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How Leaders Understand the Importance of Summits and Conferences for Africa’s Economic Transformation

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By Kester Kenn Klomegah

Widely known fact that African leaders are currently preparing for the next summit July 27-28 in St. Petersburg. At the end of the first symbolic summit in October 2019, Russia and Africa declared to hold such a high-level gathering every three years. Presumably it was postponed from 2022 in Addis Ababa, Ethiopia to 2023 in St. Petersburg as the venue, due to Russia’s ‘special military operation’ in neighbouring Ukraine. But not all African leaders will turn up.

More than half of Africa’s 55 states voted in favor of United Nations resolutions condemning the invasion of Ukraine, while most of the rest abstained. Many African states have maintained a non-aligned position, but Washington says these African leaders must necessarily define their “true non-alignment” positions.

Even as Russia has invested extremely little in transforming Africa’s economic development since the collapse of the Soviet-era in 1991, African leaders still hope for sustaining relations with Russia. Most possibly their utter refusal to switch away from nostalgic attitudes toward Soviet’s unflinching support during political liberation struggle and the eternal hope for ‘no-cost delivery’ of grains to Africa countries. With the current reconfiguration of the world, Russia and Africa share in common anti-Western views and approaches on external engagement with Africa.

How Started Russia-Africa Summit

The concept for this African leaders’ gathering was conceived and announced during BRICS meeting on 27 July 2018 in Johannesburg. There was the ‘business-as-usual’ speech, a stimulating speech laced with references to Soviet-era humanitarian assistance to Africa, support for political liberation struggle, and further support in attaining statehood plus construction of various industrial facilities, establishing health institution across Africa and training of specialist in educational institutions.

Putin, concluding that speech announced Russia-Africa summit concept: “Russia has always given priority to the development of relations with African countries, based on long-standing traditions of friendship and mutual assistance. We will continue to build up cooperation in all economic spheres. In conclusion, I would like to inform you that we are studying the idea of holding a Russia-Africa summit with the participation of heads of African states. This could be preceded by relevant meetings of prominent business people, experts, and public figures.” (Putin posed with African leaders in July 2018)

In Johannesburg, South Africa, on 27 July 2018, Putin announced creation of the Russia-Africa summit at that meeting of BRICS leaders with invited African states and chairs of international associations. Those invited included the leaders of African countries, namely, Angola, Botswana, Ethiopia, Gabon, Lesotho, Madagascar, Mauritius, Malawi, Mozambique, Namibia, Rwanda, Senegal, the Seychelles, Tanzania, Togo, Uganda, Zambia and Zimbabwe.

The meeting was also attended by the heads of Argentina (that time chair of the G20), Turkey (that time chair of the Organisation of Islamic Cooperation) and Jamaica (that time chair of the Caribbean Community).

Far earlier March 2013, in Durban, South Africa, at meeting with heads of African states, Putin noted that Russia had written off over $20 billion in debt, far more than any other G8 nation. And that Russian companies were implementing investment projects with all North African nations and 11 sub-Saharan African states.

Putin, however, described Africa as developing very rapidly, faster than other regions in the world. And this is in spite of both external and internal problems. But the domestic African market and consumer demand are expanding. It is enough to say that Africa’s GDP growth rates are about five percent. According to forecasts, the total GDP for African countries will reach $2.6 trillion, that would be an increase of over 35 percent. This trend additionally stimulates cooperation between Russia and African states.

Putin assertively underscore the fact that “Russian companies are working actively in the African market, there is a growing influx of investments into various sectors in Africa’s economies, from traditional mineral extraction and farming to high technologies and banking.”

Putin concluded that speech referring tothe popular saying: “There is a saying in Africa that a friend sticks closer than a brother. I am confident that this meeting will truly facilitate the activation of mutual cooperation in a wide range of areas.”

In our practical assessment, exactly one decade (10 years, from 2013 to 2023) what has actually changed, what are the economic achievements, in terms of infrastructure, investment in agriculture and industrial sectors. What is Africa’s trade levels to Russian, former Soviet republics and Eurasian market. Where are the employment generating sectors. What scale of Russia’s support for the youth and women in Africa’s economy.

Russia-Ukraine Crisis on Africa’s Agenda

South African President Cyril Ramaphosa is re-heading back to St. Petersburg, prioritizing with his colleagues to seek permanent solution to the Russia-Ukraine crisis. This step aims at ensuring Africa’s food security. African leaders have taken neutral positions in connection with Russia’s ‘special military operation’ in Ukraine. African leaders are looking for ‘no-cost delivery’ of grains promised by Vladimir Putin. It has, however, been interpreted as Kremlin’s strategic step to win Africa’s sympathy and ultimate endorsement for full-scale invasion into Ukraine. Africa has strong affection for such external humanitarian assistance, which Ramaphosa vehemently denied at the New Global Financing summit in Paris, France.

The negative effects of the conflict are increasingly being felt across the world. As a result of intensifying sanctions which has compelled Kremlin to further review its relations with the United States and Europe, African nations still risk food shortages and unavailability of external funds for various development projects. Russia is simply not investing in Africa’s development, despite its pledges and several unfulfilled bilateral agreements with African countries. It is unlikely Russia will make huge financial commitment during the Russia-Africa summit.

After talks with German Foreign Minister Annalena Baerbock on June 28, South African Foreign Minister Naledi Pandor said that African countries have not abandoned their peace plan for Ukraine and are ready to continue relevant outreach efforts to both Moscow and Kiev. On 17 June, a delegation from Africa which included the presidents of the Republic of South Africa, the Comoros Islands, Senegal, Zambia, and the prime minister of Egypt, as well as special representatives of Congo and Uganda went to St. Petersburg. They acted as peacemakers between Russia and Ukraine. Ramaphosa, the chief negotiator, spoke about unblocking and increasing the supply of grains and fertilisers to the continent.

Ramaphosa reiterated that his group of mediators and several dozen African countries would continue their mediation role during the second Russia-Africa summit in St. Petersburg, as the conflict has adversely affected millions of Africa’s 1.4 billion population. The conflicted has generated social discontent especially among the impoverished population across the continent.

Natalya Piskunova, an Associate Professor at Moscow State University’s Department of World Politics, believes that the July summit in St. Petersburg will become another platform for unofficial discussions of the issues involved in achieving a peaceful settlement in Ukraine in general, and the joint peace initiative put forward by seven African nations in particular. It is important to note that the African group of mediators is confidently and persistently demonstrating its commitment to the settlement process, which indicates the seriousness of Africa’s intentions and its new role in contemporary international relations, she told Vedomosti financial newspaper.

According to Grigory Lukyanov, a Research Fellow at the Russian Academy of Sciences’ Institute of Asian Studies, it should be factored in that the Russian side, although it received the African initiative positively, considers a number of its points to be ambiguous. Nevertheless, the Russia-Africa summit itself provides a good opportunity for both sides to discuss a peaceful settlement in Ukraine.

What 2nd Russia-Africa Summit Promises

Nevertheless, Russia-Africa summit is here again. It certainly promises another round of high-level authoritative speeches, more than 30 panel sessions, long-term development trajectory of Russian-African ties, business networking, bilateral agreements, joint political declaration and group photographs. Venue: St. Petersburg and Date: July 27-28.

Roscongress Foundation, the main organizer of the summit, noted that the forum’s business program consists of four large thematic blocks encompassing all areas of cooperation between Russia and the African continent: The New Global Economy, Integrated Security and Sovereign Development, Cooperation in Science and Technology and The Humanitarian and Social Sphere: Working Together for a New Quality of Life.

In addition, a media forum is planned, then also a special meeting among university rectors, a roundtable of top Russian and African auditing bodies; events pertaining to the youth program, sessions of a forum on the creative industries, a forum on the ‘Healthy Society’ and an extended session on cooperation between Russian and African state agencies and enterprises in the precious metals industry.

“It is clear that, in the emerging architecture of a multipolar world, African countries will play an increasingly important role. The bolstering of ties between Russia and Africa in the field of security and stable economic and humanitarian development will lay the foundation for establishing powerful, prosperous and safe regions in the new reality,” according to the Russian Presidential Aide Anton Kobyakov. He also serves as Executive Secretary of the Steering Committee for organizing and holding Russia-Africa.

Meanwhile, Russian Ambassador-at-Large and Director of the Secretariat of the Russia-Africa Partnership Forum Oleg Ozerov, in an interview with Kommersant daily newspaper, offered an explicit explanation that the summit is “envisioned by the Russian authorities, are intended to boost Moscow’s relations with African countries, contacts with which are currently deemed one of the most important aspects of Russia’s foreign policy.”

According to the diplomat, the summit will focus on general issues “concerning the formation of a multipolar world, a new fair architecture of relations based on the principles of sovereign equality of states, equal interaction based on their interests and international law, as opposed to the so-called ‘rules-based order’ promoted by Washington and its allies.”

And never forget about the chief driver of foreign policy. Russian Foreign Minister Sergey Lavrov re-assured that the summit will present the future path of Russia’s cooperation with the countries of the continent for the next several years. “Most of the countries will be represented at the highest level, a big declaration is being prepared. A document is being prepared that will set out plans for interaction between Russia and African states for the medium term of several years,” he said.

Several sources have indicated that the second Russia-Africa summit and Economic Forum are scheduled to take place in the Russian city of St. Petersburg. The first summit, dubbed “For Peace, Security and Development,” was held in the Russian Black Sea resort city of Sochi in October 2019. It was co-chaired by President of the Russian Federation Vladimir Putin and President of the Arab Republic of Egypt Abdel Fattah Al-Sisi. There was a Joint Summit Declaration.


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EVENTS & ANNOUNCEMENTS

Unlocking Economic Potential: Zamfara State Halal Economic Summit

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By Baba Yunus Muhammad

Zamfara State is gearing up for an unprecedented event that could potentially redefine its economic landscape – the Zamfara State Halal Economic Summit. This historic event, which is scheduled to take place in the state capital, Gusau in May 2024, represents a pivotal moment in Zamfara State’s quest for economic rejuvenation and sustainable growth, spotlighting investment prospects, harnessing potentials, and capitalizing on the burgeoning Halal economy. Set against the backdrop of socio-economic challenges, this Summit, being orchestrated by the Africa Islamic Economic Foundation (AFRIEF), an international Islamic development organization headquartered in the Republic of Ghana, and convened under the Distinguished Patronage of His Excellency, Dr. Dauda Lawal, the Executive Governor of Zamfara State, emerges as a beacon of hope, offering a strategic platform for growth and development.

At the heart of this endeavor lies a visionary approach to economic development – one that views industrialization as the cornerstone of transformation, progress, and poverty reduction. Under the visionary leadership of Dr. Dauda Lawal, the Zamfara State Government has made a strategic commitment to prioritize job creation and industrialization, recognizing them as pivotal drivers of development. This strategic agenda dovetails seamlessly with the broader imperatives encapsulated within the United Nations Sustainable Development Goals (SDGs), aiming to significantly augment industry’s contribution to employment and GDP within the state.

The Zamfara State Halal Economic Summit transcends mere rhetoric – it represents a concrete manifestation of the State’s determination to harness the power of industrialization for the collective good. More than just a forum for dialogue, this summit serves as a catalyst for action – a platform where aspirations coalesce into actionable strategies and tangible outcomes.

At its nucleus lie the ambitious plans for establishing Special Halal Economic Zone and Rural Transformation Centers across the state, envisioned as engines of innovation, productivity and trade. The Summit serves as a catalyst for identifying and capitalizing on investment opportunities across various sectors. From agribusiness to Islamic finance, the summit offers a platform for investors to explore lucrative ventures and forge strategic partnerships with local stakeholders. One of the key investment prospects of the summit lies in the Halal food industry. With an increasing global demand for Halal-certified products, Zamfara can leverage its agricultural resources to become a hub for Halal food production and export. This not only creates opportunities for local farmers and agribusinesses but also positions Zamfara State favorably in the international Halal market.

A Special Halal Economic Zone (SHEZ) holds special significance within the context of the Halal economy. By designating an area specifically tailored to accommodate Halal industries and businesses, a Halal focused SEZ provides a conducive environment for investment, innovation, and trade. It offers streamlined regulatory frameworks, infrastructure development, and incentives to attract domestic and foreign investors interested in Halal-related activities. Additionally, a Halal focused SEZ serves as a focal point for research and development, fostering collaboration between academia, industry, and government to drive technological advancements and product innovation in Halal sectors.

Moreover, by clustering Halal-certified businesses within these zones, Zamfara State can create synergies, promote knowledge sharing, and drive economies of scale, thereby maximizing the potential of the Halal economy.

Driving this ambitious agenda forward is the Africa Islamic Economic Foundation (AFRIEF), which is steadfast in its commitment to galvanizing the global Islamic finance industry and mobilizing public and private sector investments to propel Zamfara State towards industrialization. With a strategic emphasis on key sectors such as agriculture, manufacturing, and industrialization, AFRIEF lays the groundwork for a profound structural overhaul of Zamfara’s economic landscape.

To comprehend the full magnitude of the Zamfara State Halal Economic Summit, one must delve into the broader context of the global halal economy. Encompassing a diverse array of sectors including food, finance, tourism, cosmetics, healthcare and pharmaceuticals, and more, the halal industry represents a burgeoning market with exponential growth potential.

With an estimated global Muslim population exceeding 1.8 billion, the Halal market represents a significant economic force. According to the State of the Global Islamic Economy Report, global expenditure on Halal products and services is projected to reach $3.2 trillion by 2024, highlighting the immense potential for growth and innovation in this sector. With the global Muslim population on the rise and an increasing demand for halal-certified goods and services, tapping into this market presents unparalleled opportunities for economic expansion and diversification.

Furthermore, the Halal economy extends beyond religious considerations, encompassing principles of ethical consumption, sustainability, and social responsibility. As consumers become increasingly conscious of the origins and production processes of goods and services, the demand for Halal-certified products continues to rise. This trend presents opportunities for businesses and governments alike to capitalize on the Halal economy’s principles of integrity, quality, and inclusivity.

From Malaysia to the Middle East, the Halal economy transcends geographical boundaries, offering opportunities for collaboration and partnership on a global scale. Through initiatives such as the Zamfara State Halal Economic Summit, stakeholders have the opportunity to leverage the power of the Halal economy to drive sustainable development, foster prosperity, and build bridges across cultures and continents.

Against the backdrop of Zamfara State’s socio-economic fabric, characterized by its predominantly rural populace and agrarian economy, the potential benefits of the summit are manifold. By fostering an enabling ecosystem for industrialization and entrepreneurship, the summit holds the promise of unlocking Zamfara State’s latent economic potential, generating employment opportunities, and improving living standards.

Furthermore, the Summit serves as a conduit for attracting both domestic and foreign investments, facilitating technology transfer, knowledge exchange, and skills enhancement. Through strategic partnerships and collaborative initiatives, Zamfara State can harness its unique strengths and resources to emerge as a preeminent hub of halal-centric industries.

Additionally, the summit serves as a platform for knowledge exchange and capacity building, equipping local entrepreneurs and businesses with the skills and resources needed to thrive in the global Halal market. This not only enhances the competitiveness of Zamfara’s economy but also positions the state as a center of excellence in Halal-related industries.

In conclusion, the Zamfara State Halal Economic Summit represents a pivotal moment in the economic trajectory of the state and the broader Islamic economic community. By embracing the principles of the Halal economy and leveraging its inherent strengths, Zamfara has the potential to emerge as a beacon of prosperity and progress in the Federal republic of Nigeria. Under the visionary leadership of Governor Dauda Lawal and with the support of the Africa Islamic Economic Foundation, this summit is poised to chart a new course towards sustainable development, transforming challenges into opportunities, and realizing the aspirations of the people of Zamfara for a better, more prosperous future.

Baba Yunus Muhammad is President of the Africa Islamic Economic Foundation, Tamale, Ghana.


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EVENTS & ANNOUNCEMENTS

What To Expect From the Kuala Lumpur Islamic Finance Forum 2024?

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The Kuala Lumpur Islamic Finance Forum (KLIFF) 2024 is poised to be a pivotal event in the Islamic finance industry, building on the momentum of its previous editions. The forum has consistently served as a crucial platform for discussions on the latest trends, challenges, and opportunities in Islamic finance, drawing attention to the innovative strides and potential growth areas within the sector.

Key Expectations from KLIFF 2024

  • Industry Leadership and Expert Insights: The forum is expected to host a distinguished lineup of speakers from various sectors of Islamic finance, including banking, fintech, asset management, and more. Previous editions have seen influential figures such as Dima Djani, CEO of Hijra Group, and Jamaludin Bujang, Managing Partner (Malaysia) at Gobi Partners, sharing their insights, which indicates the caliber of thought leadership that attendees can anticipate in 2024​.
  • Sustainable and Ethical Finance Focus: A significant emphasis on sustainable and ethical finance principles is likely, reflecting a global trend towards more responsible investment practices. This aligns with the broader objectives of Islamic finance to contribute positively to society and the environment. Discussions may revolve around leveraging Islamic finance and social finance for sustainable future, as seen in previous forums​
  • Global Islamic Fintech Outlook: The rapid growth and innovation in Islamic fintech will likely be a central theme, given its increasing prominence in offering Shariah-compliant financial solutions worldwide. The previous edition highlighted the sector’s expansion, including the adoption of blockchain and cryptocurrency, emphasizing the role of digital banking in enhancing financial inclusion and the importance of regulatory frameworks to support industry growth​
  • Networking and Collaboration Opportunities: KLIFF 2024 will provide invaluable networking opportunities, facilitating connections between industry stakeholders, including investors, policymakers, and professionals. This collaboration is essential for fostering innovation and exploring new ventures in the Islamic finance landscape.
  • Support from Industry Leaders: The forum’s impact is underscored by the support it receives from leading entities in the Islamic finance sector. For instance, Principal Asset Management’s partnership for the IFN Investor Asia Forum 2024, scheduled in Kuala Lumpur, indicates the level of industry backing and commitment to advancing Islamic finance​
  • Innovative Solutions and Best Practices: Attendees can expect to learn about the latest innovative solutions and best practices within Islamic finance, including advancements in Sukuk, Islamic banking, asset management, and more. The event will likely showcase cutting-edge research, case studies, and success stories from around the globe.

The Kuala Lumpur Islamic Finance Forum (KLIFF) 2024 is set to be a landmark event, highlighting the growing importance and dynamism of the Islamic finance industry. With a focus on sustainability, technological innovation, and global collaboration, KLIFF 2024 will offer attendees a comprehensive view of the sector’s current state and future directions. By gathering experts, thought leaders, and practitioners from around the world, the forum will continue to play a crucial role in shaping the Islamic finance landscape, promoting development, and addressing the evolving needs of the global economy.


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OIC Secretary-General Calls on OIC Member States to Invest More in Critical Sectors of the Economy

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On the 4th of December 2023, the President of the Republic of Türkiye, His Excellency Recep Tayyip Erdogan, inaugurated the 39th Session of the OIC Standing Committee for Economic and Commercial Cooperation (COMCEC), in Istanbul. The ceremony was attended by the OIC Secretary-General and Member States’ concerned ministers.

In his Statement, President Erdogan highlighted the grave situation in Gaza and the rising trend of Islamophobia and emphasized the need for all OIC Member States to have a unified position to address current challenges facing the Muslim Ummah.

He also underscored the importance of implementing the Trade Preferential System among OIC Member States as well as supporting the OIC Arbitration Centre, developing small and medium enterprises (SMEs) and halal industries towards promoting sustainable socio-economic growth in OIC Member States.

Speaking at the Opening Ceremony of the 39th Session of COMCEC, H.E Mr. Hissein Brahim Taha, the Secretary-General of the Organization of Islamic Cooperation (OIC), acknowledged the continued support of President Recep Tayyip Erdogan, the Chairman of COMCEC, towards the realization of various economic programs and projects of the OIC.

Referring to the tragic massacres taking in Gaza and Palestine generally, the Secretary-General called upon the international community to intervene urgently to put an end to Israel’s criminal aggression and murder of Palestinians. While highlighting the activities of OIC and its institutions in the economic domain during the last one year, the Secretary-General emphasized the need to further enhance intra-OIC cooperation in the vital sectors of the economy.

Especially in the food and agriculture sector, to build more resilient food systems, share knowledge and best practices in order to help develop domestic production capacities in OIC Member States. Accordingly, he called for greater cooperation, harmonization, and synergizing of efforts toward addressing the developmental challenges of OIC Member States.

The Opening Ceremony was also addressed by Ministers in charge of trade from Qatar, Senegal, and Kazakstan in their capacities as representatives of Arab, African, and Asian groups

The 39th Session of COMCEC is being attended by Ministers in charge of trade and economy of the OIC Member States as well as OIC institutions and international organizations. The Session will review the status of implementation of various projects under the COMCEC in the areas of trade and investment, agriculture, tourism and financial development, Private Sector, and poverty alleviation among others. The theme of the 39th COMCEC Sessions is “Improving E-Commerce Capacities of the OIC Member Countries”.

COMCEC is an OIC Standing Committee for Economic and Commercial Cooperation, which meets annually to review OIC activities in the economic and trade development domains.


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