Wednesday 28 October 2015

India-Africa Forum Summit 2015


The ongoing India-Africa Forum Summit (IAFS) 2015 from Oct 26th to Oct 29th reinforces India’s rejuvenated interest in expanding ties with its African fraternity. Indo-African kinship dates back to history when the first man believed to have originated in Africa migrated to Mesopotamia and subsequently to the Indian subcontinent. But greatest binding factor has been torment of atrocities suffered by both under the imperialistic European rulers. India and Africa were sojourners in raising their voices against exploitative colonialism. No sooner India obtained independence it strongly advocated decolonization and passed a resolution in the UN against apartheid in South Africa. It always lent support to the causes and concerns of the African countries. Indeed when the World was deeply polarized by the superpowers during the Cold war India could objectively push forward the Non-Aligned Movement (NAM) because of the active participation of the independent African nations. In 1961 Prime Minister Jawaharlal Nehru, President Tito of Yugoslavia and President Nasser of Egypt spearheaded the creation of NAM which evolved into a powerful forum for international cooperation, peace and development. But for NAM, majority of the nations would have been sucked into two ideologically divergent camps ordained to face an impending nuclear war threat. Thus continued cooperation between India and Africa fostered a sense of mutual trust and solidarity.

India Africa Forum Summit (IAFS) has evolved from a deeply cherished vision of enabling synergistic cooperation in 2008. First IAFS was held in New Delhi wherein heads of state and government of India held summit meetings with 14 countries of Africa chosen by the African Union of which only 12 state heads participated. It was decided that summit should be held every three years alternatively in India and Africa. Second IAFS witness participation by 15 countries was held in Addis Ababa. The third summit scheduled for 2014 was cancelled due to the Ebola outbreak and Indian general election. The Third IAFS, is truly phenomenal for India has extended invitation to all the 54 countries of Africa and it is biggest diplomatic outreach program of India so far. It will be largest gathering of international leaders since Indira Gandhi’s efforts to host NAM Summit in 1983 when 51 leaders from 91 countries have participated. Till now the US, China and Japan conducted summits with African leaders. With 52 countries participating in the IFSA, Indian summit will go down history for hosting largest African delegation so far by any other country. In all the 52 countries which are represented 41 are heads of state and rest are high-level officials. As the itinerary indicates India will host top officials of African countries on 26th, on 27th External Affairs minister will host African counterparts. The summit meeting with heads of states will be held on 29th and 30th is reserved for bilateral meetings. Issues of major focus would be boosting trade, strengthening security cooperation to combat terrorism and extending cooperation on poverty alleviation programs and disease eradication.

Historically, World had a bigoted vision of Africa inimically referring to it as Dark Continent. Even now Africa dominates the headlines for its negative spots- like outbreak of diseases, pirates’ issues, drug peddling, terrorism, hunger and starvation. Ironically, The Economist magazine in 2000 ran a cover story on Africa titled “The hopeless continent” casting aspersions about its developmental capabilities. By 2013 things changed dramatically forcing the magazine to come up with an issue focusing on “Africa rising: A hopeful continent”. Africa is no longer recalled for its vast resources and bountiful treasure of flora and fauna but for the emergence of highest number of middle class families.

Realizing the potential of largely untapped resources countries like the US, EU, China and Japan started making huge investments to flag off their enterprises. India is historically well connected to Africa. Recorded history of Indus Valley Civilization refers to the trade connections between Indian traders and African countries along the East Coast. Consequently Indian currency or Sikka continued to exist as a currency in the East African countries till the early colonial era. The impact of the Indian influence can be found in the Swahili language that has traces of Hindustani and Arabic words. During early 19th century apart from Indian traders a large contingent of Indian indentured labor were forced to work in Africa to build rail roads. They made Africa their home. Now the whopping 2.16 million strong population of Indian- origin have integrated well into the main stream occupying the top tier of the society. Indian investments and business interests have been persistent in the continent for more than a century. But India is yet to capitalize on its long history and deep social networks. Bilateral trade was a modest $1 billion in 1995 slowly risen to $38 billion in 2008 is now $70 billion. While Indian exports to Africa are increasing at a rate of 23.6% Africa has managed to record trade surplus with India registering a 32.2% increase annually. The top six countries Nigeria, South Africa, Angola, Egypt, Algeria and Morocco makeup for 89% of total Indian imports that include oil, natural gas, ores and Gold and contribute to Africa’s trade surplus. India imports 15% of its oil from Nigeria. Aside these countries India runs a trade surplus with 40 African countries. In contrast China’s investment is booming in Africa and its bilateral trade volume has reached $210.2 billion. While massive scale of Chinese investments in infrastructure dwarf those of India’s in Africa, India is much ahead of China in terms of private corporate investments.

India and Africa share several commonalities which make them truly unique-the matchless diversity in terms of language, ethnicities, cultures, traditions and customs make the regions truly iconoclastic. The saga of the both are run down by the debilitating issues of rampant poverty, poor health care, lack of educational facilities and employment opportunities etc. Interestingly both are young nations and endowed with bountiful demographic advantage. Just as coastal India is much more developed than the land-locked states coastal Africa is more developed. Africa with 1.17 billion people is home to population of India’s size has 54 countries is about 10 times larger than India in terms of land mass. Africa with a current of 2.38 trillion is now registering 5% annual growth. If Africa can sustain its current growth it will be a middle income country by 2025 and the projected GDP by 2050 is $29 trillion. These projected incomes are on par with Indian projections which are in the range of $33- $55 trillion depending upon the economic policies followed. Besides, India’s resource requirements will only tend to rise as it aspires to reach faster growth trajectories. Africa a home to 30 % of all minerals found in the World is a tremendous resource partner India can hardly ignore. Further Africa’s geographical proximity, historical connect and shared aspirations warrants extended cooperation and engagement.

Though India’s connect with Africa predates most others India has squandered its opportunities for various reasons and till now the cooperation has been high on rhetoric and low on action. Consequently India has to now compete with the US- Africa Leaders’ Summit and Forum on China- Africa Cooperation to take its relation with Africa to the next level. With unlimited finances at its behest China provided generous assistance to Africa as it does to strategically important and natural resource rich countries. Interestingly, findings of African Development Bank suggest that core Chinese financial investments are bestowed on countries with which it has political connections like Egypt, Ethiopia, Tanzania and Mali and in resource rich countries like Angola, Algeria, Congo, Nigeria, Sudan and Zambia where it has strategic interests. Its engagement in poverty alleviation and education was found to be limited. The US, on other hand is working in Africa through strategized multilateral institutional partnerships wherein it is working on grass root level programs like accessibility of power to rural areas etc. Besides its large scale investment infrastructural network the US has been a valuable partner in developmental program.

Between 2009-2014 India’s investments in green fields is 6% compared to 3% of China. While the US and EU is almost 50% of investment in infrastructure projects their dominance is slowly declining and that of India and China are increasing. India has a distinct advantage over China in Africa since Beijing’s investment are perceived to be an opportunistic, mercantile exercise espousing traces of racial discrimination. Indian engagement with Africa has been different and its contribution towards capacity building, skilling youth, IT training programs and providing scholarships has been hailed by African community.  Its policy of deliberately staying away from political interventions despite its close connection with African leaders enabled it to find greater connect with African counterparts. Africa with its burgeoning middle class has emerged as market for Indian investments and India’s resource requirement to replenish its growth cycle has been on rise. Thus a rising India and an aspirational Africa has more in common and should work together on several global issues.

India and Africa have extra-ordinary biodiversity of flora and fauna which are threatened by over exploitation and climate change. In order to safe guard the vast biodiversity both have to coordinate their positions and approaches in deliberations under Biodiversity Convention. Similar kind of cooperation should be extended in negotiations on climate change during the Paris Climate Summit and have to push hard for transfer of clean energy technology to the third world promised by the developed countries. The Doha round of multilateral trade negotiations have been stalled with the first world raising objections to the agricultural subsidies. Both India and Africa need to rope in more countries to revive the Doha round. Moreover with Pacific countries and East Asian countries inching closer to seal a mega trade agreement easing trade restrictions through Trans-Pacific Partnership (TPP) which is likely to be followed by Trans-Atlantic Trade and Investment Partnership (TTIP) between the US, EU and Japan countries like India and Africa are largely left out. China in the meanwhile is on verge of sealing a free trade agreement with Japan and Republic of Korea. It is time India and Africa contemplate on a trade agreement that can bolster their growing economies.

Besides focus on economic, political, strategic partnership another most important dimension of this massive diplomatic outreach program of India is to boost its security cooperation. Africa currently warrants greater international attention not only its rapid economic strides but also for the violent extremism pervading in the Northern Africa. The scourge of the Middle- East is now slowly creeping into North Africa as a result latent extremist groups in various parts of Africa are emboldened. Currently Africa facing multitude of threats, is looking forward for cooperation in defence, security and counter-terrorism operations. Africa during its post-colonial phase approached Delhi for training its armed forces and India too accepted several mission. But India’s interest steadily waned. It is time Modi government takes bold initiatives to rejuvenate security cooperation which will be of great strategic consequence to India as well.

Moreover India’s one-size-fits all approach should change India should rightly calibrate its strategy towards different African countries. Nearly 21 countries in Africa have per capita income more than India and citizens of eight countries have four times more income than their Indian counterparts. Rapid economic strides and democratic stature of certain African countries is now stirring up the case of non-representation in UNSC. India too had made fervent call during the opening session of the IFSA for a permanent seat in the UNSC for the combined population of India and Africa which comprise of 2.5 billion and questioned the exclusion of these people from equitable representation in international democratic structures. Modi government’s proactive engagement with African continent besides offering excellent opportunities to revive and extend cooperation on wide range of issues can offer plausible solutions for global challenges like economic stagnation, flaring up of endemic conflicts, mass destruction and international terrorism too.
 
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