between the two countries.

Speaking at the same occasion, Chinese ambassador to Uganda, Zhang Lizhong, explained that the Chinese Path to Modernisation is socialist modernisation under the leadership of the CPC, and emphasised that it is “based on China’s national reality, and draws on other countries’ experience.” Ambassador Lizhong argued that as part and parcel of humanity’s modernisation, Chinese modernisation path contains what he described as “elements that are common to other countries’ modernisation, such as industrialisation, urbanisation, greater democracy, and rule of law. Meanwhile, it also has unique Chinese features as it is rooted in the Chinese context.”

If we critically analyse ambassador Lizhong’s words in regard to China’s development path, it is not a surprise that when China announced that the country had eliminated extreme poverty, United Nations described the rate at which China achieved this as a record time. The point of emphasis here is that China took a path that that is/was compatible to the country because, their development path is/was “based on China’s national reality.”

Upon that background and recalling the failed structural adjustment programs (SAPs) which Bretton Woods Institutions particularly the International Monetary Fund (IMF) imposed on Africa, it looks clear that China’s path to development if considered may be the magic bullet for African countries to attain development and modernisation, more importantly, modernisation. Put differently, while African countries may learn from other countries’ development path, it is important that like China which decided to take a development path with Chinese characteristics or which is compatible with their national realities, African countries must also take a path that is compatible with our national realties but not simply following any program as it was in 1980s when IMF forced many of developing countries especially in Africa and Latin America to follow SAPs.

The other interesting revelation was arguments by Ambassador Lizhong that China’s modernisation path is premised on a view that modernisation should not be considered as a reserve of one country or individual stressing that Chinese modernisation is the modernisation of common prosperity for all, and will open up a broader path to common development of all countries. “Modernisation should not make the rich richer and the poor poorer. Common prosperity for the whole world requires prosperity of all countries,” argued ambassador Lizhong.

In a nutshell, looking at China’s continuous engagement with African countries and Chinese leaders’ consistency in their communication, there is no reason to doubt or question China’s relations with Africa. As a Ugandan, I have no reason to conclude that as Africans let’s joint our hands together, to open up a new chapter of China-Ugandan friendship of solidarity, friendship and cooperation, and jointly build the China-Ugandan and China-Africa Community of Shared Future in the New Era!

Arnold Katende Ricky and Ssemanda Abdurahim are Research Fellows at The Development Watch Centre.

China-Africa Cooperation Accelerates African Countries’ Development Goals

By Alan Collins Mpewo

In the wake of fast racing multilateral relations, the world countries have kept mowing their paths of prosperity and in scaling their economic stability, they’ve molded sustainable modules to attain that worthwhile goal. The industrial module keeps raising through the ranks and many countries that have globally harnessed it, are gradually appreciating its economic impact. Uganda is equally taking on the challenge in a flagship project the country’s government termed as “Vision 2040.” Among other schemes, are the Chinese built Industrial Parks that will harbor these gigantic projects. However, in the same journey to attain the vision, criticism and talk about the ever-growing China-Uganda economic relations keep streaming. The Chinese modern colonialism of the Global South is verbally being attached to the People’s Republic of China. But is the talk warranted?

Many don’t get to look at it or even think about it this way, but realising the historical background and understanding of the term “Colonialism,” many wouldn’t apply it lightly. That understanding of the generic meaning of the term would just be an honest step to realisation that its application as regards most of its economic policies towards Africa, is utterly a smearing spree to water down those good relations. It’s fair to state that what the China government is doing or establishing in the African continent, and whether that befits the term “colonisation,” should be a reserve for Africa’s inhabitants to determine and propagate a deserving response. Usually, when several foreigners talk about the African continent as a whole, that sheds a light on the fact that they know not or perhaps know minimal about the continent. The African continent harbours 54 countries, each with national sovereignty, autonomy in its domestic affairs, policies and impressions about the People’s Republic of China. Interestingly, unlike many western countries, China which some critics claim is harbouring colonialism or neocolonial interest has never colonised any country. It instead suffered the same. Therefore, one claiming that China’s support to African countries is due to the countries hidden interests is nothing but propaganda and a clear smear campaign meant to taint Sino-Africa relations.

A sneak peek at what the actual colonialists did would point to indigenous settlers of Africa having forced to labour with figuratively no payment. Selling them as slaves, among other regrettable undertakings. That there, is a slight showcase of what colonialism is. The People’s Republic of China is supportive to African countries in as far as investing greatly in modern infrastructure to mention of, such as roads, airports, and buildings. Actually, while western colonialists were being forced to grant African countries independence and others still under colonial bondage, many African countries received support from China thereby contributing to their struggles to snap the shackles of colonial minority humiliation. In 1960s for example, while China’s per capita GDP was less than that of Sub-Saharan Africa, China supported and southern African countries’ infrastructure development with $400 million which helped in construction of the famous Tanzania-Zambia Railway (TAZARA). This is enough to conclude that for long, China’s interest has been not to develop alone but rather building a large successful community with a shared successful future. With such record, one is right to conclude that China’s continued development assistance to African countries comes at a time when much of the African continent continues suffering from decades of entrenched neocolonialism, stinking poverty, sociopolitical instability and deplorable corruption, which in many ways all have connections to colonialism African countries suffered.

China looks at the world composed of numerous nations, all having own customs, socioeconomic systems, distinct in many forms, and are not inquisitive to alter. Its conception can fairly be seen as interested in finding a place in the middle kingdom. Being able to reach out so as offers can trade by them, perhaps as a World Trade Organ originating from the ancient silk route to the modern belt and road, or else they are in the middle of nowhere. African nations need direct foreign investment, compared to various other places. So, China has massively impacted building infrastructure. Importantly to note, is that these projects by China in the African countries in which it has some presence, are endorsed as coming without political adversities. That stands out especially as regards the respect granted for national sovereignty of partner states.

In a report recently by the notable AidData research lab, College of William and Mary, Virginia, the Chinese Belt and Road projects are fundamental in reduction of income imbalances and inequality among regions in the nations in which they are set-up. China has seen the implementation of various infrastructure projects like the construction of energy dams, roads, and the expansion of the country’s National Airport – Entebbe International Airport, plus the development of industrial parks. Regarding the Industrial parks, these are gradually taking shape with new ones cropping up. Soon or later, the Standard Gauge Railway construction, a focus project for East African Countries, will finally get its long-awaited completion. The construction of several of the above projects is Chinese financed.

In energy sector, the 183MW Isimba Hydro Power Plant is complete, and this has been done by China’s Exim Bank that has funded about 85 percent of two major Ugandan energy projects — Isimba and Karuma dams. Meanwhile, construction works of the 600MW Karuma Hydro Power Plant is still ongoing. It furthermore financed and foresaw the building of Kampala’s $476 million Entebbe Express Highway that leads to the National Airport – Entebbe International Airport, which has greatly minimised driving time to more than half the time before its construction.

These Chinese funded projects’ impact cannot be taken lightly, because enhancement of transportation routes is an inevitable stepping stone to trade. However, the Uganda government has much more to offer and directly delve in, especially with the energy support systems that have since been launched. The Isimba and Karuma Dams escorted by the gradual construction of Industrial parks in different parts of the country calls for the need to expeditious ignition of an industrial module of achieving economic prosperity. Uganda’s exports to China are majorly agricultural, yet it imports much more finished goods from the People’s Republic of China. According to UN COMTRADE database on international trade, the Republic of Uganda exports to China were $39.61 Million in 2020. Much of it was in Oil seed, fruits, grain, and seed, to a tune of $18.01 Million. This creates a great void of trade imbalance, something that is constantly affecting Uganda’s economy. Such incredible relations between the two countries – Uganda and China, should be a stepping stone for Uganda.

The advantages of an industrial module, especially in a developing country with promising growth of major transport systems can not be overemphasised. The job pool to the various Ugandans with distinct skills and expertise, the retention of much money that goes to waste on imports, among others. Such an industrial model would also give justification for the loans acquired, whose outcomes would setoff a significant portion of the debt burden. In addition to Industrial support systems are peripheral projects by The People’s Republic of China like its financing of an oil pipeline project valued to over $4 billion, presently undergoing construction. The project will connect the western region of Uganda to the port at Tanga in the Republic of Tanzania. This will give Uganda – a landlocked country, access to the Indian Ocean. That access to the wide East of the globe will possibly streamline the chain of export from the full functional industries to world markets. The returns would accomplish enormous development for the Republic of Uganda.

Alan Collins Mpewo is a Senior Research Fellow, Development Watch Center.

 

New Chinese Foreign Minister First Trip A Sign China Puts Great Importance to Sino-Africa Relations

By Allawi Ssemanda

Last week, China’s new foreign minister, Qin Gang started his new term as China’s Foreign Minister with a weeklong trip to Africa visiting 5 African nations. The five countries are; Ethiopia, Gabon, Angola, Benin, and Egypt. Also, on list of his first foreign visit since his appointment as China’s foreign minister, Qin visited African Union Headquarters and the League of Arab States Headquarters in Addis Ababa and Cairo-Egypt respectively.

If critically analysed, Qin’s choice to first visit Africa as China’s Foreign Minister is not a coincidence but China’s consistence that more than any other region, Beijing greatly values China-Africa relations and is committed to keeping this. This analysis is partly due to the fact that for more than 30 years, China’s foreign ministers have always started each year with a trip to Africa. Indeed, China’s foreign ministry spokesperson spokesperson Wang Wenbin told media that Qin’s decision to start his foreign trips “shows that China attaches great importance to the traditional friendship with Africa and the development of China-Africa relations.”

Indeed, like many analysists and commentators’ arguments, for many years, Chinese leaders have always emphasised that China-Africa relations is a symbiotic relationship where all sides stand to gain. Put differently, both sides consider this cooperation to be mutually beneficial, and indeed, it is.

While in Ethiopia where he held bilateral talks with Ethiopian Premier Abiy Ahmed, Qin visited African Union headquarters where he witnessed the commissioning of the new seat of African Centre for Disease Control and Prevention which was constructed with full support from Beijing. China funded the construction of the centre which is now arguably a sign of significance of China-Africa relations at the hight of Covid-19 pandemic outbreak purposely to help the African continent be prepared in handling possible future outbreaks.

Whereas some Sino-Africa skeptics especially from some western capitals continue to spread narratives of controversies about China-Africa relations with the so-called “debt trap” talks alleging that China’s continued funding of African countries’ much needed infrastructure projects leaves many of African countries “debt trapped”, if critically analysed, Qin’s visit comes at the right time when developing countries especially in global south need closer ties with reliable partners like China.

Indeed, foreign minister Qin told Ethiopian Prime Minister Abiy Ahmed that China was partially writing off the country’s debt to Beijing a move that in all ways is a positive gesture considering that like many other countries especially in the global south, Ethiopia is also struggling with economic hardships which largely can be traced from effects of Covid-19 pandemic.

Such brotherly gesture coming at a time when global economic outlook is projected to be gloomy is evidence that China is indeed a friend in need.  For example, earlier this year, the World Bank and IMF projected that 2023 will be characterised by economic disruptions and low growth with IMF’s chief, Kristalina Georgieva warning that 2023 will be “tougher than the year we leave behind,” adding that “we expect one-third of the world economy to be in recession. Even countries that are not in recession, it would feel like recession for hundreds of millions of people.”

It should be recalled that during the 2021 Forum on China-Africa Cooperation (FOCAC) held in Senegal’s capital, Dakar from 29 to 30 November, China pledged to help in reducing what Sino-Africa skeptics allege is intentional trade imbalance between China and African countries. Beijing promised it would ensure African countries gain from Chinese market by exporting goods worth over 300 billion USDs. Indeed, in December last year, China announced that Beijing had decided to increase on a number of African countries adding more 9 nations from the continent to benefit from China’s tariff-free access to the Chinese market. This increased the number of African countries to 18 that China granted preferential access to its market. If critically analysed, all this is evidence that once China promises, they match their words with deeds and deliver. To date, China remains one of top sources of foreign direct investments to African countries, and the biggest source of the much-needed infrastructure funding.

Relatedly, the 2021-2024 FOCAC Action Plan reached during the 2021 summit, Beijing promised to invest up to 10 billion USDs in African countries before the next FOCAC meeting which will be held in 2024. Therefore, one hopes African leaders where foreign minister Qin visited also looked at this plan as a way of following it up.

However, while China seems ready to offer huge market to African countries’ products, in most cases, African countries have always been critiqued for bringing substandard goods to market. Therefore, to benefit from this market, African countries must ensure their goods meet international standards so as to compete favourably. Also, African countries should use the opportunity of Chinese investments to embrace industrialization and embrace value addition so to gain maximumly from Chinese markets. This can be achieved by making good use of Chinese industrial parks in Africa by positioning them well to produce what is on high demand in Chinese markets so as to produce for both local and international markets. Today, almost all African countries have industrial parks thanks to Chinese investments. For example, in Uganda among others we have Mbale Industrial Park and Kapeeka. Outside East African region, Zambia has seen China establishing the Zambia-China Economic and Trade Cooperation the first of its kind in Africa, Egypt has seen the success of the Suez Canal Economic Zone, and Uganda’s Mbale Industrial Park has proved to be one of the best agricultural products suppliers, these are just a few among many other countries in Africa that have seen and benefited from Chinese investment.

Industrialising Africa featured more during 2021 FOCAC and China expressed readiness to support African countries realise this goal through investments in that field. Therefore, African countries should not see China’s foreign minister visit as opportunity to take photos but should also use the visit to follow up on China’s development assistance promises after all, China has for so long proved that when Beijing promises, they deliver. This will not only help to strengthen Sino-Africa relations but will come with both long-term and immediate and opportunities such as helping in tackling poverty and unemployment challenges on the continent.

Allawi Ssemanda is a Senior Research Fellow at Development Watch Centre.

 

 

China’s Global Devt Initiative: What is in for Africa?

“Right now, COVID-19 is still raging in the world, and profound changes are taking place in human society. The world has entered a period of new turbulence and transformation. It falls on each and every responsible statesman to answer the questions of our times and make a historical choice with confidence, courage and a sense of mission,” stated Chinese president Xi Jinping during his  76th session of the UN General Assembly address. He then explained that to address this, the world “need[s] to foster global development partnerships that are more equal and balanced, forge greater synergy among multilateral development cooperation processes, and speed up the implementation of the UN 2030 Agenda for Sustainable Development.” He suggested this can be achieved through his proposed Global Development Initiative (GDI).

Xi reasoned that challenges like global economic meltdown, and food and energy insecurity are likely to hinder the achievement of the UN’s 2030 Agenda for Sustainable Development. Explaining that different countries have resorted to individualistic economic recoveries, leaving poor and developing countries’ concerns unattended, which risks widening the south – north development gap. “We must get a good grasp of the overarching development trend in the world, firm up confidence, and act in unison and with great motivation to promote global development and foster a development paradigm featuring benefits for all, balance, coordination, inclusiveness, win-win cooperation and common prosperity,” he concluded.

Quoting an ancient Chinese saying, “Only when the granary is full will people learn etiquette; only when people are well-fed and clothed will they know honor and shame,” Xi underscored the need for the world to be at peace, and for governments to work together worldwide, to ensure continuous development, with the aim of helping all people realize their dreams.

President Xi proposed the Global Development Initiative (GDI) because it would help in addressing people’s needs and dreams, and put the United Nations Agenda for Sustainable Development back on track.

Xi emphasized that GDI will help to balance development, stressing the need for countries to work together to promote economic recovery, arguing, “for us to break through the mist and embrace a bright future, the biggest strength comes from cooperation and the most effective way is through solidarity…The hardships and challenges are yet another reminder that humanity is a community with a shared future where all people rise and fall together…”

While GDI sounds interesting and ideal for addressing and reducing uneven development and economic recovery in developing countries, one wonders how Africa will benefit from it.

If implemented, GDI offers opportunity for countries worldwide to work to address current global challenges. Arguably, coming together to address global challenges is likely to bring together global leaders and experts to forge ways to move the world from the current economic meltdown evenly. Indeed, while promoting GDI, President Xi emphasized the value of working together, stressing that “we need to jointly build international consensus on promoting development.” He reasoned that working together is important in achieving political consensus. “It is important that we put development front and center on the international agenda, deliver on the 2030 Agenda for Sustainable Development, and build political consensus to ensure everyone values development and all countries pursue cooperation together,” he argued.

Further, GDI calls for joint ways of forging a development partnership. It stresses the importance of countries working together, and urges developed countries to fulfill their obligations, deepen cooperation. GDI also calls upon the North and the South to work in the same direction to forge a united, equal, balanced and inclusive global development partnership, leaving, “no country or individual … behind,” according to Xi.

A report by the World Bank painted a grim picture, projecting that global economic growth for 2022 would not be realised. Compared to 2021’s 5.9%, projections for 2022 have been reviewed downwards from the initial 4.1% to 2.9%, which represents a huge decline.

Separately, on Tuesday 26th July, the International Monitory Fund (IMF) slashed global growth projections, and raised the inflation forecast, describing the current economic outlook as “extraordinarily uncertain,” and warning that risks to economic outlook are “overwhelmingly tilted to the downside”.

Worse for developing countries, IMF projected global inflation for 2022 and 2023 to increase to 8.3% and 5.7%, respectively. Inflation is projected to be 9.7% and 6.6% for developing countries and advanced ones respectively.

All the above shows the huge task countries have to realise the 2030 global agenda. However, aware that the GDI seeks to promote development and cooperation in key areas, like poverty reduction, food insecurity, health, education, and the environment, GDI will help all countries to realise global agenda 2030.

Presently, the GDI has been cited and supported by the United Nations and other international organizations, and nearly 100 countries. To benefit from this important initiative, African countries should fully back GDI since it addresses critical areas for the continent to realise the 2030 global agenda.  This can be achieved by working with Beijing to implement the GDI. This will help the world to attain sustainable peace, development and win-win cooperation, as the world builds a community with a shared future for mankind.

While countries worldwide are trying to recover from the economic meltdown, and avert possible recession, uneven recovery is very visible among both people and countries. That is why GDI calls for a people-centred approach to recovery programs and developmental projects.

Despite the economic challenges the world is facing, one can argue that with GDI, unity among world leaders, commitment to equality, and jointly fostering new drivers for global development, an even economic recovery is possible. As an ancient Chinese saying suggests, “One must not change one’s commitment or give up one’s pursuit even in the face of danger and risk.” A review of human history teaches us that the more difficult things get, the greater the need grows to stay confident.

That way, with win-win cooperation and unity among countries and all world leaders, GDI is the magic bullet the world needs as the world leaders strive to build the much-needed community, with a shared future for mankind, where humanity rises to challenges and builds a bright and shared future.

Allawi Ssemanda, PhD is a senior research fellow at the Development Watch Centre.

Understanding the benefits of China-Uganda relations: A tale from Ugandan

No matter how cliché it may sound, no one can be on his or her own, we all at one moment need
support from our colleague(s). In context of nation-state relations and international relations, all
countries world over need support from each other. In context of development, especially
developing countries rely on support from allies to boast their development agendas.
Uganda is one of the developing countries making positive strides in the country’s development
efforts. To achieve this, it is worth talking and acknowledging countries whose relations with
Kampala support Uganda’s development efforts.

Looking at all sectors that are vital for a country’s social and economic development, Uganda’s
journey is incomplete without mention the role played by the People’s Republic of China. From
infrastructure to trade and investments, agriculture, education, health and human capital
development, China has been a catalyst in Uganda's economic development path. The bilateral
relations between the two countries started just days after Uganda gained her independence and
have been elevating from time to time. Today, the relationship between Kampala and Beijing are
at its peak.
In addition to that, following the increased Chinese companies and firms in Uganda, many
Ugandans have attained employment which has helped them to have better standards of living
and end poverty in various Ugandan families for example, over 1000 Ugandans employed in
Kapyeka industrial park with other thousands in other Chinese firms and parks in the country.
In education sector, for several decades, China has been supporting Ugandan scholars in
education sector offering thousands of scholarships opportunities and trainings to Ugandans.
Aware that human capital development is key in development process of a country, this is an
area that cannot be swept under the carpet. China has also been offering training opportunities to
Ugandan civil servants including medical personnel which is very vital as far as capacity
building is concerned.

In technology, China has also has also played an active role supporting the country’s
technological advancement journey. Huawei for example has been supporting young Ugandans
technological innovations. During the 2015 Forum on China-Africa Cooperation held in
Johannesburg, South Africa, China promised to support 10,000 African villages connected to
satellite Television. After the Uganda Communications Commission announced deadline for all
television to go digital, Chinese firm Star Times promptly intervened and since 2018, Uganda,
star times has connected a number of areas in the country with Startimes Television network.
Though one may look at Star Times investments from a business angle, it is also a fact that it has
being a fordable, it has helped thousands of people to remain connected.

From the economic perspective, trade between the two countries has increased and is still
booming. For example, statistics shows that Beijing-Kampala trade has quadrupled from
$230million in 2008 to over than $1billion in 2020. Uganda has emerged as a potential market

for many Chinese businesses, both state-owned and private firms. Chinese investments in
Uganda benefit the country in both direct and indirect ways including providing employment
opportunities to tens of thousands of Ugandans.
In agriculture sector, China is also a house hold name in Uganda. A few years after Uganda’s
independence, China supported Uganda government to establish Kibimba rice scheme the first of
its kind in the country. Since then, China has been supporting Uganda’s agriculture sector
extending its agricultural technology to both Uganda’s small- and large-scale agribusiness
projects including offering training skills to Ugandans by Chinse agriculture scientists and
experts. In March 2022, Chinese government and Uganda’s signed a 20M USD project toward
Uganda’s social and livelihoods projects to be undertaken under Parish Development Model.
China is also supporting mushroom growing in the country which supports women and youth
projects. PRC has also been supporting bamboo growing in Uganda not only as a way of
supporting the country in environmental conservation but also source of income.

In health Sector, China continues to play a brotherly role in supporting Uganda’s efforts of
building a strong and functioning health system. China is credited for having funded the
construction of China-Uganda friendship hospital also known as Naguru Hospital. To date,
China supports the hospital with medical supplies and medical personnel. In same way, during
Covid pandemic, China stood shoulder to shoulder with Uganda and other African countries by
offering them then much needed medical supplies and vaccines that the Global North had
decided to hoard. Actually, since 1983, China has been sending tens of medical experts to
Uganda annually to provide Ugandans with medical services. Last week, another team of
Chinese medical experts arrived in the country to start offering services in Ugandan hospital.

Mugisha Ambrose is a junior Research Fellow with Development Watch Centre, a Foreign
Policy Think Tank.

CPC’s Centenary of progress: a journey that mutually benefited African Countries.

By Allawi Ssemanda.

Today marks exactly 100 years since the formation of China’s ruling party – the Communist Party of China (CPC). From a humble beginning which characterised its very first national congress in the city of Shanghai, today CPC stands tall. After their 72 years at the helm, CPC has transformed the once poor and under developed country to become the world’s second economy and technology power house with a staggering GDP estimated at about $14.7 trillion as of 2020 just behind United States of America’s (U.S.A) $20.9 trillion.

With able party leadership, CPC has driven China on a steady and consistent economic growth which has seen the country carrying on the most successful poverty alleviation projects in the world’s history. For example, from 1990 to 2018, China was able to reduce extreme poverty from 66.3% to 0.3% and early February this year, Xi Jinping, the secretary general of CPC’s Central Committee announced the good news that China had completely eliminated abject poverty. United Nations Secretary General Antonio Guterres hailed the achievement as a huge contribution to UN’s 2030 sustainable development agenda stressing that “It also brings hope and inspiration to the international society, and shows that a campaign promise and consistent policy can make a difference in improving livelihood of the most deprived and vulnerable.”

Whereas China’s success story has been viewed by some western world with scepticism, some criticising China’s good relations with developing countries especially in the global north, one can firmly say such criticism is a result of lack of information and malice and arguably, some Western country’s libido dominandi, a latin concept meaning the argue to dominate everything.

From historical perspective, China has never been a selfish country and has always been on the side of developing countries. For example, during colonial bondage when many African countries were under colonial rule, despite her challenges at home as a developing country, China played a key role in helping African countries to snap the ugly shackles of colonial rule. In late 1960s, China set up a soft loan of about $400 million to assist in construction of the famous TAZARA railway line linking Tanzania and Zambia which helped in easing transport in East African region and beyond. China set up this fund at a time when its total per capita GDP was still low compared to Sub-Saharan Africa. For record, until 1978, Sub-Saharan Africa’s GDP was about $490 while China’s averaged was about $156. Therefore, it is not new China to consider helping other developing countries at a time when Beijing seems to be in need.

Therefore, the continued good relations and development assistance from China to several African countries and the rest of global south should not be interpret as Beijing’s hidden agenda but rather, Chinese belief in promoting sprit of a shared prosperity for mankind.

Today, as CPC and People’s Republic of China in general mark 100 years of success, there are many lessons countries world over can draw from China’s governance and leadership model. Arguably, CPC is one of largest and vibrant old political parties in the world and tops the list of political parties enjoying citizen’s support. Indeed, a May 2021 study by Washington Post revealed that 98% of Chinese had trust in the national government. This was a great score compared with 2018’s Values survey which put the percentage at 95!

Perhaps the puzzle other governments should ponder at should be; how does CPC function to enjoy such huge support from not just party members but all citizens?

Looking at CPC right from the revolution time to date, it is evident that party leadership has always firmly put interest of people first whenever the government is developing policies. It is this magic that has seen the country able to provide better and functioning systems that support the country in all important sectors like health, transport, education, energy, creating employment opportunities for citizens, and ensuring security among others.

The other magic bullet CPC and Chinese government employed that can’t be under looked is creating a knowledge-based governance system. This has been achieved through party leadership’s commitment of ensuring right people with right knowledge are put in right place to ensure government policies and plans work and results are seen in given timelines. Coupled with the party’s leadership stance against corruption, when government makes a promise to people, results are delivered.  It is model that embraces merit over mediocracy that has seen the country achieve set goals year after year, thereby leaving citizens contended and trusting their government.

Beijing’s decision to maintain her non- interference policy in affairs of sovereign states has left Beijing a friend to many. If looked critically, this has saved the country unnecessary expenses and costs that come with meddling in internal affairs of other countries. This means the country has enough time to plan, put to good use resources and work for her people and where necessary offer a helping hand to other countries instead of imposing their beliefs and influence in quest for global hegemony.

As we look forward to another century – a journey CPC has started today, China is proving to the world that communism with Chinese characters work best, not because Beijing forces it on other nations, but people of the world can see success in China which resonates well with their aspirations.  To CPC and People’s Republic of China, congratulations for reaching this far.  What China has just celebrated is by all definitions a century of success and provides countless lessons to other developing countries on how to dream big and realise such dreams.

Allawi Ssemanda is a senior research fellow at Development Watch Centre, a Foreign Policy Think Tank.

Uganda has reasons to celebrate China’s 100 years success.

By Ivan Agaba.

The co-operation between china and Uganda marked a turning point in the history of development in Uganda. The bilateral relationship between China and Uganda has been elevated to a comprehensive co-operative partnership and with the joint efforts of both sides, bilateral relations have been growing steadily and rapidly, with continuously enhanced mutual trust, fruitful results in practical co-operation and close co-ordination in international and regional affairs.

At present, China-Uganda relationship is at its best in history and has emerged even more consolidated from the test of covid-19.

In the last four years, president Xi jinping and president Yoweri Museveni have met with each other three times, reaching a series of important consensuses that provide clear orientation and strong impetus to the development of bilateral relations.

Over the past years, china and Uganda have been supporting each other in solidarity in well and woe. There is no better example than the joint efforts in the face of the challenge of a century -the covid-19 pandemic.

The two countries and people have been fighting shoulder to shoulder against the virus, sparing no effort to safe guard life and health. The support extended to each other during these trying times has left a touching chapter of solidarity in the history of china- Uganda relations.

We will not forget the important role the national stadium of Uganda (Namboole), a china aided project, has played by serving as a temporary hospital for the fight against the pandemic.

The Chinese medical team at the China-Uganda friendship hospital spared no effort to help as our country races to contain the virus. In same context, China has on many occasions invited the Ugandan health experts to participate in video conferences on technical exchanges and connected Chinese medical institutions with Ugandan hospitals to share experiences.

In infrastructure sector, many of Uganda’s major projects have been commissioned or have made substantive progress which include Kampala express way, the first of its kind in the country, Isimba hydro power plant, karuma hydro power plant, among others all have Chinese support. For any economy to be productive, at some point, you will need power to support industrialization which China through its technocrats have helped Uganda in constructing and financing these major projects. Upgrading and expansion of Entebbe international airport, rural electrification project, oil drilling in the Albertine region by CNOOC of china, construction of an airport at kaabale in Hoima oil city all shows the benefits of the good relations between the two sister countries. A deep analysis shows that all these projects are serving to lower the cost of investment and doing business in Uganda, providing enhanced foundation for further social-economic development of Uganda.

In field the field of trade, from 2017 to 2020, Uganda investments authority figures show that the trade between the two countries amounted to $3.177 billions, with Uganda export to china rising by 18.5% from$33.41millions to $39.69millions per annum.

The total foreign direct investment from China to Uganda stands at $672millions, some going to the building of industrial parks, which is one of the priorities of Uganda’s country building. Such parks including Kapeeka industrial park and mbale industrial park have several Chinese investments like in the park are investments managed by China’s Zhong Da Group and Zhang’s Group. These investments have created tens of thousands of employment opportunities and many products proudly made in Uganda.  The China aided industrial skills training and production Centre and the luban workshop commissioned by president Yoweri Museveni are also worth mentioning.

As a friendly country to Uganda, China also provided support to Uganda in other crucial fields such as emergency food assistance, locust control, flood relief, Ebola prevention, refugee relief, customs modernization and access to satellite Tv for 10,000 African villages project in Uganda. The lida packaging products limited which produces masks locally in Uganda is another highlight.

China’s people to people exchanges program have also made remarkable achievements. From 2017 to 2020, over 376 Ugandan students have been offered scholarships to study in China and over 1500 Ugandans attended workshops in China in a variety of fields, including public administration, economic and trade, vocational skills, agriculture, health, education and sports among many others. This project will help Uganda develop further since it supports human development capital.

With continued local efforts and support from friendly countries like China, it is a matter of time, the long-awaited middle-income status is surely in the corner since drivers of a sustainable economy are almost being finalized by Ugandan government with support and investments from friendly allies like the people’s Republic of China. If the mutual trust and benefits between the two countries continues, there is no doubt that development in Uganda will hit double standards.

China, after all is a good example to Uganda as a developing country, Uganda has a lot to learn from China’s success that saw the country once with a big number of poor citizens ending extreme poverty in a record set time thanks to China’s ruling communist party that is now celebrating 100 years of existence. This way, as a Ugandan there are many reasons to join Chinese in cerebrating CPCs 100 years since their success has a bearing on ours.

Agaba Ivan, Research assistant with Development Watch Centre, a Foreign Policy Think Tank.

 

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