PSince 2014, a Cape Town father, Henri Terblanche has been campaigning formore parental leave for fathers. Fathers were only entitled to 3 days familyresponsibility leave as stated in the Basic Conditions of Employment Act.



Mr. Terblanche’s campaign was based on research done in Norway and Sweden
and emphasised the benefits it would have for our society. The African
Christian Democratic Party (ACDP) then tabled a private member’s bill, relying
principally on Mr. Terblanche’s campaign, to help push the process.



What the Bill entails 
The Bill provides for 10 days paid parental leave for fathers, as well as 10
weeks consecutive leave for mothers.



The Bill was seen as a major breakthrough for same-sex couples, especially
men, who were never entitled to the time needed to introduce a child into their
family and bond with it.



The Bill also provides for parents of adopted children under the age of 2
years. An employee is entitled to at least 10 consecutive weeks of adoption
leave, which starts on the day the adoption order is granted.



For a surrogate motherhood agreement, a commissioning parent is also allowed
at least 10 consecutive weeks of leave, which begins on the date of
childbirth.Only one parent may take adoption or commissioning parental leave
(both 10 weeks). The other must take parental leave (10 days).



In November 2017 the Labour Law Amendment Bill was passed by Parliament.



A big victory for parents 
On 23 November 2018 President Cyril Ramaphosa signed the Labour Relations and
Labour Amendment Acts into law.



This is a major step forward for parents in South Africa. “For fathers to be
able to claim their parental leave from UIF is a much bigger victory than it
may seem” says Christelle Helling from the South African Payroll Association
(SAPA).



What this means for companies 
“Companies will have to revise their policies and procedures to accommodate the
changes to the Basic Conditions of Employment Act” notes Helling.



These changes will have to be implemented fast because the Act comes into
effect from January 2019.



How South Africa compares to the rest of the world 
Around the world fathers’ rights to paid paternity leave varies greatly. When
compared to the rest of Africa, our new law of 10 days paid parental leave is
very progressive, as the norm is between three and five days.



We also compare favourably to countries such as Italy (one day, paid), New
Zealand (two weeks, unpaid) and the United States of America (12 weeks,
unpaid).



We do however still fall behind countries like India (three weeks, paid),
Iran (three weeks for the first and second child, paid), Spain (15 days, paid),
Finland (54 days, paid) and Iceland (3 months, paid).



However slow the progress might have been, at least we are catching up.



Provided by the South African Payroll Association

Has South Africa caught up with the world when it comes to parental leave?

By <a href="https://theconversation.com/profiles/gaathier-mahed-185827">Gaathier Mahed</a>, <a href="http://theconversation.com/institutions/nelson-mandela-university-1946">Nelson Mandela University</a>


When you think of a country’s water resources, you may not realise that there are many kinds. Some is surface water, such as dams and rivers. There’s also groundwater, which includes aquifers and, in some places, artificial recharge schemes that transfer surface water below-ground to store it.

Ideally, countries should take an integrated approach to water resource management to help reduce strain on specific water resources while also extending the lifespan of a region’s water supply. Crucially, it involves efficiently managing surface and groundwater resources in tandem.

Many African countries tend to mismanage their groundwater resources. In many instances it’s over exploited and heavily contaminated and in other situations it is merely considered an emergency resource. Instead of managing their aquifers, they advocate for the <a href="http://blog.worldagroforestry.org/index.php/2017/05/10/kenya-launches-national-program-to-harvest-rainwater/">construction of dams to capture surface water</a>. 

This approach might work in wealthier countries that can afford to invest in massive infrastructure. It might also be viable in places that don’t record such high rates of surface water evaporation. But it’s not ideal for African countries. 

Some years ago, my colleagues and I set out to see whether Southern Africa was ready to shift its focus towards groundwater and, ultimately, to integrated water resource management. To do this, <a href="https://scholar.google.co.za/citations?user=m6uqRGMAAAAJ&amp;hl=en#d=gs_md_cita-d&amp;p=&amp;u=%2Fcitations%3Fview_op%3Dview_citation%26hl%3Den%26user%3Dm6uqRGMAAAAJ%26citation_for_view%3Dm6uqRGMAAAAJ%3Au5HHmVD_uO8C%26tzom%3D-120">we assessed</a> how countries in the <a href="https://www.sadc.int/">Southern African Development Community</a> were managing their ground water resources. 

We found that the majority of the countries, have poor governance and record keeping of groundwater resources. Widespread degradation and groundwater contamination were also among the major issues. And, though a few years have passed since this work was done, there have been no real improvements. This is worrying, since the continent’s water problems are <a href="https://thewaterproject.org/water-crisis/water-in-crisis-rural-urban-africa">only getting worse</a>.

These countries and others like them need to develop policy and legislation that stops treating groundwater like an afterthought. Countries must also invest in developing people with the technical skills needed to manage all elements of a water plan, whether that relates to surface water or groundwater. And more public education drives are needed so that ordinary people start understanding the value of groundwater, and protecting this precious resource accordingly.

<h2>Creating a protocol</h2>

Our first step in <a href="https://scholar.google.co.za/citations?user=m6uqRGMAAAAJ&amp;hl=en#d=gs_md_cita-d&amp;p=&amp;u=%2Fcitations%3Fview_op%3Dview_citation%26hl%3Den%26user%3Dm6uqRGMAAAAJ%26citation_for_view%3Dm6uqRGMAAAAJ%3Au5HHmVD_uO8C%26tzom%3D-120">this study</a> was to create a framework for assessing the status of countries’ groundwater management. We drew a number of insights from the <a href="http://www.amcow-online.org/">African Ministerial Council on Water</a>; examined countries’ available documents related to groundwater; assessed scientific literature on the subject and weighed this all up against generally accepted “best practice” in the field of water management.

The <a href="https://www.gwp.org/">Global Water Partnership’s</a> integrated water resource management <a href="https://www.gwp.org/en/learn/iwrm-toolbox/About_IWRM_ToolBox/">toolbox</a> provided a useful benchmark for our work. We drew from its parameters to give countries a rating of “good”, “limited” or “below expectation” in different categories related to water management.

Some countries performed reasonably well. Botswana, Namibia, South Africa and Mauritius, for instance, have functional groundwater databases. This means that they are keeping records of what is occurring in terms of groundwater projects, such as boreholes drilled, as best as they can.

But we identified major shortcomings, too.

Most countries in our study didn’t have any proper plans in place for managing their groundwater resources. Almost all were either over exploiting their groundwater or contaminating it.

<a href="https://www.crcpress.com/Groundwater-Pollution-in-Africa/Xu-Usher/p/book/9780415411677">Groundwater pollution</a> was among the big issues we identified. For example, people in villages often build pit latrines close to the wells from which they extract potable water. This is probably partly because people don’t know about the risks involved – but it’s also evidence of governments not doing enough to protect groundwater sources. 

These findings suggest that there’s much more to be done in terms of integrated water management in these countries. And groundwater management must be prioritised as part of this integrated approach. 

<h2>Plans and policies</h2>

Countries must develop policies and plans that include the management of existing dams and aquifers; offer guidelines for rainfall harvesting and outline effective irrigation strategies that don’t deplete groundwater resources.

One approach which could work particularly well is <a href="https://link.springer.com/article/10.1007/s40899-017-0212-6">banking water in aquifers</a>. It involves inserting water from multiple sources into groundwater reservoirs so it can be tapped at a later stage. This method is already used in various parts of the world and is known as Managed Aquifer Recharge. 

Audits of water use, especially among industrial users, can be helpful in determining where wastage is happening. 

Governments can also develop educational interventions to teach people about different kinds of water resources and how to protect them from misuse, pollution or over use. This approach has been <a href="http://waqfacademy.org/wp-content/uploads/2013/02/SaniBook_Draft_2Aug09_1c_Part2_chapter13.pdf">very effective</a> in parts of the Middle East, where mosques and schools have been used to educate communities about water resources and proper use.<img loading="lazy" decoding="async" src="https://counter.theconversation.com/content/107614/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important; text-shadow: none !important">

<a href="https://theconversation.com/profiles/gaathier-mahed-185827">Gaathier Mahed</a>, Geohydrologist Department of Geosciences, <a href="http://theconversation.com/institutions/nelson-mandela-university-1946">Nelson Mandela University</a>

This article is republished from <a href="http://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/southern-african-nations-need-to-up-their-groundwater-management-game-107614">original article</a>.

Are Southern African nations doing enough to manage their groundwater resources?

NAIROBI (Reuters) &#8211; Somalia’s economic growth is expected to pick up in 2018 as it recovers from drought that had reduced farming output, the International Monetary Fund said on Tuesday.



It said it projected gross domestic product at 3.1 percent this year from 2.3 percent in 2017. Somalia exports bananas and also produces sorghum.



“Economic activity in 2018 is recovering from the 2016–17 drought. A favourable rainy season is supporting the economic recovery, particularly in the agricultural and livestock sectors; this is leading to a decline in food prices,” the fund said in a statement.



The IMF expects inflation to reach 3.5 percent this year, down from 5.5 percent in 2016.



Somalia has been in turmoil since 1991, when clan-based warlords overthrew dictator Siad Barre and then turned on each other. Over the past decade it has also been hit by an insurgency waged by al Qaeda-linked al Shabaab, as well as famine and maritime piracy.



Reporting by Aaron Maasho; Editing by Matthew Mpoke Bigg

Here’s how much the IMF expects Somalia’s GDP to grow by in 2018

ABUJA (Reuters) &#8211; Nigeria’s economy grew 1.81 percent in the third quarter of 2018 from a year earlier, pushed higher by the non-oil sector, the statistics office said on Monday.



The figures are a slight improvement from the previous quarter, when a slowdown in growth sparked fears that Africa’s biggest oil producer might enter recession for the second time in three years.



But a sluggish recovery since 2017 could bode poorly for President Muhammadu Buhari, who is seeking a second term in February 2019 elections and for whom economic rejuvenation has been a key pillar of policy.



The non-oil sector grew 2.32 percent in the third quarter, the National Bureau of Statistics (NBS) said, adding that information and communication services were the main driver of the expansion.



Oil production rose slightly to 1.94 million barrels per day (mbpd) in the period, from 1.84 mbpd in the previous quarter, yet the sector’s growth contracted 2.91 percent from the previous year when production was at 2.02 mbpd, the statistics office said.



Reporting by Paul Carsten; Editing by Raissa Kasolowsky

Nigeria’s economy grows by 1.81 percent in Q3, pushed higher by the non-oil sector

Robert Mugabe’s name is <a href="https://www.sahistory.org.za/people/robert-mugabe">synonymous</a> with both Zimbabwe’s liberation struggle and its post-colonial politics. His role and that of his Zanu-PF party have been central to the country’s dynamics since the early 1960s – and could well set the tone for the foreseeable future. 

For much of his political life Mugabe has often been viewed, in the words of one of his biographers <a href="https://books.google.co.za/books?id=vQY4DgAAQBAJ&amp;pg=PT23&amp;lpg=PT23&amp;dq=Martin+Meredith,+Mugabe+%22secretive+and+solitary%22&amp;source=bl&amp;ots=DmCK97xurM&amp;sig=PymYcd-DCAyFl-2WFRS18fAIbao&amp;hl=en&amp;sa=X&amp;ved=2ahUKEwijmNmroPneAhWQsKQKHZANDhAQ6AEwAnoECAgQAQ#v=onepage&amp;q=Martin%20Meredith%2C%20Mugabe%20%22secretive%20and%20solitary%22&amp;f=false">Martin Meredith</a>, as “secretive and solitary”, an “aloof and austere figure”.

However he is described, there’s no doubt that Mugabe’s political legacy is highly contested. To understand how this happened, it’s necessary to examine his personal history; his <a href="https://www.washingtonpost.com/news/monkey-cage/wp/2018/11/17/its-been-one-year-since-zimbabwe-toppled-mugabe-why-isnt-it-a-democracy-yet/?utm_term=.11c978401892">political demise</a> in 2017; and Zimbabwe’s <a href="https://www.theguardian.com/world/2018/oct/19/zimbabwe-needs-aid-to-prevent-further-crisis-warns-ruling-party">deepening political and economic crisis</a> more than a year after Mugabe’s ouster.

For the faction that has succeeded Mugabe, led by President Emmerson Mnangagawa, moving beyond the highly problematic legacy that they helped to create remains a daunting task.

<h2>Early life</h2>

Robert Mugabe was born 94 years ago at Kutama Mission in Zvimba District, west of what was then called Salisbury, the capital of then <a href="https://www.britannica.com/place/Southern-Rhodesia">Southern Rhodesia</a> (today’s Zimbabwe). He received a <a href="https://www.history.com/topics/africa/robert-mugabe">Jesuit education</a> and was by many accounts an exceptional student.

In 1945 Mugabe left Kutama Mission with a teaching diploma. He won a scholarship to South Africa’s Fort Hare University in 1949. There he met other emerging nationalists and was <a href="http://www.channelafrica.co.za/sabc/home/channelafrica/news/details?id=7aa25498-9448-4324-89c2-e4f62a324e17&amp;title=The%20rise%20and%20fall%20of%20Mugabe">introduced to Marxist ideas</a>. 

Armed with a BA degree in history and English Literature, Mugabe returned to Southern Rhodesia in 1952. He soon moved to the Northern Rhodesia (today’s Zambia) in 1955 to take up a teaching post. In 1958 he moved again, to a teacher training college in Ghana. There, a year after Ghana’s independence in 1957, he experienced the thrill and sense of possibility of a newly independent African state. It was a seminal political moment for him.

<h2>Making of a revolutionary</h2>

Mugabe returned home in 1960 on extended leave to introduce his new wife <a href="https://www.zambianobserver.com/the-forgotten-story-of-sally-mugabe-the-beloved-mother-of-zimbabwe-robert-mugabes-first-wife-and-true-love-the-woman-whose-death-changed-president-mugabe-forever/">Sally Hayfron</a> to his family. Instead of returning to Ghana, he became entangled in nationalist politics. This included the turmoil that the two major nationalist parties, <a href="https://www.jstor.org/stable/30035743?seq=1#metadata_info_tab_contents">Zimbabwe African People’s Union (Zapu) and Zimbabwe African National Union (Zanu)</a>, split. 

In 1963 he was arrested, along with many other nationalists. He was <a href="https://www.thezimbabwean.co/2011/10/dtente-the-release-of-nationalist/">released</a> after 11 years. 

Mugabe and his colleague <a href="https://pindula.co.zw/Edgar_Tekere">Edgar Tekere</a> escaped to Mozambique in 1974 to join the liberation war against the regime of <a href="https://www.britannica.com/biography/Ian-Smith">Prime Minister Ian Smith</a>, conducted from bases in that country. There have been different accounts of Mugabe’s rise to the top of the leadership in Mozambique. As liberation war veteran <a href="https://www.iol.co.za/news/africa/a-real-zimbabwean-war-veteran-speaks-97206">Wilfred Mhanda tells it</a>, their support for Mugabe was premised on his commitment to building unity between the rival nationalist movements. 

But he reneged on this, instead pursuing the supremacy of his own party Zanu.

Following the Lancaster House settlement and the <a href="https://www.jstor.org/stable/40395186?seq=1#metadata_info_tab_contents">1980 elections</a>, Mugabe’s Zanu emerged as the dominant party. He set out his policy of <a href="https://www.jstor.org/stable/j.ctt24hd4n.7?seq=1#metadata_info_tab_contents">reconciliation with the white population</a>. This allowed the existing property and economic relations from the Rhodesian period to continue, while the politics of state control was transferred to Zanu. 

This period witnessed the consolidation of Mugabe’s control of both his party and the state. The massive violence committed against the competing party of liberation, <a href="https://www.pindula.co.zw/Zimbabwe_African_People's_Union">Zapu</a>, through the <a href="https://books.google.co.za/books?id=zi-tWekXbD8C&amp;pg=PA19&amp;lpg=PA19&amp;dq=%22the+early+rain+which+washes+away+the+chaff+before+the+spring+rains%22&amp;source=bl&amp;ots=dWX2SIUj7r&amp;sig=0aDLpmmQfN93e_RNJuKcBmGGEYI&amp;hl=en&amp;sa=X&amp;ved=0ahUKEwioi-joj6LWAhWE7hoKHRF_C7wQ6AEIOTAD#v=onepage&amp;q=%22the%20early%20rain%20which%20washes%20away%20the%20chaff%20before%20the%20spring%20rains%22&amp;f=false">Gukurahundi massacres</a>, signalled Zanu’s violent intolerance of opposition. 

However, the 1980s were also evidence of Mugabe’s commitment to social policies such as health and education. Mugabe’s government greatly expanded the state expenditure in these areas in the <a href="http://www.africanbookscollective.com/books/zimbabwe.-the-political-economy-of-transition-1980-1986">first decade of independence</a>. 

The hostilities between Zapu, led by Joshua Nkomo, and Mugabe’s Zanu officially ended with the signing of a <a href="https://pindula.co.zw/Unity_Accord">Unity Accord</a> by the two leaders on December 22, 1987. Zapu was effectively swallowed by Zanu PF. The ruling party had used the acronym since the end of the brief Patriotic Front coalition (1976-79) between the two liberation parties, on the eve of the 1980 elections. 

<h2>Things go south</h2>

During the 1990s, opposition to Mugabe <a href="https://www.researchgate.net/publication/300366769_The_Movement_for_Democratic_Change_MDC_and_the_Changing_Geo-Political_Landscape_in_Zimbabwe">grew</a> in size and influence. Faced with the real possibility of political defeat – and dissent from the war veterans – Mugabe drew on <a href="https://www.hrw.org/reports/2002/zimbabwe/ZimLand0302-02.htm">longstanding land grievances</a> to reconfigure the politics of the state and Zanu-PF. 

His <a href="https://www.tandfonline.com/doi/full/10.1080/00358530500082916">Fast Track Resettlement</a> programme radically reconstructed the land relations from the settler colonial period. There is a continuing debate about the effects of the land redistribution exercise. It resulted in the violent allocation of land to a combination of large numbers of small farmers and the ruling party elite, and its long term impact on the country’s economy remains problematic.

The process also created a massive rupture between <a href="https://www.files.ethz.ch/isn/111691/P202.pdf">human and redistributive rights </a>. By legitimising the Fast Track programme, Zanu-PF emphasised economic redistribution and settling the colonial legacy around the land question. 

But in doing so, the ruling party opportunistically labelled the fight for human and democratic political rights – which had long been central to the anti-colonial struggle – as a foreign <a href="https://www.pressreader.com/south-africa/sunday-times/20180218/282342565314857">“regime change agenda”</a> pushed by the opposition Movement for Democratic Change (MDC) and civic movements. 

The politics of the land reform process unleashed many questions around citizenship, belonging, and assertions of identity. Mugabe’s often valid critique of imperialist duplicity was accompanied by an unacceptable authoritarian intolerance of dissent within Zimbabwe. 

The armed forces were <a href="https://theconversation.com/after-mugabe-why-the-role-of-zimbabwes-army-cant-be-trusted-87872">central to his stay in power</a>. The push in his final years to have his wife Grace succeed him heralded a <a href="https://www.news24.com/Africa/Zimbabwe/mugabe-announces-appointment-of-controversial-wife-grace-to-a-key-post-20170915">longer term reign for a Mugabe dynasty</a>. To further his wife’s ambitions, Mugabe first moved against Vice President Joyce Mujuru, the favoured contender to succeed him, in <a href="https://www.dw.com/en/clues-to-successor-as-mugabe-names-vice-president/a-18122886">2014</a>.

Next, the Mugabes, with the support of a faction of Zanu-PF known as the <a href="https://www.reuters.com/article/us-zimbabwe-politics-g40-factbox/factbox-key-figures-in-zimbabwe-first-lady-grace-mugabes-g40-faction-idUSKBN1DF1DX">G40 group</a>, took on another potential successor, Vice President Mnangagwa. He was dismissed from his state and party positions in <a href="https://www.chronicle.co.zw/mnangagwa-fired-disloyal-disrespectful-deceitful2/">early November 2017</a>.

This set off a dramatic series of events. In mid- November 2017, following military chief Constantine Chiwenga’s warning of <a href="https://www.news24.com/Africa/Zimbabwe/counter-revolutionaries-want-to-destroy-zanu-pf-army-chief-tells-mugabe-20171113">“counter-revolutionaries”</a> in the ruling party, the armed forces <a href="https://theconversation.com/a-military-coup-is-afoot-in-zimbabwe-whats-next-for-the-embattled-nation-87528">effectively took power</a> away from the executive. 

This was followed by the initiation of an impeachment process against Mugabe. But, on the day the process began, in November 2017, <a href="https://www.bbc.com/news/world-africa-42071488">he resigned</a>. 

<h2>End of an era</h2>

For many Zimbabweans Mugabe remains a contested figure. For those who lived through the humiliations of <a href="https://www.jstor.org/stable/720978?seq=1#metadata_info_tab_contents">settler colonialism</a>, his strident critique of its legacies still ring true. But others will find it impossible to accept his exclusivist assertions of <a href="https://bulawayo24.com/index-id-opinion-sc-columnist-byo-129803.html">national belonging</a> and authoritarian intolerance of dissent.

When combined with the <a href="https://www.researchgate.net/publication/249599119_Zimbabwe_Now_The_Political_Economy_of_Crisis_and_Coercion">deep economic crisis</a> over which he presided, it is little surprise that the end of Mugabe’s rule was greeted with such momentous national celebration.<img loading="lazy" decoding="async" src="https://counter.theconversation.com/content/107840/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important; text-shadow: none !important">

By<a href="https://theconversation.com/profiles/brian-raftopoulos-100177">Brian Raftopoulos</a>, Research Fellow, International Studies Group, <a href="http://theconversation.com/institutions/university-of-the-free-state-1944">University of the Free State</a>

This article is republished from <a href="http://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/liberation-hero-mugabe-evokes-polarised-emotions-among-zimbabweans-107840">original article</a>.



<h2 class="wp-block-heading"></h2>

Why Mugabe’s political legacy is highly contested

JOHANNESBURG (Reuters) &#8211; The chairman of KPMG South Africa on Monday appealed for the firm to be seen as a changed business, following months of efforts to regain public trust after becoming embroiled in major corruption scandals.



In an open letter published in South African newspapers, KPMG South Africa’s executive chairman Wiseman Nkuhlu said the local unit of the audit giant was “very different” from 18 months ago, after a period of significant introspection and change.



“I would like to make an appeal to South Africa-business, government and the public,” he wrote, asking for recognition of its efforts, patience and the chance to play a positive role in South Africa.



“KPMG has nothing to hide,” the letter also said, adding the firm had cooperated with inquiries and would accept responsibility for its misdeeds.



KPMG has apologised repeatedly for its role in some of South Africa’s largest corruption scandals, which have damaged the reputation of one of the world’s biggest audit firms at a time when it is also facing criticism for its practices elsewhere.



Its South African unit lost several major clients and had to overhaul its leadership over work done for the Gupta family, friends of former president Jacob Zuma who were accused of unduly influencing the awards of billions of rand in government contracts. Zuma and the Guptas have denied any wrongdoing.



It also audited the results of VBS Mutual Bank during a period when almost 2 billion rand ($141 million) was looted from the lender, with the unit reporting a former partner to the police as a result, and came under fire over a report into the South African Revenue Service.



Nkuhlu pointed to a number of things the firm had done to regain trust, including appointing a new chief executive and agreeing to repay 47 million rand in fees earned from Gupta companies, but acknowledged this would not happen quickly.



“We failed by our own standards and we let the country down,” he wrote.



($1 = 14.1565 rand)



Reporting by Emma Rumney; Editing by Mark Potter

Should KPMG South Africa be given a second chance following corruption scandals?

DAKAR (Thomson Reuters Foundation) &#8211; Major chocolate companies have failed to keep a promise they made a year ago to stop forests in West Africa being destroyed for cocoa production, a campaign group said on Friday.



Companies from Mars to Hershey to Barry Callebaut joined the governments of Ivory Coast and Ghana to launch the Cocoa and Forests Initiative last year, pledging to eliminate the production and sourcing of cocoa from protected forests.



But satellite images of Ivory Coast’s southwest cocoa-growing region showed about the same amount of forest had been lost in the 12 months since the pledge was made as in the previous year, campaign group Mighty Earth said in a report.



“I would have expected to see some deforestation continue, because it’s very hard to transform an entire industry overnight, but I did not expect to see it continue exactly the same as before,” said the report’s author, Etelle Higgonet.



If deforestation continues unabated, Ivory Coast &#8211; the world’s top cocoa producer &#8211; risks losing all its forest cover by 2034, environmental campaigners say.



But stopping it is a challenge since the cocoa grown on that land provides livelihoods for hundreds of thousands of farmers and their families.



Land is scarce, so poor farmers often expand into forests or parks to raise their incomes, experts say.



Mighty Earth recorded 13,748 hectares of deforestation &#8211; equivalent to 15,000 football fields &#8211; in Ivory Coast’s southwest region between Nov. 2017 and Sept. 2018.



This put it on track to reach about the same figure as last year &#8211; 14,827 ha &#8211; by November, Higgonet said.



The group was not able to obtain data as precise from Ghana, but observed a similar lack of change there, she added.



The World Cocoa Foundation (WCF), the industry group behind the Cocoa and Forests Initiative, said recent reports show there has been progress in national parks and classified forests.



“Our immediate priority has been to stop deforestation in the most ecologically important and environmentally sensitive areas, and we are encouraged to see positive results in less than one year,” said WCF president Richard Scobey.



Most of the recent deforestation hotspots are in rural areas outside protected forests, which is legal but still environmentally damaging, he told the Thomson Reuters Foundation.



Mighty Earth also accused companies of not upholding their pledge to stop buying cocoa from national parks.



Ivory Coast has estimated 40 percent of its cocoa comes from protected areas.



“I feel like people are taking me for a fool. Because if you do the math &#8230; somebody’s buying it,” said Higgonet.



Reporting by Nellie Peyton; Editing by Claire Cozens. Please credit the Thomson Reuters Foundation, the charitable arm of Thomson Reuters, that covers humanitarian news, women&#8217;s and LGBT+ rights, human trafficking, property rights, and climate change. Visit&nbsp;<a href="http://news.trust.org/">news.trust.org</a>

Why cocoa companies failed to keep promise to stop Africa deforestation

<figure><img decoding="async" src="https://images.theconversation.com/files/244893/original/file-20181111-38449-m9569f.jpg?ixlib=rb-1.1.0&amp;q=45&amp;auto=format&amp;w=754&amp;fit=clip" alt="File 20181111 38449 m9569f.jpg?ixlib=rb 1.1" /><figcaption>The leading causes of child injury in Ethiopia are road traffic crashes, burns, and drownings. 
Ikpro/Shutterstock</figcaption></figure>
<a href="https://theconversation.com/profiles/qingfeng-li-591123">By Qingfeng Li</a>, <a href="http://theconversation.com/institutions/johns-hopkins-university-1256">Johns Hopkins University</a>
Children in poorer countries are <a href="https://www.who.int/healthinfo/global_burden_disease/en/">far more</a> at risk of death and disability from injuries than their developed-world peers. These injuries include; road traffic injuries, drownings, poisoning, falls, burns and intentional injuries – like harm caused by another person.
Take Ethiopia as an example. Previous <a href="https://www.who.int/gho/publications/world_health_statistics/2018/en/">data</a> shows that each year Ethiopia has a high number of injury-related deaths and disabilities among children. Out of the country’s 83,516 total injury deaths <a href="https://www.who.int/gho/publications/world_health_statistics/2018/en/">in 2015</a>, 13,550 children were younger than five; 11,684 were children aged between five and 14. This is similar to other countries in the region.
But these are just figures. There needs to be a better understanding of the situation so that Ethiopia can implement effective, evidence-based action plans to tackle the problem.
<a href="https://journals.plos.org/plosone/article?id=10.1371/journal.pone.0194692">My colleagues and I set out</a> to provide a more robust estimate of just how many children in Ethiopia are being fatally injured and what is causing these injuries. We also predicted what would happen without any targeted interventions by 2020 and 2030.
We reviewed a huge variety of data from different sources and consulted with relevant government ministries like those dealing with health. We found that, unlike other model-based estimates which <a href="http://www.healthdata.org/ethiopia">show a decline</a>, the number of child injuries is growing. The leading causes of child injury in Ethiopia are road traffic accidents, burns, and drownings.
With this information, we hope that government and development agencies will be better informed in how to prevent children from getting injured. The results also serve as a rallying cry for an injury surveillance system at health facilities to keep monitoring the situation.
<h2>The study</h2>
Our work involved reviewing data both to understand what is already happening, and to project what might happen in the future if there are no interventions. Ultimately, the study focused on fatal and non-fatal child injuries from 2015 to 2030.
We did an extensive search for data, studies and government reports on injuries among children from birth to the age of 14. One of our major sources was the <a href="http://www.csa.gov.et/index.php?option=com_phocadownload&amp;view=category&amp;id=270&amp;Itemid=270">Ethiopian central statistical agency</a>. We also did an extensive literature review.
The study covered all types of injury, which can be categorised into intentional and unintentional injuries. Road traffic crashes, drownings, and burns are the most common types of unintentional injuries; intentional injuries include self-harm, harm caused by another person and collective violence – like terrorism or violent protests.
These were our key findings.
<ul>
<li>Injuries caused about 25,000 deaths among 0 to 14-year olds in Ethiopia in 2015. Our estimate is close to that from the World Health Organisation and more than two times higher than that from the global burden of disease <a href="http://www.healthdata.org/ethiopia">project</a>.</li>
<li>The leading cause of fatal, unintentional injuries among children was road-traffic injuries (25%). This is consistent with the country’s <a href="https://tradingeconomics.com/ethiopia/motor-vehicles-per-1-000-people-wb-data.html">rapid</a> motorisation during this period.</li>
<li>Next came fire, heat and hot substances (13%), followed by drowning (12%). The high incidence rate of injuries caused by fire, heat and hot substances may be because that many children in Ethiopia help their parents with cooking, and open flame cook stoves are commonly used.</li>
<li>The death rate due to injuries among 0–14 years olds was about 50% higher in males than females. This may be because boys <a href="https://academic.oup.com/jpepsy/article-pdf/23/1/33/2702257/23-1-33.pdf">were</a> exploring new things and taking more risks than the girls.</li>
<li>Rural children were at greater risk of injury than their urban peers. This is because the rural areas could be a more hazardous environment, with the children exposed to more water or fires, and the children have less supervision.</li>
</ul>
In terms of future trends, the annual mortality caused by injuries among children younger than five is projected to increase from 10,697 in 2015 to 11,279 in 2020 and 11,989 in 2030. The number of deaths among 0-14-year olds will be 26,463, 27,807, and 30,364 respectively in 2015, 2020, and 2030. These took population growth into account.
Without proper interventions, the problem is only going to get worse.
<h2>Increasing the risk</h2>
Next, we examined the risk factors associated with these injuries.
Unfortunately only a small number of risk factor studies were located in our literature review, mostly on child abuse, which is <a href="https://www.ncbi.nlm.nih.gov/pmc/articles/PMC3275868/">anecdotally</a> considered the most common form of child injuries in Ethiopia. Children were more at risk of injury if the prevalence of child sexual abuse was high (68.7%).
<a href="https://www.ncbi.nlm.nih.gov/pubmed/23335464">Being poor</a> was another major risk factor for fatal and non-fatal injuries. Age was also a factor: burns <a href="https://www.ncbi.nlm.nih.gov/pubmed/17370433">were common</a> among children aged between five and nine. Caregiver depression and maternal depression <a href="https://www.ncbi.nlm.nih.gov/pubmed/17002730">were also</a> linked to child injuries, particularly intentional physical injuries.
In consultation with Ethiopian government and other stakeholders, we propose starting an injury surveillance system at health clinics and hospitals and building an intervention package based on existing platforms, like the country’s <a href="http://www.hhpronline.org/articles/2016/12/17/the-health-extension-program-of-ethiopia">health extension program</a> &#8211; an initiative which expanded health facilities across the country.<img loading="lazy" decoding="async" style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important; text-shadow: none !important;" src="https://counter.theconversation.com/content/106643/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" />
<a href="https://theconversation.com/profiles/qingfeng-li-591123">Qingfeng Li</a>, Assistant Scientist, <a href="http://theconversation.com/institutions/johns-hopkins-university-1256">Johns Hopkins University</a>
This article is republished from <a href="http://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/what-puts-children-in-ethiopia-more-at-risk-of-being-injured-106643">original article</a>.

Here are the leading causes of child injury in Ethiopia

By Chris Bishop.
Business and households were given a pre-Christmas shock with a frank disclosure of the ruin of Africa’s biggest power generator amid claims of sabotage, corruption and decay where those who try to fix it are swept aside or forced out of their jobs. The only crumb of comfort is that the government promises to shake up South Africa’s power generator Eskom and has cancelled their Christmas holidays for its senior executives so they can tour the ageing power stations of the country to find out what is wrong.
“We have reshuffles in cabinet we are going to be reshuffles here as well,” says Pravin Gordhan, the public enterprises minister.
Gordhan and Eskom chairman Jabu Mabuza were called back from a road show for an emergency press conference at Eskom’s Megawatt Park in Sandton, Johannesburg. They painted a bleak picture of the failing national grid, supplied by Eskom, that has left many businesses and homes in the dark over the last few months. The grid of 47,000 MW is running on a mere 29,000 MW because of maintenance and breakdowns in the ageing power stations on the country, most of which were built in the 1970s. Eskom didn’t even know where the next break will be, he said.
“For business, we want to ensure by the time you get back to work in January we have a better situation,” says Gordhan.
But Gordhan acknowledged it was likely to be a grim fight against years of corruption and decay that has seen the pride of Africa’s power generation reduced to a load shedding shell.
“There has been declining production, the growing need for repairs, the lack of attention, we are not sure yet whether there is an undermining of the system, as well, let’s call it sabotage,” he says.
“Some of the problems can be ascribed to the age of the plant, but from about 2010 the investment in maintaining, repairing and big scale repairs were not done adequately. Enough money was not put into big repairs and mid-term repairs.” 
“ Often things were fixed with a very lousy old band aid supposed to last a week that comes unstuck in a few days, then you haven’t fixed it .We are looking at contactors not doing what they were supposed to do.”
Experts in Eskom who tried to fix the mess were either swept aside or forced to leave, Gordhan said.
The minister even admitted that his department was also a step behind what was going on at Eskom. It had merely on energy expert.
“The public was told we have a world class operation, but in the meantime all the malfeasance and mismanagment has gone on,” says Gordhan.
Eskom hopes to report back within ten days and plans to set up a team of experts to assess the damage to the power generation system.

Lights out, game on- No Christmas of rest and turkey for the bosses in a dingy tale of decay

<a href="https://theconversation.com/profiles/kate-elizabeth-gannon-601360">By Kate Elizabeth Gannon</a>, <a href="http://theconversation.com/institutions/london-school-of-economics-and-political-science-1219">London School of Economics and Political Science</a> and <a href="https://theconversation.com/profiles/declan-conway-434384">Declan Conway</a>, <a href="http://theconversation.com/institutions/london-school-of-economics-and-political-science-1219">London School of Economics and Political Science</a>
Climate change is going to have huge consequences all over the world, <a href="https://www.ipcc.ch/sr15/">especially in Africa</a>. Harvests will be affected, threatening agricultural outputs. This could hurt farmers and lead to greater food insecurity.
But there hasn’t been much discussion about what effects climate change will have in other areas – like in the continent’s small and medium business sector. This is a worrying oversight.
Our <a href="https://www.cambridge.org/core/journals/global-sustainability/article/business-experience-of-floods-and-droughtrelated-water-and-electricity-supply-disruption-in-three-cities-in-subsaharan-africa-during-the-20152016-el-nino/4E87FAB6F1703FB2558CB2D0EE9845E2">research</a>, conducted in Zambia and Botswana, revealed that businesses activities faced major disruptions during the 2015/2016 El Niño event. This was a result of drought-related water supply disruption in Botswana’s capital Gaborone, and disruption to hydroelectricity supplies in Zambia’s capital Lusaka.
<a href="https://www.livescience.com/3650-el-nino.html">El Niño</a> is one of the key drivers of variations in global climate conditions between different years. It recurs every two to seven years and it’s typically associated with reduced rainfall and drought conditions in southern Africa.
Reflecting this trend, the 2015/2016 El Niño was one of the <a href="https://journals.ametsoc.org/doi/10.1175/BAMS-D-16-0009.1">strongest on record</a>. It brought widespread drought conditions and heat waves to the region.
By impacting urban water and hydroelectricity supplies, this had major consequences for business activities in Gaborone and Lusaka, as our research shows. These cities’ experiences should serve as a warning for others across the continent, and systems should be put in place to protect particularly small businesses from the worst realities of a changing climate.
<h2>Under pressure</h2>
In Botswana, as lake levels in the Gaborone Dam dropped to <a href="https://onlinelibrary.wiley.com/doi/10.1002/2017EF000680/full#">historical lows</a>, businesses in Gaborone experienced decreased water pressure. In some cases businesses were completely cut off from piped water supply.
Lack of water for food preparation, butchery, irrigation, laundry, cleaning and sanitation had dire consequences for businesses such as hotels and guesthouses, restaurants, food businesses and other service industries. Hairdressers and car washing enterprises, for instance, came to a standstill as they struggled to provide services to customers or to maintain hygiene standards.
In Zambia’s capital Lusaka, where hydropower accounts for <a href="https://www.hydropower.org/country-profiles/zambia">94%</a> of the country’s electricity generation capacity, low lake levels in Lake Kariba contributed to unprecedented electricity blackouts, often lasting for eight hours at a time.
In Lusaka, activities reliant on electricity such as manufacturing, processing and communications were interrupted as equipment was immobilised. Assets were lost because they couldn’t be reliably heated or refrigerated. In both cities, supply chains were disrupted.
<figure><iframe loading="lazy" src="https://www.youtube.com/embed/Nu5pjijFFa4?wmode=transparent&amp;start=0" width="440" height="260" frameborder="0" allowfullscreen="allowfullscreen"></iframe><figcaption>A video explaining the authors’ findings.</figcaption></figure>
<h2>Infrastructure issues</h2>
Towards the end of 2016, as El Niño drew to a close, more than half of the 135 micro, small and medium enterprises we surveyed in Gaborone and Lusaka told us their profits would be lower than previous years. Almost a third believed that their business was at risk of closing down. Business owners said disruptions to water supply and power outages, in Gaborone and Lusaka respectively, were the greatest obstacles to them doing business.
The two cities’ experiences, alongside the widely reported “<a href="https://www.fin24.com/Economy/will-day-zero-loom-again-for-cape-town-20181005">Day Zero</a>” water situation in Cape Town, South Africa, should sound a warning for businesses elsewhere on the continent. Water shortages in Cape Town began during the El Niño, but extended into 2018 as drought conditions persisted.
<hr />
 
 
Read more: 
<a href="http://theconversation.com/day-zero-is-meant-to-cut-cape-towns-water-use-what-is-it-and-is-it-working-92055">Day Zero is meant to cut Cape Town&#8217;s water use: what is it, and is it working?</a> 
 

<hr />
Climate change events like droughts are only going to get worse – and urban centres where many small, medium and micro enterprises thrive will be in the eye of the storm. The 2015/2016 El Niño highlighted that even fairly moderate changes in rainfall can have major consequences for businesses in African cities.
<a href="https://www.csis.org/analysis/urbanization-sub-saharan-africa">More people are moving to cities</a>, setting up businesses and connecting, often for the first time, to water and electricity grids. This increases demand and places pressure on existing water and energy infrastructure.
At the same time, a complex set of factors has limited the development of new infrastructure and the effective management of existing resources. This means cities are struggling to keep up with the increased demand.
These factors, which include under-investment in infrastructure, policy uncertainty, governance challenges and poor municipal service provision, exacerbated the effect of drought in Botswana, Zambia and South Africa.
<h2>Preparing for a new reality</h2>
So what can be done to address these realities?
First, action is needed across sub-Saharan Africa to increase understanding of the vulnerabilities in existing water, energy and urban infrastructure – alongside the effects of increasing urbanisation and a changing climate.
And, second, small and medium sized businesses, which are <a href="https://www.norfund.no/getfile.php/133983-1484571386/Bilder/Publications/SME%20and%20growth%20MENON%20.pdf">key drivers of economic growth across sub-Saharan Africa</a> and provide many people with a livelihood, need more support from governments and policy makers to help them cope with disruption.
This should include better access to information about the timing and severity of anticipated disruption to water and electricity supplies, as well as support to invest in coping strategies such as alternative sources of energy.
Patrick Curran, a policy analyst at the Grantham Research Institute on Climate Change and the Environment, also contributed to this article.<img loading="lazy" decoding="async" style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important; text-shadow: none !important;" src="https://counter.theconversation.com/content/107373/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" />
<a href="https://theconversation.com/profiles/kate-elizabeth-gannon-601360">Kate Elizabeth Gannon</a>, Postdoctoral researcher, <a href="http://theconversation.com/institutions/london-school-of-economics-and-political-science-1219">London School of Economics and Political Science</a> and <a href="https://theconversation.com/profiles/declan-conway-434384">Declan Conway</a>, Professorial Research Fellow, <a href="http://theconversation.com/institutions/london-school-of-economics-and-political-science-1219">London School of Economics and Political Science</a>
This article is republished from <a href="http://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/small-businesses-in-africa-will-be-on-the-frontline-of-climate-change-107373">original article</a>.

What are the consequences climate change will have on small businesses in Africa?

<a href="https://theconversation.com/profiles/tolu-olarewaju-405190">By Tolu Olarewaju</a>, <a href="http://theconversation.com/institutions/staffordshire-university-1381">Staffordshire University</a>
Two of the largest banking and financial services institutions in the world, HSBC and UBS, have <a href="https://www.bloomberg.com/news/articles/2018-11-03/hsbc-ubs-shut-nigeria-offices-as-foreign-investment-declines">recently closed their local representative offices</a> in Nigeria.
There’s also trouble brewing elsewhere in Nigeria’s business world that’s prompted fears about the climate for foreign direct investment in the country. Foreign direct investment is an investment made by a firm or individual in one country into business interests located in another country.
For instance, Nigeria’s government in September <a href="https://www.bloomberg.com/news/articles/2018-09-17/nigeria-fires-back-at-hsbc-after-bank-criticizes-president">accused HSBC of money laundering</a> after an analyst working for the lender said a second term for President Muhammadu Buhari <a href="http://dailypost.ng/2018/09/11/2019-second-term-buhari-will-nigerias-economy-hsbc/">may stall economic recovery </a> in Africa’s biggest oil producer.
There are also tensions between Nigeria’s central bank and the South African telecom company MTN. In 2015, MTN was <a href="https://www.bbc.co.uk/news/world-africa-45424537">fined about $5bn</a> for failing to cut off unregistered SIM cards. This was later reduced to $1.7 billion after a long legal dispute and the intervention of South Africa’s then President Jacob Zuma.
Recently, the central bank has <a href="https://www.bloomberg.com/news/articles/2018-08-29/nigeria-orders-mtn-banks-to-refund-8-billion-exported-funds">ordered MTN to repatriate $8 billion</a> it said has been taken out of the country illegally.
Analysts are <a href="https://nextedition.com.ng/2018/11/09/analysis-hsbc-ubs-left-nigeria/">concerned</a> that the Nigerian government’s attitude towards MTN and the two banks may erode the confidence of foreign direct investors. Their fears seem to be well founded: foreign direct investment in Nigeria <a href="https://tradingeconomics.com/nigeria/foreign-direct-investment">fell to</a> <a href="https://www.ceicdata.com/en/indicator/nigeria/foreign-direct-investment">$1 billion in the first half of 2018, from $1.48 billion in the first half of 2017</a>.
Foreign direct investment is crucial for any economy. So how can Nigeria attract and keep the right kind of investment from global companies? Compromise will be key, both for the government and foreign firms.
<h2>Why foreign direct investment?</h2>
Foreign direct investment is often preferred to exporting. That’s because while exports merely involve moving goods from one country to another, foreign direct investment actually involves an investor establishing foreign business operations or acquiring foreign business assets.
This often includes establishing ownership or controlling interest in a foreign country (for instance an American business establishing a physical business presence in Nigeria). Many emerging economies like China, Brazil, Vietnam and India have <a href="https://www.industryweek.com/leadership/top-10-countries-receiving-foreign-direct-investment/gallery?slide=1">built their growth on FDI flows</a>.
The trick is to attract “quality foreign direct investment” that links foreign investors into the local host country economy. The International Growth Centre, a <a href="https://www.gov.uk/government/organisations/department-for-international-development">British-funded</a> research centre that aims to promote sustainable growth in developing countries, <a href="https://www.theigc.org/blog/attracting-quality-foreign-direct-investment-developing-countries/">characterises</a> “quality” here as contributing to:
<ul>
<li>decent and value-adding jobs and enhancing the skill base of host economies;</li>
<li>transfer of technology, knowledge and know-how;</li>
<li>boosting competitiveness of domestic firms and enabling their access to markets.</li>
</ul>
<h2>What Nigeria can do</h2>
There are a few things Nigeria can do to boost foreign direct investment. For starters, it must play fair. Foreign and domestic businesses should be treated equally. They should be open, transparent and dependable conditions for all kinds of firms.
Another area that needs attention is infrastructure. Businesses need easy access to ports, an adequate and reliable supply of energy and relative certainty that the country will be good to invest in. Good institutions <a href="https://onlinelibrary.wiley.com/doi/abs/10.1111/j.1467-9701.2006.00758.x">also promote FDI</a>.
The government should encourage partnerships between foreign and local businesses. Foreign firms might be familiar with global good business practices, but local firms will be more familiar with the indigenous context. This synergy could be very beneficial.
It’s also critical that Nigeria gets its regional governments involved: there are many regions in Nigeria, and these regions all have unique opportunities and challenges. <a href="https://journals.aom.org/doi/abs/10.5465/AMBPP.2018.11006abstract">Our latest research</a> shows that when the central government of Nigeria ran out of ideas and foreigners wanted to exit the agricultural sector, the regional government of Kwara state stepped in to create a positive business climate based on the cooperation of local banks, community members, and the foreigners themselves culminating in the <a href="https://www.dailytrust.com.ng/learning-commercial-farming-through-shonga-farmss-approach.html">Shonga farms</a> public-private venture.
This has kept the firm in Nigeria. It’s also brought private investors to the table, bolstering the firm and the local economy.
Nigeria should also tap into its huge <a href="https://www.bbc.co.uk/news/av/business-37727761/how-can-investors-tap-in-to-nigeria-s-diaspora">diaspora</a>. There are many Nigerians living outside the country who understand its challenges. They should be encouraged to help, or asked to work with their networks to invest in the country.
<h2>What foreign firms can do</h2>
Foreign firms also have a role to play. They can enhance their success in Nigeria (and elsewhere on the African continent) in several ways.
First, they need a long term strategic plan. This means thinking carefully about what sectors or activities to target. Many foreign firms come to developing countries when things are rosy but leave when conditions change. They don’t properly consider that solving such problems will gain them a competitive advantage in the long run.
If they stay and follow a learning curve, foreign firms will better understand the local business context. They’ll also gain credibility among ordinary people and possibly get more customers and support that way.
In the same vein, foreign businesses should create local solutions that meet ordinary people’s needs. The banks leaving Nigeria have <a href="https://www.vanguardngr.com/2018/11/breaking-hsbc-ubs-close-their-offices-in-nigeria/">been accused</a> of only catering to the needs of wealthy Nigerians, who are <a href="https://www.aljazeera.com/business/2010/10/201010116251929702.html">perceived as corrupt</a>. A more diverse portfolio that catered to the needs of ordinary Nigerians would have nullified this claim.
Foreign firms must also work closely with credible and strategic local firms, and be willing to enter into dialogue with the Nigerian government where necessary. This is crucial especially as administrations may change or government policy may evolve. Dialogue could ensure that all parties are on the same page.
<h2>Act local, think global</h2>
It’s unfortunate that these banking institutions have decided to leave Nigeria. Hopefully both the Nigerian government and other foreign investors can learn from this.
The main takeaway for both foreign investors and governments involved in foreign direct investment is that it would be prudent for all parties to act locally but think globally.<img loading="lazy" decoding="async" style="border: none !important; box-shadow: none !important; margin: 0 !important; max-height: 1px !important; max-width: 1px !important; min-height: 1px !important; min-width: 1px !important; opacity: 0 !important; outline: none !important; padding: 0 !important; text-shadow: none !important;" src="https://counter.theconversation.com/content/107611/count.gif?distributor=republish-lightbox-basic" alt="The Conversation" width="1" height="1" />
<a href="https://theconversation.com/profiles/tolu-olarewaju-405190">Tolu Olarewaju</a>, Lecturer in Economics, <a href="http://theconversation.com/institutions/staffordshire-university-1381">Staffordshire University</a>
This article is republished from <a href="http://theconversation.com">The Conversation</a> under a Creative Commons license. Read the <a href="https://theconversation.com/how-nigeria-can-attract-and-keep-the-right-kind-of-foreign-direct-investment-107611">original article</a>.

Here’s what Nigeria needs to boost foreign direct investment

JOHANNESBURG (Reuters) &#8211; South Africa’s struggling state-run power firm Eskom wants the government to take on 100 billion rand ($7 billion) of its debt as part of a turnaround plan to shore up its balance sheet, Eskom Chairman Jabu Mabuza told the Business Day newspaper.
Cash-strapped Eskom is struggling to emerge from a financial crisis characterised by declining electricity sales, ballooning debt and liquidity problems.
Mabuza made the comments to Business Day as Eskom was meeting investors on a roadshow to London and the United States this week.
A financial market source in London confirmed to Reuters that Mabuza had told investors about moving 100 billion rand of Eskom’s debt onto the government’s balance sheet during the roadshow.
Eskom spokesman Khulu Phasiwe declined to elaborate on Mabuza’s comments, saying the company’s turnaround plan was still the subject of discussions with key stakeholders in government.
Mabuza told a news conference last week that asset sales could not solve Eskom’s problems and that a bailout or debt relief were preferable. The utility expects to make a loss before tax of more than 11.2 billion rand this financial year.
($1 = 13.8394 rand)
Reporting by Alexander Winning; Editing by James Macharia

Why South Africa’s state-run power firm Eskom wants government to take on $7.2 billion of its debt

JOHANNESBURG (Reuters) &#8211; Armed with low-cost operating models, three South African digital banks are betting on aggressive pricing and data analytics to attract tech-savvy, price-conscious consumers when they launch next year in a rare challenge to the old guard.
It will be first time the $30 billion industry has faced competition since the early 2000s, when Capitec Bank muscled into a sector dominated by Absa, FirstRand, Nedbank and Standard Bank.
The mobile banking newcomers, Discovery Bank, TymeBank and Bank Zero, all expect to have substantially lower cost-to-income ratios than the big five lenders, giving them scope to disrupt the pricing of retail banking products in South Africa.
“We are here to shake up the status quo. Much the same as Uber did in the taxi industry,” Sandile Shabalala, chief executive of TymeBank, a financial technology company controlled by tycoon Patrice Motsepe, told Reuters.
While the newcomers’ focus is South Africa, Bank Zero, for one, said it may look at other emerging markets in due course, and investors say because all three have strong IT platforms and use digitalisation, it should be easier to expand.
The challenge in South Africa is to make inroads in a market where over 80 percent of the population already have bank accounts. Elsewhere in Africa, 350 million people have no form of bank account and lenders such as Standard Chartered and Ecobank are testing the waters with digital banks.
With fewer employees, lower administrative expenses and less need for costly back-office technology, the South African challengers hope they can woo customers with fees as low as zero, higher rates on savings and cheaper credit.
While all three declined to put a figure on their expected cost-to-income ratios, four industry executives who spoke on condition of anonymity said they had worked out efficiency ratios of 25 percent to 30 percent.
That compares with nearly 60 percent for the incumbents.
“I have been dumbfounded at how low the cost can be,” said Bank Zero’s co-founder Michael Jordaan, best known for turning FirstRand’s retail banking operation into the most profitable in South Africa. “Our technology cost is 1 percent of 1 percent of the annual tech budget at one of the big banks.”
ENTRENCHED RIVALS 
Jordaan’s comments were largely echoed by senior executives at TymeBank and Discovery Bank, which is part of insurance company Discovery Ltd.
The major banks have taken note.
“There’s anxiety in executive committee meetings about what’s about to happen,” an executive at one of the big banks said. “Your regular bank will be happy with a cost-to-income ratio of 50 percent.”
Nevertheless, customers have proved reluctant to switch banks in South Africa in the past. Standard Chartered, for example, tried and failed to take on the big banks in the early 2000s with online lender 20Twenty.
Improvements in technology since and a wider acceptance of online services, however, mean the challengers may have a better chance this time. Similar ventures in markets such as the United Kingdom are slowly making inroads.
More than a million people now use Monzo’s current account and money management mobile app while money transfer firm Revolut has 3.2 million customers across Europe &#8211; and both have broken through the billion dollar valuation mark.
Still, luring customers away from a deeply entrenched South African banking sector will be a major challenge, and the big banks are unlikely to cede customers without a fight.
South African banks escaped the global financial crisis partly thanks to regulations that stopped them buying the U.S. mortgage-backed assets that triggered the meltdown, as well as a more cautious approach to borrowing.
Headline earnings, the main gauge of profitability, have increased more than two-fold at the big five banks since 2011 to a combined $5 billion.
Their average return on equity, a measure of income generated with shareholders’ money, stands at 18.6 percent, nearly double global peers &#8211; many of which are already cutting costs as they grapple with digital newcomers.
South African banks have also been cutting jobs, closing branches and encouraging customers to use digital channels as part of their efforts to lower cost-to-income ratios.
&#8220;These banks have got established customers on their books right now, so they are going to do the best to retain these customers,&#8221; said Costa Natsas, partner at auditing firm PwC www.pwc.co.za/en.html in South Africa.
FIERCE COMPETITION 
Worrying for the incumbents, though, is the fact Capitec’s success was based on aggressive pricing. After a slow start, it has more than doubled its client base in the past five years and has an industry-leading return on equity of 27 percent.
According to a survey by consultants McKinsey &amp; Company www.mckinsey.com published in February, pricing was the primary reason nearly 60 percent of Capitec&#8217;s 10 million customers switched.
“While we haven’t disclosed yet what our pricing structure will be, the name Bank Zero should give you a very strong hint of what the banking fees should be,” Jordaan told Reuters.
“Once we launch, there will be many more things that we think we can do to revolutionise banking, not just in South Africa, but also other emerging markets,” he said.
Fees at the main banks for deposits, withdrawals and transfers have for years largely ranged from 100 rand to 250 rand a month, but can rise as high as 450 rand &#8211; a sizeable sum in a country where the minimum wage is 20 rand per hour.
“Is the competition going to be fierce? Of course, it’s all about the value customers perceive they will get when considering whether to switch banking providers or not, and this will largely determine whether inroads are gradual or accelerated,” said PwC’s Natsas.
The other battlefield will be in the pricing of credit and interest on savings accounts. With rates now on basic savings accounts ranging from 2.6 percent to 5 percent, traditional banks might have to offer at least double to compete.
“We’re paying roughly up to 10 percent interest in our savings account, that’s something we’ve never heard of in this country,” said TymeBank CEO Shabalala, who previously worked for Nedbank.
DATA ANALYTICS 
TymeBank has said it will launch officially next year, Bank Zero is aiming for early 2019 and Discovery Bank is due to launch in March.
Discovery is pinning its hopes on a data programme called Vitality that helped Discovery Ltd’s health insurance business overtake rivals such Liberty Health. Vitality is a behaviour tracking programme that rewards health insurance clients for healthy lifestyles, such as by paying for gym memberships.
“We followed our purpose in making people healthier but in a financial sense,” said Adrian Gore, founder and chief executive Discovery Ltd, referring to the new bank’s business model.
Discovery Bank will target the group’s 2 million health insurance clients, rewarding them with lower rates on loans and higher rates on saving accounts &#8211; provided they achieve targets such as saving for retirement, paying down a mortgage or having short-term insurance.
Discovery, which is considering giving 10 percent of the bank to black investors, is not the only one relying on data analytics.
TymeBank, which is majority black-owned, has teamed up with South Africa’s second largest supermarket chain Pick n Pay to roll out a money transfer service for the retailer’s 10 million loyalty programme clients.
The partnership also gives TymeBank a pool of potential customers to target and would give clients a point of contact at Pick n Pay’s more than 700 branches, Shabalala said.
TymeBank is also in advanced talks about joining forces with companies that could provide insurance for customers who take out loans, he said, declining to give further details.
Two sources said TymeBank was seeking partnerships with retirement funds firm Alexander Forbes and insurance giant Sanlam &#8211; companies that could provide a pool of potential customers and data.
Sanlam told Reuters it would team up with a bank if the alliance supported its strategy and was mutually beneficial. “Any potential opportunities to collaborate with Tyme would be evaluated accordingly,” Sanlam said.
Alexander Forbes did not respond to requests for comment.
($1 = 14.2352 rand)
Additional reporting by Ian Withers in London; editing by David Clarke

How banking in South Africa is being disrupted by digital newcomers

PRETORIA (Reuters) &#8211; South Africa’s economy expanded 2.2 percent in the third quarter in quarter-on-quarter terms, snapping out of recession after a revised 0.4 percent contraction in the second quarter, data from Statistics South Africa showed on Tuesday.
Economists polled by Reuters had predicted a 1.6 expansion for the third quarter.
The data also showed economic output rose 0.5 percent on an unadjusted year-on-year basis in the third quarter, in-line analysts’ predictions.
Reporting by Olivia Kumwenda-Mtambo; Editing by James Macharia

South Africa out of recession as GDP grows by 2.2 percent in Q3

By Deon Smit &amp; Muhammed Goolab, South African Reward Association
Your employees are your company’s most important asset. They are the ones tasked with serving your customers, implementing strategies and driving your teams forward to achieve their goals. According to 2018 Gallup research, however, 85% of the workforce is disengaged.
What is a ‘disengaged employee’?
They are mentally ‘checked out’ and sleepwalking through their workday without passion and energy. These workers withdraw themselves mentally and emotionally from their jobs. 
The economic consequences of lost productivity due to disengaged workers is estimated to be around $7-trillion per year, but many of the costs are difficult to quantify because these costs are often intangible and untracked.
Disengaged employees often have higher rates of absenteeism, resulting in more sick days taken, and they are more likely to be actively seeking other employment.This increases the associated costs of recruitments because these employees often need to be replaced at higher rates.
Employee engagement is generally measured or defined by a number of factors, including the extent to which an employee feels that his or her contribution is important and is recognized and how inspired the employee feels about the organization and the extent to which the organization can cultivate this inspiration.
Whether the employee perceives a workforce within the organization, and the extent to which an employee believes that he or she is paid fairly and equitably for the jobs they do, are also things that can be tracked to measure how engaged an employee is.
Turning disengaged employees into engaged employees in 3 steps 
Engaged employees are natural brand ambassadors and companies who want to turn their disengaged staff into engaged workers need to focus on three things: the organization’s culture, communication and rewards.
Employee engagement starts at the top and leaders need to invest in a culture of engagement and growth. Employees will be looking to their line managers for leadership, so these executives need to have the right leadership skills to actively engage the people that report to them and focus on reinforcing a positive work environment.
Secondly, companies also need to effectively communicate their objectives while at the same time taking employees along on the journey with them. Employees need to know and understand how their contributions make a difference in achieving the company’s greater vision, so their role and importance in the business needs to be clearly communicated to them.Communication allows the organization to be held accountable in driving engagement and deliver against what they have committed to.
Thirdly, the success and contribution of employees must be celebrated and recognized. This recognition must be done in a meaningful and consistent manner.
Organizations should focus on the individual by creating clear career paths, growth, and development programs, as well as career advancement planning. Although monetary rewards are not seen as a driver of engagement, employees will become disengaged as soon as payment is perceived to be unfair. Money is a reinforcement for achievements, so use this reward wisely.
The importance of an engaged workforce can’t be overstated. Reduce staff turnover, improve productivity, retain more customers and increase your bottom line by connecting with your employees in ways that count.

Improperly appointed boards spell disaster for organisations

Op-Ed: 85% of your workforce isn’t engaged at work. What now?

ABUJA (Reuters) &#8211; Nigeria’s President Muhammadu Buhari on Sunday denied claims that he had died and been replaced by a Sudanese impostor, breaking his silence on a rumour that has circulated on social media for months.
Buhari, who is running for re-election in February, spent five months in Britain last year being treated for an undisclosed illness. One theory widely aired on social media &#8211; and by some political opponents &#8211; was that he had been replaced by a lookalike from Sudan called Jubril.
No evidence has been presented, but videos making the claim have still been viewed thousands of times on YouTube and Facebook.
“It’s real me, I assure you. I will soon celebrate my 76th birthday and I will still go strong,” Buhari told Nigerians in a town hall session in Poland, where he was attending a conference, when asked about Jubril.
“A lot of people hoped that I died during my ill health,” he said, adding that those who spread the rumour were “ignorant and irreligious”.
The presidency circulated Buhari’s comments in an emailed statement entitled “It’s Real Me, President Buhari Responds to Cloning Allegation”.
Reporting by Felix Onuah; Writing by Alexis Akwagyiram; Editing by Kevin Liffey

Has Nigeria’s Buhari died, replaced by a lookalike?

JOHANNESBURG (Reuters) &#8211; South Africa faces more power cuts, electricity utility Eskom warned on Monday as it sought to prevent the collapse of its power grid in a test for President Cyril Ramaphosa’s reforms.
Eskom implemented a fifth day of controlled power cuts on Monday, putting more strain on an economy already mired in recession only months before a national election.
“The entire week could be severely constrained if we are unable to replenish the diesel and water reserves, and reduce the high unplanned outages,” Eskom spokesman Khulu Phasiwe said.
Eskom, which is battling a severe financial crisis, coal shortages and breakdowns of its power plants, said it would cut up to 2,000 megawatts of power from the grid on Monday.
The utility, which last week called for a bailout or debt relief, began the controlled cuts, known as load-shedding, on Thursday as demand for power outstripped available capacity.
“Eskom teams are working hard to salvage the situation but the process is going to be hard, long and costly,” Phasiwe said.
Ramaphosa has made reforming Eskom a priority, but he has been hampered by fiscal constraints in a blow to his plan to woo investors who can help grow the economy ahead of an election likely to be held in May next year. nL8N1X61GL]
“Eskom as an institution and its ability to provide stable power supply is the single biggest risk to @CyrilRamaphosa’s investment drive and the South Africa fiscus,” Isaah Mhlanga, executive chief economist at Alexander Forbes Investments said on Twitter.
BNP Paribas South Africa senior economist Jeff Schultz said prolonged power cuts would likely hurt economic growth in the first quarter of 2019, although a slowdown in manufacturing over the Christmas period will buy Eskom some time.
“But come mid-January, if we are still facing load-shedding, that is when it is going to be a much more pressing issue for the economy,” Schultz said.
South Africa entered recession in the second quarter for the first time since 2009. Third-quarter gross domestic product numbers are due out on Tuesday, with analysts polled by Reuters predicting quarter-on-quarter GDP growth of 1.6 percent.
($1 = 13.6396 rand)
Editing by James Macharia and Alexander Smith

Special Report

Has South Africa caught up with the world when it comes to parental leave?

Are Southern African nations doing enough to manage their groundwater resources?

Here’s how much the IMF expects Somalia’s GDP to grow by in 2018

Nigeria’s economy grows by 1.81 percent in Q3, pushed higher by the non-oil sector

Why Mugabe’s political legacy is highly contested

Should KPMG South Africa be given a second chance following corruption scandals?

Why cocoa companies failed to keep promise to stop Africa deforestation

Here are the leading causes of child injury in Ethiopia

Lights out, game on- No Christmas of rest and turkey for the bosses in a dingy tale of decay

What are the consequences climate change will have on small businesses in Africa?

Here’s what Nigeria needs to boost foreign direct investment

Why South Africa’s state-run power firm Eskom wants government to take on $7.2 billion of its debt

How banking in South Africa is being disrupted by digital newcomers

South Africa out of recession as GDP grows by 2.2 percent in Q3

Op-Ed: 85% of your workforce isn’t engaged at work. What now?

Has Nigeria’s Buhari died, replaced by a lookalike?

More power cuts for South Africa could raise Ramaphosa reform risk

News Tips

Advertise With Us

Special Report

Has South Africa caught up with the world when it comes to parental leave?

Are Southern African nations doing enough to manage their groundwater resources?

Here’s how much the IMF expects Somalia’s GDP to grow by in 2018

Nigeria’s economy grows by 1.81 percent in Q3, pushed higher by the non-oil sector

Why Mugabe’s political legacy is highly contested

Should KPMG South Africa be given a second chance following corruption scandals?

Why cocoa companies failed to keep promise to stop Africa deforestation

Here are the leading causes of child injury in Ethiopia

Lights out, game on- No Christmas of rest and turkey for the bosses in a dingy tale of decay

What are the consequences climate change will have on small businesses in Africa?

Here’s what Nigeria needs to boost foreign direct investment

Why South Africa’s state-run power firm Eskom wants government to take on $7.2 billion of its debt

How banking in South Africa is being disrupted by digital newcomers

South Africa out of recession as GDP grows by 2.2 percent in Q3

Op-Ed: 85% of your workforce isn’t engaged at work. What now?

Has Nigeria’s Buhari died, replaced by a lookalike?

More power cuts for South Africa could raise Ramaphosa reform risk

News Tips

Advertise With Us

Newsletters