The Post-COVID-19 Economic Challenges for the African Continent
The post-pandemic world will be a less forgiving one, writes Professor Danny Leipziger on African debt distress in the wake of COVID-19.
The post-pandemic world will be a less forgiving one, writes Professor Danny Leipziger on African debt distress in the wake of COVID-19.
“By April 11, the authorities in Guangzhou had identified one hundred and nineteen ‘imported’ cases of COVID-19, twelve of which concerned nationals of African countries. A cluster of local, non-imported infections in the city was traced to a single African restaurant.”
“There is no doubt that the coronavirus pandemic will lead to enormous changes for countries in both Africa and the world. What might a post-COVID-19 Africa look like? We are starting to glimpse the shape of the continent to come—and it’s not all bad news (although there is plenty of that).”
“Media reports suggest Mombasa could soon be transferred to the ownership of China as collateral for unpaid Kenyan debt. Likewise the United Arab Emirates (UAE) could gain control of Port Sudan.”
“Russia has far closer long-term partnerships with Egypt, Algeria, and Morocco than other African countries. These relationships are built on arrangements such as arms sales, the construction of nuclear power plants, oil and gas projects, and agricultural exports.”
“For Africa, COVID-19 is a critical reminder of just how peripheral the continent is in the current geopolitical framework… At the same time, the collapse into nationalism and self-preservation in other countries is a jolting reminder that African governments are far too dependent on the benevolence of other regions, plus the secondary benefits of containment progressing well elsewhere.”
“Serial financial crises and political meddling have weakened the operations of the World Health Organisation for decades but the rivalries between the United States and China over the coronavirus pandemic have taken it to new depths.”
“Trade between China and Africa fell by 14% to $41 billion in the first three months of 2020 compared to the same period in 2019, according to figures from China’s General Administration of Customs.”
“The African diaspora has long thrived in southern China. But this may all change following the pandemic. In tackling the spread of COVID-19, the Chinese government has employed a variety of technologies to surveil and trace individuals. These may soon leave little room for the kinds of irregular migration, mobility and living situations that have allowed many African communities to live, work and operate.”
“The moral and practical dilemmas that African countries face are enormous. While some countries may, to some degree, benefit from the lessons learned and infrastructure built in the fight against Ebola, the characteristics of COVID-19 present different trade-offs. The problem with COVID-19 is not that it is so lethal, but that it can spread under the radar as presymptomatic and even asymptomatic patients can be vectors.”
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