{{The AfDB President, Donald Kaberuka recently noted that although African economies are currently experiencing growth, “We should be wary of simplistic extrapolations; instead we should plan today on how to manage in a highly uncertain global environment”. }}
He called upon African economies to tap into global trade and capital markets to fight poverty.
Dr. kaberuka was providing his assessment of the global economy and Africa’s development.
He was guest speaker at the Meeting of the Board of Governors of PTA Bank in Lusaka, Zambia on 19 December, 2012.
On poverty reduction, Dr. Kaberuka said that “every nation on planet earth was poor at some point… What made the difference was tapping into global trade and capital markets…That is the way to go”.
PTA is the Eastern and Southern African Trade and Development Bank.
{{Net external debt inflows and aggregate net capital inflows (debt and equity) to developing countries fell in 2011, driven by a sharp contraction in net inflows from official creditors and a collapse of portfolio equity flows, according to International Debt Statistics 2013, released today. }}
The downturn was partially offset by inflows from commercial banks, sustained access to international bond markets and a rise in foreign direct investment.
“These international debt statistics are a vital input for experts working to improve the management of capital flows around the world and having the data open to all is a welcome development,” says Ibrahim Levent, Senior Information Officer in the Bank’s Data Group and part of the team that produced the report.
International Debt Statistics 2013 contains comprehensive data from developing as well as high-income countries. Following are some key trends and developments:
The combined stock of developing countries’ external debt increased by $464 billion to $4.9 trillion at end 2011, but at an average of 22 percent, remained moderate in relation to Gross National Income (GNI), and to exports (an average of 69%).
Short-term debt constituted 26% of debt stock, but risks were mitigated by international reserves, equivalent to 121 percent of external debt stock at end 2011.
Net external debt inflows to developing countries fell 9% in 2011 to $465 billion due to the sharp contraction in inflows from official creditors, which fell to $30 billion (from $73 billion in 2010).
By contrast at $434 billion, net inflows from private creditors were almost identical to their 2010 level, but with an important shift in composition: net short-term debt inflows contracted by 27%, while medium- and long–term financing from commercial banks tripled to $110 billion.
Aggregate net capital inflows (debt and equity) also fell 9% in 2011 to $1,107 billion (4.9% of GNI), compared with $1,211 billion in 2010 (6.2% of GNI), but stayed close to their pre-crisis peak of $1,180 billion in 2007.
The downturn was due to the collapse in portfolio equity flows, which fell to $2 billion, (compared to an inflow of $120 billion in 2010).
Meanwhile, foreign direct investment continued on an upward trajectory, rising by 11% in 2011 to a record high of $644 billion.
China received 27% of net debt and 35% of net equity flows to all developing countries in 2011.
When China is excluded, net external debt inflows and aggregate net capital inflows to developing countries fall 13% and 3% respectively in 2011, compared with 2010.
Countries reporting to the Quarterly External Debt Statistics and the Public Sector Database confirm that high income countries have, on average, a much higher level of external debt: 126% of GDP for G7 countries in 2011 compared to 19% for the top ten developing countries.
General government debt (external and domestic) is also much higher, with an average of 76% in Euro-zone (17) countries in 2011, more than twice the comparable ratio for the largest borrowers among developing countries.
International Debt Statistics 2013 is a successor of the World Bank’s publication, Global Development Finance (2010-2012), Global Development Finance, Volume II (1997 through 2009), and its precursor, World Debt Tables (1973 through 1996).
The report provides statistical tables showing the external debt of 128 developing countries that report to the World Bank’s Debtor Reporting System and summary information for countries reporting to the Quarterly External Debt Statistics and the Public Sector Database.
{{Prosecution in a manslaughter case facing movie actress Elizabeth Michael alias Lulu, who was charged following the death of fellow actor Steven Kanumba, has lined up nine witnesses to support its case.}}
A statement that Lulu recorded with the police on her arrest was read before Kisutu Resident Magistrate’s Court.
In the statement, the accused admits she had a romantic relationship with Kanumba but denies to have caused his death.
Public prosecutor Shadrack Kimaro told resident magistrate Augustina Mmbando that the statement formed part of exhibits that would be tendered in the High Court when the full trial begins.
He said that the two movie stars had known each other for more than ten years but they started an affair in January, despite the fact that they had never lived together (in the same house).
The lawyer alleged that on April 5, this year, the two exchanged phone text messages in which one appeared to lay blame on Lulu for not loving and respecting Kanumba despite the fact he loved her very much.
Shadrack told the court that Lulu responded to Kanumba’s message by sending a text that expressed her deep love for him.
On the fateful day, the prosecutor alleged, Lulu made a phone call to Kanumba and shortly afterwards she had arrived at Kanumba’s house at Sinza Vatican.
In the statement Lulu claimed that she found Kanumba in his room holding a bottle of alcohol which had been mixed with Soda.
While she was there her mobile phone suddenly started to ring and as she went out to respond to it Kanumba chased after her.
She had reached the roadside when he caught up with her and slapped her in the face, she says.
She adds that he kicked and accused her of looking down on him before he dragged her into his room where he picked up a panga and started attacking her again.
According to the statement, Kanumba threw the Panga and Lulu noticed Kanumba having difficulty in breathing before he hit the wall with his back and fell.
“It’s not me who killed him. I found him drunk and very angry. Between the two of us I could not push him; but he could do so to me,” Lulu claimed in the statement.
{{In Muhanga District, a night club known as Orion Club has been razed down by fire.The club completely burnt to ashes on friday.}}
Orion Club in Muhanga town was housed in EXOTICA complex belonging to Kabayiza Lambert.
Ukwigize Gildas the Orion Club owner told IGIHE that by the time the club caught fire he was also inside with the Dj.
“The cause of fire was not yet established . We tried to turn off the main switch but fire was quickly spreading to the spongy material used in the walls to soundproof the club,” Ukwigize noted.
Residents tried to extinguish the fire with sand and water but it was too late.
Its estimated that the destroyed property at the club is worth approximately between Frw150million and 180 Million.
{{China has provided to Rwanda over US$35million in form of grants and interest free loan.}}
The agreement was signed on December 21 at the Rwanda Foreign Affairs Ministry offices.
Rwanda was represented by the Minister of Foreign Affairs and Cooperation, Louise Mushikiwabo and Ambassador Shu Zhan of China to Rwanda, on Chinese side.
The two countries have previously cooperated in areas of Health, Agriculture, Education and Infrastructure.
Ambassador Shu Zhan noted that these agreements of cooperation between the two countries reflect China’s continued strong relationship with Rwanda for technical cooperation.
“The signing of these agreements shows the level of cooperation we have with China, and is the sign that show that Rwanda depends not only on one country or continent but we are capable of looking everywhere and work with lots of cuntries.” Mushikiwabo says.
Photo: {L-R Tony NsanganiraActing COORDB (L) Clare Akamanzi Acting CEORDB (C) Vivian Kayitesi Head of Investment Promotion and Implementation}
{{In the context of global economic difficulty, Rwanda has managed to create its own opportunities in 2012 and attracted a significant amount of new investments.}}
The Rwanda Development Board has released year-ending results indicating that as of December 19th, 2012, Rwanda has registered US$1.10 billion.
During a press conference in which these statistics were revealed, the Rwanda Development Board Acting Chief Executive Officer, Clare Akamanzi stated that Investments registered in 2012 have so far reached a record $1.1 billion compared to this year’s annual target of $835m with Tourism, Energy and construction & Real Estate sectors attracting the largest level of investments.
“We expect 2012 to be the highest value of projects registered in a single year,’’ Akamanzi noted .
“These record investments have also created a total of over 20,578 jobs (11,522 more jobs than 2011) with the Mining, ICT and Services sectors contributing to the largest amount of job creation’’ added Akamanzi.
These results demonstrate that Rwanda’s ease of Doing Business is having a real impact. In 2012, RDB has pursued its journey toward rapid economic transformation by further implementing changes that brought about positive results.
Of great importance also to RDB is to ensure that the policies and reforms designed; provide the private sector with the best environment to grow, while catering for government’s interest.
Through the Rwanda Private Public Dialogue mechanism, efficient forums for discussion, resolving issues and policy advocacy representing the voice of all stakeholders concerned are provided.
As per EDPRS 2 strategy being developed, it is clear that all Ministries will be actively involved in promoting private sector investments in their respective area of interest, and therefore RDB will be working in even closer collaboration with all of them going forward.
RDB will also strengthen its core marketing function to increase investment proactive targeting in strategic sectors of interest (e.g. financial services, logistics, BPO and light weight manufacturing).
Looking ahead to 2013, RDB is aiming higher to a target of $1.3 billion.
Local and Foreign Investments: 2012 Local investments registered accounted for 49% of value, but 61% of number of projects, where foreign investments and JV also account for 51% of value, but only 39$% of number of projects.
Exports: By the end of October 2012, export receipts from different sectors stood at US$ 385 million compared to US $315 million from January to October in 2011 representing a 22% increase.
Tourism: Tourism is estimated to have generated US$210.5 million from January to September, 2012 compared to US$184.4 million generated in 2011 during the same period. This corresponds to an increase of 14%.
Small and Medium Enterprise Development: RDB has established over 30 Business Development Centers to offer Business Development services that improve performance of enterprises, their access to markets and ability to compete.
These offer services to SMEs such as training, coaching, consultancies, marketing, information, technology development and transfer and business linkages
Customer Care: A series of strategic activities were set in motion on customer care to ensure that the country addresses the challenges facing it as a result of poor customer care approaches.
A campaign, entitled Na Yombi, was initiated and over 2,029,000 adult Rwandans have been exposed to best practices on service delivery through communication activities, several trainings of trainers in private sector companies.
Investment registered: is the commitment of an investor who acquired an investment certificate at RDB in 2012.
It is therefore the value committed to be invested as well as the number of jobs to be created, over the period of the submitted business plan, which can be up to 5 years.
Out of a total of 181 projects registered in 2012, the top 10 investors account for 63% of total investments value of $1,100m.
Company Registration has also reached a record level in 2012 with 9031 companies registered as of December 19th, an increase of 42% from 2011.
This represents about 35 companies registered each working day, compared to 24 in 2011, and only 2 companies per day 10 years ago.
{{The Rwanda Utility Regulatory Agency (RURA) in conjuction with the National ID project have announced that all SIM Cards will be registered and details of their bearers synchronized.}}
Maj. Francois Regis Gatarayiha of RURA noted that all phone holders will have to register their SIM card numbers and provide their personal identification details.
All those sim cards unregistered will be blocked off air or will not function.
There are about 5million phone users in Rwanda all subscribed to three major telecommunication companies MTN, TIGO and Airtel.
The Free registration process will be conducted between February 4, 2013 upto July 31, 2013.
RURA notes that this will help the the fight against rising crime especially kidnapping, theft through mobile money transfer.
{{Police in Gasabo District, Gisozi Sector, Ruhango cell has arrested two men for allegedly assaulting a man whom they suspected to have broke into a shop and stole goods.}}
Abdallah Ntiyamira, 27 and one Damascene 33, were arrested for taking justice in their hands and assaulted John Barigira, 20 who has since been admitted at Kagugu health centre.
They are currently held at Gisozi Police station.
They are now facing charges of assault and battery as stipulated under article 148 of the penal code.
{{President Paul Kagame received 22 business students, Professor of Economics and one staff member from Stanford Graduate School of Management.}}
The students were recieved on December 21.
President Kagame thanked the students for their work to improve entrepreneurship in Rwanda and expressed his hope that this trip will benefit both Rwanda and the student.
The students, who are in Rwanda as part of the Stanford Social Innovation Study Trip, were given the opportunity to interact with the President on subjects ranging from Rwanda’s development, infrastructure and the President’s leadership legacy and Rwanda’s vision.
To explain the origins of Rwanda’s vision, President Kagame told the students:
“Africa has close to 1 billion people and enormous resources. The only thing missing is Africa substantially benefitting from this and owning it. The origins of our vision are about asking ourselves why are others developed and we are like this? Do we deserve it?
What can we do to change it and create a pathway for transformation? Our vision is about redefining ourselves and becoming who we should be.”
President Kagame concluded the interactive session with these words of advice to the students:
“Choose the life you want to lead, believe in yourself and remember that nothing will happen until you do it. Never be put off by challenges, always move up because that is where you belong.”
The “Social Innovation Study Trip” is supported by Stanford’s Center for Social Innovation and is one means by which business students can satisfy Stanford’s “Global Experience Requirement.”
The theme of the trip is “Rwanda: Paths to Prosperity”, and the focus is on better understanding the challenges and opportunities for economic development in low income countries.
The interest to Rwanda came from the fact that despite the 1994 Genocide, and other obstacles, Rwanda has transformed itself from a failed state into one of Africa’s fastest growing, most stable, and least corrupt countries in only two decades.
