ATPC DAILY DIGEST 5 JUNE 2020
IMPORTANT ANNOUNCEMENT
Launch of ARII 2019 website for deeper understanding of Africa’s performance in regional integration – Following the release of the African Regional Integration Index (ARII) 2019 Report, ECA launches a dedicated website to enable a deeper understanding of the performance of the continent, Regional Economic Communities (RECs) and African countries in regional integration and assist African countries in making the most out of the African Continental Free Trade Area (AfCFTA) and boosting intra-African trade (BIAT) action plan. The Index evaluates regional integration on the basis of five dimensions – trade integration, productive integration, macroeconomic integration, infrastructural integration, and integration in terms of free movement of people – for 54 African countries and for the eight RECs recognised by the African Union. ARII 2019 ranks African countries’ level of integration within their respective RECs and also with the rest of the continent. The objective of this dedicated website is to enable in-depth understanding of integration across its various dimensions presented in ARII 2019. The website has features that allow access to customized maps, graphs, tables and the underlying raw data.
Africa’s overall score in regional integration from ARII 2019 is relatively low, suggesting considerable room for improvement. However, if we look closely into the scores across the five integration dimensions, it becomes apparent that Africa’s relative poor performance is due to the low scores in two specific areas: productive integration and infrastructural integration. If we go another layer deeper and look at the scores of indicators within dimensions, low trade in intermediate products tends to explain the relatively weak performance in productive integration, while inadequate infrastructure networks drive poor performance in infrastructural integration.
The five dimensions of integration in ARII 2019 are so closely interrelated that Africa’s overall performance in regional integration would improve significantly and allow African countries to make the most out of the AfCFTA if regional value chains are strengthened, thereby improving the continent’s productive integration, and the infrastructure network is enhanced. ECA has provided training to Member States on the collection and use of the information contained in ARII 2019 for policy analysis and policy development. The dedicated website can be accessed here. (UNECA)
Key Words: ATII 2019, COVID-19, Regional Integration
INTERNATIONAL
Connecting Digital Economies: Policy Recommendations for Cross-Border Payments – Digital trade is more important than ever. While the COVID-19 crisis has cast a long shadow over the future of international trade in traditional goods and services, it has also demonstrated the resilience of a digitized economy and will accelerate the digital transformation of the global economy in the coming years. Digital payments are at the centre of this transformation, connecting merchants and consumers around the world and enabling new avenues for global commerce.
Thanks to new technologies and platforms, today’s consumers are no longer constrained to buying from stores in their immediate community, city or even in their own country. Given this unprecedented level of interconnectedness, it is no wonder cross-border e-commerce now accounts for the fastest-growing segment in cross-border payments. This is especially important for developing markets looking to connect small businesses and microenterprises to the global economy with the fewest complications or friction as possible. As more businesses and consumers adopt digital payments, policy-makers and regulators have an important role in ensuring payment services remain competitive, seamless and secure. Though it is easier than ever before to pay and be paid around the world, significant challenges loom on the horizon. Market barriers, diverging standards, security threats and a lack of coordination on crossborder oversight all threaten future growth in the digital economy. This report examines these issues and provides policy-makers with concrete solutions to streamline cross-border payments and promote digital trade in furtherance of their efforts to foster inclusive economic growth.
This report is part of the World Economic Forum’s broader work on digital payments, which supports inclusive growth in the digital economy. The work explores ways to encourage financial inclusion, digital payment acceptance and global interoperability, covering existing and emerging technologies, including digital currencies. Through this effort, the Forum recognizes the importance of bringing the public and private sectors together to accelerate the benefits of the digital economy. This report was produced by the Platform for Shaping the Future of Trade and Global Economic Interdependence. (weforum)
Key Words: Digital World, COVID-19, Global Economy
New webpage examines link between trade and natural disasters – The WTO has published a new webpage on trade and natural disasters to provide access to research papers and WTO-organized symposia dealing with this topic. The webpage collates research on the impact of natural disasters on countries’ trading capacity and how the multilateral trading system can help countries respond to and recover from these disasters. Economies across the world are facing an increasing economic burden caused by natural disasters and research predicts that these phenomena will grow in frequency and intensity.
International trade can play an important role in helping countries respond to and recover from natural disasters and build resilience against future disasters. Well-functioning and open markets underpinned by WTO rules can support governments in dealing with the after-effects. Research on natural disasters and trade was commissioned by the WTO in 2018, funded by the Permanent Mission of Australia. A first symposium took place in April 2018, with three further events organized. The objective of the research was to deepen analysis - including through country case studies - of the interplay between international trade and natural disasters. Special attention was placed on analysing the recovery of countries' trading capacity and infrastructure.
Ensuring that economic systems are robust enough to withstand natural disasters will help to deliver the United Nations 2030 Agenda for Sustainable Development and implement the Sendai Framework for Disaster Risk Reduction, an international agreement that seeks to build resilience in the face of an increasing burden of disasters. The research resulted in two studies carried out by the WTO Secretariat and by Giovanna Adinolfi, Professor of International Law at the University of Milan, Italy. Ms Adinolfi said: "With the number and economic burden of natural disasters growing, building appropriate legal frameworks consistent with known risks would help governments strengthen resilience and reduce vulnerabilities to such shocks. My analysis suggests that many tools are available for disaster-affected economies and their trading partners across WTO agreements, such as those covering trade in goods, trade in services and trade-related aspects of intellectual property rights." The studies can be accessed here. (WTO)
Key Words: WTO, COVID-19, Trade
Guest blog: Business unusual – Adapting to change and facilitating global trade finance – Ahead of the launch of the International Chamber of Commerce’s (ICC) Global Survey on Trade Finance later this month, BNY Mellon’s Global Head of Trade Finance Product and Portfolio Management, Joon Kim, explains how banks are showcasing their resilience throughout the COVID-19 pandemic, in his guest blog for the world business organization. As industries go, trade is not typically known for being nimble. Yet, the unprecedented circumstances of the COVID-19 pandemic are forcing the hand of those in global trade, and banks are adapting – and adapting quickly to ensure they can continue playing their fundamental role in enabling the wheels of trade to turn.
With value chains and logistics networks disrupted, and spending and production lines delayed as countries continue to enforce lockdown measures, exporters across the world are having to face and overcome profound operational challenges. The World Trade Organization (WTO) has predicted that world trade will fall by between 13% and 32% in 2020. China, for example, saw exports decline by 17.2% in the first two months of 2020. Interestingly though, China, as well as other Asia-Pacific countries, appear to be slowly trying to make a recovery and return to a degree of normality. According to a customs administration survey made in early March, nearly 81% of 2,552 companies involved in trade had resumed operations.
Navigating the “new normal” - For the foreseeable future, the trade industry is being forced to grapple with a somewhat alien world. For banks – the providers of trade finance, the very lifeblood of international trade – the exceptional circumstances have required a rapid response. Banks have an obligation to protect their balance sheets – and with risk factors going up, extra due diligence and cybersecurity are paramount. Portfolio quality, credit risk assessment and return on capital – all essential elements in any trade finance transaction – have therefore become more important than ever when it comes to lending. Subsequently, the key focus for many banks today is supporting their core clients.
In order to do this, banks swiftly invoked their business continuity plans (BCPs), in some cases overnight, to limit disruption and help optimise the flow of trade finance transactions. BCPs must be continuously evaluated and adapted if banks are to be positioned to address the fast-moving global developments taking place. ICC recently published a guidance paper on the impact of COVID-19 on trade finance transactions issued subject to its rules to explain how to deal with paper documentation as multiple countries go into lockdown, which has been a valuable resource. Indeed, with trade finance being such a manual, paper-driven business, navigating the challenges caused by the lockdown is particularly complex. This makes implementing methods to overcome logistical obstacles, including protecting employees, all the more critical to ensure trade can continue to flow. (ICC)
Key Words: ICC, COVID-19, Trade Finance
Lifelines in Danger – The COVID-19 pandemic is crippling the economies of rich and poor countries alike. Yet for many low-income and fragile states, the economic shock will be magnified by the loss of remittances—money sent home by migrant and guest workers employed in foreign countries. Remittance flows into low-income and fragile states represent a lifeline that supports households as well as provides much-needed tax revenue. As of 2018, remittance flows to these countries reached $350 billion, surpassing foreign direct investment, portfolio investment, and foreign aid as the single most important source of income from abroad (see Chart 1). A drop in remittance flows is likely to heighten economic, fiscal, and social pressures on governments of these countries already struggling to cope even in normal times. Remittances are private income transfers that are countercyclical—that is, they flow from migrants into their source country when that country is experiencing a macroeconomic shock. In this way, they insure families back home against income shocks, supporting and smoothing their consumption. Remittances also finance trade balances and are a source of tax revenue for governments in these countries that rely on value-added tax, trade, and sales taxes (Abdih and others 2012).
In this pandemic, the downside effect of remittances drying up calls for an all-hands-on-deck response—not just for the sake of the poor countries, but for the rich ones as well. First, the global community must recognize the benefit of keeping migrants where they are, in their host countries, as much as possible. Retaining migrants helps host countries sustain and restart core services in their economies and allows remittances to recipient countries to keep flowing, even if at a much-reduced level. Second, donor countries and international financial institutions must also step in to help migrant-source countries not only fight the pandemic but also cushion the shock of losing these private income flows, just when these low-income and fragile countries need them most. (IPS)
Key Words: Global Remittances, COVID-19, Global Economy
PAN AFRICA
U.S. Trade Is Key to Driving Africa’s Post-Coronavirus Recovery - Negotiators from Africa and U.S. President Donald Trump’s administration should understand each other on the matter of trade. Writing recently in The New York Times, Robert Lighthizer, the U.S. Trade Representative, declared an end to “the era of offshoring U.S. jobs.” Africa’s leaders want to be able to say the same about African jobs. That is why they have launched the African Continental Free Trade Agreement (AfCFTA).
Africa has seen its jobs offshored for centuries. As colonies, Africa’s embryonic nations were set up to supply industrialized economies with low-cost raw materials which they would then have to buy back as manufacturers, value having been added far from their shores. This baked in a pernicious paradigm that stifled the continent’s post-independence industrialization and kept its markets small, disconnected and starved of investment. Building on regional trade blocs like the six-nation East African Community (EAC), the AfCFTA represents the most far-reaching initiative yet undertaken to break with the past and create an integrated African economy based on intra-continental value chains. Today, only 18% of Africa’s trade is with African countries. The aim is to make that 50% by 2030.
Understandably, some have reacted with skepticism to the announcement by President Trump and Kenya’s President Uhuru Kenyatta that they will seek a bilateral free trade agreement. It would be the first between the U.S. and an African nation. The fear is that such an agreement would be at cross-purposes with both the EAC, of which Kenya is a member, and the AfCFTA, which 55 nations have signed and 29, again including Kenya, have thus far ratified. We would like to believe this fear is unfounded. In multiple forums, including the U.S. Chamber of Commerce, President Kenyatta has emphasized that the successful completion of the AfCFTA is his top priority. Ambassador and U.S. Trade Presentative Robert Lighthizer has stated for the record that any agreement with Kenya “must complement Africa’s regional integration efforts.” On behalf of President Trump, he has pledged the U.S. to “help(ing) the AfCFTA achieve its fullest potential.”
While the novel coronavirus pandemic has stalled implementation of the AfCFTA’s initial phase, the agreement is critical to the continent’s recovery from what the World Bank projects will be a 5% contraction this year. Says Wamkele Mene, the newly appointed secretary general of the AfCFTA secretariat: “For Africa, the stimulus package is the … implementation of this agreement. Increased inter-African trade is what will drive economic development post-COVID-19.”
Can U.S. trade negotiators follow through with President Trump’s pledge for a trade pact? Yes. Lighthizer has proven himself adept at thinking outside the box and not allowing himself to be strait-jacketed by precedent – witness the innovative provisions of the U.S.-Mexico-Canada agreement he negotiated making duty-free entry into the U.S. for certain vehicles contingent on minimum wage levels. The agreement received strong bipartisan support showing this U.S. trade representative’s ability to work across party lines. U.S.-Africa trade relations have been governed for the past 20 years by the African Growth and Opportunity Act (AGOA), whose aim has been to stimulate investment in African manufacturing by giving qualified African countries – the majority – duty-free access to the U.S. market for virtually anything they can make, grow or extract from the ground, without our requiring reciprocal concessions. AGOA’s rules of origin have encouraged the development of regional value chains with some success, but not to the extent one might have hoped. (US News)
Key Words: U.S,, Africa, Trade Agreement
Afreximbank enters into partnership with International Trade Centre to prepare African businesses to grow through trade – The African Import-Export Bank (Afreximbank) and International Trade Centre (ITC) team up to help businesses make the most of the African Continental Free Trade Area. Afreximbank is teaming up with ITC to train small business owners and young entrepreneurs in Africa to trade with other African countries as part of the new African Continental Free Trade Area (AfCFTA). The training programme, How to Export within the AfCFTA, is being launched as the new free-trade area comes on stream and amid the economic strain of climate change and the coronavirus pandemic.
The training will give business owners the knowledge and skills they need to engage effectively in cross-border trade under terms of the emerging free-trade area for Africa. Intra-African trade is structurally low at 15% (compared to Europe at nearly 70%, for example), and the AfCFTA will open a market of 1.2 billion people. 'Against the backdrop of the current COVID-19 health and economic crisis, African micro, small and medium enterprises (MSMEs) need support to take full advantage of the continental market,' ITC acting Executive Director Dorothy Tembo said. 'Through this partnership, African businesses will have the opportunity to learn, plan and succeed in growing their business by taking full advantage of the AfCFTA.'
Kanayo Awani, Managing Director of Afreximbank's Intra-African Trade Initiative, said that the initiative was necessary because promoting intra-African trade through increased exports of goods and services by small and medium-sized enterprises (SMEs) was the cornerstone of the AFCFTA. It signals an optimal strategy to aid businesses and develop regional value chains, which have become more relevant with the advent of the COVID-19 pandemic, she said. 'Our joint initiative with ITC is a proactive way to support the implementation of the AfCFTA and to provide SMEs with the tools to respond more effectively to the economic and social challenges presented by the global pandemic,' she said.
The training programme, run via ITC's popular, multilingual SME Trade Academy platform, under the auspices of the Afreximbank Academy (AFRACAD), will be piloted in Nigeria, Rwanda, and Cote d'Ivoire and be launched in close collaboration with trade promotion organizations of the three selected pilot countries. Afreximbank and ITC will work toward increasing opportunities for small business owners to export and supporting countries to achieve their overall trade goals at the regional, continental and global levels. (ITC)
Key Words: ITC, COVID-19, Africa
Seven Possible Actions: Women's Rights and COVID-19 – As the number of people with COVID-19 in Africa continue to rise, and governments imposes strict lockdown measures including states of emergencies, it has become increasingly apparent that similar to other parts of the world, women are most likely to bear the brunt end of the virus. This is despite the fact that, even though the disease does not discriminate, the measures States have put in place to respond are often discriminatory, both in the way they are developed, formulated implemented and measured. The majority of government response plans that are currently been rolled out have little to no inclusion of a gender lens.
This information sheet is to provide guidance on possible actions that could be taken to reduce the risk of women and girls being left behind as a result of the novel coronavirus (COVID-19) pandemic, minimise the impact of measures on women, recognise the critical role of women in response and prevention efforts1, and ensure gender analysis informs government actions and responses. This information sheet also outlines States human rights obligations in addressing the impact of COVID-19 at the national level. (AU)
Key Words: AU, Regional Integration, Economic Growth
NORTH AFRICA
Morocco’s trade deficit drops by 1.9% at the end of April 2020 – Morocco’s trade deficit has shrunk by 1.9% to almost 66.25 billion dirhams ($6.9 billion) in the first four months of the current year, according to the Exchange Office. Morocco witnessed a 19.7% drop in exports between January and April of this year, representing a loss of 20 billion DH ($2 billion), according to the Exchange Office’s latest foreign trade statistics. In April alone, exports dropped by 47.2% — a 12 billion DH ($1.2 billion) loss — while imports contracted by 33%, or -15 billion DH (-$1.5 billion), the Exchange Office said, adding that the coverage rate lost 4.8 points to 55.2%.
With the exception of Morocco’s stable sales of phosphates and derivatives, which increased by 0.2% to 34 million DH, the country’s major export sectors have suffered from the fall in world demand, the breakdown of supply chains, and the disruption of several activities in Morocco, all consequences of the global COVID-19 pandemic. With regard to exports, the decline is imputed to the drop in sales in the majority of sectors, in particular automobile (-39%), textile and leather (-28.3%), aeronautics (- 33.9%), agriculture and foodstuffs (-7%), other mining (-30%), electronics and electricity (-1.9%) and other industries (-15.7%). The losses range from 1.8 billion DH to 11 billion DH ($184 million to $1.1 billion).
The decline in imports of goods is due to the decrease in imports of capital goods (-7.8 billion DH), energy products (-5.7 billion DH), finished consumer products (-5.4 billion DH), semi-finished products (-4.4 billion DH) and raw products (-1.7 billion DH), notes the Exchange Office. On the other hand, purchases of food products increased by more than 3.9 billion DH. The surplus of the services trade balance dropped by 9.1% to 24.6 billion dirhams, reports the Exchange Office, noting that exports and imports of services fell by 11.1% and 12 respectively, 8%. (The North Africa Post)
Key Words: North Africa, Trade, COVID-19
EAST AFRICA
EAC leads other regional blocs as most integrated – The East Africa Community bloc has been ranked the best integrated among the eight Regional Economic Communities in Africa, while the Southern Africa Development Community was least integrated, according to the second Africa Regional Integration Index (ARII 2019) published last week. Overall, the report shows low levels of integration on the continent, at an average index score of 0.327 out of 1.
The report is published by the African Union, the United Nations Economic Commission for Africa and the African Development Bank. The 2019 Index, which builds on the first edition published in 2016, provides up-to-date data on the status and progress of regional integration in Africa. The index report says Africa is still particularly poorly integrated on the productive and infrastructural dimensions, which are key aspects of the foundations of regional integration.The ARII uses 16 indicators, grouped into five dimensions, to measure how well each country and region is integrated with its neighbours. The five dimensions are; free movement of people, trade integration, productive integration, infrastructural integration and macroeconomic integration. Free movement of people is the strongest dimension with the weakest dimension being productive integration.
FACTOR IN COVID-19 - “Whereas the Index edition we are releasing has data cut off points in 2019, the Covid-19 pandemic has reopened the question of whether enough is being done in advancing regional integration to help Africa withstand systematic shocks such as the one being experienced today,” said Stephen Karingi, Regional Integration Division Director at the ECA. By these metrics, South Africa is Africa’s most regionally integrated country because it outperforms on productive and infrastructure integration. But it underperforms on the free movement of people. However, its score of just 0.625, is way ahead of the second best Kenya (0.444) and third Rwanda (0.434). The worst integrated countries are South Sudan and Eritrea doing poorly on almost every measure.
The EAC’s scores on the five dimensions of regional integration had an average score of 0.537 with strongest dimension being free movement of people while productive integration was rated as weakest dimension with an average of 0.434. This belies the strong performance of Kenya (0 .910) and Uganda (0.822) and is best explained by the low positions of Burundi (near zero) and South Sudan (0 .073). Low performance in Burundi and Sierra Leone is principally driven by their lack of commitment to liberalise. (The East African)
Key Words: EAC, Regional Integration, Trade
Uganda: COVID-19 Will Not Affect Agriculture, ICT Sectors, Says Museveni - President Museveni has said Uganda's agriculture and ICT sector will not be affected by the current COVID-19 pandemic ravaging both people's lives and the real economy. In his State of the Nation address this afternoon at State House Entebbe, Mr Museveni said: " Apart from feeding us, these agricultural products end up by earning for us $2.005 billion (49 per cent of total merchandise exports) if we take the year 2019." Adding: "Even in this lockdown, since March, the following agricultural products have earned for us as follows: coffee in March $45.87 billion, April $36.928million. Tea earning in March $5.15million, April$6.145million. Fish in March it earned $14.98million, April $6.831million. Maize earning in March$10.23million, April $6.256million."
Based on the statistics he presented, he confirmed that Uganda's agriculture remains important to Uganda's economy. "Our agriculture is, therefore, not only feeding us almost 100 per cent, but also earning dollars for us of the magnitude of US$ 2.005billion," he said. Uganda government has a policy of private sector-led growth strategy following the privatization and the liberalization the policy that was implemented in 1993, which led to the attraction of private investors in the country.
In this regard, Mr Museveni said: "Our correct policy on the private sector, the corruption and obstruction of many of our public servants notwithstanding, has also attracted a total of 5,200 factories. These are producing: cement, steel bars, soap, mattresses, Mabaati, sugar, cooking oil, rubber tyres, textiles, beverages, beers, etc., that bring in a total of US$2.09billion. This sector is ready for even a qualitative change by starting manufacturing buses, mini-buses, pick-ups, small cars, bicycles." (Monitor)
Key Words: EAC, COVID-19, Trade
WEST AFRICA
Nigeria: Panaceas: Dumping And Trade Remedies In Nigeria – The global integration of economies, technology, trades and services has become an increasing reality. International trade allows for the exchange of goods amongst countries and a substantial part of the world's gross domestic product (GDP) is derived from it. The complexity attached to international trade, particularly between developed and developing states has occasioned the inevitability of trade hazards, in turn resulting in trade remedies to protect countries and abate trade hazards.
Trade remedies are policies that allow governments to take corrective actions against imported products that causes material injury to a domestic industry. The World Trade Organization (WTO)1 deals with the global rules of trade between nations. Its core function is to ensure that trade flows as smoothly and freely as possible. The WTO's agreements regulating trade activities are the WTO Anti-Dumping Agreement (ADA), the WTO Agreement on Subsidies and Countervailing Measures (ASCM), and the WTO Agreement on Safeguards (ASG).
The ADA defines 'dumping' as when a product is "introduced into the market of another country at less than its normal value, if the export price of the product exported from one country to another is less than the comparable price, in the ordinary course of trade, for the like product when destined for consumption in the exporting country." Countervailing' occurs when there seems to be unfair trade practice of proven subsidised imports from foreign competitors by a state government of the recipient state that cause material injury to a domestic producer3 while 'safeguard measures' are applied where a "product, is being imported its territory in such increased quantities, absolute or relative to domestic production, and under such conditions as to cause or threaten to cause serious injury to the domestic industry that produces like or directly competitive products." This article focuses on the issue and effects of dumping in Nigeria, and how Nigeria can reduce its trade deficit leveraging trade remedy options. (Mondaq)
Key Words: West Africa, Trade, Investment
ECOWAS: 45 Years of Solidarity for the West African people – Established by the Treaty of Lagos on May 28th 1975, The Economic Community of West African States (ECOWAS) with its over 300 million citizens able to freely move and reside in any of its 15-Member States, has been living the dream of its founding fathers – Forging an economically integrated, prosperous, politically stable and socially liveable region. The Theme of this year’s anniversary is: 45 years of solidarity for the West African people. Supplemented by two sub-themes:
• Promoting socio-economic and human development together through regional integration; and
• Combating Covid-19 together in West Africa.
The President of the ECOWAS Commission, H.E. Jean-Claude Kassi Brou in his statement to commemorate the 45th Anniversary highlighted that ECOWAS Member States have shown resilience in the past 45 years. Going through political, economic, social and health challenges together and coming out stronger. While noting the achievements of ECOWAS, President Brou highlighted that the efforts were being compromised by insecurity and threat of terrorism in the central Sahel region and North Eastern Nigeria. This he said led the Community to convene an Extraordinary Summit to deal with the threat which led to the preparation of a Regional Action Plan adopted in December 2019 by the ECOWAS Heads of State and Government.
As the Region is jointly fighting terrorism and assisting the refugees and Internally Displaced Persons (IDPs), the new threat of the COVID-19 pandemic according to President Brou is unfolding in health, economic, social, and humanitarian impacts. According data from the West African Health Organization (WAHO), as of today all ECOWAS Member States are affected by the COVID-19 pandemic with 30,543 confirmed cases as at May 26th, 2020, 12,398 recoveries, sadly 655 deaths, and 17,490 active cases.
The ECOWAS Commission and WAHO have been working to support Member States since the first case of COVID-19 was reported in the Region by providing essential medical supplies and equipment as well as capacity building. In the past 45 years, ECOWAS has recorded many successes in all domains despite the enormity of the enormity the region faces at times. (ECOWAS)
Key Words: ECOWAS, Trade, Economic Growth
SOUTHERN AFRICA
Challenges in Urban Mobility and the Way Forward : A Study of Maseru, Lusaka, and Harare Cities– This report is the outcome of brief visits to three cities—Maseru, Lusaka, and Harare, culminating in a Southern Africa regional workshop in Livingstone in May 2019. The participants included representatives from the Ministries of Transport as well as Finance, local government, city authorities, traffic police, and other development institutions from the three cities. In addition, a number of other city representatives from the region participated, including from Gaborone, Lilongwe, and Windhoek. A request was also made by representatives from Uganda (Kampala) to participate in the workshop.
While the description in this report is focused on three cities, the observations have benefited immensely from broader discussion with other cities in the region during the workshop, and the broad message and guidance is equally applicable to other participating cities. While each city is unique, they all face common challenges and can benefit from a regional approach in the spirit of building partnerships and shared learning.
The objective of this workshop was to: a) develop an understanding of the complexity of urban transport; b) learn from international experience; and c) develop a common platform where the smaller capital cities in Southern Africa could exchange ideas and consider options to address their current urban mobility issues. To the best of our knowledge, this is the first time in over twenty years that the Bank is formally engaging in a dialogue on addressing issues specific to urban transport “services” in any of these Southern African cities.
While the general context and problems are broadly understood, it is important to fully immerse into city-specific issues, in the spirit of uniqueness (particularly from a political and institutional perspective), to begin to make specific recommendations. Each of the cities is engaged in addressing the problems in their own way (navigating the motivations of various interest groups) and are not fully aware of what the Bank has to offer, its comparative advantage, and the need to look beyond the obvious solutions. The team’s hope in organizing this workshop was to provide a broader exposure to policy leaders, based on international experience, and to use that as a basis for the cities to look at the different paradigms. (World Bank)
Key Words: SA, COVID -19, World Bank
