Over the past year, the US has negotiated hundreds of agreements totaling $14.2 billion with African countries in an effort to counter China’s increasing influence in the region.
The coordinator of the Prosper Africa trade and business initiative, which links American and African companies, British Robinson, said that the 547 new trade and investment agreements mark a 67% increase from 2022 in the number and value of concluded deals.
Young people are essential to achieving the presidential and national security initiative’s goal of boosting economic and strategic relationships through the mobilisation of two-way trade and investment flow, according to Robinson.
The business and investment world in the United States is becoming more aware of Africa’s remarkable market potential and dynamism. During a virtual media conference on December 12, Robinson stated, “The continent has the youngest population in the world, which is an advantage that creates significant opportunities for viable business deals that create jobs and foster shared prosperity.”
It has been a record-breaking year for U.S.-African ties, according to Judd Devermont, senior director for African affairs at the U.S. National Security Council. The United States has honoured its pledge to invest almost $55 billion over three years.
“We have already fulfilled more than 40% of this pledge as 2023 draws to a close. Indeed, we expect to exceed 70% of our target by the end of the second year, if not more,” Devermont stated. “With these resources, we’ve expanded our trade and investment; we have advanced major food and health security partnerships; charted a course for digital transformation; forged new security and good governance cooperation; and catalysed landmark diaspora-driven engagement.”
The briefing was organised to commemorate the first anniversary of the Washington, D.C., U.S.-Africa Leaders Summit, at which Biden made the commitment go “all in” on the continent.
The news coincides with Washington’s efforts to strengthen ties with Africa, a region where China has been extending its influence through loans, investments, and infrastructure development, among other means.
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Top Africa advisor to President Joe Biden, Devermont, noted that Africa is significant politically as well as economically and that the United States has long advocated for increased representation of African perspectives on the international scene.
“President Biden last year called for the African Union to become a permanent member of the G20, and in September we proudly welcomed this development,” Devermont stated. “We’re now advocating for a third seat for the —for Sub-Saharan Africa on the IMF board, and of course we reiterate our call for permanent representation for Africa at the UN Security Council.”
The United States has had to modify its trade and investment policies in conflict-affected nations. According to Principal Deputy Assistant Secretary of State Jonathan Pratt of the U.S. Department of State’s Bureau of African Affairs, U.S. policy in Sudan has been to impose sanctions. Sanctions have been imposed not only on individuals but also on corporations and various asset classes. That’s one tactic we’ve employed in conflict-ridden nations and areas, he continued.
Pratt stated that the US is placing a higher priority on peace through talks in Niger, one of the many nations affected by violent uprisings and military takeovers.
“We have been strong supporters of the sanctions imposed by the Economic Community of West African States, or ECOWAS. The U.S. also employs “a combination of sanctions plus leveraging our engagement and assistance,” according to Pratt. “And then to support that effort we have leveraged our own assistance and investments, which we’ve announced very clearly—if the country and the leadership there turns back to a democratic path, we’re willing to explore progressively lifting that freeze in assistance and potential investments.”
Devermont concurred, stating that the U.S.-Africa Leaders Summit has included trade and investment as a significant component.
“The Africa Free – Continental Free Trade Area is among the most significant projects to come out of the continent in the last few years. At this conference, we also signed an MOU with the AfCFTA since it is a great benefit that the AfCFTA aims to bring 1.3 billion people together in a single market and trade a nominal GDP larger than India’s. And whether or not a crisis arises, all nations will gain from the process of harmonising legislation and lowering trade and non-trade barriers.”
According to Devermont, the United States is also examining the fundamental causes of violence and is making investments in novel strategies, such as stepping up its emphasis on elections and anti-corruption initiatives.
The English to Africa Service of VOA first published this story.
