Category: Business

Urbanisation in Africa and the conflict that comes with it

African nations are experiencing substantial urbanisation at a rate like never before. A continent that was once characterised by its largely rural nature is now seeing diverse groups of people – ethnically, religiously, and socioeconomically – flood its urban centres, 50 of which have a population of one million or more.

People come to the city for a number of reasons – to escape civil conflicts in rural areas, to search for employment in an effort to better their lives and those of their extended families, or in response to environmental issues such as drought or famine. In Africa especially, circular migratory patterns exist as people oscillate between large urban centres (to have access to wealth and other resources such as food and aid) and their villages (to maintain familial bonds).

However, even with the circular nature of migratory patterns as it exists, urban centres continue to grow in Africa. Considering the high fertility rates across the board, the bulk of this growth is in fact not coming from migrants but from the offspring of current city dwellers. When you combine this growth together with the aforementioned migratory population, it is estimated that this continent, where approximately 40% of the population lives in cities, will be more than 60% urban by 2050.

Traffic on Agege Motor Road in Lagos. (Pic: AFP)

In the 2014 publication Africa’s Urban Revolution by professors Susan Parnell and Edgar Pieterse, civic conflict – a phenomenon that occurs hand in hand with this kind of rapid urbanisation – is defined. It is the violent expression of grievances vis-à-vis the state or other actors. Essentially, civic conflict is the manifestation of marginalised civilians’ frustration on the state’s inability to do things such as provide adequate housing or transportation, reduce distresses such as traffic and pollution or provide other services including healthcare, education to the masses. Though this type of conflict is distinct from warfare, which commonly exists in rural areas, these conflicts exist and effect great numbers of city dwellers. With the urbanisation in Africa taking place at its current rate, these conflicts should not be ignored.

The misconception that urban growth is temporary, that it will dwindle as conflict in rural areas is solved, robs civilians of a chance to live comfortably within the cities that they occupy. When I travelled to Abuja in February, I was struck by the immense traffic around the national mosque on Friday evenings. In recent years, increasing Boko Haram attacks in the northern states of Nigeria, many people have come to the nation’s capital to be out of this harm’s way. The traffic associated with the expanding population of the city does not only occur during this holy time for those of Muslim faith, but during rush hour as people struggle to find or get to work. Of course, the Nigerian state should take the steps it must in order to oust the terrorist group driving people away from their homes and into the capital. However, it should not be assumed that if and when it does, the population of Abuja will decrease to a more manageable one. Abuja and other cities in Africa that are experiencing growth from similar factors must increase attention towards alleviating woes within the urban centre or frustration amongst those caught in traffic jams of increasing length or those who live in inadequate housing due to the jurisdiction’s reluctance to provide the growing population with such will increase and strain the relationship between those who live in cities and those people who generate the policies around them.

Africa’s urbanisation provides both a challenge and an opportunity. It is an opportunity for young people to introduce innovative ideas that will allow for diverse groups in urban centres to be able to equally access resources and infrastructure in a way that will not put pressure on the state. However, in order to do so, the state must recognise that city growth is long-term and facilitate this kind of innovation. A symbiotic relationship between the state, the city centres and the population must be developed that allows for the growth of cities to occur in an efficient way that is considerate of the many different types of people who occupy these spaces. As cities continue to grow in Africa, which they will, it is important that city management and these kinds of symbiotic relationships are not neglected. If they are, these civic conflicts and the ugly violence that becomes of them are sure to grow as well.

Georges Ekwensi is a Nigerian American from New Jersey. He contributes to Rise Africa, a blog written by a group of individuals who seek to create an atmosphere that encourages conversation between Africans on the continent and in the diaspora. Connect with them on Twitter: @riseafrica

11 years ago

Angola’s hidden crisis

What exactly constitutes development for a post-conflict African country? Is it the built environment or investment in human capital?

That’s a question I think about daily here in Luanda, Angola’s rapidly changing capital. On paper, Angola is a success story and a frequently cited example in the ‘Africa Rising’ narrative. It has enjoyed double-digit economic growth during the last decade, fueled by its plentiful crude oil deposits, and is experiencing a construction boom. It’s even attracting big-name luxury brands, such as Porsche, Gucci, Prada and Armani.

Luanda’s skyline is dotted with construction cranes and our nascent middle class is expanding. But it isn’t just (some) Angolans benefiting from the boom. Perhaps most striking of all, Angola has become a sort of El Dorado for the Portuguese, Angola’s old colonial power. In Angola, the Portuguese are finding much better livelihoods here than in Europe, where they’re one of the most prominent victims of the continent’s financial slowdown.

Luanda’s cityscape at dusk. (Reuters)

But for all the investment in the built environment, investment in human capital is severely lacking. I’d even venture to say it’s Angola’s hidden crisis. Speak to anyone in any industry and they’ll tell you about the great difficulty they have in hiring competent Angolans, let alone highly skilled ones. And the skills we’re talking about are as basic as properly reading and writing in Portuguese. A friend of mine who works for a television studio put it bluntly: “We’ll need expats here for the next 40 years. I have staff that can’t write a simple email without glaring spelling mistakes.”

Angola’s lack of investment in education isn’t exactly news. Portugal’s colonial system rigorously discouraged education among its African subjects, with its missionary schools the only exception to this rule. The long, brutal civil war that wrecked the country immediately after independence further hampered education efforts. But now, 12 years after peace has been achieved, investment in education remains depressingly low. And it shows.

In the many multinationals and large national firms that operate in Angola, Portuguese workers have a strong presence in middle management and senior roles. It’s true that Angola’s lack of skilled workers was exacerbated by the war years and foreign help is not only warranted but acutely needed. Yet, I see no evidence of any effort being done on a governmental level to change this reality. In fact, we are one of Africa’s worst investors in education, regularly spending less than 10% of our national budget on this expenditure. When compared to post-conflict countries such as Burundi and Côte d’Ivoire, who each last year spent over 20% of their budget on education, this is especially startling. Angola, in comparison, dedicated just 6.2% of its budget on education.

So how do these statistics translate to our day-to-day reality? Three of my family members are professors in both public and private universities in Luanda, and all three often complain about just how intellectually poor their students are, to the point where they cannot properly read, write or solve basic mathematical problems. We’re talking about university-level students. But the professors stress that it’s not their fault – rather, they’re the product of a seriously deficient educational system at the primarily level. Professors are required by law to pass 80% of their students onto the next grade, regardless of their skill and intelligence. By the time they get to university, many of these students are lacking even the most basic skills to succeed and learn.

And if you think that the government is addressing this important issue, think again. Just this year, they further slashed public investment in primarily level education by an outrageous 33%. Instead, and despite our 12 years of peace, the government preferred to invest its earnings in military equipment. So much so that Angola is sub-Saharan Africa’s biggest military spender. The wisdom of spending $6.1-billion on military equipment, a lot of it nearly obsolete, during peacetime, to the detriment of proper spending in education, is extremely worrying.

Although it likes to think of itself as a regional leader and enjoys flexing its financial muscle, Angola does not have a single university in Africa’s top 100. Its existing universities, with very few exceptions, are utter shambles.

Continuous and sustainable investment in education is a must if we are to have a properly functioning society and economy run by Angolans. Human development is our most pressing need because human capital is our most valuable commodity. Oil will run out one day, and the financial crisis in Portugal that brings so many Portuguese to our workforce will one day end. Who then, will run Angola, and with what education?

Claudio Silva is Angolan. He has spent time in New York, Washington DC, Lisbon, Reading (UK) and attended university in Boston. In 2009, he started Caipirinha Lounge, a music blog dedicated to Lusophone music. Claudio contributes to several other blogs including Africa is a Country and Central Angola 7311. Connect with him on Twitter.

11 years ago

Meet Super Sisi, Egypt’s new game hero

On Egyptian streets Abdel Fatah al-Sisi – the top general who ousted ex-president Mohamed Morsi last summer – reached superhuman status months ago. Now the digital world has caught up: developers have released a Sisi-themed arcade-style game for Android users, billing the strongman as an Egyptian superhero.

Super Sisi sees a two-dimensional version of Egypt’s likely next president fly through a cartoon Cairo, attempting to save the country. In real life, Sisi’s picture looms over most main roads in Cairo, with many seeing his leadership as the answer to three years of political instability. In the game, Sisi’s avatar flies over the pyramids and the river Nile dodging bombs and explosives – a plotline that might remind some of a real-life wave of militant attacks aimed at soldiers and policemen.

Super Sisi is available in the Android App store. (Screenshot)

The game is the latest in a string of unlikely memorabilia aimed at cashing in on Sisi’s cult status. Elsewhere, Sisi’s face adorns tat ranging from underpants, fast-food packaging and, most famously, chocolates – at least until police raided the patissiers who made them last month.

But popular culture has not all been favourable to the man many expect to be elected Egypt’s next president in late May. In late March hundreds of thousands took to social media to express disgust at the general. Using the slogan “vote for the pimp”, it was a reminder that many Egyptians revile Sisi for his role in a crackdown that has seen at least 16 000 political dissidents arrested since regime change last July, and thousands killed.

After months of speculation as to whether he would stand for the presidency, Sisi resigned from the military in March, paving the way for a return to strongman leadership for Egypt.

Sisi had been spoken of as a potential head of state after he removed Morsi last July, following days of mass protests against the Islamist-slanted government.

A poll from late March by Egypt’s leading pollsters, Baseera, suggested that 39% of Egyptians would vote for Sisi in an election. This dwarfs support for the two other well-known candidates currently in the race – the rightwing football club chairman Mortada Mansour and leftist Hamdeen Sabbahi, who moulds himself in the image of Egypt’s 60s autocrat, Gamal Abdel Nasser. But it is a marked drop from Baseera’s February poll, which gave Sisi 51%. Most voters say they are yet to decide, but their choice is already limited by the withdrawal of two leading candidates who say that the race will be neither free nor fair.

Patrick Kingsley for the Guardian

11 years ago

Hard work pays off for founder of ‘Nollywood Netflix’

At only 33, Jason Njoku is already considered one of Africa’s most promising entrepreneurs thanks to an online film distribution service that has tapped high demand for Nigerian movies.

But the British-born Nigerian entrepreneur, whose firm iROKO has been compared to the US Internet movie and TV streaming giant Netflix, is cautious about reading too much into the accolade.

“On paper, I’m a millionaire, absolutely,” he told AFP at his office in Nigeria’s financial capital, Lagos.

“But it’s on paper. It’s not cash in the bank. I think we are not successful, we are not profitable, we have a long way to go.”

Njoku’s caution is understandable given his background.

Soon after he was born, his father left, leaving his mother struggling to make ends meet while Njoku grew up in southeast London. Yet he managed to become the first from his family to go to university.

With a chemistry degree from the University of Manchester under his belt, Njoku decided to set up his own business. But it was not all plain sailing.

“I graduated in 2005 and spent a good five-and-a-half years just failing in everything I tried,” he admitted.

Though Njoku was broke, unable to open a bank account and slept on friends’ sofas, his best friend and university flatmate Bastian Gotter was still persuaded to invest in his latest venture.

Cinema is big business
That enterprise – iROKO Partners – was his 11th attempt at starting a company and born of the fact that cinema is increasingly big business in Nigeria.

Video editors David Adeoti (L) and Jolaosho Oladimeji preview a work at the headquarters of iROKOtv in Lagos. (Pic: AFP)

Some 1 500 to 2 000 Nollywood films are made every year and many are wildly popular both at home and abroad.

Most films, including poor quality pirated copies, are sold for a dollar or two on DVD in markets or by hawkers at traffic junctions, making them difficult to come by for the legions of fans overseas.

Njoku bought a ticket for Nigeria, where he had previously only been on a few childhood visits, and set out to meet film producers in the hope of creating a slick, modern distribution network.

“Our idea was really simple: we just wanted to take Nollywood movies and put them online. It’s as simple as that,” he said.

With producers on board, the first step in 2010 was the creation of “Nollywoodlove”, a dedicated channel on the video-sharing site YouTube, followed a year later by the iROKOtv platform.

Gotter sank money he had made as a trader for British oil giant BP into the venture and a US-based investment fund also provided financial backing, Njoku said.

Today, iROKOtv gets nearly a million hits a month and almost 90% of the content – more than 5 000 films – is free, with revenue generated in part by online advertising.

There is also a subscription service, where users can download the latest releases for $7.99 (5.7 euros) a month.

Notwithstanding comparisons with Netflix and the company’s expansion beyond Lagos to Johannesburg, London and New York, Njoku believes they still have a way to go.

Profitability, he said, will only start to come in two or three years.

“I’m actually always wary not to celebrate success before you know what it actually is. And at the moment, we’re still growing, we’re still scrappy, we’re still scared,” he explained.

“And in as much as money is important, it’s not the yardstick that we should use to determine your life and your values and how you try to build a company…

“We’re basically still growing and investing for growth.”

Up to now, most users of the site have been in the diaspora – first and second-generation African families who want to stay in touch with their roots.

African online market
But Njoku is eyeing the vast potential of the African online market for expansion and has tasked engineers to figure out the best way to compress films so quality is not lost on poor Internet lines.

Njoku and Gotter have also set up the music download site iroking.com, dubbed the “African Deezer”, featuring 35 000 tracks from Nigeria and other countries on the continent in MP3 format.

Another venture, “Sparks,” supports and finances young Nigerian start-ups.

What’s clear is that Njoku is not short of ideas or energy.

The self-confessed workaholic reckons he spends more than 100 hours a week in his office and is eager to share his experiences with young Nigerians, mindful that they will determine his future success.

“I think tenacity is one of the most important things because things are never going to go in the right way,” he said.

“So, if you can get knocked down five years in a row and still be excited, still be enthusiastic and still be in the fight… I think I’m fortunate to have been able to continue somehow.”

Cecile de Comarmond for AFP

11 years ago

Zimbabwe’s crocs go veggie for high fashion

Crocodiles are some of the most feared predators in Africa, ruthless reptiles renowned for tearing their prey to pieces before swallowing hunks of meat raw.

But in the baking sun at Nyanyana crocodile farm on the shores of Zimbabwe’s Lake Kariba, feeding time has a surreal edge as the beasts nibble lazily at bowls of vegetarian pellets.

Besides being cheaper than meat, the diet of protein concentrate, minerals, vitamins, maize meal and water is said to enhance crocodile skin destined to become handbags or shoes on the catwalks of New York, Paris, London or Milan.

“We don’t feed them meat any more,” said Oliver Kamundimu, financial director of farm owner Padenga Holdings.

“It actually improves the quality because we now measure all the nutrients that we are putting in there, which the crocodile may not get from meat only,” he told Reuters in an interview.

Crocodiles feed on vegetarian pellets inside a pen at Nyanyana Crocodile Farm in Kariba. (Pic: Reuters)

Four hundred kilometres northwest of Harare, Nyanyana is home to 50 000 Nile crocodiles and is one of three Padenga farms around Kariba, Africa’s largest man-made lake.

The company has 164 000 crocodiles in all and started feeding pellets in 2006 at the height of an economic crisis in Zimbabwe that made meat scarce and very expensive.

Initially, the pellets contained 50% meat but that has gradually been phased out to an entirely vegetarian diet.

“We have moved gradually to a point where we reduced the meat to about 15% then to 7% and where we are now there is zero meat, zero fish,” he said.

“It’s a much cleaner operation and the crocs are getting all the nutrients they want from that pellet.”

Fed every second day, the crocodiles are largely docile and lie asleep in their enclosures as workers walk around casually cleaning up leftovers.

Hermes, Gucci
The crocodiles are slaughtered at 30 months, when they are about 1.5 metres long and their skin is soft and supple.

Last year Harare-listed Padenga sold 42 000 skins to tanneries in Europe, especially France, where the average skin fetches $550.

Ninety percent of the leather becomes high-end handbags, Kamundimu said, while the remainder makes belts, shoes and watch straps for some of the biggest names in world fashion.

“When you hear names like Hermes, Louis Vuitton and Gucci – those are the brand names we are talking about,” he said with a satisfied smile.

Having survived economic collapse and hyperinflation of 500 billion percent in Zimbabwe, Padenga then had to deal with fallout from the 2008 global financial crisis, and economic contraction in the euro zone, its main market.

However, while appetite for crocodile meat cooled in Europe and Asia, super-wealthy European shoppers shrugged off recession and continued to snap up crocodile-skin items, Kamundimu said.

“When you look at people who buy handbags for their wives or daughters that cost $40 000 a piece, even when the euro zone problems came, they could still afford to buy,” he said. We didn’t feel a decline.”

MacDonald Dzirutwe for Reuters