A new U.S. law designed to keep Chinese telecommunications companies out of American networks is threatening to delay, disrupt, or kill vital U.S. military, diplomatic, and aid programs, particularly in Africa and Asia, where Chinese telecoms are the only game in town.
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COVID-19 will trigger a sharp drop in household incomes in Middle East and North African (MENA) countries that are fragile and in conflict situations, such as Afghanistan, Djibouti, Iraq, Lebanon, Sudan, and Somalia. As export earnings suffer and social distancing reduces domestic activity, incomes will decline—especially for informal and low-skilled workers, including within large internally displaced populations and refugees.
African states expect a devastating impact on their economies this year from the Covid-19 pandemic and are appealing for relief from repayments on billions of dollars in outstanding debt to cope. Most of those appeals involve China, the biggest lender to the continent, but it is unclear how Beijing will respond.
Either Beijing will find innovative ways that benefit debtor nations or it will be seen as just another predatory lender in a long history of empire builders. The backlash to China’s presence in lands around the world will soon follow, along with fractured political and economic relationships that become difficult, if not impossible, to mend.
Indian companies have a head-start in translating those growth trends into profitable, sustainable enterprises. From deep experience in their home market, they know how to overcome the challenges that limit markets and make life harder for ordinary people. Africa should be high on the agenda of Indian companies targeting global growth. Their innovations and investments can create both outsize returns and real social impact.
India has begun to implement plans to expand its diplomatic footprint across resource-rich Africa, appointing ambassadors to countries where previously it had no representation, such as Djibouti and Burkina Faso. New Delhi seeks to extend its diplomatic reach to 47 out of 54 African nations, up from the existing 29, with the new appointments.
Gulf states with deep pockets and big appetites are asserting themselves in the Horn of Africa as never before. The flurry of new economic and military investments is reshaping geopolitical dynamics on both sides of the Red Sea, as two formerly distinct regions are fast becoming one.
Three common misconceptions in Western media and policy circles about the nature of China’s involvement in Africa interferes with US policymakers’ ability to craft and implement an effective Africa strategy. Debunking these myths will foster a more constructive understanding of Beijing’s interactions with the continent and allow the United States to focus on areas of competitive advantage.
Photo courtesy: Asian Development Bank
For eons, the earth has had the same amount of water—no more, no less. What the ancient Romans used for crops and Nefertiti drank? It’s the same stuff we bathe with. Yet with more than seven billion people on the planet, experts now worry we’re running out of usable water. The symptoms are here: multiyear droughts, large-scale crop failures, a major city—Cape Town—on the verge of going dry, increasing outbreaks of violence, fears of full-scale water wars. The big question: How do we keep the H20 flowing?
