Latest Developments, July 19

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Debt speculation
The Guardian reports that the UK’s privy council has ruled that a “vulture fund” cannot collect $100 million on a DR Congo debt that was, before interest, a thirtieth of that amount:

“In an attempt to skirt British law, which bans ‘vulture funds’ from buying poor nations’ debts on the cheap before suing them for 10-100 times the amount paid, [FG Hemisphere’s Peter] Grossman took the case to Jersey, a crown dependency not covered by the UK law.
…
Before turning to the Jersey loophole, Grossman’s company had unsuccessfully tried to seize the DRC’s embassy in Washington as a downpayment on the debt.”

Fatal strike
The Globe and Mail reports Canadian-based First Quantum Minerals has temporarily shut down operations at a copper and gold mine in Mauritania due to an “illegal strike” that has already claimed the life of one worker:

“According to local reports, demonstrators clashed with security forces outside the Guelb Moghrein mine over the weekend as workers demanded better pay and conditions. One worker died in the clashes, although further details about the circumstances were muddied amid differing reports.”

Dogs of war
The Daily Maverick reports that a leaked UN document accuses private security companies of violating international arms embargoes against Somalia and Eritrea:

“During the course of the [UN Monitoring Group on Somalia and Eritrea]’s mandate, this highly profitable business has expanded beyond the provision of armed escorts to the leasing of arms, ammunition and security equipment, and the establishment of ‘floating armouries’ that operate in international waters beyond the remit of any effective international regulatory authority. PMSCs are currently holding approximately 7,000 weapons in circulation, which are either owned or leased.”

Deposed despots beware
Reuters reports that the International Court of Justice is expected to hand down a ruling on Friday that could create new legal obligations for countries with exiled former dictators residing on their territory:

“The ruling could worry former rulers like Zine al-Abidine Ben Ali, the Tunisian president overthrown in January 2011 at the start of the Arab Spring and now in exile in Saudi Arabia.
But it could also deter other leaders facing mounting violence at home, such as Syrian President Bashar al-Assad, from going into exile despite promises or guarantees of amnesty.
‘If Belgium is successful, it will mean that third states would be able to oblige states on whose territory an accused war criminal resides to either prosecute such persons or extradite them to a state which can and wishes to prosecute,’ Malcolm Shaw, a law professor at Cambridge University, said in an email.”

Easing pressure
The Independent reports that the UK government is proposing to relax EU sanctions against Zimbabwe, whereas opposition MP Peter Hain is calling for more sanctions:

“Mr Hain said: ‘Let us be clear: Zimbabwean military-controlled blood diamonds are now sold within the EU and almost certainly within the UK, appearing on wedding rings. It is time for jewellery companies to stop hiding behind the façade of the Kimberley Process [to stop diamonds being used to finance military activity] and take responsibility for their own supply chains.’ ”

Let’s make a deal
Reuters reports the US wants a new trade deal with the 5-nation East African Community, comprising Kenya, Tanzania, Uganda, Rwanda and Burundi:

“[US deputy national security adviser for international economic affairs Michael] Froman said the proposal by Obama for a new trade deal was meant to encourage [growing investment in East Africa] and support further EAC integration. The deal would seek to guarantee American investors that they would be treated fairly and that their investments would be secure.
‘It calls for a focus on trade facilitation to reduce the bottlenecks at the border, such as moving to a single border clearance and harmonising customs documentation, to reduce delays and unnecessary costs,’ he said.”

Watering down the ATT
Embassy Magazine reports that opposition MPs are accusing the Canadian government of trying to sabotage the Arms Trade Treaty, currently under negotiation at the UN, by adding loopholes:

[NDP trade critic Don Davies] and other treaty supporters point to the Harper government’s desire not to include the mandatory tracking of ammunition, or detailed reporting on high-volume trades. They say another example of Canada’s attempts to gum up the treaty is Canada’s suggestion that no new money go to the UN to police the agreement’s implementation.
…
Mr. Davies attended the first week of negotiations in New York, and said foreign delegations frequently asked him why Canada was trying to weaken the treaty by pushing for ammunition and other items to be exempt.
‘I got a lot of questions on Canada’s official position that not every transaction be recorded,’ he said. ‘They asked how we saw an effective arms trade treaty if from the outset, and by design, there are loopholes built into it.’ ”

Transparency hype
Using the example of Angola, Oxford University’s Ricardo Soares de Oliveira warns that transparency reforms can amount to little more than “upgrades of the status quo”:

“The contribution of the IMF and a number of Angolan technocrats towards macro-economic reform is undeniable. What is missing from the IMF’s assessment is the fact that the reforms have had next to no impact on the elite’s approach to development and the real lives of the poor.
tA lesson of the Angolan reform trajectory is self-evident yet frequently forgotten: transparency is merely a means to an end. By itself the transparency agenda is a technocratic exercise that savvy governments can easily game. You can have an oil-rich state tick all the boxes and come out on the other side without this having any implications whatsoever for the nature of governance and broad-based development.”

Latest Developments, July 18

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Gulf build-up
The Wall Street Journal reports the US is building a missile-defense station in Qatar, but its location is a secret because of “the sensitivity surrounding any U.S. military deployments in the emirate”:

“The Pentagon chose to place the new radar site in Qatar because it is home to the largest U.S. military air base in the region, Al Udeid Air Base, analysts say. More than 8,000 troops are stationed there and at another U.S. base in Qatar.
…
Officials said the U.S. military’s Central Command, which is overseeing the buildup to counter Iran, also wants to deploy the Army’s first Terminal High Altitude Area Defense missile-interceptor system, known as a THAAD, to the region in the coming months, possibly in the United Arab Emirates.”

Torture admission
The Independent reports that the British government has admitted for the first time that colonial forces tortured and sexually abused Kenyans during the Mau Mau rebellion more than 50 years ago:

“The starling admission came as a trio of elderly Kenyans stood up in court to describe how they were beaten, castrated and sexually assaulted by British forces and their Kenyan allies during the pro-independence rebellion.
The three Kenyans are suing the Government in a landmark legal case that could lead to a deluge of compensation claims from victims of British colonial violence around the world.”

Vaccine violence
Agence France-Presse reports that a World Health Organization team was shot at in Karachi, Pakistan’s biggest city, during a polio immunization campaign:

“A health expert, speaking to AFP on condition of anonymity because he was not authorised to speak to the media, said the attack was the latest in an alarming trend of violence against polio workers.
He said there had been threats and announcements in mosques branding the vaccine anti-Islam and blamed ‘a new wave of attacks on polio workers’ on the CIA’s use of Pakistani doctor Shakeel Afridi to help find bin Laden.
The doctor was jailed for 33 years in May after helping the CIA find Osama bin Laden using a hepatitis vaccination programme as cover.
‘It has become a very serious and critical issue. People suspect foreigners involvement in the programme and fake campaign by Afridi has given further credence to conspiracy theory,’ he said.
He said polio workers were beaten in the capital Islamabad on Monday, a team fired on in the southern town of Jacobabad and a motorcycle stolen in the southwestern town of Ziarat.”

ATT escape clause
Amnesty International is calling upon US President Barack Obama not to water down the Arms Trade Treaty currently being negotiated at UN headquarters in New York:

“President Obama’s officials have indicated they want the treaty to include an escape clause that would allow national security considerations to override any serious human rights concerns when deciding to supply arms.
…
Amnesty International is urging governments to ensure a ‘Golden Rule’ on human rights is included in the treaty. This would mean that if there is a substantial risk arms due to be supplied by a country are likely to be used to commit serious human violations the arms transfer shall not take place.
Many governments and most US allies support this position. However, some influential states including China, Russia and US have been promoting weaker rules.”

De-development
The New School for Social Research’s Tarak Barkawi uses the example of private security companies to take on “the big lie of private sector efficiency”:

“One of the hidden costs of privatisation is that knowledge and expertise are no longer retained by public institutions. Instead, they become the property of private contractors. Militaries, police forces, and other public services lose the ability and the institutional memory to conduct various tasks. Governments must then pay the price over and over again for contractors to do the job badly.
Contractors care little about developing and retaining dedicated expertise in particular tasks. They need only enough to secure the contract. Their bottom line is profit, not security or the public good. As a consequence, privatisation is a kind of “de-development”, a de-modernisation of the services government provides and which we pay for through taxes.”

Punishing banks
Global Witness’s Stefanie Ostfeld argues that the only way banks will get serious about tackling money laundering is if they and their executives face harsh financial and criminal penalties:

“Global Witness investigations have detailed how major banks including Barclays, Citibank and HSBC, have done business with corrupt senior officials from Nigeria, Angola, Turkmenistan, Liberia, Equatorial Guinea and Republic of Congo. Banks are the first line of defense against corrupt funds, but as long as they continue to accept the proceeds of state looting and grand corruption, as long as they continue to facilitate the money laundering that makes drug trafficking, organized crime and terrorist finance possible, they are fully complicit in these crimes and the poverty that persists in so many countries.”

NGOs as instrumentalities
FCPA Blog’s Philip Fitzgerald argues that NGO staff should, in some cases, be considered “foreign public officials” under anti-bribery legislation, such as the US Foreign Corrupt Practices Act:

“Certain NGOs, then, can be considered to be exercising part of the powers usually reserved to a state authority. Nuanced analysis is, however, necessary. The keys, as with instrumentalities under the FCPA, would be the degree of state influence and the degree to which the NGO officials are performing a public function.
…
If NGOs can be public international organizations for purposes of the OECD convention and global anti-corruption regimes, the fight against graft would benefit from a very interesting extension to the reach of the current international anti-bribery framework.”

Drone casualty report
Inter Press Service reports that a new study that found no civilian deaths caused by US drone strikes in Pakistan this year has come under fire for its underlying methodology:

“ ‘[New America Foundation] relies only on a small number of media reports immediately following a strike. Sometimes we learn crucial facts days, weeks or even months after an initial attack,’ [the Bureau for Investigative Journalism’s Chris Woods] told IPS.
‘In February of this year, for example, a major investigation by Associated Press, based on 80 eyewitness testimonies from civilians in Waziristan, found previously unknown evidence of civilian deaths in 20 percent of the sampled strikes. Unfortunately, NAF has not incorporated these important findings into its data,’ said Woods.”

Latest Developments, July 17

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Mau Mau trial
The Standard’s Kenfrey Kiberenge writes that a lawsuit brought by elderly Kenyans against the British government highlights “the West’s double standards” in matters of human rights:

“Britain is a strong backer of an ICC case in which four Kenyans face charges of crimes against humanity related to the 2008 poll violence which left more than 1,000 people dead. Questions to any British official about these cases attract a uniform answer: let justice run its course.
Why then is the same administration seeking to have the Mau Mau case struck out on a technicality?”

Bad advice
The World Food Programme is predicting that 1.6 million Malawians will need food assistance over the next few months, in part because of the currency devaluation demanded by the IMF:

“The recent devaluation of the national currency by 49 percent, coupled with soaring inflation at 17.3 percent, has produced sharp increases in the prices of basic goods and services, pushing the cost of living to unsustainable levels for many Malawians. Food prices have been particularly affected by high transport costs due to increases in the price of fuel. Retail maize prices have already increased by 50 percent compared to the same time last year, and are expected to increase in the lean season.”

AU first
The Mail & Guardian reports that South Africa’s Nkosazana Dlamini-Zuma has become the first female head of the African Union Commission:

“At a news conference earlier in the day before the vote, Dlamini-Zuma sought to dispel fears that South Africa might seek to use the AU post to try to dominate the continent.
Some smaller countries had argued that her candidacy broke an unwritten rule that Africa’s dominant states should not contest the AU leadership.
‘South Africa is not going to come to Addis Ababa to run the AU. It is Dlamini-Zuma who is going to come to make a contribution,’ she told reporters.”

Classified euphemism
The Council on Foreign Relations’ Micah Zenko quotes Newsweek’s Daniel Klaidman to illustrate the extent of the Obama administration’s drone-policy opacity, particularly when it comes to the CIA’s practice of killing “individuals who are deemed guilty not based on evidence, but rather on their demography”:

“Signature strike has gotten to be sort of a pejorative term. They sometimes call it crowd killing. And it makes a lot of people uncomfortable. If you don’t have positive ID on the people you’re targeting with these drone strikes. So the CIA actually changed the name of signature strikes to something called TADS. I had the acronym but I didn’t know what it stood for. I had a couple of words. I kind of figured it out. Terrorist, T for terrorist, S for strike and I was trying to find out what does the A-D stand for. Eventually I figured it out. It was Terrorist attack disruption strike. And I was going to put it in Newsweek. And actually it was the excerpt from my book. And various agencies from the government were very unhappy about that. I sort of could not understand why. They said, well, it’s a classified term. And I said, well, why would it be classified? It doesn’t make any sense. It’s just a term to describe a particular kind of activity that we know takes place. They asked me not to print it. You know, I printed it anyway.”

Top of the charts
The Financial Times reports on a new survey that found the UK oil and gas sector has faced more bribery prosecutions than any other industry in the last four years:

“The study by Ernst & Young found that of 26 completed cases since 2008, oil and gas made up nearly one-fifth of prosecutions. The industry saw five completed cases, compared to three each in the medical goods, insurance, and engineering and construction sectors.
Most of them involved payments made abroad, or kickbacks to foreign government officials.”

Controversial philanthropy
The Independent suggests that the Bill and Melinda Gates Foundation’s decision to devote millions to the development of genetically modified crops “could be the most significant PR endorsement for the controversial technology”:

“The Microsoft founder and his wife have established themselves as major players in global health and development over the past 16 years, having donated £26bn. Only last week Melinda Gates was in London to pledge $560m (£360m) to improve family-planning services across the developing world. But the Foundation’s support for GM crops has attracted criticism, as has its investment in Monsanto – one the world’s largest GM seed producers.”

Bank Recidivism
Reuters reports that HSBC’s claims to have left its money-laundering days behind may be premature:

“Former employees in [HSBC’s New Castle, Delaware, anti-money laundering office] describe a febrile boiler-room environment overseen by managers uninterested in investigating transactions with possible links to drug trafficking, terrorist financing, Iran and other countries under U.S. sanctions, and other illegal activities. Instead, they say, the single-minded focus was on clearing out the paperwork as fast as possible. ”

Too much help
Inter Press Service reports that not everyone thinks the billions in aid pledged to Afghanistan last month will be entirely helpful::

“The plan ‘Toward Self-Reliance’ promoted by the international community and endorsed by the Afghan government is grounded in a similar oxymoron: the call for the Afghan state to get back its sovereignty and ownership is made by those who are preventing it from happening.
The presence of foreign armies and of the international community ‘is one of the major elements that prevents the State, the political system, the ruling elite, from gaining full legitimacy,’ [the London School of Economics’] Antonio Giustozzi tells IPS. ‘Not necessarily because the foreigners pre-empt that, but because any government that relies on external support to stay in power does not have legitimacy.’ ”

Latest Developments, July 13

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Drums of war
Reuters reports that French Foreign Minister Laurent Fabius has said a foreign military intervention in Mali is “probable” now that Islamist forces appear to be in control of the country’s north:

“ ‘In the north, at one moment or another there will probably be the use of force,’ Fabius said, noting that intervention would be African-led but supported by international forces.
…
Fabius said Paris would not lead a military intervention since its colonial past in the country would complicate matters.”

Export responsibility
The Guardian reports that a British parliamentary committee is calling on the government to alter its arms export policy so as to avoid selling military equipment to repressive regimes:

“Under the government’s own guidelines, licences cannot be issued if there is a clear risk that the equipment might provoke conflict or could be used to facilitate internal repression.
Records for last year show 97 licences were granted for sales to Bahrain for equipment including assault rifles, sniper rifles, body armour, gun silencers, shotguns, pistols, weapons sights and small arms ammunition.”

Outsourcing peacekeeping
Global Policy Forum has released a report detailing the UN’s growing reliance on private military and security companies, with an estimated 250% increase in field missions’ use of security services since 2006:

“In the absence of guidelines and clear responsibility for security outsourcing, the UN has hired companies well-known for their misconduct, violence and financial irregularities – and hired them repeatedly. These include DynCorp International, infamous for its role in a prostitution scandal involving the UN in Bosnia in the 1990s and, more recently, its participation in the US government’s “rendition” program; G4S, the industry leader known for its violent methods against detainees and deported asylum seekers; ArmorGroup, a G4S subsidiary singled out in a US Senate report for its ties to Afghan warlords; and Saracen Uganda, an offshoot of notorious mercenary firm Executive Outcomes with links to illegal natural resources exploitation in the Democratic Republic of Congo.”

Collateral damage
The New York Times asks if the killing of Osama Bin Laden may have come at the cost of the “global drive to eradicate polio”:

“In Pakistan, where polio has never been eliminated, the C.I.A.’s decision to send a vaccination team into the Bin Laden compound to gather information and DNA samples clearly hurt the national polio drive. The question is: How badly?
After the ruse by Dr. Shakil Afridi was revealedby a British newspaper a year ago, angry villagers, especially in the lawless tribal areas on the Afghan border, chased off legitimate vaccinators, accusing them of being spies.
And then, late last month, Taliban commanders in two districts banned polio vaccination teams, saying they could not operate until the United States ended its drone strikes. One cited Dr. Afridi, who is serving a 33-year sentence imposed by a tribal court, as an example of how the C.I.A. could use the campaign to cover espionage.”

Drone sales
Al-Monitor reports that the US Defense Department is looking to “boost profits for US manufacturers” by selling drones to Middle Eastern governments:

“In May, Iraq agreed to buy at least six unarmed US surveillance drones despite the protests from Iran. Turkey currently is haggling with the US for the purchase of $4 million hunter-killer Predator or $30 million Reaper drones armed with Hellfire missiles and laser-guided bombs for use against the guerrillas of the PKK (Kurdistan Workers Party).
…
In a statement, Sen. Dianne Feinstein (D-Calif.), head of the Senate Intelligence Committee, said ‘There are some technologies that I believe should not be shared with countries, regardless of how close our partnership.’
But in a speech at the US Institute for Peace last month (June 28), [US Defense Secretary Leon] Panetta said he would press for loosening the restrictions on arms sales, with or without the support of Congress.”

Leading from the sidelines
The Center for Global Development’s Charles Kenny makes his case for the US to allow a strong Arms Trade Treaty at the final UN negotiations which are currently underway:

“The silver lining is that a consensus approach that brings in all major players may not actually be necessary to make progress. The U.S., Russia, and China have yet to sign the 1997 landmine ban treaty, for example. Yet the treaty is largely responsible for a dramatic decline in the number of mines being used and the number of people being killed or injured by them.
…
So it would be better for the U.S. to shoot blanks and negotiate for a strong document that includes ammunition—even if everyone at the table understands it won’t sign the resulting agreement. If the U.S. wants to show leadership on stopping the global arms trade, the best thing it can do at this point is get out of the way.”

Shared responsibility
In the wake of the deaths at sea of 54 African migrants earlier this week, a Dutch politician is calling on European governments to take collective action to avoid future tragedies:

“ ‘Governments in Europe, and not only in the countries on the southern shores of Europe, must react, and take an equal share in the protection of asylum seekers arriving from Africa,’ said Tineke Strik, author of a report on ‘Lives lost in the Mediterranean Sea: Who is responsible?’
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‘It is still not safe in Libya and the boats will continue to arrive. Europe knows that.’ ”

Illegitimate roadmap
Independent consultant Ahmed Egal argues that British “nation-building” efforts in Somalia are not designed to provide the Somali people with a legitimate and representative government:

“For example, the intelligentsia are frustrated and deeply unhappy that, despite all the pious statements about the Somali ownership of the Roadmap at the various conferences, an illegitimate, externally financed and externally-driven process is being imposed upon them. The political elite (and their business community backers), comprising warlords, present and past ‘government officials’ and Diaspora carpet baggers, are girding up for the auction of political posts and ministerial seats as they eagerly anticipate the flow of riches and patronage to come. The vast majority of the long suffering population of Somalia, however, are apathetic about the entire enterprise since they have no say in the proceedings; they just desperately hope that some semblance of normalcy can be restored, even if they can hardly recognise it should it somehow arrive.”

Latest Developments, July 12

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Migrant deaths
Reuters reports that 54 people have died of thirst while trying to cross illegally from Libya to Italy by boat, leaving only one survivor:

“The incident is the latest in a long series of disasters which have killed thousands of migrants attempting to reach southern Europe from North Africa in small, unstable and frequently overcrowded boats.
According to the UNHCR, around 170 people have died this year trying to reach Europe from Libya. Around 1,300 have reached Italy by sea since the beginning of 2012 and another 1,000 people have reached Malta.”

Account closures
The CBC reports that TD Bank has decided to close the accounts of a number of Iranian-Canadians, citing the need to comply with sanctions against Iran:

“ ‘It’s…given no explanation as to why this has happened and made some cryptic reference to the sanctions. But anytime they’ve sought some further explanation, they’ve been stonewalled and treated very, very badly,’ [according to the Iranian Canadian Congress’s Kaveh Shahrooz.]
He couldn’t say exactly how many people have been affected. He said at this time it appears TD is the only bank sending out these letters.”

Democratic deficit
The US is “not seen as promoting democracy in the Middle East,” according to a survey conducted by the Pew Research Center in Lebanon, Turkey, Egypt, Tunisia, Jordan and Pakistan:

“The U.S. receives mixed reviews in Tunisia. Overall, 45% have a favorable and 45% an unfavorable view of the U.S. However, President Barack Obama gets mostly poor marks – 57% say they have little or no confidence that Obama will do the right thing in world affairs. And there is no consensus among Tunisians about how the U.S. has handled the political changes taking place in their country – 31% believe the American response has had a positive effect, 27% say it has been negative, and 25% volunteer that the U.S. has had no impact.”

Criminalizing bank fraud
Michel Barnier, the EU commissioner in charge of financial reform, plans to table new rules that would make it a criminal offense to manipulate benchmarks such as Libor:

“ ‘We need to draw lessons from the Libor case,’ a spokesman for Barnier said. ‘We intend to close the regulatory gap in our proposed market-abuse legislation by including the direct manipulation of market indexes such as Libor.’
As it stands, the market-abuse proposal, which is now being negotiated with the European Parliament and EU member governments, defines insider dealing and market manipulation as criminal offences and lays down minimum penalties.”

No to EO 79
ABS-CBN News reports that environmental groups in the Philippines have three major objections to the country’s new mining rules:

“First, they say it promotes the unconstitutional overriding of local environmental codes that prohibit destructive mining operations in their area.
Second, it allegedly disenfranchises legitimate small-scale miners in favor of multinational companies, validating some 1.1 million hectares of existing mining applications and operations.
Third, it contents itself with a so-called piecemeal increase in mining administrative fees instead of collecting a “rightful” share from taxes and revenues.”

Subsitence threatened
Sherpa reports that it and four other NGOs have lodged a complaint with the Organisation for Economic Co-operation and Development over the activities of tire giant Michelin in the southern Indian state of Tamil Nadu:

“The development of this land, from a rural to an industrial zone, caused, in total, the destruction of 450 hectares of communal forest that surrounded the village and supported agricultural and pastoral activities, thereby depriving the people of their primary means of subsistence. Moreover, the land leased to Michelin is located in a watershed that feeds three natural lakes that irrigate Thervoy village and are the principal source of water for agriculture in the area.
And yet, since the start of the project, local residents have been mobilized, have demonstrated peacefully and have taken the state of Tamil Nadu to court on several occasions. Indeed, this project is violating the rights of 1,500 families living in Thervoy and threatens their subsistence. 18 other villages are also impacted directly by the construction of infrastructure necessary for the site.”
[Translated from the French.]

Private prisons
Bloomberg reports that the Canadian government is considering using the services of private companies to run certain aspects of the country’s prisons, prompting an opposition politician to accuse the ruling Conservatives of “opening the door to privatization”:

“If Canada turned to the private sector, it would follow countries such as the U.S., U.K. and Australia that have relatively larger prison populations.
There are 209 prison facilities managed by private companies worldwide, with 181 in the U.S., according to data from the Association of Private Correctional and Treatment Organizations. There were 44 privately-run facilities in the U.S. in the late 1980s, according to research by Management and Training Corporation, a closely held company that manages prisons.”

EU-Africa trade
Ten year-old trade negotiations between Africa and the EU are unlikely to bear fruit unless they are guided by a fundamental shift in thinking, according to the European Centre for Development Policy Management’s Sanoussi Bilal:

“Africa does not need a trade deal with Europe to grow, though it might help. What Europe and Africa both need, however, are stronger relations based on a more equal footing, where legitimate economic and political interests are openly acknowledged, not couched in benevolent, somewhat paternalistic, rhetoric on ‘development’.”