Parliamentary Portfolio Committee WEST AFRICA PRESENTATION Cape Town 14 September 2007

1. Parliamentary Portfolio Committee WEST AFRICA PRESENTATION Cape Town14 September 2007

2. COLONIAL LEGACY • The colonial heritage of the region is divided between Anglophone, Francophone and Lusophone countries • Most of the Francophone countries retain a strong French influence • Colonial powers still have a towering presence in the region

3. POLITICAL CONDITIONS • West Africa is currently undergoing major political and economic changes • There are countries transitioning from conflict • There are countries in a post-conflict reconstruction phase • The countries face similar challenges in respect of economic development

4. POLITICAL CONDITIONS • Important strides towards democratic consolidation • 2006 and 2007 marked by elections • Elections were held in The Gambia, Senegal, Mali, Nigeria. • Despite problems experienced during the Nigerian elections, the elections were historic as they resulted in a peaceful transfer of power from one democratically elected government to another.

5. SECURITY CONDITIONS IN WEST AFRICA • Challenge of integrating the Sahelian communities • Stabilising the Niger Delta region • Challenge of monitoring unguarded, porous borders • Proliferation of small arms • Drug trafficking

6. OVERVIEW OF ECONOMIC CONDITIONS • The region is endowed with natural resources • It has arguably the most fertile land on the continent • Despite this, the region continues to be an exporter of primary products, losing a substantial amount on the true value of the commodities • Trade still structured on colonial lines i.e. former French colonies are the biggest trading partners of France, the same goes for Anglophone countries

7. ECONOMIC CONDITIONS • Lack of manufacturing capacity • The region faces massive infrastructure backlogs, which inhibits investment • All countries ranked below 120 on the Human Development Index • There is currently a spike in the volume of Foreign Direct Investment flowing to the region • Investment mainly focused on the primary sector, i.e. crude oil

8. SOCIAL CONDITIONS • Challenges around sanitation, clean water, opportunistic diseases, malaria, waterborne diseases etc. • Challenges in integration of youth into the mainstream, especially of young people affected by wars and conflict • Challenges on the empowerment of women

9. REGIONAL INTEGRATION • ECOWAS is one of the most advanced Regional Economic Communities of the African Union • It has a standing peacekeeping brigade (ECOMOG). • Successfully intervened in Liberia and Sierra Leone • French speaking countries belong to West African Economic Monetary Union (WAEMU) with a common currency, the CFA Franc, controlled by a regional central bank, the Banque Centrale des Etats de l’Afrique de l’Ouest (BCEAO) • WAEMU is a also a Customs Union • Currently in FTA negotiations with North African countries

10. REGIONAL INTEGRATION • The region also has a regional development bank, the Banque Ouest Africaine de Dévelopement (BOAD) • BOAD finances projects in rural development, road infrastructure, telecommunications, energy, industry, transport, and tourism. • Protocol on Free Movement of Persons and the Right of Residence and Established signed in 1979 and ratified in 1980 • These are good building blocks towards full integration of the African continent

11. SA FOREIGN POLICY TOWARDS WEST AFRICA • SA policy towards West Africa is guided by the Consolidation of the African Agenda • This includes: • The pursuance of friendly, mutually beneficial relations • The promotion of peace, security and stability • Post-conflict reconstruction and development • Close co-operation on issues of development

12. SA FOREIGN POLICY TOWARDS WEST AFRICA • South African policy is also guided by: • The need to use South-South Co-operation and North-South Dialogue to advance the African Agenda • Reforming institutions of global governance so that they place African development at the centre of their agenda.

13. INSTRUMENTS OF FOREIGN POLICY IMPLEMENTATION • Since 1994, South Africa has concluded a number of General Co-operation Agreements with countries of West Africa • The GCA’s provide for structured bilateral engagement mechanisms such as Bi-National Commissions, Joint Commissions of Co-operation and Joint Commissions of Bilateral Co-operation.

14. STRUCTURED BILATERALS • SA has structured bilateral mechanisms with following countries: • Federal Republic of Nigeria (Bi-National Commission) • Republic of Ghana (Joint Commission of Co-operation) • Republic of Mali (Joint Commission of Co-operation) • Republic of Guinea (Joint Commission of Co-operation) • Republic of Senegal (Joint Commission of Bilateral Co-operation)

15. TRADE RELATIONS • SA Trade relations with region dominated by import of crude oil from Nigeria. • South Africa has a trade surplus with most countries in the region. • SA exporting value-added goods, and importing primary products. • Regions’ dependence on primary products limits basket of tradeable goods.

16. FOREIGN DIRECT INVESTMENT • South Africa provides large volumes of Foreign Direct Investment into the sub-region i.e. SA mining companies account for 60% of FDI Mali • Investment dominated by mining sector • SA companies present in Nigeria, Ghana, Guinea-Conakry, Senegal, Cote d’Ivoire, Benin, Niger, Guinea-Bissau • SA companies encouraged to transfer skills and technology to indigenous companies for sustainable development • SA companies also encouraged to engage in strategic partnerships with local partners

17. PRIORITIES FOR 2007 • Strengthen bilateral relations • Strengthen co-operation in various technical, social and scientific fields • Support efforts towards post-conflict reconstruction and development • Encourage closer co-operation on global governance • Intensify bilateral trade

18. THANK YOU!