There appears to be a movement away from going cap-in-hand begging for money and towards creating partnerships while before African countries were known to grovel to the United States, China, and Western countries for aid.
This was evident at the recently concluded Russia-Africa Economic Summit 2023, where many African governments formed partnerships with the Russian government and some of its firms.
The Russia-Africa Economic Summit 2023 in St. Petersburg, Russia, highlighted the change from aid to cooperation, with the host government viewing African countries as development partners.
Indeed, the phrases partnership and cooperation resounded throughout the summit’s panel sessions.
“We had a substantive and engaging exchange of views on the entire range of themes of strategic cooperation between Russia and African countries,” Russian President Vladimir Putin said of the summit.
“We have identified the main areas for future collaboration and outlined plans to strengthen foreign policy coordination, increase trade and investment flows, and industrial cooperation between Russia and African countries.”
“I am confident that the outcomes we have achieved will serve as a solid foundation for further deepening the Russian-African partnership in the interests of our peoples’ prosperity and well-being.”
The attendees pledged to work together to develop a new, fairer multipolar world order based on sovereign equality of states and mutually beneficial collaboration.
To show the transformation, a panel session titled ‘From Aid to Partnership: Working Together to Fight Epidemics,’ where Ms Anna Popova, Head of Rospotrebnadzor, noted that Russia and Africa have effectively collaborated in epidemic prevention, was held.
“Cooperation between Russia and Africa is capable of moving from assistance to partnership between countries, which will help the continent gain sovereignty in the field of biological security, strengthen its own potential, and remove obstacles to economic development caused by infections,” Popova said.
The workshop focused on ways to ensure African countries’ independence from foreign biosecurity assistance, as well as the prospects of transitioning from importing anti-epidemic technology to their creation by African countries.
The alliance, according to Ms Jane Ruth Aceng, Minister of Health of the Republic of Uganda, will serve to increase cooperation in epidemic management, build human capacity, and assure technology transfer.
The conference opened many African leaders’ eyes to internal mechanisms to combat diseases and best practises in infrastructure development.
For example, Mr Nikita Stasishin, Russia’s Deputy Minister of Construction, Housing, and Utilities, stated that African countries may learn from Russia’s construction sector’s experience.
He emphasised, in particular, that “today Russian developers compete not with the cost per square metre, but with the quality of the project.”
This entails, among other things, creating a comfortable environment for the territory’s integrated growth.
“An infrastructure menu was launched on the President’s instructions,” Stasishin said. This is a substantial sum of money that will be used to modernise engineering, transportation, utilities, and social infrastructure.”
Simultaneously, he emphasised the importance of a scientific approach to territorial development: “We have created a huge scientific base with technical solutions for the development of both agglomerations of million-strong cities and single-industry and small towns.”
“This is something we could share with other African countries.”
Many African leaders at the Summit appeared to take the advice, with Mr Tafadzwa Muguti, Zimbabwe’s Secretary to the President’s Administration for Provincial Affairs and Devolution for Harare Metropolitan Province, speaking about the prospects for cooperation with Russia in developing the country’s transport sector.
“”Intensifying partnership relations with the Russian Federation is one opportunity to develop transport infrastructure.”
“Through collaboration with Russian cities, we could create new masterplans for municipal development,” she stated.
Nigeria is not left out of the new wave of collaborations with Russia to create critical infrastructure, as its Vice President, Kashim Shettima, engaged stakeholders during the summit to resurrect the Aluminium Smelter Company of Nigeria.
“The sooner we get this plant back up and running, the better it will be for everyone.” “We must walk the talk; the Nigerian people deserve better,” Shettima stated on the margins of the Summit during a meeting with the management of Russian Aluminium Company, UC RUSAL, and other stakeholders.
The conference was held in support of the Federal Government’s attempts to reactivate production lines at ALSCON by re-engaging UC RUSAL and other partners.
Shettima emphasised the huge benefits of the aluminium industry to the economy in terms of energy transition, employment creation, and its impact on the development of small enterprises after a presentation by the UC RUSAL management.
Ghana is also taking advantage of the Russia-Africa Summit to improve its transport infrastructure.
Mr Desmond Boateng, Chief Director of the Republic of Ghana’s Ministry of Railways Development, stated during the summit that the country has begun a 4,000-kilometer railway project to connect West African countries.
“We are prepared to negotiate with the Russian private sector to find the most effective ways to establish an effective mechanism for mutually beneficial cooperation within the framework of this large-scale project.”
“Currently, 250 kilometres have been built, but when all of the lines are completed, the railway will provide links to Burkina Faso, Togo, Cote d’Ivoire, and other African countries,” added Boateng.
Several Memoranda of Understanding (MoU) and cooperation agreements were signed by African countries during the Russia-Africa summit to indicate their sincerity.
A memorandum was signed as part of the Forum’s business programme between the Russian Export Centre (REC) and the Mozambique Agency for Promotion of Investment and Exports (APIEX).
The parties will conduct business missions and educational activities to promote business development and boost economic cooperation between the two countries, according to the agreements.
“The memorandum is an important step in the development of Russia-Mozambique economic ties.”
“Through this collaboration, enterprises from both countries will be able to effectively penetrate each other’s markets and strengthen their respective positions.”
“It is also planned to exchange information on major projects in order to attract companies,” REC Senior Vice President Nikita Gusakov stated.
He stated that special emphasis would be placed on the exchange of analytical materials on priority areas of collaboration.
“This will allow the parties to stay current on trends and developments in critical sectors of the economy.”
“As a result of this collaboration, new opportunities for Russian exports will be created.”
“Currently, the Russian Federation and the Republic of Mozambique have a balanced foreign trade turnover, demonstrating the complementarity of exports and imports between the two countries.”
“Russia continues to be a major supplier of agricultural and chemical products to the Mozambican market, while Mozambique is a supplier of rare earth metals and tobacco products to Russia,” he said.
A memorandum of understanding was also signed with Multi-Services EtMateriel Industriel (MSMI) SARL (Cameroon).
The agreement’s major goal is to jointly promote Russian industrial equipment in Central African markets, particularly Cameroon.
It is expected that REC and MSMI will actively communicate information about significant government projects, as well as provide assistance to Russian enterprises looking to enter the Cameroon market.
Cameroon is currently experiencing considerable industrial expansion and is executing critical infrastructure projects, providing attractive possibilities for Russian firms to compete with other global players in this region.
“Cameroon is one of the leading economies in Central Africa, with numerous investment opportunities.” Last year, REC Group assisted exports to Cameroon totaled 19.6 million dollars.
“The REC and MSMI’s joint efforts will allow Russian companies to increase their presence in this promising market and strengthen their positions,” said Dmitry Prokhorenko, Director for Development of the REC’s Foreign Network.
REC looks to be on a rampage, increasing Russia’s mineral fertiliser imports to Africa.
Mr Nikita Gusakov, Senior Vice-President of REC, who addressed at the session “Stabilising the Fertiliser Market to Eradicate Hunger in African Countries,” is helping to facilitate this rise.
Gusakov mentioned increased trade between Russia and Africa, as well as the necessity to pay with African counterparties in currencies other than the dollar or euro, and to connect to other routes of communication between financial institutions.
He stated that certain transactions are already being conducted in yuan, and that the ruble may be an alternative in the medium future.
He went on to say that the first contracts had already been signed in Russian rubles.
To include local currencies more systematically, he believes that financial infrastructure and the share of commodities imported from Africa must be developed.
He stated that this would allow for more transactions to be made in the national currency in the future, eventually decreasing the amount of financial transactions conducted in the currency of a third party.
He said that the trade gap might be overcome by investment, with companies receiving finance from exports to Africa investing on the continent.
The Second Russia-Africa Economic and Humanitarian Forum, hosted by the Roscongress Foundation, might be a game changer for several African countries if they follow through.
