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Archive for the ‘G8 and Africa’ Category

December 23rd, 2008

Algerians despair despite country’s wealth

Posted by: sami aboudi

Two Algerians were detained by Egyptian authorities recently while trying to obtain a work visa from the Israeli embassy in Cairo, a local newspaper has reported, despite the fact that Algeria and Israel are still officially at war.
 
A survey, published by an Algerian newspaper, showed that up to half of Algeria’s young men are tempted by the idea of fleeing to Europe as illegal migrants to escape misery at home.
 
Why do so many people from a country – renowned by many in the Arab world for sacrificing up to one million people in a war to end 130 years of French rule - want to escape to Europe?
 
Algeria is a rich nation but its people are poor. It is the world’s fourth largest gas exporter and the tenth of oil. Foreign currency reserves have soared to $138 billion at the end of Nov. 2008 from $41 billion at the end of 2004.
 
Yet, the UNDP’s human development index, which measures quality of life, puts Algeria in 104th place, behind countries such as Cape Verde and Belize.
 
High unemployment, estimated at 70 percent among people under 30 - though official statistics give far lower figures - is driving many Algerians to desperate measures.
 
Earlier this year, police in the town of Chlef fought angry youths who had burned shops and buildings in the latest in a series of protests against lack of housing and jobs and what critics call an unresponsive political elite.
 
Algerian President Abdelaziz Bouteflika has led his North African Arab country out of a brutal civil war by combining military force with an amnesty for militants, but getting Algerians out of poverty appears to be proving more difficult.
 
He looks well placed to stay in office after his allies pushed through a law that allows him to seek a third term in office when his second term ends next year.
 
High oil prices over the past few years have helped the country of 33 million launch a $140 billion five-year national economic development plan and repay a large part of its foreign debt.
 
The Algerian government has promised a $100-150 billion national development drive from next year. But many Algerians ponder how to cope until such a plan takes off.
 
“We are desperate,” said Mohamed Tegar, a 32-year-old resident of Chelf. “We are six men living in a very small flat and all of us are unemployed. We don’t understand the local authorities’ reaction.”

November 14th, 2008

Should developing world have more say in crisis talks?

Posted by: Tom Pfeiffer

When world leaders meet in Washington to tackle the global financial crisis, Africa will be represented only by South Africa.

 

African officials meeting in Tunis this week to discuss the impact of the crisis argued that the continent needed better representation, given the effects that the turmoil is having in Africa as well as the continent’s growing financial importance. The complaint could apply equally to other developing countries.

 

The global crisis has come just as many African economies were turning a corner, buoyed by improvements in governance, technological change, debt relief, higher prices for their exports as well as inflows of funds from Asia and from Western investors seeking higher yields.

 

Many African countries have spent decades gearing economic policies to attract more private capital and dispel a reputation as unreliable investment destinations.

 

But turmoil on world markets has cut the supply of money as the world's biggest banks shift funds from new projects to shoring up balance sheets, leaving African governments wondering how their infrastructure will get built.

 

African officials were dismayed not to have a bigger voice at the summit in Washington.

 

"Africa ... was not associated even slightly with the preparation when it's a question of deciding the future of the world to which this continent belongs, in fact and by right," said Jean Ping, head of the African Union's executive Commission.

 

But should Africa be better represented? Compared to its own recent history, African economies have been doing extremely well, but they are still small in global terms. As Africa’s biggest economy, South Africa will be attending, alongside representatives of the main developed and developing countries. Is that enough? What advantage might Africa gain from having a bigger voice at the summit? What about the world's other poorer regions? Should they have more say too?