Connect with us

Hi, what are you looking for?

Capital Business
Capital Business

World

Economic crisis deepening

DAR ES SALAAM, Feb 16 – The impact of the economic crisis is deepening and will hit developing nations particularly hard, Chinese President Hu Jintao warned on Monday as he embarked on the final leg of a tour of Africa.

A day after inking agreements worth more than 20 million dollars with Tanzania, Hu called on rich nations to help African countries cope with the global downturn in a speech in the Tanzanian capital.

"The impact of the crisis on economies around the world is still deepening and its grave consequences will be felt more in the days to come," he said in a speech at a town hall gathering.

"It has put developing countries in a particularly disadvantaged position Many African friends are concerned in the face of the daunting challenges of the financial crisis, their international developing partners may scale back aid, debt relief and investment in Africa.

"The developed countries should assume their respionsibilities and obligations, continue to deliver their aid, debt relief commitments, maintain and increase assistance to developing countries and effectively help them maintain financial stability and economic growth," he said.

On Sunday, the Chinese president signed deals with his Tanzanian counterpart Jakaya Kikwete totaling 21.9 million dollars covering agriculture, communications and technical cooperation.

Hu flew on Monday to Mauritius where he is to pen two agreements to finance infrastructure in the Indian Ocean island, home to the biggest Chinese diaspora in Africa, with more than 30,000 nationals of Chinese origin.

"During the Chinese president\’s visit, two deals will be signed to finance the enlargment of an airport and other infrastructure," said Suresh Seeballuck, the cabinet secretary.

China has funded several projects on the Indian Ocean island since 1972 when Mauritius acknowledged the One China policy.

Advertisement. Scroll to continue reading.

"Mauritius is intensifying its efforts so that much of the Chinese investment in Africa goes through Mauritius," Finance Minister Rama Sithanen said.

Mauritius\’ imports from China were worth more than 300 million dollars by September 2008, while Beijing has also invested in the Indian Ocean island\’s textile and communication sectors.

The West has criticised China over its drive to secure natural resources from African states, including from regimes spurned by the West, and Hu has been anxious on his trip to push forward talk of investment and debt-relief.

It is often accused of giving little in return and Hu\’s trip to four less resource-rich African nations — Mali, Senegal, Tanzania and Mauritius — has been seen as a move to counter such claims.

Official Chinese figures show trade between China and Africa jumped 45 percent in 2008, with Chinese exports to the continent up 36.3 percent and its imports, mainly oil, soaring 54 percent.

Western critics of China\’s growing role in Africa accuse Beijing of acting in a colonial fashion, focusing only on its own interests, and dealing with outcast regimes, as in Sudan.

Click to comment
Advertisement

More on Capital Business

Executive Lifestyle

NAIROBI, Kenya, Mar 12 – The country’s super wealthy individuals are increasing their holding of bonds, gold and cash, a new report by Knight...

Ask Kirubi

NAIROBI, Kenya, Mar 9 – Businessman and industrialist Dr. Chris Kirubi has urged members of the public to exercise extreme caution when making any...

Ask Kirubi

NAIROBI, Kenya, Mar 24 – Businessman and industrialist Dr. Chris Kirubi is set to own half of Centum Investment Company PLC, following a go-ahead...

Headlines

NAIROBI, Kenya, Mar 18 – Commercial Banks have been ordered to provide relief to borrowers on their personal loans, with loans eligible from March...

Ask Kirubi

It is without a doubt that the COVID-19 pandemic has caught the whole world by surprise. Although its full impact is yet to be...

Kenya

NAIROBI, Kenya, Jun17 – Kenya’s tea leaves manufacturer Kericho Gold, has been awarded the Superbrands Seal by Superbrands East Africa for their quality variety...

Coronavirus

NAIROBI, Kenya, Apr 13 – As the local telecommunications industry gears up to roll out 5G networks in the country, the Communications Authority of...

Coronavirus

NAIROBI, Kenya, Mar 22 – Airtel Kenya is offering free internet access for students in order to enable continued learning at home in the...