Japan Encourages Investment to Africa

Japan and African countries reached an agreement called “Yokohama Declaration,” which would promote further economic cooperation between them, in the 9th Tokyo International Conference on African Development (TICAD) held in Yokohama during August 20th to 22nd. Japan tried to pave the way for a shift from aid to investment in relation with Africa. However, it showed its limit to reach the African market, which is called the last frontier. 

TICAD is a framework for development, established by initiative of Japan in 1993, when its prime minister was Morihiro Hosokawa. The biggest goal at the time was to get support from African countries to Japan’s possible candidacy for permanent membership in the Security Council of the United Nations. While the conference had been held in Japan every five years, the pace was accelerated to once in three years alternately in Japan and Africa from 2013.

 

Yokohama Declaration sets three pillars for development in Africa. One of them is economy. Concerning slow growth of African economy, Japan and African countries promote regional economic integration through the framework of African Continental Free Trade Area (AfCFTA) with acceleration of investment for building human resource. They also work for improvement of weak credit ratings of African countries.

 

Japan will “co-create” an environment of digital transformation in Africa, including utilization of artificial intelligence (AI). It also supports development of infrastructure for transportation, such building highways, railroads, sealines and airlines. “We will enhance regional transport beyond borders and promote local industries offering broad cooperation, as seen in development of Nakala Corridor,” said Prime Minister of Japan, a co-chair of the TICAD 9, Shigeru Ishiba. The corridor is expected to work for sending important mineral from inland Africa to its east coast, connecting Zambia, Marawi and Mozambique.

 

For the second pillar of society, Japan is willing to transfer technologies for prevention and reconstruction from natural disaster, adding to support for enhancement of health system and education. Measures for the last pillar, peace and stability, include addressing conflict, terrorism or violent extremism. Yokohama Declaration reconfirms good governance, democracy and the rule of law are foundational pillars of Africa’s sustainable development, peace and stability.

 

However, participants in the TICAD 9 were 49 countries, 4 countries less than the last conference in Japan in 2019. China promotes major investment to infrastructure in Africa through its own forum since 2000, which caused “dept-trap” for African countries. With financial limitation, Japan shifts its policy toward Africa from aid-based support to private investment that can lead to prosperity for both Japan and Africa.

Comments

Post a Comment

Popular posts from this blog

Dilemma between Alliance and Constitution

  In the new year ministerial online meeting, Japan and United States resolved to work together to deal with various challenges by China. In the Joint Statement of the Security Consultative Committee, or “2+2,” the ministers of both government, US Secretaries of State and Defense and Japanese Ministers of Foreign Affairs and Defense, expressed their concerns on Beijing’s efforts, which were recognized as undermining the rule-based order in Indo-Pacific region and the world. On possible countermeasures, however, there still is a possibility of constitutional dispute in Japan over the principle of exclusively defensive security policy. The ministers referred to their concern about China’s activities in the East and the West China Sea. They reaffirmed to apply Article V of US-Japan Treaty of mutual Cooperation and Security to the Senkaku Islands, and strongly objected to China’s unlawful maritime claims, militarization and coercive activities in the South China Sea. They did not forge...
Read more

Oral Argument against Landfill

Governor of Okinawa Denny Tamaki made an unusual appearance to the court on Monday to submit his opinion on the building of new base for United States Force in Henoko, Nago city. “Execution by proxy of the national government, which violates the independency of Okinawa, cannot be accepted,” said Tamaki in the first oral argument at Naha Branch of Fukuoka High Court on the trial over the request of national government to change the design of new base. Accepting demand from Ministry of Land, Infrastructure, Transport and Tourism, the court closed the trial on the day one.   The national government submitted in 2020 a change of plan for the construction of new base, which was to reinforce the soil of sea base. The government of Okinawa rejected the plan and Tokyo ordered Okinawa accepting it, but Okinawa did not obey, and then Tokyo filed a lawsuit. The Supreme Court decided in September that the order of national government was lawful. Seeing that Okinawa did not approve the plan by ...
Read more

New But Traditional Capitalism

According to the top leader of Japan, the country is going to lead the world with a concept of “new capitalism.” In his annual policy speech to the National Diet on Monday, Prime Minister Fumio Kishida required the people to join his challenge for economic and social change, to which he believed the world to be stepping forward. However, his challenge looks to be relatively leaning on traditional growth-oriented policies, lacking strong momentum for wealth distribution to every corner of Japanese society.      Kishida tried to sell his new capitalism as the key to economic revitalization. He listed various hazards the world was encountering; wider gap and poverty brought by dependence on market economy without fair distribution, shortage of mid- or long-term investment caused by putting priority on efficiency of competitive market, losing sustainability, arial gap between the urban and the rural, serious climate change with pressure on the nature, and crisis of healthy de...
Read more