DAR ES SALAAM, Tanzania
Tanzanian President Samia Suluhu Hassan and her Zambian counterpart, Haikande Hichilema, have agreed to upgrade the cross-border railway connecting the two countries to speed up economic progress as part of a broader push to strengthen ties.
The decision to revive the Tanzania and Zambia Railway Authority (TAZARA) was reached last week in the port city of Dar es Salaam where the two leaders held talks.
Hassan said the dilapidated, single-track TAZARA line does not deliver what is expected and an upgrade is badly needed to tap new business opportunities along the route.
“In today’s world, railway is standard gauge, so through a public-private partnership (PPP) we have agreed to mobilize resources to improve the railway to that level,” she said.
The 1,860-kilometer (1,155-mile) railway, stretching from Dar es Salaam to the heart of Zambia’s copper belt, was built by China as a turnkey project between 1970 and 1975.
With an installed capacity of 5 million tons of freight per year, TAZARA has been handling traffic for the Southern African Development Community (SADC) as well as the Common Market for Eastern and Southern Africa (COMESA), providing a vital regional link among the southern, eastern and central African regions with the rest of the world through the port of Dar es Salaam.
Blessing for land-locked Zambia
Hichilema expressed gratitude to the founding leaders Julius Nyerere and Kenneth Kaunda, from Tanzania and Zambia, respectively, for their clear vision.
“As a land-locked country, Zambia will benefit even more from the improved transportation of goods and services through this railway,” Hichilema told reporters.
TAZARA’s Managing Director and CEO Bruno Ching’andu said Tanzania has started to mobilize funding to implement the project.
“We strongly support our leaders who have shown political will to upgrade this railway,” he said.
Ching’andu said the new drive is an impetus to turn the cash-strapped company into a profitable venture.
“We needed political support to address a number of challenges that have been derailing our progress,” he said.
Affectionately nicknamed “Uhuru” or “Freedom” indicating hope for a life of self-determination, the railway heralds a growing Chinese influence in Africa as the continent’s single largest trading partner and crucial investor.
As a symbol of high-level diplomacy between China and the two African nations, observers said the TAZARA project is being perceived as a foundational legacy for China-African development cooperation and friendship.
Samuel Wangwe, a senior economic researcher and consultant based in Dar es Salaam, said cross-border trains like TAZARA play a pivotal role in the growth of the regional economy.
“I am confident the leaders of the two countries have shown political will to upgrade this railway. The authorities need to invest and resolve existing challenges and create an efficient railway,” he told Anadolu Agency.
The train ride allure
With a long whistle, a fully-loaded passenger train leaves the smoke-belching port-city of Dar es Salaam and gradually snakes into the serenity of the African jungle.
The slow-moving train is headed for Kapirimposhil, a town north of Zambia.
As attested by ecstatic passengers, the move to revive the railway has rekindled long-cherished memories of a 52-hour train ride to the heart of Zambia’s copper belt.
“It feels so good to travel by train. I am happy to hear that this railway line will be upgraded. To me the move will encourage more trade and investment between the two countries,” said businessman Mustafa Msafiri, who was traveling on the train to Mbeya in Tanzania’s southern highlands.
Since it began in 1976, trains have been shuttling between the Tanzania capital and Kapirimposhil, a gesture of the sound relationship between China, Tanzania and Zambia.
The tracks were laid through thick forest, uninhabited savannah and mountainous terrain as part of one of Africa’s boldest infrastructure projects.
“When my children boarded the train for the first time they felt as if they were in another world,” said Msafiri. By Kizito Makoye, Anadolu Agency.
Why was the Pan-African Payment and Settlement System (PAPSS) developed?
The current level of intra-African trade is estimated at about 16 percent. This is very low as compared to other regions, even though there is established high potential for trade within Africa. There are several reasons why intra-African trade is relatively low.
The barriers, or challenges to increased intra-African trade include lack of adequate trade information, structural rigidities, historical trading patterns (historical ties with former colonial countries), poor trade facilitation and regulatory issues, poor implementation of regional commitments, poor state of trade related infrastructure (barriers to the movement of goods), and fragmented payment, clearing and settlement infrastructure.
More than 80 percent of intra-African payments go through Europe or the US, resulting in high transfer and compliance costs. The establishment of the African Continental Free Trade Area (AfCFTA) has added to the need and urgency of providing an enabling continental payment and settlement infrastructure that will support the objectives of the AfCFTA.
At a time when cross-border trading is high on the agenda with AfCFTA now a reality, the single continental market makes it necessary for home grown payment gateway to facilitate trade and investment.
PAPSS was adopted in July 2019 in Niamey, Niger, by the African Union heads of state as the payment and settlement system to support the implementation of AfCFTA. It is a financial market infrastructure that has been developed and initiated through a collaborative effort of the AfCFTA Secretariat, Afreximbank and the African Union Commission.
How is PAPSS being implemented across the continent?
The journey started with a pilot phase in the West African Monetary Zone (WAMZ) where central banks of Nigeria, Ghana, Liberia, Guinea, the Gambia, and Sierra Leone successfully performed live transactions between each other. We chose this region because it presented decisive arguments for a pilot exercise, before considering a deployment of the system throughout the continent: six countries with different currencies, speaking English and French and carrying out a substantial volume of cross-border transactions.
With this successful pilot-run, we are now ready to bring any central banks and commercial banks on board. We expect to be in the five regions of Africa before the end of 2023, all central banks signed up by end of 2024 and all commercial banks by end of 2025.
What has PAPSS achieved since it was launched in July 2019?
The project started in 2016 with various engagements to understand the existing regional payment systems, their pros, and cons and how best to approach the establishment of an Africa-wide payments infrastructure. Engagements took place with regional economic communities including COMESA, East African Community, and SADC, as well as with all major payment systems operators in Africa.
Furthermore, discussions with WAMZ commenced in 2017 and following successful interactions with them, the Central Bank governors of the zone agreed to implement a pilot scheme of the system as a proof of concept.
Subsequently, systems development commenced as well as development of the regulatory framework including the PAPSS Bye-law, Scheme Rules and Membership Agreements and other establishment structures required for instituting the system.
All these ensured we were ready and achieved our first milestone in 2019, when at its 12th Extra Ordinary summit held in the Assembly of the African Union (AU) launched PAPSS and adopted it as a key instrument for the implementation of AfCFTA. This was a great milestone as PAPSS was endorsed as the required payment system in Africa.
Today, we are at the point that all six central banks of WAMZ have been carrying out a pilot live exercise which began in October 2021 and have been successfully concluded. This, hence, paves the way for commercial bank transactions. In the last few months, two more central and more than 300 major commercial banks have joined the PAPSS network.
In parallel, we signed strategic partnerships that broaden our reach such as COMESA Regional Payment and Settlement System (REPSS) and The Buna platform, the first Arab regional payment system that allows the use of Arab currencies as settlement currencies alongside other international currencies. This is addition to partnering with AfricaNenda which whom we work with to build in-country capability for instant payments, preparing countries to be able to connect to PAPSS for cross border payments.
How many African central banks, switches and commercial banks has PAPSS managed to bring on board so far?
As we speak, our network is composed of eight central banks, seven switches and more than 30 commercial banks. More commercial banks will join soon as they are almost finalised the on-boarding and integration process.
How is this system enabling instant payments across African borders in local currencies?
At its core is an instant payment system built to the highest global standards, and then coupled to the systems of central banks. This forms the settlement layer of PAPSS. This is then coupled to the core systems of commercial banks who will be direct participants on the PAPSS network. On top of this, we layer on other banks, fin-techs and payment service providers as indirect participants. All these components together will create an innovation layer that will propel innovative solutions with the capacity to scale across the continent. Altogether, it is designed to ensure instant payments for goods and services between African jurisdictions, payments are initiated and settled in the local currencies of initiators and beneficiaries effectively eliminating the need for third (hard) currencies to consummate trades within our region.
Is PAPSS the solution to the disconnected and fragmented nature of payment and settlement systems that have long impeded intra-African trade?
Payment infrastructures have existed at both national and sub-regional levels for a while. These systems, however, lack interoperability. Fragmented national and regional payment systems cannot stimulate pan-African economic development and intra-African trade at the pace required to significantly increase the percentage of trade amongst African countries. While these national and regional payment systems have made a good start, bringing about significant modernisation within their jurisdictions, it is paramount that we now integrate all of Africa financially to hasten the pace of economic growth in the continent.
PAPSS will be the enabling infrastructure to spur the growth of intra-African trade and commerce, with the active participation of central banks, financial institutions, regional economic communities, private sectors, and other stakeholders.
Is PAPSS well positioned to deliver harmonisation across the continent through its comprehensive legal, regulatory and operational framework?
PAPSS would not interfere in national jurisdictional rules set by central banks, though we agree that standards are important, and a minimum is required to ensure the payments system can run smoothly. PAPSS, the Association of African Central Banks, and the AfCFTA Secretariat will work together to harmonise some standards and rules to facilitate the continent-wide implementation of the project.
How much is Africa saving annually in payment transaction costs through this platform?
Once it begins to operate at scale, PAPSS should save Africa countries an estimated $5b annually in payment transaction costs, while it plays an increasingly significant role in accelerating the continent’s transactions underpinning the operationalisation of AfCFTA. By BAMUTURAKI MUSINGUZI, Daily Monitor
Bomas of Kenya, the Independent Electoral and Boundaries Commission (IEBC) national tallying center, became a location for an award-winning blockbuster movie at the wee hours of Sunday.
The cast for the movie included that of the all too familiar politicians who never disappoint in matters drama.
They turned the venue into a theater of some sorts eclipsing the venue’s main objective, that of allowing the IEBC officials ample time to verify and tally the presidential results following Tuesday’s election.
The drama that unfolded featured opposing sides of the two leading presidential candidates – Raila Odinga of Azimio La Umoja and William Ruto of the United Democratic Alliance (UDA).
The main cast in the Azimio team included, Saitabao ole Kanchory who is Odinga’s agent and his colleagues Homa Bay Governor elect Gladys Wanga, Suba North MP, Kisumu Woman Representative Roza Buyu, Ruaraka MP TJ Kajwang among others.
Uasin Gishu County Woman Representative Gladys Shollei was the leading actor in the UDA team.
The extras in her team included: Ruto’s Chief Agent, former Tharaka Nithi Senator Kithure Kindiki, Elgeyo Marakwet Senator Kipchumba Murkomen among others.
The leaders drawn from both camps are keeping vigil at Bomas, overseeing the verification exercise of the results which must be announced by Tuesday as required by law.
In what appeared choreographed to break the boredom that comes with sitting for long hours, the leaders often opted to confront each other over with counter-accusations of vote rigging.
The drama started when Kanchory, Raila’s Chief agent, was blocked from accessing the tallying area.
A shouting match ensued, with the leaders throwing words at each other to the dismay of the IEBC officials verifying votes.
“I want to declare that this place is now a crime scene,” said Kanchory, who forcefully made his way into the tallying area.
The drama that almost degenerated into a fist fight between the two opposing sides forced the Commission to deploy anti-riot police officers at the auditorium.
As this was unfolding at the auditorium, there was also drama outside as the Azimio leaders sought audience with IEBC Commissioners after they spotted a vehicle that was carrying Forms 34B.
MPs Millie Odhiambo and Roza Buyu, who spotted the vehicle, which belonged to a Returning Officer from Narok alleged that the official was conspiring with their opponents to alter the numbers and submit changed documents.
The duo, who attracted a huge crowd outside the venue, demanded the presence of Commissioner Francis Wanderi to ascertain the legitimacy of the documents held by the Narok Returning Officer.
“I can confirm that this is our staff, and we will follow the procedure to ensure that the documents she has bought have not been tampered with,” Wanderi said.
The Azimio leaders were, however, unsatisfied with Wanderi’s response and alleged that the Returning Officer was working with Shollei of UDA to alter the forms.
During the confrontation, two men were spotted with Shollei’s handbags near the vehicle carrying forms 34B.
Upon being questioned why they had Shollei’s bags, the men could not give a satisfactory answer, only saying, “she wanted us to leave them in her car, and we came here to look for her car.”
Police immediately whisked the two to the Bomas Police station for questioning.
The police also searched Shollei’s bags without her presence to establish if they were carrying any incriminating evidence.
Nothing suspicious, however, was found in the bags, which the Azimio leaders strongly believed hid materials for rigging votes.
The verification exercise that entered its fourth day on Sunday has been stopped several times due to the scuffles.
The Commission has until Tuesday, August 16, 2022, to declare the presidential winner of the Tuesday election.
As of 6.30 am Sunday, the Commission was almost halfway through, having relayed verified results of 144 constituencies of the 291.
Torrential rains and floods kill 52, injure 25 and destroy thousands of homes in North African country, state media report.
Flooding caused by torrential rains in Sudan has killed at least 52 people and damaged or destroyed thousands of homes.
"A total of 52 people have been killed and 25 others wounded due to torrential rains and floods since the beginning of the fall season," state media reported, quoting Abdel Jalil Abdelreheem, spokesperson for Sudan's National Council for Civil Defense.
Abdelreheem said 5,345 houses had been destroyed and 2,862 damaged across Sudan. Other public facilities, shops, and agricultural lands were also damaged, TRT World reported.
North and South Kordofan states, River Nile state, and South Darfur were among the most affected across Sudan, he noted.
Heavy rains usually fall in Sudan between May and October, and the country faces severe flooding every year, wrecking properties, infrastructure, and crops.
In a Monday report, the UN Office for the Coordination of Humanitarian Affairs (OCHA) estimated that around 38,000 people across Sudan had been affected by rains and floods since the start of the rainy season.
About 314,500 people were affected across Sudan during the rainy season of 2021, according to OCHA. MA/PR-MEHR News Agency
Veteran opposition leader Raila Odinga led Kenya's presidential race, official election results showed on Saturday, pushing Deputy President William Ruto into second place.
With just over 26 percent of votes counted, Odinga had 54 percent and Ruto had 45 percent, according to results provided by the Kenyan election commission and displayed on a large screen at a national tallying centre in the capital, Nairobi.
East Africa's wealthiest nation and most vibrant democracy held presidential, parliamentary and local elections on Tuesday.
Ruto and Odinga are in a tight race to succeed President Uhuru Kenyatta, who has reached his two-term limit.
Kenyatta fell out with Ruto after the last election and has endorsed Odinga.
Official vote tallying has been proceeding slowly, fueling public anxiety.
Election commission chairman Wafula Chebukati blamed party agents, who are allowed to scrutinise results forms before they are added to the final tally.
"Agents in this exercise cannot proceed ... as if we are doing a forensic audit," he told a news briefing on Friday.
"We are not moving as fast as we should. This exercise needs to be concluded as soon as possible."
Representatives from Odinga and Ruto's coalitions did not immediately respond to requests for comment.
Reuters news agency and other media outlets have been tallying results forms from 291 constituencies posted on the election commission website. These have not yet been verified, and this tally is running well ahead of the official one.
As of 1000 GMT, Reuters had tallied 236 forms, which showed Ruto in the lead with nearly 53 percent of the vote, compared to just over 46 percent for Odinga. Two other candidates had less than 1 percent between them.
Nineteen other forms could not be included in the count because they were unreadable or were missing information.
The forms Reuters is tallying are preliminary and the results subject to change. After the forms are uploaded to the commission's website, Kenyan election law requires that they are physically brought to the national tallying center, where party representatives can examine them for any discrepancies.
The process was designed as a safeguard against the kind of rigging allegations that have triggered violence after previous polls. More than 1,200 people were killed after a disputed 2007 election and more than 100 killed after a disputed 2017 election.
The winning candidate must receive 50 percent of the national vote plus one, and at least 25 percent of the vote from 24 of 47 counties.
The commission has until Tuesday to declare a winner. The New Arab Staff & Agencies
Informer East Africa is a UK based diaspora Newspaper. It is a unique platform connecting East Africans at home and abroad through news dissemination. It is a forum to learn together, grow together and get entertained at the same time.
To advertise events or products, get in touch by info [at] informereastafrica [dot] com or call +447957636854.
If you have an issue or a story, get in touch with the editor through editor[at] informereastafrica [dot] com or call +447886544135.
We also accept donations from our supporters. Please click on "donate". Your donations will go along way in supporting the newspaper.
PostBank Government-owned PostBank Uganda has acknowledged a serious "incident" at its Mbale branch...
TotalEnergies says that the move is in accordance to its code of conduct that rejects corruption in...
President Bola Tinubu has reaffirmed the commitment of his administration to positioning the nation’...
Former Vice President Kalonzo Musyoka speaking at KICC, Nairobi on July 9, during the signing into...
