The fourth Tokyo International Conference on African Development (TICAD 1V) has opened in the coastal town of Yokohama, in Japan with Japanese Prime minister, Yasuo Fukuda, pledging to provide US$ 4 billion in soft loans to African countries in the next five years.
Speaking when he addressed the fourth TICAD in Yokohama today, Japanese Prime minister, Yasuo Fukuda, said the money would be channeled towards the construction of cross border infrastructure, road networks and power grids.
Mr. Fukuda said in order to boost the momentum for African growth, there is need to develop infrastructure adding that improvements to transportation infrastructure play a critical role in attracting private investment.
He observed that there were still missing links in Africa’s road networks and pledged Japan’s cooperation to diligently join the unconnected road networks and improve ports in order to form a network that will enable the whole Africa to move forward.
The Japanese Prime minister assured the African leaders that Japan will act in cooperation with the AU, NEPAD and regional Economic Communities to support regional partnerships and integration in Africa.
He explained that Japan’s objective is to facilitate and enable crossing and inspections at national borders in as minimal time as possible.
He further said Japan’s hope is to assist Africa with building “one stop” border posts to make crossing national borders more efficient in areas of customs and immigration procedures.
And Japan has pledged to double its grant aid and technical cooperation to Africa in the next five years.
The Japanese prime minister stated that Japan will double its grant aid and technical cooperation for Africa and coordinate with the international community to address issues of debt relief for Africa.
Japan has also committed itself to assisting developing nations to achieve both green house gas emissions by providing US$10 billion in the next five years.
On wooing investment to Africa, Mr. Fukuda said Japan will reinforce trade insurance in order to make it easy for Japanese companies to develop business in Africa.
Mr. Fukuda further said Japan will soon inaugurate a US$2.5 multi million project for African investment.
He said the Japan Bank for National Cooperation (JBIC} facility fund for African Investment is meant to directly finance businesses in Africa.
Japan is the second largest economy in the world.
This is good. Japan has benefited greatly from trade from Africa worthy billions of dollars of many decades. Nearly all Zambian fleet of vehicles for ZCCM was Japanese made. It makes sense to give back to those that have helped you prosper over the years and help them find their feet as well.
#1 correction, “for many decades!”
Let japan set up motor manufacturing plants in zambia
Chinese,Japanese,indian,turkish,malaysian investments in africa and zambia will have a big boost for our economies to make the west green with envy.
CHINA IS MAKING OTHER COUNTRIES WAKE UP. FOOLISHLY, AFRICAN COUNTRIES JUST BUY CARS FROM JAPAN WITHOUT RECIPROCATION OF SOME SORT.
How sad it is that after almost 44 years of independence, Zambia still has to go begging bowl in hand. We have to understand that there is no free lunch in this world, and the Japanese are definitely looking out for their own interests when they make such donations in the name of Aid. In a sense, their interests and our interests are at variance hence the outcome/result of such donations is nothing.
This is why more people now than ever are calling for better trading terms, because this is the only sure way of getting Africa out of poverty. Surely there is something wrong with the terms of trade if it costs a huge shipload of copper just to import one Japanese vehicle.More Trade not Aid!
#6, POLITICIANS FOR YOU. You are 101% right that there is something wrong with the way contructs are concluded. Its alway one sided. Even a dog can see. Why/how our politician cant see beggers belief. Up to this day i wonder why our politicians have so much faith in foreign investors on the expense of zambian prospective investors-even those who have already invested. Zambian investors need incentives and meaningful incentives. Overnight, zambia can be a rich country. I BLEED OVER THIS.
Bwana Mwaekwa,
Under the thread “Zambia will not reposes foreign investment, assures Mutati”- May 27th, 2008, I hope my few lines share some useful insight in this Political-economy and realistic options for fellow indigenous Zambian investors ambitious for empowerment. There is no need to hold yourself backwards and waste time repudiating what is obviously progressive. Economics, not politics, is in command. This will continue to effect such a broad policy redirection for some years to come. Economic advances and political achievements will have strengthened the position of the reformists serving.
yaba here we go again doing what we do best… begging! wake up Zambia not everyone wants to help with sincere intentions comon!Improve trade don’t rely on aid!”soft loans” heeeehee there are coming only to allow more foreigner to dominate local investments and oust the locals.
It started with China, India and now Japan inviting African leaders to discuss massive inward investment in Africa. So the Leaders should ask themselves questions as to why they are been cuddled. Yes Africa is a resevior for natural resources that these instiable economies long for and i call for wise and sensible deals as they are the ones(africans) calling the shots over their resources. have systematic economic development plans for your countries so that you take off from this underdevelopment. There shouldnt be rhetoric by the like of Mutati to rush in saying foreign investment will be safe before they address the inequality and poverty that exists in Africa which results in conflicts.
During cabinet meetings at the peak of the botched third term fiasco, Chiluba was usually aloof and often damn absent minded way deep into Wonderland. Save for Mwaanga and Walubita, most other non Luapulans were long gone leaving only his fellow Katangese ministers such as the sorcerer Katele Kalumba. These meetings largely became a pure Katangese affair, it was really like a blind monkey in a roomful of “chikanda” and deaf baboons” seriously feasting on state coffers like there was no tomorrow.
Good opportunity/reason to borrow for overhauling town planning strategy/structures/institutions for infrastucture develepment housing and sanition. Our towns are in a mess and the growth is making the problem bigger. There is big slum in lilongwe and dirtiest/filthiest part is called Zambia. In pretoria too there is a horrible slum named Zambia. Think about that. Councils and their lawyer town clerks, worse still DA’s are not the best suited CEO’s for massive tasks required to replan & rebuild our towns.We needan infusion of economist,engineers, entreprenuers architects, town planners
Zambia need to invest in advertizing itself in international media such as cnn, bbc, al jazera etc about the opportunities for investment that r available in the country. when u hav somethin to sell in a competetive environment, u need to seriously advertise. CNN, BBC, Al Jazera will not cover Zambias investment potential because that kind of news doesnt sell! What sells is how misery and hungry Africans are in Dafur, Somalia, violence in SA etc. Paid advertising in these media is expensive but that is the cost for selling positive image to the world and investors. These Africa-Japan, Africa-China, Africa-India etc forums may yield some positives but r also mainly aimed at domestic politics!
# 11 stupid.
ah ah #11 fyafuma kwisa efi kanshi? Anyhow the issue with Japan and like anyother developed country nothing comes for free. The trick is if we really want to contract debt again it better be sustainable, if it is infrastructure, let that infrastructure generate the money to pay back for itself in atleast 10 years.
i think the ivestements arent bad though am developing freakles as to why japan seriously want to invest in africa.is it because it wants allies or do they just have a hidden agenda…..nothing comes for free these days
i think the ivestements arent bad though am developing freakles as to why japan seriously wants to invest in africa.is it because it wants allies or do they just have a hidden agenda…..nothing comes for free these days
Good observation #17, coretta (and I like your name!). I also back #6, 7 and 13. These people have understood how important it is for Zambians and Africans as a whole to finally come out of the beggar status.
The so-called developed world will never treat us as partners until as long as we are dependant on their aid. Ask yourself why they only want to improve infrastructure instead of setting up industries and showing us how to manufacture our raw materials into finished products. They need our good roads to ensure that our raw materials find their way to their continent quickest.
Correction: The sentence above should read: The so-called developed world will never treat us as partners as long as we are dependant on their aid.
There is a unfinished building at the corner of freedom & katondo street in the hearts of Lusaka, why cant you Zedians abroad buy and develop it. Zedians this is ur change! wake up and get it and develop it, this is your opportunity. When chineses infestors buys it and develop it into a good shopping mall you start AMADANDAULO!
#20 That building has a serious civil/geotechnical flaw. Some silly chaps went ahead with construction without doing their homework about foundation engineering. After the building had that high. The engineers & contractors found a bottomless pit or pitless bottom under the building. Tried to pump cement grout to fill and it apetite for cement grout couldnt be satified. That thing is a death trap it needs to be brought down. It goes to show the type planning/strategy in parasites OOPS sorry I meant parastals. Built NCZ without phospate and sulpur deposit. Do mining comapnies build copper smelter/refineries in where there no copper deposits
#21, great insight! But does it mean prime space like that will never be developed? Anyway, each subsequent Zambian government is going to be indebted to these loans … whether they mean well or not. we’ll be in a loop, failing to fund/map out any tangible development for the future. A total mess.
I know that building, the lift shaft is not straight! The cement mix they used too was wrong because some of the floors are collapsing. Had it been in Chengdu China where there was an 8 ricter scale boy rocking, it would be rubble by now.
The thing can be blown down by blasting engineers using a technique called implosion.(building would collapse inward toward its center) and avoid damage to surrounding building. A smaller/lighter building fitting the geotechnical parametars obtaining can be built over the site. Alternative Geotechnical drilling can be done to find solid bedrock. Thereafter pillars (technically called pilings) can built/or driven into the bedrock to support the massive structure above. Massive Hydraulic Jacks to support tilting buildings is another technique but that building is not worth cost of this technique.
No 14, wamona ka, ichishinka chila fulwisha kumutima. You have truly exposed yourself you stiking thief. This site is even smelling now, we need to sprinkle this site with holy water to exorsize it of a “sakalanyongo” demon!
I wish we had more people like number 24 who talks sense on this site not just insults we read sometimes here. Thank you for the Infor.
#25 IWE KOLWE UZAFUNTA KA!!! DEMON OF INSULTS FROM YOUR ANCESTORS HAVE CATCH UP WITH YOU BCOZ UNAONELA BA MBUYE BAKO P@***. PLS PASTOR BREAD OF LIFE HELP THIS KOLWE B4 IT THROW ITSELF IN ZAMBEZI RIVER WITH INSULTS!
#26 Thank you Tata. I am humbled
Iwe #24 wampampisha, U r too technical, bushe waponene mwaka nshi ku UNZA?. Are you working? i can offer you a job to teach my children C213. Sanchez, BOTSWANA
#29 Sanchez I refuse to trade insults.
Honestly i would not know where to erect a new building in Lusaka even if i had the money.
You see, people/companies erect buildings for the money.
1. There aren’t enough companies in Zambia so i would not know if office space would be on demand.
2. Cairo road which is the only good looking part of our CBD is filled up and the LCC does not want to demolish Society house.
3. Erecting a building is an expensive thing and requires a lot of skilled labor. I wouldn’t trust it with Turner Construction Zambia LTD. Probably a South African company.
4. If one had to put up a shopping mall, at most it can be filled with South African shops since Zambians are not that business minded.
cont…
This can be proven with Crossroads shopping mall (very nice shopping mall) in Woodlands which is built by Zambians and run by Zambians but is filled with South African shops. And so instead of the profits going to Zambia, they are going to South Africa. And that is not govt’s fault but Zambians fault themselves since they don’t want to engage in Business and Commerce.
Honestly life works with Supply and Demand. Why do you think Farmers House which is the only modern building in our CBD is as short as it is. Because there isn’t enough demand for office space and the reason there isn’t demand for office space is because there are not enough companies demanding office space.
If/When more companies form up in Lusaka, they’ll demand more office space, then the price of rent will go up, thereby giving investors a feel of “oh, there is money in Lusaka in the case of office space, the demand is so high. I’ll go erect a 25 floor skyscraper since the demand for office space is so high”.
In conclusion, the building thing in Lusaka will sort itself out. All you have to do is come up with companies. Eventually either govt or private developers will see that there is a need for office space and that there is a lot of money in it and will start erecting buildings. In fact, that is also one way LCC can make some money.
Moving on. Japan issue.
Initially i don’t really have a problem with this. No country can develop without the adequate infrastructure put in place. Which is why Zimbabwe is more likely to develop faster than Zambia and in a short period of time simply because there infrastructure is second to South Africa and is intact.
If you look at Chipata for example, the govt is about to finish the railway from Chipata which will go through Malawi and Mozambique. This will spur development in Chipata as manufacturers will want to dump there products in Malawi and Zimbabwe and maybe abroad. Im not a big fan on exporting raw materials but this will also make it faster to export our raw materials.
That’ll bring about development in Chipata. Thats an example of adequate infrastructure to spur development.
Most people think that when govt promises Jobs, it’ll mean govt will physically start the companies for you. That is a wrong ideology to have especially since we are now in a free market economy.
Govt is just supposed to set up the environment for economic growth by proper fiscal and monetary policy as well as proper infrastructure in the cases of adequate transport, proper communication, good central bank discipline (stuff like interest rates, exchange rates, inflation rates), etc. A good recipe of the stuff i have is govt job. The rest is up to the Zambian or foreign investor.
sentence correction: stuff i have mentioned is govt’s job.
And this is a loan so im not that worked up since it’s a loan and a loan is supposed to be paid back so it’s not really begging.
The thing however that worries me is,
1. How much money are we borrowing.
2. Is there proper govt discipline to use these funds adequately.
3. Is there proper entrepreneurship education to ensure that Zambians take advantage of the infrastructure that’ll be put in place to form a productive economy.
4. Is there proper monetary and fiscal policy to ensure that economic growth is maintained or accelerated.
5. Is there proper central bank discipline.
6. Is there a good economic environment.
7. Will the infrastructure put in place favor a manufacturing industry
cont…
instead of a raw material industry.
8. Do we have enough skilled labor/human capital to spur development
9. What guarantee (excuse the spelling) do we have that the loan will be paid back.
These are some of the things that worry me.
LASTLY I JUST WANTED TO APOLOGIZE FOR THIS LONG POST.
FEEL FREE TO COMMENT.
#18,(Nine Chale), uli wamano. U ve just struck the nail on its head. But our thick african leaders cannot think simply to why investors all insist on improvement of infrustructure. Do they even go with their heads to these seminars, I wonder?
#24(Theoretician), thanks 4 the info. You are such pipo we need on the blog. I live away but every time i visit Z i find that eyesore (including many others) n I ve been wondering why it hasnt been implosioned, as u have already propounded. Most serious pipo ve surely benefited from ur highlight.
#20, even if i had money burning my pockets, i wouldnt invest in lusaka. Lusaka is a messed up city/town. Its got no structure. I would rather invest it on a land/farm. Worse still the building u are talking about. Lusaka is a Beirut as u know Beirut.
#31-38, dont worry about your long comments or contributions. Like #24-Theoritician, you are an effective contributor. Seriously, minded pipo can learn from you dudes. I hate the idea of chaps just insulting each other. Maybe if one is doing it for the sake of playing the Eddie Murphy for pipo to laugh. Not wasting the blog space. Zambia must be in hurry to develop. And some of the blogs here are the preamble to development. Please, keep blogging you sensible dudes and A BIG THANKS.
#31-38 I agree with what you say. We need to have tight lid on borrowing and ensure discipline in the use of borrowed money. I still maintain though that borrowing for the replanning of our towns, infrastrature and housing is a good investment. Even if the construction is not done now at least we have a plan on the ground.Ring roads,flyover bridges,drainage,designated sites for residential areas, malls, markets, schools etc. And quality control in design and construction. Then we have order and sanity. Even if our towns are small. They will be neat.
#41 Peter thank you for your compliments. Iam humbled.
51 of 53 african nations took part in the TICAD IV in Japan.Almost the whole Africa was in Japan.Do you know how much Japan gained in form of foreign exchange and buisness?Japans hosting of the conference has fueled its rivaly with China over Africa.China has being economically penetrating africa countries(zambia) for natural resources,and in 2006 it held the FOCA conference in China 35 heads of state of african countries attended.Chinas total trade with African countries(Zambia) came to 73.5 billion dollars in 2007.Total trade between Japan and Africa(zambia) was 26.6 billion dollars in 2007.But japan offers only 4 billion to this african leaders.What is wrong with us?We sit on the…
from# 43
gold mine and knows not.So many nations and their people have benefited from our stupidity.Even the little money that we gather we take it to them.So many grants have been given to african nations(Zambia) for so many years and yet our leaders cannot see that nothing has ever worked.Where is our disability?O God of the heavens and the earth help us even with the little knowledge that you may have given us,help us just to understand that we can just do it on our own.A research centre of any sort could have been built by the money spent by Mwanawasa to go to Japan.A university could have been improved.
To be honest, Fukuda’s main focus is to provide loans to Africa and lure them back in the “choke hold” of the “undertaker”. They will bleed to death with soft loans. Japan is envying the growth of africa by trading with China so they want to hook africans back in the chains. BECAREFUL africa!! BEWARE of Japan! The Japanes will never ever set up manufacturing ventures in Africa. Never!! Never!!!!!!! The arguement advanced is that the risk is too high and so Fukuda wants ti set up a trade insurance pact for Japanese businessmen. Have u heard of the same pact for Malay ppl? For Chinese? Ever heard of a business investment capital of $2.5million (equal to 50 Cents’ house). So stupid!
Japan is the biggest liar in Asia and If I had a chance to warn Mr Mwanawasa I would do it in person. Japan wants a slot in the UN Security Council. They want to promote the Kyoto Protocol on reducing green house gases. These two issues are the main pushers for this high-end drivel from Japan. The envy for China’s economic investments is just a catalyst for Mr Fukuda’s rumblings. Yes, we want infrastructure without which economic growth is a pipedream. Japan is touching a nerve wire, they know how to dribble but NOT for free. A hard loan or soft loan is one and the same thing. DEBT!!! I would rather we direct investments in dollars and grow with time to build our own infrastructure. Japan?No