Tag: Aid

Sweden and Mugabe — Global Issues

  • Opinion by Jan Lundius (stockholm, sweden)
  • Inter Press Service

STOCKHOLM, Sweden, Jul 12 (IPS) – The road to hell is paved with good intentions.

                                  Proverb of unknown originThe war in Ukraine continues unabated; young men are sacrificed on battlefields, towns laid waste by aerial attacks, the threat of nuclear disasters is looming. People within an often formerly friendly inclined Europe are now wondering if Vladimir Putin has gone insane. The war in Ukraine is generally called “Putin’s war” and in April 2021 Putin signed a legislation providing him the right to run for two more consecutive terms, thus he could stay in power till 2036.

Nazi Germany was equalled with Hitler, the Soviet Union with Stalin, Communist China with Mao, and now Russia with Putin. Another example of the identification of an entire nation with a totalitarian ruler was Zimbabwe under Robert Mugabe. A president who apart from participating in the invasion of a neighbouring country led his nation into a bloody civil war.

When I in the year 2000 was working for the Swedish International Development Cooperation (Sida) it was questioned why the Swedish Government every year granted SEK 140 million (USD 15 million) in development aid to Zimbabwe, a country governed by a scorned Robert Mugabe. At that time, Zimbabwe’s GNI had in one year shrunk by 13 percent, among other things due to unbudgeted expenses for the country’s participation in a war in the DR Congo (from 1998 to 2003 Zimbabwe’s participation in this war cost USD 1 million a day). A badly managed land reform had drastically reduced agricultural production. Even before the crisis 75 percent of the population was unable to meet necessary needs of food, clothing, schooling, health care and housing. Unemployment was over 60 percent, while 25 percent of the adult population was infected with HIV/AIDS.

Misery was blamed on Mugabe’s misrule, but Swedish support to Zimbabwe continued during his reign. Since Swedish aid was initiated in the early1980s Zimbabwe had by the year 2000 received SEK 5 billion (approximately USD 460 million). Economic support currently amounts to USD 28 million per year.

Swedish relations with Robert Mugabe indicate difficulties opinion leaders face while analysing the power game of other nations. For fear of being seen as harbouring neo-colonial attitudes “experts” often withheld critical judgment and were apt to name various leaders as ”hopes for Africa”. Unfortunately personal benefits from supremacy may prove to be a fatal temptation , several heroes of yesterday have after their seizure of power turn into despots.

In the case of Zimbabwe (which at the time was “Rhodesia” governed by a white minority party, the Rhodesian Front) it was reasonable to oppose a regime that kept the majority of a nation’s population out of power because of the colour of their skin. Swedish debate has often been characterized by two different worldviews, either that the world consists of democracies and dictatorships, with the former being on the good side, or that an enduring conflict subsists between the “West” and the “Rest”, where “West” is seen as the villain. According to the latter understanding , it did not matter if Zanu (PF), the party of Robert Mugabe, actually pursued one-party rule, any opposition towards the “ancient colonial world order” was OK.

It was thus more justifiable to support an armed struggle than the democratic consensus policy proclaimed by another Zimbabwean liberation group, Zapu, headed by Joshua Nkomo. The influential Pierre Schori, international secretary of the Swedish Social Democratic Party and close assistant to Prime Minister Olof Palme, supported the “eloquent and radical” Mugabe:

    I think that it had to do with personal contacts. In the case of Zimbabwe, we did not choose between Zapu and Zanu, but I think that when Joshua Nkomo came to Sweden it was often through the churches, while Robert Mugabe was more of a pure freedom fighter.

Mugabe spoke fluent English, with an “exquisite” Oxford accent. He liked “open conversations and intellectual debates”, and in spite of an aversion to English colonialism he was an admirer of “Anglophone culture” and a fan of cricket, attesting that it “civilizes people and creates good gentlemen.”

Mugabe had been arrested in 1963 and was after 1966 transferred to a cell he shared with Zanu’s leader Ndabaningi Sithole. Mugabe remained in custody for a further eight years, devoting his time to studies. He gained a masters in economics, a bachelor of administration, and two law degrees from the University of London. Amnesty International’s Swedish Group 34 had as its lot to support the imprisoned freedom fighter. One member of the group later stated;

– He took advantage of the opportunity to study in prison and asked us to get literature. So we members shared the expenses and sent books to him. At that time, Mugabe was considered as a good guy. He was very fond of children and always remembered all our children’s names and greeted them in his letters. In addition to the books, Mugabe also asked for help with items such as a pair of pyjamas and tubes of toothpaste. Before his release, I and Eva Moberg , who had started the group, went and bought a suitcase, which we sent to him with his wife Sally.

In 1958, Mugabe had moved to Ghana to gain a teacher’s certificate at the Achimota College where he met his first wife, Sally Hafton. During Mugabe’s imprisonment Sally first moved to London, where she taught at the Africa Centre. She also lived for several years in Sweden, mostly in the village of Heby, north of the university town of Uppsala. She kept close contact with the members of Amnesty Group 34. Mugabe appreciated that Sally was staying in Sweden, which he considered to be a “safe country”. Sally worked as a nanny, learned Swedish and campaigned for Zimbabwe’s freedom struggle, both in Sweden and England. In Sweden, she became a frequently seen and well-liked person.

Mugabe was released in 1974 and resolved to leave Rhodesia for Moçambique. However, Samora Machel, who in 1975 became Moçambique’s president, was suspicious of Mugabe, whom he considered to be immature and belligerent. Furthermore, Machel suspected that Mugabe’s quick rise to power was due to machinations to get rid of Sithole as head of Zanu, a “prison coup” that might have been supported by Rhodesia’s white leader, Ian Smith. Machel put Mugabe under house arrest in Quelimane, far from the Zimbabwean guerrilla camps. It was rumoured that Machel was jealous of Mugabe’s intellectual achievements, preferring more down-to-earth men, especially the Zimbabwean guerrilla commander Josiah Tongogara. Contrary to Machel, Mugabe had never been an active fighter. When Machel in 1980 attended Mugabe’s inauguration as Zimbabwe’s president, he was well aware of Mugabe’s intention to form a one-party government, giving his Shona supporters absolute power. Machel addressed Mugabe:

    To ensure national unity, there must be no Shonas in Zimbabwe, there must be no Ndebeles in Zimbabwe, there must be Zimbabweans. Some people are proud of their tribalism. But we call tribalists reactionary agents of the enemy. Zimbabwe is the jewel of Africa. Don’t tarnish it!

Some of Mugabe’s Swedish acquaintances were suspicious of him:

    He considered himself to be a superior teacher, a professor. He had six different degrees, he was a learned and well-read man. Therefore, he believed that he was right in everything, and if he was opposed, he went mad.

Politicians and journalists declared that Mugabe could be charming and nice, but it was also alleged that he was a loner; admittedly a hard-working man, a voracious reader and not much given to laughter, but above all – a single-minded and extremely complex person, not easily captured by conventional categories. Some even claimed they considered him to be devoid of ordinary warmth and humanity; emotionally immature, homophobic and xenophobic. The last time a Swedish friend met with him, Mugabe told him:

    When we are elected presidents, we suddenly get enormous power in accordance with the constitution that we took over from the colonial power. We can fill positions for relatives, friends and party sympathizers. We live well and have a different life than the vast majority of our citizens. But when we leave the presidential palace, we have nothing, there are no presidential pensions.

Mugabe coveted absolute power and when he obtained it, he hold on to it. Zanu came to act as yesterday’s colonial rulers. Even if power relations had changed, perceptions of power were the same. The Swedish Government did not lack documentation warning about Mugabe’s ambitions, nevertheless its conclusion was that he was Zimbabwe’s strongest leader and moreover “pro-Sweden”, accordingly Swedish aid could not be terminated, and even had to be increased.

Already in 1977, Mugabe declared that “any man who maliciously plants contradictions within our ranks will be struck by the Zanu axe” and he was even more ruthless towards his former brothers in arms – Zapu, and its leader Joshua Nkomo.

Zanu’s power base was among the Shona people, while Zapu found its strongest support among the Ndebeles in Matabeleland. Furthermore, the Cold War was reflected in the two parties’ relations to the outside world. Zapu received Soviet support, while Zanu relied on China, which wanted to undermine Soviet influence in Africa.

In early 1983, the North Korean-trained Fifth Brigade, a unit subordinated to the presidency, began a crackdown on dissidents in Matabeleland. Over the following two years, thousands of Ndebele and Kalanga were accused of being “Zapu-traitors”, detained, marched to “re-education camps”, tortured, raped and/or summarily executed. Although there are different estimates, the consensus of the International Association of Genocide Scholars (IAGS) is that more than 20,000 people were killed.

Swedish aid workers were knowledgeable about these atrocities. Nevertheless, Swedish aid continued to be delivered to Zanu-controlled Zimbabwe. The former head of Sida’s aid office in Harare played down the events, declaring that “the civilian population in Matabeleland has been stuck between warring factions.” He advised against using aid as a means of pressure to get Mugabe to stop the mass killing.

After the 93 years old Mugabe finally was removed from power, Zimbabwe continued to spiral down the abyss, while Swedish support is uninterrupted. The country is now ruled by Emmerson Mnangagwa, who once was a close ally to Mugabe. A brutal man who in 1983 described Government opponents as “cockroaches and bugs requiring DDT to be removed.” In 1998, Mnangagwa was put in charge of Zimbabwe’s intervention in the DR Congo wars and accused of “swapping Zimbabwean soldiers’ lives for mining contracts.” Mnangagwa does not further human rights, instead his government has deepened Zimbabwe’s economic struggles, enabled endemic corruption, fuelled instability, and targeted human rights activists and journalists. It is estimated that Zimbabwe may lose up to half the value of its annual GDP of USD 21.4 billion due to corrupt economic activities. Money laundering is among the murky deals said to be carried out under Mnangagwa’s aegis. Under diplomatic cover, criminals send unaccounted cash in exchange of equivalent amounts in Zimbabwean gold, and then sell it for seemingly legitimate money.

Swedish support to Mugabe and his successor might be considered as an effort to alleviate the plight of Zimbabwe’s citizens, but it might also be interpreted as being based on simplifications of a complicated reality and furthermore relying on one man’s power. When Mugabe’s abuse of sovereignty led to massacres, they were minimalized by those of those who had bet on him and the misrule of his successor is hardly noticed.

The world is now wondering whether the majority of Russia’s population will continue to support its strong man. If Putin’s nation will be weaken or strengthened by such encouragement. The stakes are high and predictions are generally gloomy.

Main sources: Yap, Katri P. (2001). Uprooting the weeds: Power, ethnicity and violence in the Matabeleland conflict. Ph.D Thesis, Universiteit van Amsterdam and various Swedish newspaper articles.

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South Sudan President, Education Cannot Wait Jointly Announce Extended Multi-Year Education Response for Crises-Impacted Sudanese Children

ECW Executive Director Yasmine Sherif launches the Multi-Year Resilience Programme in Yirol, South Sudan. The three-year programme, delivered by Save the Children, the Norwegian Refugee Council and Finn Church Aid, in close conjunction with the Ministry of General Education and Instruction and other partners, will reach at least 135,000 crisis-affected children and youth. Credit: ECW/Jiménez
  • by Joyce Chimbi (nairobi)
  • Inter Press Service

NAIROBI, Jun 24 (IPS) – South Sudan is experiencing one of the most severe crises in the world today, causing fragility, instability, and economic stagnation. While a peace agreement was reached in 2018, sporadic intercommunal violence and climate-induced disasters continue to spur displacement. More than 2.2 million people are internally displaced. Another 2.3 million have fled to neighboring countries as refugees.

“South Sudan ranks the lowest on the human development index. It is the poorest country in the world and will need to catch up across all sustainable development goals and especially in areas such as eliminating extreme poverty, improving the education system, and gender equality. Yet, before COVID-19, 2.8 million children, and adolescents, or 70 percent of school-aged children, were not attending school. The number is now closer to 3 million,” ECW’s Executive Director Yasmine Sherif told IPS.

Sherif was on a field mission to South Sudan, where she met the President of South Sudan, Salva Kiir Mayardit, and Awut Deng Acuil, South Sudan’s Minister of General Education and Instruction, to assist immediate solutions to the education crisis in a country where only 13 percent of children transition to secondary school. For them, education and conflict are two sides of the same coin. Their joint mission is to ensure no child is left behind, especially in hard-to-reach areas such as Pibor and Abyei.

“Years of conflict and forced displacement, compounded by climate-induced disasters, have taken a heavy toll on South Sudan’s next generation. Now is the time to turn the tide and provide the most vulnerable girls and boys with the protection and hope that only a quality education offers. By working together with the Government, donors, civil society, and across the United Nations, this is the single best investment we can make for the future of this young country and the entire region,” said Sherif when she met with Ministry officials in Lakes State.

At least 135,000 children will benefit from the ECW’s Multi-Year Resilience Programme in South Sudan. Credit: ECW/Jiménez

ECW is the United Nations global fund for education in emergencies and protracted crises and has supported South Sudan with multi-year investment since 2020. To address these interconnected crises through the transformative power of education, President Kiir and Sherif announced USD 40 million in catalytic grant funding in a function attended by key stakeholders, including the governor of Lakes State, education officials, parents, and children.

From the Lakes State, the fund has launched its second and the largest ever multi-year investment amounting to USD 75 million and has secured two-thirds of that amount, which is USD 50 million. Of this, ECW contributed USD 40 million. The Global Partnership for Education provided another USD 10 million for Education. In addition to the new multi-year investment, ECW also announced a half-a-million dollar First Emergency Response grant to support the immediate education response to the arrivals of refugees and returnees fleeing Sudan.

“We appeal to government donors and the private sector to close the remaining gap of one-third, equivalent to USD 25 million, to fully fund a multi-year investment education program. We say five for five to fully fund the multi-year investment. If five strategic donor partners and private sector (partners) offered five million dollars each, we would have a fully funded multi-year resilience program in the education sector,” she says.

ECW funding in South Sudan now tops USD 72 million, up from the fund’s USD 32 million invested to date – reaching close to 140,000 children, built or rehabilitated over 160 classrooms and temporary learning spaces, and provided learning materials to 50,000 children thus far.

With the extended response multi-year response, children will continue to enjoy a quality, safe, inclusive education. Sherif says there is a special focus on children with disability, especially those with cognitive disabilities, an invisible problem that often goes unrecognized among children in developing countries.

Further stressing that the President and education ministries are fully committed to bringing girls back to school through progressive messaging to the community, policy, and law. The push to keep girls in school and out of reach of child marriages and early child pregnancies is unrelenting.

“The Government of South Sudan is fully committed to ensuring that all children are able to obtain a quality education. Education Cannot Wait’s top-up investment will provide life-saving educational opportunities for tens of thousands of crisis-affected girls and boys across the country,” said President Salva Kiir Mayardit.

“To advance this work, we are calling on world leaders to step up funding for ECW and its in-country partners. This is a critical investment in sustainable development, peace, and prosperity for the people of South Sudan and crisis-impacted children worldwide.”

Closer home, the current conflict in Sudan is fuelling additional needs in South Sudan. More than 100,000 people have crossed the border in recent weeks. Cornered by unrelenting multiple challenges, options for a better future shrink with every new challenge. Unmitigated, an entire generation of children could miss out on lifelong learning and earning opportunities.

“In light of the unfolding Sudan crisis, we will allocate and make an announcement of half a million dollars to support the Government of South Sudan to provide education to arrivals and returnees fleeing the Sudan conflict. Children and adolescents who were already going to school will continue to do so uninterrupted, have school meals, and psychosocial and mental health support,” Sherif said.

The new funding will extend ECW’s Multi-Year Resilience Programme in South Sudan for another three years. The three-year programme will be delivered by Save the Children, the Norwegian Refugee Council, and Finn Church Aid, in conjunction with the Ministry of General Education and Instruction and other partners.

It will reach at least 135,000 crisis-affected children and youth – including refugees, returnees, and host-community children – with holistic education supports that improve access to school, ensure quality learning, enhance inclusivity for girls and children with disabilities, and build resilience to future shocks.

Importantly, the new multi-year programme will improve responsiveness and resilience through improved evidence-based decision-making, strengthen coordination and meaningful engagement with local actors, and scale-up resource mobilization.

As the United Nations global fund for education in emergencies and protracted crises, ECW collaborates closely with governments, public and private donors, UN agencies, civil society organizations, and other humanitarian and development aid actors to increase efficiencies and end siloed responses.

ECW and its strategic partners are assessing the impacts of the civil war in Sudan on neighboring countries, including the Central African Republic, Chad, Ethiopia, and South Sudan, to provide agile and responsive investments that return crisis-impacted girls and boys to the safety and protection of quality learning environments. The fund urgently appeals to public and private sector donors for expanded support to reach more vulnerable children and youth.

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Military Junta Gets a Free Pass — Global Issues

  • Opinion by Andrew Firmin (london)
  • Inter Press Service

LONDON, Jun 23 (IPS) – The violence keeps coming in Myanmar, under military rule since February 2021. The junta stands accused of war crimes and crimes against humanity, with evidence of systematic use of killings, rape, torture and other gross human rights violations in its attempt to suppress forces demanding a return to democracy.

Even humanitarian aid is restricted. Recently the junta refused to allow in aid organisations trying to provide food, water and medicines to people left in desperate need by a devastating cyclone. It’s far from the first time it’s blocked aid.

Crises like this demand an international response. But largely standing on the sidelines while this happens is the regional intergovernmental body, the Association of Southeast Asian Nations (ASEAN). Its recent summit, held in Indonesia in May, failed to produce any progress.

ASEAN’s inaction

ASEAN’s response to the coup was to issue a text, the Five-Point Consensus (5PC), in April 2021. This called for the immediate cessation of violence and constructive dialogue between all parties. ASEAN agreed to provide humanitarian help, appoint a special envoy and visit Myanmar to meet with all parties.

Civil society criticised this agreement because it recognised the role of the junta and failed to make any mention of the need to restore democracy. And the unmitigated violence and human rights violations are the clearest possible sign that the 5PC isn’t working – but ASEAN sticks to it. At its May summit, ASEAN states reiterated their support for the plan.

A major challenge is that most ASEAN states have no interest in democracy. All 10 have heavily restricted civic space. As well as Myanmar, civic space is closed in Cambodia, Laos and Vietnam.

It wouldn’t suit such states to have a thriving democracy on their doorstep, which could only bring greater domestic and international pressure to follow suit. States that repress human rights at home typically carry the same approach into international organisations, working to limit their ability to uphold human rights commitments and scrutinise violations.

Continuing emphasis on the 5PC hasn’t masked divisions among ASEAN states. Some appear to think they can engage with the junta and at least persuade it to moderate its violence – although reality makes this increasingly untenable. But others, particularly Cambodia – a one-party state led by the same prime minister since 1998 – seem intent on legitimising the junta.

Variable pressure has come from ASEAN’s chair, which rotates annually and appoints the special envoy. Under the last two, Brunei Darussalam – a sultanate that last held an election in 1965 – and Cambodia, little happened. Brunei never visited the country after being refused permission to meet with democratic leaders, while Cambodia’s prime minister, Hun Sen, visited Myanmar last year. The first post-coup visit to Myanmar by a head of government, this could only be construed as conferring legitimacy.

Indonesia, the current chair, hasn’t appointed a special envoy, instead setting up an office headed by the foreign minister. So far it appears to be taking a soft approach of quiet diplomacy rather than public action.

Thailand, currently led by a pro-military government, is also evidently happy to engage with the junta. While junta representatives remain banned from ASEAN summits, Thailand has broken ranks and invited ASEAN foreign ministers, including from Myanmar, to hold talks about reintegrating the junta’s leaders. A government that itself came to power through a coup but should now step aside after an election where it was thoroughly defeated looks to be attempting to bolster the legitimacy of military rule.

ASEAN states seem unable to move beyond the 5PC even as they undermine it. But the fact that they’re formally sticking with it enables the wider international community to stand back, on the basis of respecting regional leadership and the 5PC.

The UN Security Council finally adopted a resolution on Myanmar in December 2022. This called for an immediate end to the violence, the release of all political prisoners and unhindered humanitarian access. But its language didn’t go far enough in condemning systematic human rights violations and continued to emphasise the 5PC. It failed to impose sanctions such as an arms embargo or to refer Myanmar to the International Criminal Court (ICC).

Civil society in Myanmar and the region is urging ASEAN to go further. Many have joined together to develop a five-point agenda that goes beyond the 5PC. It calls for a strategy to end military violence through sanctions, an arms embargo and a referral of Myanmar to the ICC. It demands ASEAN engages beyond the junta, and particularly with democratic forces including the National Unity Government – the democratic government in exile. It urges a strengthening of the special envoy role and a pivoting of humanitarian aid to local responders rather than the junta. ASEAN needs to take this on board.

A fork in the road

ASEAN’s current plan is a recipe for continuing military violence, increasingly legitimised by its neighbours’ acceptance. Ceremonial elections could offer further fuel for this.

The junta once promised to hold elections by August, but in February, on the coup’s second anniversary, it extended the state of emergency for another six months. If and when those elections finally happen, there’s no hope of them being free or fair. In March, the junta dissolved some 40 political parties, including the ousted ruling party, the National League for Democracy.

The only purpose of any eventual fake election will be to give the junta a legitimising veneer to present as a sign of progress – and some ASEAN states may be prepared to buy this. This shouldn’t be allowed. ASEAN needs to listen to the voices of civil society calling for it to get its act together – and stick together – in holding the junta to account. If it doesn’t, it will keep failing not only Myanmar’s people, but all in the region who reasonably expect that fundamental human rights should be respected and those who kill, rape and torture should face justice.

Andrew Firmin is CIVICUS Editor-in-Chief, co-director and writer for CIVICUS Lens and co-author of the State of Civil Society Report.


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A Golden Opportunity for the Global South — Global Issues

  • Opinion by Darini Rajasingham-Senanayake (colombo, sri lanka)
  • Inter Press Service

COLOMBO, Sri Lanka, May 15 (IPS) – Asia is the fastest growing and most dynamic region of the world according to a recent IMF Report; “Recovery Unabated Amid Uncertainty”. 1

Asia and the Pacific will contribute around 70 percent of global growth this year as expansion accelerates after Covid-19 supply chain disruptions, with ongoing geopolitical turmoil and war in Europe, as well as, various hybrid over the horizon cyber and kinetic attacks targeting Indian Ocean ports and shipping.

Global economic expansion would be significantly powered by the BRICS countries: Brazil, Russia, India, China and South Africa, as well as the Association for Southeast Asian Nations (ASEAN), group that includes Indonesia.

A series of Exogenous Economic Shocks over the past four years, from terror attacks to Covid-19, and ‘climate catastrophe’ policy-mistakes, such as an overnight switch to organic fertilizer, temporarily set back the rise of these ‘emerging economies’ of the Global South on the world stage.

They are now increasingly set to lead a rebound in a Multipolar ‘Asian 21st Century’ as Euro-American hegemony wanes.

Asian Giants, China and India, have huge populations, domestic markets, resources and the civilizational weight to lead global expansion. In the West, growth is poised to decelerate as rising interest rates, trillion-dollar deficits and military budgets weigh, with Inflation high, and banking strains in the United States and Europe.

Asia Pacific growth would increase to 4.6 percent despite the somber backdrop of war and economic weakness elsewhere in the world according to the IMF report.

Strategic Sri Lanka, which staged its first sovereign Default, loosing economic policy autonomy to the Washington Twins (IMF and World Bank), ironically on the eve of 75 years of Independence, clearly needs to look to Asia and the BRICS as Cold War and Colonialism once again roil the Indian Ocean World with nuclear submarines and military bases popping up a dime a dozen these days.

Four new US bases in the Philippines were announce just last month. The country after all is a bell weather for more than fifty other Global South countries caught in post-Covid-19 Eurobond debt traps, and the Washington Twins (World Bank and IMF) ‘bailout business’.

BRICS back on Track as Empires Rise and Fall

The BRICS was strengthened with the return of President Lula da Silva to the helm in Brazil in January. These powerhouse economies are increasingly trading in their own national currencies, promoting a trend to de-dollarization that has gathered steam in the context of US debt of $ 31 trillion and sanctions on Russia last year.

The search is on for alternatives to the US dollar as the global reserve currency as the BRICS economies had outstripped the traditional economic heavyweights – the G-7.

The New Development Bank (NDB) or BRICS bank which is a multilateral development bank established by the BRICS in 2014 to finance infrastructure and sustainable development projects in the developing world is expanding at this time with Iran and Saudi Arabia set to join amid a recent China brokered peace deal to stabilize Yemen and the Middle East and North Africa (MENA) region.

The NDB launched with $50 billion in seed money as an alternative to the IMF and WB. Additionally, a liquidity mechanism called the Contingent Reserve Arrangement to support members struggling with payments was created. In 2021, Egypt the United Arab Emirates, Uruguay and Bangladesh took up shares and membership of NDB while Egypt, Algeria, and Argentina, as well as, Mexico and Nigeria are in the pipeline. 2

Nineteen countries including Indonesia had expressed an interest in joining the BRICS group of nations as it prepares to hold an annual summit in June in South Africa, which is now struck by sabotage and power-cuts

De-dollarize to decolonize

Saudi Arabia’s petro-dollar linked oil reserves had stabilized the US dollar as the Global Reserve currency for decades, but this is changing with talk of the Petro Yuan and related geopolitical developments. In the wake of the Iran-Saudi peace agreement, Syria rejoined the Arab League after a 12-year long US led regime change operation failed against Bashar al Assad.

These movements perhaps explain some of the new Cold War proxy wars and turmoil in MENA and South Asia–from Sudan, to Palestine/Israel, to Afghanistan and Pakistan as the Euro-American empire wanes at this time.

Remarkably Argentina, South America’s 2nd largest economy after Brazil, seeking alternatives to the IMF has applied for membership of the NDB. Argentina, victim of the Monroe doctrine for decades is on its 22nd IMF bailout and 9th default, as Buenos Aires was again rocked by anti-IMF protests last month.

The NDB along with the Asia Infrastructure Investment Bank (AIIB), increasingly constitute a Global South alternative to the Washington Consensus and colonial Club de Paris dominated Bretton Woods International development and finance architecture.

Bankrupt by what metric? Beyond The myth of TINA to the IMF

Sri Lanka as an Asian country would best leverage the Asian 21st Century and the NDB, but Colombo’s Washington-backed Ranil Rajapakse regime that is responsible for the country’s first sovereign default had promoted two myths, that “Sri Lanka is Bankrupt” and “there is no alternative” (TINA) to the IMF agenda, of austerity and a Firesale of strategic assets!

Last year upon assuming office the President promised Famine and 15-hour power cuts, in a psychological operation to spread fear, and prepare the people for an IMF Firesale and the country’s asset stripping.

However, the famine and 15-hour power cuts did not materialize also given plentiful monsoon rains for hydro-power generation as the weather gods miffed the Cold War gods.

The question is: by what metric and on whose Data was the strategic county that sits on major energy, trade and undersea data cable routes deemed ‘bankrupt’? As one of South Asia’s (SAARC) wealthiest countries in terms of GDP per capita with the best social and human development indicators, Former US Ass. Secretary of South and Central Asia Alice G. Wells termed the lush and fertile tropical island, blessed with two monsoons and extensive marine and mineral resources “valuable real estate”! Others have called it an ‘unsinkable aircraft carrier.’

Whether a shortage of exorbitantly privileged US dollars is adequate to measure the ‘wealth of nations’ also given America’s 31 trillion debt is not a rhetorical or philosophical question to elicit yet another theory of value.

Rather, it flags here the failure by the Washington Consensus to make an elementary distinction between ‘illiquidity’ and ‘insolvency’ in determining the purported bankruptcy of Global South countries caught in the World Bank’s Middle Income Country (MIC) trap, to enable a Firesale of strategic assets. Does this not rather reflect great moral and intellectual bankruptcy?

Re-Orient to de-colonize in a Multipolar World

As the Asian 21st Century becomes a reality in a multipolar world where the BRICS economies have overtaken the traditional G-7 countries as the world’s engine of growth, Sri Lanka caught in a Eurobond US dollar denominated debt trap clearly needs to ReOrient as German sociologist and world systems theorist Andre Gunder Frank wrote in his acclaimed book; “ReORIENT: Global Economy in the Asian Age” (1998).

Much of Frank’s analysis finds resonance in a more recent book by Kishore Mahbubani, Former President of the United Nations Security Council, titled the Asian 21st Century.

In the context, Sri Lanka would best ban further borrowing on Eurobond markets, and engage bi-lateral lenders India and China to join hand with NDB, also to renew its Independence and sovereignty in its 75th year, and ensure calibrated exit from US dollar denominated Eurobond debt bondage.

Other countries may aid Sri Lanka’s, but only if the county leads in the search for alternatives to the IMF’s bankruptcy narratives– as Dr. Yanis Varoufakis, former Finance Minister of Greece who has extensive experience with IMF debt negotiations had noted.

Debt trapped countries the Global South and humanity are clearly at a turning point in an age of Artificial Intelligence (AI), big data mining, deep fakes, and drone surveillance by those with the technologies for global governance and control of populations.

Hence, following Elon Musk, Warren Buffet recently warned that ‘AI is a nuclear bomb’. As a genuinely multipolar world re-emerges after two hundred years of Euro-American hegemony, on the cusp of another World War, it is up to debt-trapped countries of the Global South to promote multi-polarity and respect for genuine cultural diversity.

Dr Darini Rajasingham-Senanayake is a Cultural Anthropologist with expertise in international development and political economic analysis. She was a member of the International Steering Group of the North-South Institute project “Southern Perspectives on Reform of the International Development Architecture.’ She had authored and co-edited several books, the most recent being “Multi-religiosity in Contemporary Sri Lanka: Innovation, Shared Spaces, Contestation’ Routledge (2022).

1https://www.imf.org/en/Publications/REO/APAC/Issues/2023/04/11/regional-economic-outlook-for-asia-and-pacific-april-20232https://www.youtube.com/watch?v=fm_y3w7x1qkhttps://www.bloomberg.com/news/articles/2023-04-24/brics-draws-membership-requests-from-19-nations-before-summit#xj4y7vzkg

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Our Hopes in the Climate Fight — Global Issues

  • Opinion by Armida Salsiah Alisjahbana (bangkok, thailand)
  • Inter Press Service

BANGKOK, Thailand, May 09 (IPS) – The latest synthesis report from the Intergovernmental Panel on Climate Change makes for grim reading: Every fraction of a degree of warming comes with escalated threats, from deadly heatwaves to severe hurricanes and droughts, affecting all economies and communities.

It is a reality that the people of Asia and the Pacific know only too well. “The worst April heatwaves in Asian history” last month was just a taste of the worsening climate impacts we will continue to face in the years to come.

Our latest report highlights that the sea level is creeping up in parts of the region at a slightly higher rate than the global mean, leaving low-lying atolls at existential threat. Annual socioeconomic loss due to climate change is mounting and likely to double in the worst-case climate scenario.

Inequity is yet another threat as climate change sweeps across the region. Asia and the Pacific already accounts for more than half of global greenhouse gas emissions and the share is growing.

But there is another picture of hope in our region: 39 countries have committed to carbon neutrality and net zero between 2050 and 2060. The cost of renewable energy is falling almost everywhere, with installed capacity growing more than three-fold in the past decade.

Electric vehicles are entering the market en masse as countries such as China, India, Japan, the Republic of Korea and Thailand have made electric mobility a priority.

This momentum needs to accelerate like a bullet train. Because nothing short of a breakthrough in hard-to-abate sectors will give us a good chance of stopping catastrophic global warming.

Accelerating a just and inclusive energy transition

The recent energy crisis has kicked renewable energy into a new phase of even faster growth thanks to its energy security benefits. There is opportunity now to leverage this momentum and turn it into a revolutionary moment.

Cross-border electricity grids can be the game changer. ESCAP has simulated different scenarios for grid connectivity and scaling up renewables. It shows that a green power corridor, cross-border power grid integration utilizing renewables, can help to remove the last hurdles of the transition. We are working with countries to chart a path to improved regional power grid connectivity through cooperation.

Achieving low-carbon mobility and logistics

The exceptional growth of electric vehicles has proved that electric mobility is a smart investment. And it is one that will help stave off carbon dioxide emissions from transport, which has stubbornly increased almost by 2 per cent annually the past two decades.

Through the Regional Cooperation Mechanism on Low Carbon Transport, we are working with the public and private sector to lock in the changeover to low-carbon mobility, clean energy technologies and logistics.

This is complemented by peer learning and experience sharing under the Asia-Pacific Initiative on Electric Mobility to accelerate the penetration of electric vehicles and upgrading public transport fleets.

Building low-carbon industries through climate-smart trade and investment

The net zero transition is not complete without decarbonizing the industrial sector. The region accounts for nearly three quarters of global greenhouse gas emissions in manufacturing and construction.

Binding climate considerations in regional trade agreements can be a powerful tool. While climate-related provisions have entered regional trade agreements involving Asian and Pacific economies, they offer few concrete and binding commitments. To unlock further benefits, they will need to be broader in scope, deeper in stringency and more precise in obligations.

As foreign investment goes green, it should also go where it is needed the most. It has not been the case for any of the least developed countries and small island developing States in the region.

Financing the transition

The transition can be only possible by investing in low- and zero-emission technologies and industries. Current domestic and international financial flows fall well short of the needed amount.

The issuance of green, social and sustainability bonds is rapidly growing, reaching $210 billion in 2021 but were dominated by developed and a few developing countries. Both public and private financial institutions need to be incentivized to invest in new green technologies and make the uptake of such technologies less risky.

Linking actions and elevating ambitions

The code red to go green is ever so clear. Every government needs to raise their stake in this crisis. Every business needs to transform. Every individual needs to act. A journey to net zero should accelerate with a fresh look at our shared purpose.

At ESCAP, we are working to bring together the pieces and build the missing links at the regional level to support the net-zero transition work at the national level. The upcoming Commission session will bring countries together for the first time in an intergovernmental setting – to identify common accelerators for climate action and to chart a more ambitious pathway.

This is the start of an arduous journey that requires cooperation, understanding and determination. And I believe we have what it takes to get there together.
Armida Salsiah Alisjahbana is Under-Secretary-General of the UN and Executive Secretary of the Economic and Social Commission for Asia and the Pacific (ESCAP)

https://www.unescap.org/news/accelerating-climate-action-forefront-upcoming-regional-un-assembly for more information of the CS79 meeting.

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Reshaping Multilateralism in Times of Crises — Global Issues

Indigenous women gather before an equality forum in Mexico City, Mexico. Credit: UN Women/Paola Garcia
  • Opinion by Jens Martens (bonn, germany)
  • Inter Press Service

BONN, Germany, May 05 (IPS) – The world is in permanent crisis mode. In addition to the consequences of the COVID-19 pandemic and the triple planetary crisis of climate change, biodiversity loss and pollution, the war in Ukraine and other violent conflicts, a worldwide cost of living crisis and an intensified debt crisis in more and more countries of the global South are affecting large parts of humanity.

Inter-State wars, terrorism, divided collective security, and peacekeeping limitations remain the same challenges facing multilateralism as when the UN was founded 76 years ago, Secretary-General António Guterres told the Security Council December 2022.

Scientists are now even warning of the risk of a global polycrisis, “a single, macro-crisis of interconnected, runaway failures of Earth’s vital natural and social systems that irreversibly degrades humanity’s prospects”.

Human rights, and especially women’s rights, are under attack in many countries. Nationalism, sometimes coupled with increasing authoritarianism, has been on the rise worldwide. Rich countries of the global North continue to practice inhumane migration policies toward refugees.

At the same time, they pursue self-serving and short-sighted “my country first” policies, whether in hoarding vaccines and subsidizing their domestic pharmaceutical industries, or in the race for global natural gas reserves. This has undermined multilateral solutions and lead to a growing atmosphere of mistrust between countries.

“Trust is in short supply”, UN Secretary-General António Guterres told the Security Council in August 2022. Consequently, Member States defined one of the main purposes of the Summit of the Future in September 2024 to be “restoring trust among Member States”.

António Guterres had proposed to hold such a Summit of the Future, which he described as “a once-in-a-generation opportunity to reinvigorate global action, recommit to fundamental principles, and further develop the frameworks of multilateralism so they are fit for the future”.

The Summit offers an opportunity, at least in theory, to respond to the current crises with far-reaching political agreements and institutional reforms. However, this presupposes that the governments do not limit themselves to symbolic action and voluntary commitments but take binding decisions – also and above all on the provision of (financial) resources for their implementation.

In this context, the principle of Common but Differentiated Responsibilities (CBDR) remains absolutely valid. Without such decisions, it will hardly be possible to regain trust between countries.

The G77 emphasized in a statement on 20 April 2023, “since the Summit of the Future is meant to turbo-charge the SDGs, it must address comprehensively the issue of Means of Implementation for the 2030 Agenda, which includes, but is not limited to, financing, technology transfer and capacity building.”

Of course, it would be naive to believe that the risk of a global polycrisis could be overcome with a single summit meeting. But the series of upcoming global summits, from the SDG Summit 2023 and the Summit of the Future 2024 to the 4th Financing for Development Conference and the second World Social Summit 2025, can certainly contribute to shaping the political discourse on the question of which structural changes are necessary to respond to the global crises and to foster multilateral cooperation based on solidarity.

Our new report Spotlight on Global Multilateralism aims to contribute to this process. It offers critical analyses and presents recommendations for strengthening democratic multilateral structures and policies.

The report covers a broad range of issue areas, from peace and common security, reforms of the global financial architecture, calls for a New Social Contract and inclusive digital future, to the rights of future generations, and the transformation of education systems.

The report also identifies some of the built-in deficiencies and weaknesses of current multilateral structures and approaches. This applies, inter alia, to concepts of corporate-influenced multistakeholderism, for instance in the area of digital cooperation.

On the other hand, the report explores alternatives to purely intergovernmental multilateralism, such as the increased role of local and regional governments and their workers and trade unions at the international level.

Seventy-five years after the adoption of the Universal Declaration of Human Rights, a key challenge is to create mechanisms to ensure that human rights – as well as the rights of future generations and the rights of nature – are no longer subordinated to the vested interests of powerful economic elites in multilateral decision-making.

Timid steps and the constant repetition of the agreed language of the past will not be enough. More fundamental and systemic changes in policies, governance and mindsets are necessary to regain trust and to foster multilateral cooperation based on solidarity and international law.

Jens Martens is Executive Director of Global Policy Forum Europe

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Africa, Now Squeezed to the Bones — Global Issues

The IMF has made some encouraging improvements in paying attention to social protection, health, and education, but it needs to do much more to avoid, in its own words, “repeating past mistakes”, says new report. Credit: Charles Mpaka/IPS
  • by Baher Kamal (madrid)
  • Inter Press Service

MADRID, Apr 19 (IPS) – As many as 45 African countries –out of the Continent’s 54 nations–, all of them grouped in what is known as Sub-Saharan Africa, have now been further squeezed to their bones, as funding shrinks to lowest ever levels, and as a portion of the so-called aid goes back to the pockets of rich donor countries.

See what happens.

In its April 2023 World Economic Outlook, the International Monetary Fund (IMF) talks about a rocky recovery. In its reporting on that, it lowers global economic growth outlook as ‘fog thickens.’

It says that the road to global economic recovery is “getting rocky.’ And that while inflation is slowly falling, economic growth remains ‘historically low,’ and that the financial risks have risen.

Squeezed

Well. In its April Outlook, the IMF devotes a chapter to Sub-Saharan Africa, titled “The Big Funding Squeeze”.

It says that growth in Sub-Saharan Africa is expected to slow to 3.6 percent as a “big funding squeeze”, tied to “the drying up of aid and access to private finance,” hits the region in this second consecutive year of an aggregate decline.

If no measures are taken, “this shortage of funding may force countries to reduce fiscal resources for critical development like health, education, and infrastructure, holding the region back from developing its true potential.”

Some arguments

According to the IMF:

  • Public debt and inflation are at levels not seen in decades, with double-digit inflation present in half of countries—eroding household purchasing power and striking at the most vulnerable.
  • The rapid tightening of global monetary policy has raised borrowing costs for Sub-Saharan countries both on domestic and international markets.
  • All Sub-Saharan African frontier markets have been cut off from market access since spring 2022.
  • The US dollar effective exchange rate reached a 20-year high last year, increasing the burden of dollar-denominated debt service payments. Interest payments as a share of revenue have doubled for the average SSA country over the past decade.
  • With shrinking aid budgets and reduced inflows from partners, this is leading to a big funding squeeze for the region.

The giant monetary body says that the lack of financing affects a region that is already struggling with elevated macroeconomic imbalances.

Unprecedented debts and inflation

In a previous article: The Poor, Squeezed by 10 Trillion Dollars in External Debts, IPS reported on the external debt of the world’s low and middle-income countries, which at the end of 2021 totalled 9 trillion US dollars, more than double the amount a decade ago.

Such debts are expected to increase by an additional 1.1 trillion US dollars in 2023, thus totalling 10.1 trillion US dollars.

Now, the IMF reports that “public debt and inflation are at levels not seen in decades, with double-digit inflation present in about half of the countries—eroding household purchasing power and striking at the most vulnerable.”

In short, “Sub-Saharan Africa stands to lose the most in a severely fragmented world and stresses the need for building resilience.”

Like many other major international bodies, the IMF indirectly blames African Governments for non adopting the “right” policies and encourages further investments in the region, while some insist that the way out is digitalisation, robotisation, etcetera.

The big contradiction

Here, a question arises: are all IMF and other monetary-oriented bodies’ recommendations and ‘altruistic’ advice the solution to the deepening collapse of a whole continent, home to around 1,4 billion human beings?

Not really, or at least not necessarily. A global movement of people who are fighting inequality to end poverty and injustice, grounded in the commitment to the universality of human rights: Oxfam, on 13 April 2023 said that multilateral lender’s role in helping to insulate people in low- and middle-income countries from economic crises is “incoherent and inadequate.”

For example, “for every $1 the IMF encourages a set of poor countries to spend on public goods, it has told them to cut four times more through austerity measures.”

Countries forced to cut public funding

Then the global civil society movement explains that an important IMF initiative to shore up poor people in the Global South from the worst effects of its own austerity measures and the global economic crisis “is in tatters.”

New analysis by Oxfam finds that the IMF’s “Social Spending Floors” targets designed to help borrowing governments protect minimum levels of social spending— are proving largely powerless against its own austerity policies that instead force countries to cut public funding.

“The IMF’s ‘Social Spending Floors’ encouraged raising inflation-adjusted social spending by about $1 billion over the second year of its loan programs compared to the first year, across the 13 countries that participated where data is available.”

IMF’s austerity policiesBy comparison, the IMF’s austerity drive has required most of those same governments to rip away over $5 billion worth of state spending over the same period, warns Oxfam.

“This suggests the IMF was four times more effective in getting governments to cut their budgets than it is in guaranteeing minimum social investments,” said incoming Oxfam International interim Executive Director, Amitabh Behar.

“This is deeply worrying and disappointing, given that the IMF had itself urged countries to build back better after the pandemic by investing in social protection, health and education,” Behar said.

“Among the 2 billion people who are suffering most from the effects of austerity cuts and social spending squeezes, we know it is women who always bear the brunt.”

A fig leaf for austerity?

In its new report “IMF Social Spending Floors. A Fig Leaf for Austerity?,” Oxfam analysed these components in all IMF loan programs agreed with 17 low- and middle-income countries in 2020 and 2021.

Oxfam’s report: “The Assault of Austerity” found inconsistencies between countries. There is no standard or transparent way of tracking progress and many of the minimum targets were inadequate.

The IMF has made some encouraging improvements in paying attention to social protection, health, and education, the report goes on, but it needs to do much more to avoid, in its own words, “repeating past mistakes”.

The farce of aid budget

In another report titled “Obscene amount of aid is going back into the pockets of rich countries,” Oxfam informed that on 12 April 2023 the Development Assistance Committee of the Organisation for Economic Cooperation and Development. (OECD DAC) published its preliminary figures on the amount of development aid for 2022.

According to the OECD report, in 2022, official development assistance (ODA) by member countries of the Development Assistance Committee (DAC) amounted to USD 204.0 billion.

This total included USD 201.4 billion in the form of grants, loans to sovereign entities, debt relief and contributions to multilateral institutions (calculated on a grant-equivalent basis); USD 0.8 billion to development-oriented private sector instrument (PSI) vehicles and USD 1.7 billion in the form of net loans and equities to private companies operating in ODA-eligible countries (calculated on a cash flow basis), it adds.

Total ODA in 2022 rose by 13.6% in real terms compared to 2021, says the OECD.

“This was the fourth consecutive year ODA surpassed its record levels, and one of the highest growth rates recorded in the history of ODA…”

The rich pocketing ‘obscene’ percentage of aid
In response, Marc Cohen, Oxfam’s aid expert, said: “In 2022, rich countries pocketed an obscene 14.4 percent of aid. They robbed the world’s poorest people of a much-needed lifeline in a time of multiple crises.

“Donors have turned their aid pledges into a farce. Not only have they undelivered more than 193 billion dollars, but they also funnelled nearly 30 billion dollars into their own pockets by mislabeling what counts as aid”.

Rich countries inflating their aid budgets

“They continue to inflate their aid budgets by including vaccine donations, the costs of hosting refugees, and by profiting off development aid loans. It is time for a system with teeth to hold them to account and make sure aid goes to the poorest people in the poorest countries.”

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The Fight for Yemens Future Is a Global Responsibility — Global Issues

  • Opinion by Ferran Puig (sa’ana, yemen)
  • Inter Press Service

SA’ANA, Yemen, Mar 30 (IPS) – As Yemen enters its ninth year of war, its people are facing a humanitarian crisis of horrifying proportions. In my role as Oxfam’s Yemen Country Director, I have witnessed firsthand the effects of the humanitarian catastrophe, worsened by economic collapse and sharp increases in the cost of food and other essential commodities.

Over 17 million people are experiencing high levels of food insecurity, 75% of whom are women and children. The situation is further aggravated by the global food crisis, leaving millions more at risk of catastrophic hunger.?

The time for global action is now.

The current conflict has its roots in the 2011 Arab Spring, when mass protests led to the ousting of long-serving President Ali Abdullah Saleh. His successor, Abdrabbuh Mansur Hadi, struggled to address a range of issues, including corruption, unemployment, and food insecurity. In 2014, the Houthi rebel movement, seized control of large parts of the country, including the capital, Sana’a.

In March 2015, a Saudi-led coalition of Arab states, backed by the United States and other Western powers, launched military operations against the Houthis to restore Hadi’s government. The ensuing conflict has led to widespread destruction, civilian casualties, and an unprecedented humanitarian crisis.

The war has also been characterized by numerous violations of international humanitarian law, such as indiscriminate attacks on civilian infrastructure, the use of child soldiers, and the imposition of constraints that hinder the delivery of aid.

This past Sunday, March 26, marked eight years since the conflict in Yemen escalated. The expiration of a temporary UN-brokered truce in October has left the country in a precarious state. While the truce has largely held, the political and economic future of Yemen remains uncertain.

The UN estimated in 2021 that there had already been 337,000 deaths due to the conflict and associated issues like lack of access to food, water, and healthcare. Millions have been displaced and more than 21.6 million people—two-thirds of the population—require humanitarian assistance and protection.

Despite the severity of the crisis, international donors have committed only about a third of the necessary funds for the past few years.

The importance of international aid in humanitarian emergencies cannot be overstated. Such aid provides a lifeline to affected populations, helping them meet their basic needs, rebuild their lives, and restore hope for the future. In times of crisis, international aid can mean the difference between life and death.

Moreover, it can help prevent the spread of conflict and instability by addressing root causes, such as poverty, inequality, and social unrest. As global citizens, we have a moral obligation to support those in need and to promote peace and stability worldwide.

I have seen the exhaustion and desperation of the Yemeni people firsthand. Rising food prices and unpaid salaries mean even basic foodstuffs have been pushed beyond the reach of many Yemeni families.

We cannot let donors turn their backs on one of the world’s most severe humanitarian crises. It is also past time for world leaders to exert real pressure to bring all sides back to the table so they can bring a permanent end to the conflict. They must also ensure that the voices of the most marginalized—most notably women women—are included and heard.

Yemen’s cost of living crisis is compounded by the worsening global food situation. The country imports 90% of its food, with 42% of its wheat coming from Ukraine. Importers warn that rising global costs will challenge their ability to secure wheat imports into Yemen, potentially pushing millions towards starvation.

The impact on households is profound, forcing families to adopt negative coping mechanisms—such as eating lower quality foods, limiting portion sizes, going into debt to buy food, and borrowing from friends and neighbors—to survive.

As a result, 2.2 million Yemeni children under the age of five are now acutely malnourished.

The international response has been insufficient. Despite the growing need, the World Food Program has been forced to reduce the amount of aid it provides. A high-level pledging event earlier this year co-hosted by the UN and the governments of Sweden and Switzerland concluded with a collective commitment of under a third of the amount needed for 2023 ($1.2 billion of the $4.3 billion required).

At Oxfam, we work in Yemen to provide basic services like clean water, sanitation, cash, and establishing solar energy at household and community levels. However, more must be done.

I call upon the international community to provide adequate funding for life-saving aid, a rescue economic package to stabilize the economy and put money into people’s pockets, and increased efforts to negotiate a lasting comprehensive peace in Yemen.

The situation in Yemen is dire, and the international community must no longer remain passive. As we recall the grim anniversary of eight years of conflict, we must keep in mind the millions of Yemenis who continue to suffer.

It is time for world leaders to come together and take action to bring an end to the conflict and to provide the necessary resources for the people of Yemen to rebuild their lives.

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Cash Transfers, Poverty Alleviation Assists with Mental Health Study — Global Issues

Governments low- and middle-income countries are encouraged to take note of a new story that finds cash transfers help with mental health of those living in poverty. Credit: Annie Spratt/Unsplash
  • by Francis Kokutse (acra)
  • Inter Press Service

ACRA, Mar 23 (IPS) – Poverty alleviation policies, especially cash transfers, will not only improve the poor condition of the beneficiaries but can also play a role in strengthening the psychological health of people as well as improve the mental health of those living in poverty in low- and middle-income countries (LMICS), including Africa, a new study has said.

An example of these poverty alleviation programmes is the Livelihood Empowerment Against Poverty (LEAP), under Ghana’s ministry of gender, children and social protection for extremely poor and vulnerable households. This is made up of orphaned children, persons with severe disabilities without productive capacity as well as elderly persons who are 65 and above.

The aim is to improve, among other things, basic household consumption, and nutrition among children below two years of age and the aged. It is also intended to increase access to health care services among children below five years of age.

The study found more than 20,000 Africans, out of 26,794 people receiving these cash transfers under poverty alleviation programmes in six countries across Africa, admitted that this financial assistance does have some effect on their mental health.

A co-author of the study, Clara Wollburg, affiliated with the department of social policy and intervention, University of Oxford, Oxford, told IPS, “13 out of the 17 studies were conducted in Sub-Saharan Africa. Of those studies, four were located in Malawi, four in Kenya, two in South Africa, and one each in Zambia, Mali, and Uganda.”

The World Health Organization defines mental health as “a state of well-being in which an individual realizes his or her own abilities, can cope with the normal stresses of life, can work productively and is able to make a contribution to his or her community.” And in Africa, StrongMinds Uganda says “despite the high prevalence of mental illnesses across the continent, mental health remains under prioritized in many African countries.”

The study, “Do cash transfers alleviate common mental disorders in low- and middle-income countries? A systematic review and meta-analysis,” published in PLOS One journal on February 22, 2023, said their “findings lend weight to the hypothesis that poverty alleviation can play a role in strengthening psychological health of people living in poverty in Low and Middle-Income Countries (LMICs.)”

It said their “analysis shows that providing populations living in poverty with cash transfers leads to improvements of depression and anxiety disorders. However, these benefits may not be sustained once the financial support ends,” the authors said.

Nigerian-born associate professor in psychiatry living in the US, Andrews O Newton, said the recent Central Bank of Nigeria (CBN) decision that has denied a lot of people access to cash could lead to depression. “Depression is the commonest form of mental illness. However, most people do not know because sufferers are not seen outside. The chronic stress caused by governmental policies makes it more severe, and one terrible consequence is suicide,” Newton said. The CBN has since been legally obliged to delay its deadlines to redesign the currency.

He said, “extreme poverty dehumanizes,” adding that such a situation is likely to lead to “feeling sad and empty, poor concentration, lack of drive and motivation, poor sleep as well as lack of energy.

The study focused on people living in poverty, who are recipients of cash transfers, and participants in inactive control groups, who received no transfers or were enrolled at a later stage, served as a comparison group. Active control groups receiving alternative interventions were not included, as this makes a causal inference about the effects of the transfers difficult.

They included conditional and unconditional cash transfer programmes (CTPs) targeted at households living in poverty in LMICs but did not apply an absolute low-income/poverty threshold, relying only on the relative threshold for grant eligibility applied by the organizations administering the transfers.

“Our findings have important implications for policymakers in Africa as they show that providing cash transfers to people living in poverty not only improves poverty indicators and school attendance, for example, but also meaningfully impacts depression and anxiety outcomes of beneficiaries. This is especially true for unconditional cash transfers,” Wollburg said.

She said they analyzed cash transfer programs that were specifically targeted to low-income and/or deprived households as indicated by, e.g., low monthly household expenditure and consumption, inability to meet basic needs, food insecurity, low educational attainment and high HIV risk.

Esenam Abra Drah, a mental health advocate in the Ghanaian capital, Accra, said, “from personal experience if you don’t have money, it can be frustrating.” Esenam understands this because she was diagnosed with bipolar disorder in August 2015 at the time she was studying Bachelor of Arts degree in French and Linguistics at the University of Ghana.

Currently serving as an executive member of Psychosocial Africa, a grassroots mental health support group set up by, and for people with lived experience of mental illness, Drah admitted as the study showed that her situation affected her schoolwork though she was able to graduate.

The study cautioned that policies aiming to address the poverty-mental health cycle should consider unconditional, longer-term support to populations living in poverty.

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BRAC International Signs MoU with Rwanda to Empower People in Extreme Poverty — Global Issues

Jean Claude Muhire, Rwanda Program Director of BRAC Ultra-Poor Graduation Initiative, a flagship program at BRAC International, and Samuel Dusengiyumva, Permanent Secretary of the Ministry of Local Government sign the MoU in Kigali, Rwanda. Credit BRAC UPGI.
  • by Joyce Chimbi (kigali)
  • Inter Press Service

KIGALI, Mar 21 (IPS) – Against a brutally painful historical backdrop, a story of hope and resilience unfolds in Rwanda.

A story that lays bare Rwanda’s innovative approaches to empowering her people, for an estimated half of the population still lives in poverty. In the 2022 Global Hunger Index, Rwanda ranked 102nd out of 121 countries with sufficient data to calculate last year’s global hunger index score.

Within this context, BRAC International signed a Memorandum of Understanding (MoU) with the Government of Rwanda under the Ministry of Local Government (MINALOC) to support efforts to empower people in extreme poverty to develop sustainable livelihoods and break the poverty trap long term. This is part of the Government’s broader efforts to eradicate extreme poverty by 2030.

“I am delighted to see the Government of Rwanda take a leadership role in addressing extreme poverty,” said Greg Chen, Managing Director of BRAC Ultra-Poor Graduation Initiative (UPGI), a flagship program at BRAC International.

The four essentials of the Graduation approach and initial outcomes. Credit: BRAC UPGI.

The MoU was signed on Tuesday, March 14, 2023, by Jean Claude Muhire, Rwanda Program Director of BRAC UPGI, and Samuel Dusengiyumva, Permanent Secretary of the Ministry of Local Government.

BRAC International is a leading nonprofit organization with a mission to empower people and communities in poverty, illiteracy, disease, and social injustice, touching the lives of more than 100 million people in the last five decades. And now seeks to touch even more lives in the land of a thousand hills through this partnership.

“We are happy to serve as a partner in advancing the Government of Rwanda’s new National Strategy for Sustainable Graduation (NSSG) and to accelerate the reduction of poverty and extreme poverty,” said Muhire.

The MoU positions BRAC International as a key partner in advancing the Government of Rwanda’s new National Strategy for Sustainable Graduation (NSSG), recently approved by Cabinet in November 2022 to accelerate the reduction of poverty and extreme poverty in Rwanda and contribute to the achievement of the targets set out in the National Strategy for Transformation, 2017 to 2024.

“We are committed to combating extreme poverty by scaling the multifaceted, evidence-based Graduation approach through governments across Africa and Asia and reaching millions more people,” Chen said.

Similar to BRAC’s Graduation approach, which was established in Bangladesh in 2002, the NSSG defines Graduation as a two-year program for households to benefit from inclusive livelihood development programs, multifaceted interventions, access to shock-responsive social protection services, and market access that creates an enabling environment for households to “graduate” out of extreme poverty.

To date, BRAC’s Graduation program has reached more than 2.1 million people in Bangladesh alone and supported the expansion of Graduation in 16 additional countries, including Afghanistan, Egypt, Guinea, India, Kenya, Lesotho, Liberia, Pakistan, Philippines, Rwanda, South Africa, South Sudan, Tanzania, Tunisia, Uganda, and Zambia.

Leveraging 20 years of experience implementing, testing, and iterating the Graduation approach, BRAC International is extending support in the design, delivery as well as evaluation of the Graduation program to Rwanda, supporting the Ministry of Local Government in critical areas.

Areas such as providing technical capacity and expertise in the implementation of the Graduation strategy and making available necessary communication, advocacy, and technical resources to ensure smooth implementation of the Graduation strategy.

Equally important, collaborating with the Ministry will ensure the scale-up of an inclusive, holistic Graduation strategy that includes all Graduation essentials. In all, efforts will focus on the four essential components identified as fundamental to implementing Graduation successfully.

These essential components include meeting participants’ day-to-day needs such as nutrition and healthcare, providing training and assets for income generation, financial literacy and savings support, and social empowerment through community engagement and life skills training – all facilitated through coaching that calls for regular interactions with participants. Rigorous research by Nobel Laureates Abhijit Banerjee and Esther Duflo proves that the combination of support and resources provided through this multifaceted approach is critical for long-term impact.

Overall, the Graduation approach is grounded in the conviction that people living in vulnerable situations can be agents of change if they are empowered with the tools, skills, and hope they need to change their lives.

With such people-centred concerted efforts, it is only a matter of time before Rwanda is known for much more than its scenic beauty and as home to the cleanest city in Africa. It will also make history by defying all odds to become one of the first countries on the continent to establish a sustainable path out of extreme poverty by 2030.

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