Note on the impact of the war in Ukraine on Africa

Note on the impact of the war in Ukraine on Africa

On 24 February 2022, the President of the Russian Federation Vladimir Putin announced the launch of a special military operation in Ukraine. Following this announcement, Russian troops deployed on Ukrainian territory.

This note, written on 10 March 2022, provides some insight into the importance of this conflict for Africa and the first steps for African countries to take.

I - Overview of relations between conflict countries and Africa

The relationship between Africa and the countries currently at war is not new. In the 1960s, many African countries had diplomatic and economic relations with the USSR, which included Russia and Ukraine. Despite the end of the Cold War and the crumbling of the USSR in the early 1990s, relations between Africa and these countries continued. On the one hand, Russia inherited the Soviet relationships in Africa in terms of military cooperation and heavy industry. On the other hand, Ukraine has increased its trade-in products such as wheat, sugar, rolled metal or chemical fertilisers with African countries.

Russia-Africa relations

Aucun texte alternatif pour cette image

  • Relations between Russia and Africa were revitalised during Vladimir Putin's second term (2004-2008). This vitality was first translated into a logic of "economic diplomacy" and concerns countries (Algeria, Libya, Angola, Namibia, Guinea...) in which the Soviet Union had invested significant resources between the late 1950s and Perestroika.
  • ?It then translated into a strong political and security involvement with countries facing major political crises and challenges (Libya, Sudan, Ethiopia, Central African Republic, etc).
  • It culminated in 2019 with the organisation of the Russia-Africa summit, which saw all 54 countries of the continent represented, including 45 at the level of heads of state. More than 50 agreements worth 800 billion roubles (USD 7,424,595,200.00) were signed
  • In 2018, Russian exports to Africa amounted to $17.5 billion. Africa's exports to Russia amounted to $2.9 billion. Between 2003 and 2018, the total amount of Russian capital investment in African states by large companies amounted to $47 billion.
  • African countries imported USD 4 billion worth of agricultural products from Russia in 2020. About 90% of these products were wheat, and 6% were sunflower oil. The main importing countries were Egypt, which accounted for almost half of imports, followed by Sudan, Nigeria, Tanzania, Algeria, Kenya and South Africa.

Ukraine - Africa relationship

Long-standing and important economic relations

  • Due to the good quality of its agricultural land, Ukraine supplies one fifth of the world's maize and 80% of the world's sunflower production. Sunflower, together with soya, is one of the main feedstuffs.
  • Trade between Ukraine and Africa amounted to $210 million in 1996 and exceeded $4 billion in 2020. Ukrainian direct investment reached $810 million in 2020.
  • Kiev was an important supplier to Africa. In particular in sectors such as wheat, agricultural equipment and metal products...
  • Many African countries have had strong trade relations with Ukraine since the 1960s: Morocco, Nigeria, Guinea, Mali, Angola, Uganda, etc.
  • Ukraine exported $2.9 billion worth of agricultural products to the African continent in 2020. About 48% of these products were wheat, 31% maize, and the rest sunflower oil, barley and soybeans.

A popular land for African students

  • Ukraine is also a destination of choice for African students, especially for those wishing to become engineers or doctors.
  • According to the Ukrainian authorities, nearly 76,000 Africans, of all nationalities but mostly students, are currently living in Ukraine.
  • Among the top ten countries of origin of foreign students, three are African: Morocco (8,000 students), Nigeria (4,000) and Egypt (3,500) are among the few to have an embassy in Kiev, along with South Africa, Algeria, Libya and Sudan.

Russia and Ukraine import little from the African continent

Russia and Ukraine's agricultural imports from the continent are marginal - only USD 1.6 billion on average over the last three years. The dominant products are fruit, tobacco, coffee and beverages in both countries.

II - Africa's reaction to Russia's invasion of Ukraine

1 - Africa's first reactions following the declaration of war?

Country and Reactions

African Union?

  • The African Union (AU) expressed on 24 February its "extreme concern about the very serious and dangerous situation in Ukraine".
  • In a communiqué signed by Senegal's Macky Sall, current chairperson of the AU, and Chad's Moussa Faki Mahamat, chairperson of the Commission of the institution, the pan-African organisation calls on "the Russian Federation and any other regional or international actor to imperatively respect international law, the territorial integrity and national sovereignty of Ukraine". Both "urge both parties to establish an immediate ceasefire and to start political negotiations under the auspices of the United Nations without delay", warning against the "consequences of a global conflict".

South Africa

  • Through its Foreign Minister, Naledi Pandor, South Africa "called on Russia to immediately withdraw its forces from Ukraine", insisting "on respect for the sovereignty and territorial integrity of states".
  • It also said in a statement: "Armed conflict will undoubtedly lead to human suffering and destruction, the effects of which will not only affect Ukraine but also the whole world. No country is immune to the effects of this conflict.
  • Subsequently, President Cyril Ramaphosa offered to engage in discussions with Russia and the United States 'to stop this war' at an intergovernmental meeting in Pretoria on 25 February 2022.

Non-permanent African members of the Security Council

  • Kenya, an East African economic power and non-permanent member of the UN Security Council, has condemned Russia. In a speech, Kenya's ambassador to the UN Security Council, Martin Kimani, said: "The territorial integrity and sovereignty of Ukraine is being violated. The UN Charter continues to wither under the relentless assault of the powerful."
  • Ghana and Gabon - the other two African states on the UN Security Council - have also condemned Russia.

Countries that have close military cooperation with the Russian Federation

  • In the aftermath of Russia's operations in Ukraine, neither Mali nor the Central African Republic has come out in favour of Russia's intervention, although Russian forces are helping these governments fight insurgencies.
  • Ethiopia, a traditional friend of Russia since Emperor Haile Selassie I and a signatory to important military cooperation agreements with Moscow in July 2021 after US sanctions against Addis Ababa in the wake of the war in Eritrea, has remained silent.
  • Some authorities in Sudan and Uganda supported the Russian invasion of Ukraine. As a reminder, Sudan, which in December 2020 authorised the construction of a Russian naval base in Port Sudan, is one of the African countries where the Russian mercenary group Wagner is strongly established.

Maghreb countries

  • In the Maghreb, Algeria, which has strong ties to Russia and is a regular customer of its arms industry, has remained silent.
  • Tunisia, through its Minister of Foreign Affairs, Othman Jerandi, who was invited to the Ukrainian embassy in Tunis on 24 February, officially condemned "Russia's armed aggression" and called for support for Ukraine's territorial integrity.

2) Reactions of African countries to the UN General Assembly resolution on the conflict in Ukraine

Aucun texte alternatif pour cette image

No common front at the UN

A resolution against the Russian invasion was adopted on Wednesday 2 March with a massive margin of 141 votes in favour out of the 193 member states of the UN General Assembly.

28 African countries voted in favour of the resolution condemning the Russian invasion.

Some 17 African countries abstained from the vote at the UN General Assembly. They were Algeria, Burundi, Senegal, South Africa, Southern Sudan, Uganda, Mali and Mozambique. The other countries were Sudan, Namibia, Angola, Zimbabwe, Equatorial Guinea, Central African Republic, Madagascar, Tanzania and Congo.

Eritrea was the only African country to vote against the resolution.

8 African countries did not vote.

II - Overview of the impacts of the war in Ukraine on Africa

1 - On the humanitarian level: The urgent need to support Africans living in Ukraine

With the outbreak of war, there are increasing concerns about their safety.

Macky Sall, the Senegalese President and current Chairperson of the African Union (AU) and Moussa Faki Mahamat, Chairperson of the AU Commission, expressed "their extreme concern over the very serious and dangerous situation in Ukraine" in a joint statement, calling on "the Russian Federation and any other regional or international actor to imperatively respect international law, the territorial integrity and national sovereignty of Ukraine".

2 - In economic terms

This war in Ukraine will have several consequences.

a - Soaring energy prices

Rising oil prices

  • On the markets, the entry of Russian troops into Ukraine has pushed the price of oil above the $100 a barrel mark - the first time this has happened since 2014, when Russia annexed Crimea.
  • Fears of a disruption in supply flows even triggered a further 9% surge on 25 February to $105.79 a barrel, which could continue if sanctions are imposed on Russia, which supplies 11.5% of the world's supply as the world's second-largest crude exporter.
  • The budgets of oil-producing countries such as Nigeria and Angola could receive a boost from higher prices. This will not be the case for non-oil producing countries. [1]
  • While the former are expected to generate enough cash to repay their debts to international donors, the latter risk seeing their energy bills rise to new heights.
  • By impacting on fuel prices, this rise in oil prices will also cause a rise in transport prices and therefore in the price of most consumer goods on the continent, with a real risk of a slowdown.

Rising natural gas prices

  • Also on the energy front, natural gas prices soared by almost 40% in the early hours of the conflict.

- Europe is concerned that its relations with a neighbour that supplies nearly 40% of its energy needs each year will deteriorate over time.

  • An opportunity to be seized by African producer countries, as Samia Suluhu Hassan, the Tanzanian president, assures us, for whom "this crisis will provoke a particular interest in African gas", from which her country, as well as Mozambique, Mauritania, Nigeria, Senegal and even more so Algeria could benefit.
  • President Abdelmadjid Tebboune was also keen to reassure his European partners, stating on 24 February that Algeria was in a position 'to respect its commitments in terms of hydrocarbon supply, particularly natural gas'.

b - Forecasts of price increases for certain minerals

Bauxite and gold prices on the rise

  • While prices for the majority of minerals have remained largely unchanged, the situation may change as the war progresses.
  • Following the outbreak of war, the only notable change was that the main component of aluminium, bauxite, broke all-time records.
  • Guinea is a major producer of bauxite and Russia remains one of the world's leading producers.

Rising gold prices

  • Gold, the safe haven par excellence, recorded its best price in a year and a half the day after the war, gaining 3% to $1,974 per ounce.
  • Ghana, South Africa, Mali and Sudan (among others) are expected to benefit from this increase.

Rising prices for other minerals

  • The continuation of the conflict could nevertheless lead to a medium-term rise in certain minerals largely held by Russia, from nickel to tin, palladium, platinum and copper.
  • Africa's sub-soil is also rich in this kind of wealth.

c - A sharp rise in the price of cereal products

  • With Russia and Ukraine together providing more than a third of the world's wheat supply, the price of a bushel of wheat reached $9.29 in Chicago, its highest price in nine years.
  • The continent is particularly concerned since North Africa remains one of the two main regions in the world, along with the Middle East, to depend on these wheat imports.

- With 13 to 14 million tonnes purchased each year, Egypt is the world's largest buyer of Russian wheat. The authorities have just announced that they have a four-month reserve.

- Algeria also obtains 10% of its needs from Moscow, the world's leading exporter, while Morocco (12%), Tunisia (48%) and Libya (43%) have chosen to buy from Ukraine, the world's fourth largest wheat seller.

- In sub-Saharan Africa, countries such as Togo, Cameroon, Senegal and Nigeria, which are increasingly sourcing from Russia, could also be heavily affected.

  • The spectacular rise in the price of the most consumed cereal on the planet is therefore causing fears of an increase in the price of bread, but also of pasta and semolina, reactivating the specter of the "hunger riots" which had already shaken the African continent between 2008 and 2012.

The combination of these consequences poses serious risks of social disruption in African countries already severely affected by several situations of fragility as well as the Covid pandemic.

3 - On the political level

In addition to threatening African economies, the war in Ukraine could have a devastating political and diplomatic effect on some African states. African governments may come under diplomatic pressure to take sides in the escalating dispute between Russia and Western powers.

The war in Ukraine will lead to increased military spending in rich countries to rearm. These increases in military spending, which come after a Covid-19 crisis that has severely strained state finances, will come at the expense of spending on tackling major challenges such as poverty, pandemics, education, inequality and the climate crisis.

Finally, this war will have potential and unpredictable consequences in countries in crisis where Russians and Westerners are already fighting, such as the Central African Republic, Mali, Sudan, Libya, etc. ?

III - Urgent and priority areas of action for African states

African states must act at least on three levels:

On the humanitarian front, it is important that Africa acts quickly.?If a continental strategy is not adopted, regional economic communities should organise themselves to :

a)??????Put in place mechanisms to facilitate the extraction of African nationals from war zones and their return to their respective countries. A pooling of resources could be of definite added value.

b)?????Activate all diplomatic networks and mechanisms for the fair treatment of African nationals in European countries. In particular, ensure that they are not subjected to discriminatory treatment such as that seen at the borders of some countries at the beginning of this war.

c)??????Put in place arrangements to ensure continuity of training in other countries for African nationals whose studies are permanently interrupted or compromised. A significant proportion of the students specialised in engineering and medicine. These are very important fields for African countries.

In economic terms, it is important to :

a)??????Take measures at national, regional and continental level to mitigate the negative effects of this crisis. This implies consultations between governments and African stakeholders in order to find appropriate ways of supporting the most vulnerable populations.

b)?????Organise also at national, regional and continental levels to seize the opportunities that this situation could bring. Opportunities exist for countries to become suppliers to Europe, which is in the process of reducing its dependence on Russia.

c) Most importantly, there is a need to accelerate the structural transformation of African economies in order to ensure the continent's food sovereignty. After the COVID-19 pandemic, the war in Ukraine is a reminder of the urgency of developing African productive capacities.

On the political and diplomatic level, African states would benefit from:

a)??????Working together to reaffirm their values and interests and to present common positions in all the international forums in which they will be called upon to express their views.

b)?????Contributing to the achievement of a ceasefire and to the search for durable solutions that take into account the interests of all stakeholders in the international system.

c)??????Intensifying consultations with their various partners so that the commitments made to development projects and crisis resolution in Africa are maintained and even intensified.

d)?????Drawing all the political and geopolitical lessons from the consequences of this major conflict in Eastern Europe.

These three areas of work are minimum elements for African states at the individual and collective level to deal with this major upheaval in the world today.

About the authors

This sheet is produced by STRATEGIES! Consulting firm based in Douala, Cameroon. It is a firm specialised in leadership and management that delivers its services in Africa as well as in Europe and the United States. STRATEGIES! supports private companies as well as national and international public institutions. It has been in existence for 27 years and is headed by Kah Walla.


Sources

Article links

https://www.dw.com/fr/afrique-ong-guerre-en-ukraine/a-61101326

https://www.bbc.com/afrique/region-60699348

https://www.lemonde.fr/afrique/article/2022/03/11/la-guerre-en-ukraine-risque-d-aggraver-l-insecurite-alimentaire-en-afrique-de-l-ouest_6117139_3212.html

https://afrique.tv5monde.com/information/guerre-en-ukraine-face-la-hausse-des-prix-du-ble-les-pays-africains-tentent-de-sadapter

https://www.lepoint.fr/afrique/russie-afrique-l-economie-au-coeur-du-nouveau-partenariat-21-10-2019-2342587_3826.php

https://www.jean-jaures.org/publication/russie-afrique-une-relation-ancienne-mise-en-lumiere-par-lintervention-du-groupe-wagner-au-mali/

https://www.agenceecofin.com/hydrocarbures/0907-58446-classement-des-pays-africains-selon-le-volume-de-petrole-produit-en-2017

https://fr.obsfr.ru/analytics/notes/10953/

https://theconversation.com/comment-le-conflit-russie-ukraine-pourrait-influer-sur-lapprovisionnement-alimentaire-de-lafrique-178191

https://afrique.le360.ma/maroc-algerie-senegal/politique/2022/02/26/37148-crise-russie-ukraine-un-inquietant-casse-tete-pour-les-pays-africains

Video links

In French

https://www.youtube.com/watch?v=W0t8TCCQj4M

https://www.youtube.com/watch?v=IbKGL0OGGJo

https://www.youtube.com/watch?v=6q4CuTMFijU

https://www.youtube.com/watch?v=gyQmN3BZM6E

https://www.youtube.com/watch?v=831xilKv7ds


In English

https://www.youtube.com/watch?v=WMrJ2fk-riM

https://www.youtube.com/watch?v=OZBj2C8DU8Y

https://www.youtube.com/watch?v=tyqFrrDamo0

https://www.youtube.com/watch?v=ZkzNYd1pdfg

https://www.youtube.com/watch?v=GQf7B5DGiJM

https://www.youtube.com/watch?v=MjcVTpvQ5MA

https://www.youtube.com/watch?v=SDKUhAlYHYw

https://www.youtube.com/watch?v=hcTqOdhMlhA

https://www.youtube.com/watch?v=wMUmjCgSfXE

?

·??????[1] It is important to note that the continent has 18 oil producing countries: Nigeria, Angola, Algeria, Libya, Egypt, Republic of Congo, Equatorial Guinea, Gabon, Ghana, South Sudan, South Africa, Chad, Sudan, Cameroon, Ivory Coast, Tunisia, Democratic Republic of Congo, Niger.

Apart from a dozen oil producing countries, the vast majority of African countries are net oil importers. The continent's energy dependence is very high.

?

要查看或添加评论,请登录

STRATEGIES! Sarl的更多文章

社区洞察

其他会员也浏览了