Africa News blog

African business, politics and lifestyle

Welcome to Ugawood

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Welcome to Ugawood, Uganda’s fledgling movie industry.

The country’s film-makers may only have limited production skills and equipment but they’re determined to grow the industry until it can compete with Nigeria’s Nollywood and other more established film industries in Africa.

“We’ve just started, I believe Nigerians are somewhere … but we will get there as time goes on,” film director Joseph Mabirizi told Reuters Africa Journal.

About 30 movies are released every year in Ugawood compared to 70 every week in Nigeria’s Nollywood. Government investment in Ugandan film is still lacking and most movies are shot on digital cameras with tight budgets.

Sought-after actors like Aisha Kyomuhanji make about $260 per movie. She works on various projects at a time, to make more money. 

Is East Africa ready for oil?

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Buoyed by recent discoveries of commercial scale oil deposits in Uganda, east African policy makers, foreign oil explorers and their local partners trooped to a five-star hotel on the Kenyan coast this week to reflect on the progress and chart future strategies.Viewed as a frontier region for oil exploration, east Africa’s first major oil find was made by Tullow Oil and Heritage Oil companies in the Albertine Basin, which spans the border between Uganda and the Democratic Republic of Congo (whose improving relations are making the exploitation of the reserves look morel ikely).Before that, Tanzania had found vast reserves of natural gas in Songo Songo and Mnazi Bay areas.Just like Rwanda, which hopes to revolutionise electricity generation in the region through methane gas from Lake Kivu, Tanzania hopes to power cars from the gas and generate much needed electricity from its natural gas.The regional economic power house Kenya has, however, had disappointing results so far in its search for oil.Although 32 wells have been sunk here since the 1950s, only traces of oil and gas have been found. It is now reprocessing data gathered over that period in the hope new knowledge and technology will reveal hidden deposits.Drilling, an expensive affair that prospectors say can cost a firm $200 million for one well, took a commercial break in the 1980s. But it has also seen a resurgence of interest, thanks to last year’s rise of crude in global markets.Kenya issued 14 exploration licenses last year and China National Offshore Oil Corporation (CNOOC) is set to sink its first well in the second half of this year in the eastern province.Kiraitu Murungi, the nation’s energy minister, told the meeting in Mombasa they were praying day and night for the new well and data reprocessing to show signs of oil.On the other hand,  Uganda — long reliant on Kenya’s ageing oil refinery for its supply of petroleum products — has grand plans for its newfound oil resources.They include the construction of a state of the art modern refinery at an estimated cost of $1.3 billion to process its oil as well as oil from any new finds in the region.Uganda’s energy and mineral development minister, Hillary Onek, spoke of the plans with a grin and added that the region, believed to share common geology, could be headed for a better future as it taps its oil and gas reserves to power development.However, as officials and oil prospectors retired to the hotel’s restaurants and beach bar for a drink in the evenings, they must have wondered if a few obstacles may not block the path to that prosperous future.The global financial crisis is weighing heavily on the finance base of some companies prospecting in the region.Lack of local skilled manpower in oil and gas industry is also worrying. So is the big question of how to equitably manage revenues from oil and gas so that oil and gas do not turn into a curse for the region as they have elsewhere on the continent.Is east Africa ready to handle oil and gas? Will oil discoveries help local communities?

Is African film industry losing its light?

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Something isn’t sitting quite right at this year’s fantastic, dust-filled pan-African FESPACO film festival.

For a start, it’s less “pan-African” than it might be: of 19 feature films competing for the shiny statue of Princess Yennenga riding her golden stallion — Africa’s very own Oscar — only one is from east Africa and none from Nigeria, whose video industry is third only to Hollywood and India’s Bollywood. By far the majority are from French-speaking countries.

Does Africa respect its writers enough?

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The reception would have done justice to royalty or a movie star when Nigerian novelist Chinua Achebe paid a rare visit to his homeland recently, some 50 years after penning his book “Things Fall Apart”.

That book has a firm place on school syllabuses in much of Africa and is studied around the world. Achebe, now 79, has been acclaimed as the father of modern African literature and as the continent’s greatest living writer – his books being very accessible as well as giving a penetrating insight into the struggles of his people.

Is Africa a good bet?

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For those looking to invest in Africa, the best prospects are in Nigeria and Ethiopia according to a new index of potential investment destinations published this week.

But should anybody want to put money into Africa at a time the global financial crisis and falling prices for export commodities, on which the continent is so reliant, have discouraged investors who had begun to see some African countries as promising frontier markets?

Niger delta: Resource war or racket?

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Nigeria’s main militant group, the Movement for the Emancipation of the Niger Delta (MEND), has not so far carried out any major attacks on the country’s oil and gas industry since announcing last month it was ending a five-month-old ceasefire. But the level of insecurity in the vast wetlands region is so great that the industry is feeling the pinch nonetheless. Royal Dutch Shell, Nigeria’s longest-standing foreign oil partner, has warned that “logistical challenges” caused by the insecurity mean it may not meet all of its oil export obligations for this month and next from its key Bonny export facility. Shipping agents and industry sources say security measures at loading platforms mean shipments of crude are being delayed, while some smaller oil services firms have started openly questioning whether to scale back their presence in Nigeria because of high levels of piracy.

On Tuesday, gunmen loyal to militant leader “Kitikata” opened fire on Shell facilities in Bayelsa state. They delivered a letter to the security guards at the site demanding they be given a contract to guard facilities at Nembe Creek, a hotspot for criminal raids, or else they would carry out further attacks.

Africa still crying for freedom?

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“Sub-Saharan Africa: Year of Regression”. That was the heading used by U.S.-based rights group Freedom House in its survey of political freedom in the world published this week.

Of course the Freedom House survey pointed to the coups in Guinea and Mauritania as well as the situation in Zimbabwe, whose elections were condemned by many countries and where the crisis shows no sign of lessening, but there were plenty of other names on the list too:

A tale of two Africas

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Good news and bad news for Africa from the latest take on global risks from the World Economic Forum. Not much danger for most of the continent, it says, from an asset bubble burst. That’s the good. The bad, of course, is that this is because there are not many financial assets to bubble. In fact, it deems the overall exposure even to economic risks is small because African economies are not particularly tied in to global markets.

Actually, the report shows that there are two Africas. Mapped by their susceptibility for economic and asset bubble trouble, most African countries are bunched together in a low risk range. But another, smaller cluster, including Nigeria and South Africa, finds itself in much more peril and shares space on the WEF risk map with Western and Eastern Europe.

from Global News Journal:

Ghana’s elections: Dare Africa hope?

As Ghanaians get set to elect a new president and parliament on Sunday, there seems to be as much attention on what a new leader will mean for Ghana as on what message Ghana will send the world about the state of Africa today. After a dismal year with elections rigged or marred by violence in Kenya, Zimbabwe and most recently Nigeria, to name but a few, Africa could do with a pick-me-up.

Despite some wobbles and sporadic violence in northern Ghana where several people were killed in the early stages of the campaign, preparations for Sunday’s elections have gone relatively smoothly.

from Global News Journal:

Fighting graft in Africa. Or not.

 A little while back, we asked who is and isn’t fighting corruption effectively in Africa. This week, a number of examples bring us back to the subject.

 

In Tanzania, two former ministers have been charged with flouting procurement rules over the award of a tender for auditing gold mining back in 2002. The pair, who deny wrongdoing, served in the government of President Jakaya Kikwete’s predecessor Benjamin Mkapa. One of them also served under Kikwete himself.

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