Deputy Chairperson of the African Union calls for the Establishment of a China Africa Business Forum

Event

mar, 29 Oct 2013 - 11:00

Deputy Chairperson of the African Union calls for the Establishment of a China Africa Business Forum

Beijing 29th October 2013: The Deputy Chairperson of the AUC H.E Mr. Erastus Mwencha has called for the establishment of a China Africa Business Forum.

The DCP was speaking at a seminar organized by the China Development Bank for a cross section of the Chinese business community with interest in Africa. About twenty companies from different sectors ranging from construction of railways to agriculture, energy, ICT, real estate light and heavy industries were represented. The DCP was accompanied by Ambassador Fantahun from the Office of the Chairperson and Dr. Fareed Arthur, Advisor to the DCP on Strategic Matters

Dr. Shi Jiyang, Deputy Director of CBD and Board Director of the China Africa Development Fund chaired the seminar. He indicated that the seminar was organized to give the DCP an opportunity to share some insights with Chinese investors in African and to find ways of improving relations. Representatives of the various companies made presentations on their investments in Africa and shared some of the challenges they experience. This includes the need to harmonize customs procedures and reduce cost of doing business in Africa. Other challenges included the difficulty to sometimes locate the right professional skills to partner investments in Africa and the differences in interest rates in Africa.

The Deputy Chairperson acknowledged these challenges and pointed out that some of the challenges were a result of the complex international trade architecture, which includes subsidies to farmers in advanced countries. This tended to reduce the competitiveness of Africa commodities like cotton. He noted however, that on most of these issues China and Africa shared common positions at world forums like the WTO and should continue to work together. He further advised the business community on Africa's priorities and expectations especially in value addition, creating jobs and skills transfer in order to achieve sustainable development.

On other issues like reducing cost of doing business in Africa and also developing the right professional skills to support Chinese investment in Africa, the DCP suggested the formation of a China Africa business forum under the auspices of he bank and the AUC to bring together Chinese businesses and their African counterparts and governments to facilitate and promote mutual interests.

Earlier the DCP met with the Vice President of China Development Bank where both shared experiences and complementarities of the two economies.. The Vice President indicated that CDB was in advanced stages of approving some 72 projects in 30 countries valued at $ 2.6 billion.

Finally he thanked the CBD and the business representatives for the rich sharing of ideas and indicated the African Union Commission’s commitment to work closely with China to promote Sino African cooperation.

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