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Reuters blog archive

from Global Investing:

Ecuador: a successful emerging market?

A colleague of mine, Marius Zaharia (@MZaharia) interviewed Moritz Kraemer, Standard and Poor's head of sovereign ratings for Europe, Middle East and Africa. (you can read the interview here) Kraemer offered this piece of advice to the African governments who are busily tapping bond markets these days:

    What I want to tell all those governments in africa is that you are not a successful market participant when you've issued your first eurobond. You are a successful participant when you've paid it back for the first time.   

A sound piece of advice. But where does that leave Ecuador which has a frequent history of default spanning three centuries? One might argue in fact Ecuador's market strategy has been highly successful -- not only has it avoided repaying creditors, it also seems adept at persuading them to part with more cash at regular intervals.

It did just that a few weeks ago, raising $2 billion at a sub-8 percent yield just six years after President Rafael Correa (still in office today) repudiated $3.2 billion in bonds issued by a prior government. And what's more, Quito said this week it could come back to the market soon to borrow more.

from Breakingviews:

Woolworths pays too-steep ransom in Aussie battle

By Una Galani

The author is a Reuters Breakingviews columnist. The opinions expressed are her own.

Woolworths is paying too steep a ransom in its retail battle. The South African group is buying billionaire Solomon Lew’s stake in an Australian unit in an attempt to secure the billionaire’s support in its A$2.1 billion ($2 billion) takeover of upmarket department store chain David Jones. The side deal raises the effective takeover premium – and piles pressure on Woolworths to realise synergies.

from Breakingviews:

Review: China gives Africa handy investment lesson

By Stephanie Rogan

The author is a Reuters Breakingviews columnist. The opinions expressed are her own.

In the last decade nearly a million Chinese citizens have taken up residence in Africa. In his vivid new book, “China’s Second Continent,” Howard French tells stories of these migrants and the Africans whose lives they affect. The book weaves anecdotes and interviews with historical and geopolitical background to tell a larger tale of the PRC’s economic engagement in the continent. The result is an unflattering portrait of China’s involvement.

from The Great Debate:

Tracking the Nigerian kidnappers

nigeria -- candlelight vigil

Abubakar Shekau, the purported leader of Boko Haram, ignited international outrage when he announced that he would sell more than 200 of the kidnapped Nigerian schoolgirls “in the market.” Nations around the globe offered help to Nigeria.

Getting back the more than 200 Nigerian girls who were kidnapped from school a month ago will require a deep understanding of the environment the extremist group that took them operates in.

from The Human Impact:

Frontline reflections on Guinea’s battle against Ebola

 

Ebola.jpg

Nobody would have thought that Gueckedou, a market town in southern Guinea, was the front line in West Africa’s battle against the deadly Ebola virus.

When I arrived to report on the outbreak, it was business as usual on the dusty, potholed streets. Traders set up their stalls under tattered, sun-bleached parasols and waved hand-held fans to stop the food spoiling in the tropical heat.

from Breakingviews:

Review: Hustling helps Africa’s partial success

By Martin Hutchinson

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

“Kanju” makes modern Africa work. In her new book “The Bright Continent,” the American journalist Dayo Olopade claims that this Yoruba word for hustling, striving and rule-breaking explains how the invisible hand outwits the dead hand of corrupt bureaucracy in much of the continent. Sadly, kanju also makes most African countries tough places to do fully organized business.

from The Great Debate:

Post Rwanda: Invest in atrocity prevention

In the 20 years since the horrific 1994 genocide in Rwanda and its terrible spillover into the Congo, it has been clear that the global community remains ill-equipped to address such human-made catastrophic tragedies.

While many have worked to heal Rwanda, crises of unfathomable mass violence have continued to unfold in places like Sierra Leone, the former Yugoslavia, Sri Lanka, Sudan, South Sudan, Central African Republic and Syria. In each case, the international community has failed to live up to a global commitment to prevention, protection and accountability for mass crimes.

from The Human Impact:

Why coexistence doesn’t equal reconciliation in Rwanda

One Hutu killer describes feeling "like two different people" as he took part in the genocide: a man who obediently slaughtered his Tutsi neighbours because the mayor told him to, yet who hid one of their daughters in a grain basket to save her from the machetes.

A Tutsi survivor recalls the moment attackers rounded on her 17-year-old brother as he cried: "Why are you killing us? We used to be friends."

from The Human Impact:

The dangers of oversimplifying the Central African Republic conflict

Here’s a story I haven’t heard before: when violence spiralled in Central African Republic’s capital last December, the country’s most senior Muslim cleric sought shelter with the Catholic archbishop of Bangui.

And that month no one was attacked in Lakounga, one of the oldest parts of the capital, where Christian and Muslim leaders worked together to protect the community. Posters were plastered on every street corner with the message: “Christians and Muslims, the same blood, the same life, the same country”.

from The Human Impact:

Only two Southern African countries on track to meet 2015 MDG water and sanitation targets – report

Some 120,000 children under the age of five in Southern African countries die every year from diarrhoea, which is primarily caused by lack of access to clean water and sanitation.

More than 40 million people in the region who should have received access to safe drinking water by 2015 will miss out, and 73 million will go without basic sanitation due to investment shortfalls, according to a report.

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