World trade proves to be a prosperous way for countries to keep good relations while benefiting from one another. World trade reduces poverty in many unique forms, allowing businesses to buy and sell their goods in an easier, safer environment while improving economic balance and structure.
Economic Benefits
According to the World Trade Organization (WTO), an economy will grow quicker and at a more consistent pace when free trade is more easily accessible. A company which earns a greater profit is more likely to hire a larger amount of people while giving their employees a stable position within the company, without fear of being laid off or fired due lack of funds or money.
WTO reports that there has been a 34 percent wage increase for companies in sub-Saharan Africa that participate in exporting goods. In a closed economy, the numbers severely decrease in amount, proving that the impact of trade can have a great consequence on each individual country. Generally speaking, world trade reduces poverty by boosting each economy and providing more opportunity for growth in any country.
Education and the World Trade Institute
With a better economy that has higher profits, this creates more money to be given to educational institutions. Not only do elementary, middle and high schools benefit, but for countries with an open market, this gives college-aged students and business owners a chance to learn the skills in trade, importing and exporting.
The World Trade Institute (WTI) provides many different programs for graduate students interested in learning the art of trading. WTI offers Doctorate and Masters programs in economics, political science or international law and economics. The World Trade Institute also offers courses and topics in trade, investment and sustainability, leaving its students with the knowledge of a successful career in trade while providing internship opportunities to gain experience and learn how world trade reduces poverty.
Reduction of Corrupt Governments
Many times, high poverty rates within a country can be a sign of government corruption or the country’s leaders taking advantage of its citizens. The World Trade Organization has enabled many different plans to help fight bribery, extortion, fraud and nepotism. Through the Government Procurement Agreement, government purchases can now be tracked and watched to ensure all money received or gifted is in good faith and only used for those who are abiding by the law.
The American Society of International Law reports that citizens universally pay around 25 percent more than average for communal goods and services under corrupt governments. When the government is providing better funding for things such as housing, education or creating jobs rather than participating in questionable business deals, this opens up opportunities for the people to create a better life.
Industrialization and Infrastructure
When business owners and entrepreneurs have access to public transportation and roads, it provides an outlet that allows them to travel to and from different regions, expanding their markets and advertisements. However, when a business owner who produces a good they would like to trade does not have a simple entry into other provinces, it proves difficult for them to be able to make any money or get their product noticed.
The World Bank reports that, sometimes, increasing trade for poverty-stricken areas can have quite an easy answer; sometimes, all that is needed is a new road. The World Economic Forum states that for a continent such as Africa, it is best for nations to trade with their neighboring countries. This allows the business to trade on a smaller scale before moving on to trade with first-world countries such as China or the U.S.
Technology Brings New Trading Outlets
Technological advances have made it easier than ever before for consumers to find what they wish to buy and for business owners and product builders to “post” their brand online. This way, the consumer can have their product delivered right to their door, while the company benefits from the profit.
E-commerce sites have recently become a staple in African communities, and businesses such as Jumia have seen a rise in revenue by raising $150 million in 2014 alone. Websites like Jumia have everything a customer could possibly want or need, from electronics to fashion to grocery items. Websites like Jumia showcase how technology can bring in money and jobs, while easily marketing brands around the world.
Technology, economic benefits and industrialization are only a few ways world trade reduces poverty. The Office of the United States Trade Representative ensures that our markets are left free and open, while keeping trade agreements with countries where poverty can be most prominent, such as Africa, the Middle East and South and the Western Hemisphere of the Americas. Keeping good relations with these countries ensures economic and job growth while bringing in an abundance of goods.
– Rebecca Lee
Photo: Flickr
The 10 Most Innovative Countries in Africa
Innovation seems impossible to quantify, but the business world has found a way to rank countries based on various forms of data considered to indicate innovation. Innovation indexes can vary, but the 2017 Cornell University Global Innovation Index takes a unique approach to calculating innovation, based on 81 indicators with a focus on human welfare, technological or creative outputs, infrastructure and business sophistication.
10 Most Innovative Countries in Africa
Burkina Faso has focused its innovation on agriculture, with farmers learning how to organize themselves and share new farming practices. The country’s farming innovation has been channeled into poverty reduction.
Malawi has had some interesting innovators, such as William Kankwamba, who created a windmill for power out of locally collected supplies. Malawi’s government still accepts help from varying organizations, including UNICEF, to improve innovations in mobile phone technology and medical care.
Mozambique has struggled with giving all its citizens access to clean water, as well as with HIV infection and infant mortality rates. However, these struggles have caused the country to look to business opportunities for solutions, leading to innovations in sectors such as tourism, health, education, and natural resources.
A country known for its civil war and genocide in the past has become one of the most improved countries in innovation index rankings. Rwanda is becoming a central point for information technology and has launched a 4G LTE network, helping to facilitate job growth and economic improvement.
It is no wonder Kenya made the list, as it is becoming well known for its information technology development, thus acquiring the nickname “Africa’s Silicon Valley”. Also prominent are some of its innovators’ more interesting inventions, such as putting a charger in your shoes to charge your phone on the run or connecting an alarm to a TV to deter burglars.
With one of the continent’s most stable governments and economies, and its support of startups, research and even global corporations, it is no surprise that Botswana makes the list of the 10 most innovative countries in Africa. This support and encouragement of growth has created an atmosphere for technology innovation to grow.
Senegal has been known for its business practices and innovation in agriculture, paper and research. However, its growth has not been as substantial as some would have liked, leading to Plan Sénégal Emergent, a plan put in place by the government to bring the country to the forefront of West African economies by 2035 and putting it in the world’s sights.
Seychelles is one of the newer countries on the list of the 10 most innovative countries in Africa, appearing for the first time in 2014. This is significant because it is the third sub-Saharan African country to rank in the upper half of the Global Innovation Index.
Of these countries on this list, South Africa makes the news the most in regards to its innovative capacity. The main limiting factor for the country has been its inability to maintain and grow innovative thinkers, many of whom are lost to emigration to the U.S. and the U.K. If this trend can be reversed, the country would see a strong change in the tide as it moves up the innovation list.
Mauritius tops the list of the 10 most innovative countries in Africa and has been in the top half of the index since 2011. It has the advantages of being a tourist destination and maintaining stability. The government has also put a focus on innovation by investing in research into job and wealth creation.
These countries utilize their stability and market-oriented economy to foster innovation. Many find that democratic countries have a higher likelihood of increasing and maintaining their innovation. While Africa still has work to do in comparison to other regions, it is making headway and moving forward.
– Natasha Komen
Photo: Flickr
Roots and Shoots Million Tree Project Slows Desertification in China
Desertification has been a prolonged, aggravating problem in northern and northwestern China. The Roots and Shoots (R&S) Shanghai branch has achieved significant success in slowing desertification with its Million Tree Project.
Founded by renowned primatologist and anthropologist Jane Goodall, Roots & Shoots is an influential international non-governmental organization aiming to inspire people of all ages, especially youths, to take part in making the world a better place.
The Roots & Shoots branches around the world maintain only loose connections with each other so that each individual branch can carry out unique projects tailored to its regional needs. One of the main missions of R&S Shanghai is to have a positive impact on China’s natural environment.
Desertification in China poses a great challenge to environmental protection as well as the development of those desertified regions. In recent decades, growing deserts have devoured 3,600 square kilometers of grassland each year and forced nearly 200,000 residents from the desertified areas to relocate.
To fight the consequences of desertification, including powerful sandstorms, the loss of arable land and people being driven out of their hometowns, R&S Shanghai initiated its Million Tree Project in 2007. It is also the inaugural project of the organization.
Led by Tori Zwisler, Chairman of R&S Shanghai, and Executive Director Zhong Zhenxi, the Million Tree Project aims to reduce the combined effects of land exploitation and climate change, which eventually leads to desertification, by planting one million trees in Inner Mongolia.
The project began its work in Tongliao Municipality, Inner Mongolia. By cooperating with local and foreign forestry and agricultural experts and mobilizing tens of thousands of volunteers across the globe, the Million Tree Project achieved its first million tree milestone in 2012 and passed the second million mark in 2016.
In consideration of local soil and climate conditions in order to achieve long-term reforestation success, local and Oregon State University forestry experts have carefully chosen specific species to plant in the area.
The majority of the trees planted are hybrid poplars, chosen specifically because it needs little water. In 2009 and 2011, yellowhorn and Scots pine trees were added to the planting list and proved to be beneficial to the region not only ecologically but also economically.
Working with the Baijitan tree farm, the experts have developed an integrative sand control method by planting a combination of different shrubs along with an expansive straw grid. While the straw grid can increase the roughness of the terrain as well as reduce water evaporation, which can give the shrubs better soil conditions to grow in, the matured shrubs can benefit soil development and the restoration of vegetation diversity.
Apart from the standard procedures of planting trees like many previous forestation projects, the Million Tree Project worked closely with local farmers and tree planters on post-planting maintenance. Licensed farmers can harvest trees but are required to replant new trees on the same spot, making the planted forest a sustainable environment.
More than 50 companies have purchased forests in increments of 2000 trees, and more than 20,000 volunteers have helped plant two million trees between 2007 and 2016. Additional tree planting projects have been started in Ningxia Province, adding more land to the reforestation project portfolio.
The 2016 Rio Olympics opening ceremony featured R&S Shanghai’s Million Tree Project as a significant achievement of humans fighting against the great odds of mother nature.
The Million Tree Project is a great example of a small environmental NGO having a huge impact on the natural world as well as a successful collaboration between the experts and volunteers. It demonstrates that everybody has the ability to change the world. The project, with the collective efforts of people coming from every corner of the world, will generate greater momentum to eventually eliminate desertification in China.
– Chaorong Wang
Photo: Flickr
U.S. Signals Possible Change in Foreign Assistance Programs
Although the motion passed, it was also met with widespread condemnation; 128 countries in total condemned the move. In response, the United States threatened to cut foreign aid programs. Commenting on the vote at a recent AIPAC conference, Haley stated, “We’re not forgetting that vote. As I said at the time: On that vote, we were taking names.”
As of today, only Palestine has received cuts in foreign aid assistance. This is largely due to the Palestinian Authority’s refusal to enter into peace negotiations with Israel. In the view of the Palestinian government, the United States has lost its position as the neutral-party at the negotiating table.
A major element of Haley’s “America First Foreign Assistance Policy” is the direct link between foreign assistance programs and American security interests. For example, Iraq and Egypt remain exempt from cuts in foreign aid even though both countries have voted against the United States in the past on multiple resolutions. It is argued that continued aid to Iraq and Egypt is vital in protecting U.S. security interests in the Middle East.
Countries not exempted from cuts who offer the U.S. little economic or security benefit could see major shifts in aid assistance. Specifically, American foreign assistance programs in Ghana, Vietnam and Zimbabwe are under fire. $4.9 million to aid in Ghana’s construction of schools, Vietnam’s $6.6 million climate change program and a $3.1 million job training initiative in Zimbabwe are highlighted in the document. Currently, aid programs for roughly 40 countries who have voted against the U.S. in the past are under review.
In addition to the details of the “America First Foreign Assistance Policy” document, the State Department has put more than $100 million on hold in funding for the U.N. Relief and Works Agency (UNRWA). Another $100 million requested by the Bureau of Population, Refugees and Migration has also been denied. It is unclear as to why the funds have been denied or when they may be approved.
With the recent release of U.S. Ambassador Nikki Haley’s proposal for major changes to American foreign assistance programs, there is much concern for countries that receive U.S. aid, most notably for nations viewed as nonessential to U.S. economic and security interests. Furthermore, countries that lack a track record of voting with the U.S. on U.N. resolutions could face serious cuts.
It is unknown whether these policy changes will be formally adopted in Washington, D.C. The proposed changes have seen much backlash from both the Department of Defense and intelligence community. Ultimately, the American mission to eradicate international poverty and obtain global security is at risk.
– Colby McCoy
Photo: Flickr
15 Facts About Poverty in Africa
Many people are aware that Africa suffers from widespread poverty, but many do not know what that poverty consists of or why it exists. Understanding the facts and seeing the statistics can result in change. Here are 15 facts about poverty in Africa.
Facts and Stats about Africa Poverty
Knowing the facts about poverty in Africa can illustrate not only the work that needs to be done but also the progress that has been implemented. Africa is a struggling continent, and these facts about poverty in Africa point to a complex problem of young governments, few resources and a growing population. There is plenty of work still to be done.
– Emily Degn
Photo: Flickr
Cities That Will Run Out of Water Soon Without Proper Attention
Over 70 percent of the world’s surface area is covered in water. However, the majority of the world’s poor, who number about three billion, live in areas absent of clean water. Most of the earth’s water is saltwater, but there are still means to purify it for drinking and cooking purposes.
According to UNICEF, women may spend between 30 minutes to eight hours a day searching for water. The average walking distance for women in Africa and Asia is 6.0 km (3.7 miles) to walk and carry the water for their families. The following are all cities that will run out of water soon without proper attention.
Better planning and management of water sources are only possible once wealth increases and corruption is eradicated. Eliminating undue bureaucracy is a difficult step, so it is important to approach each of these cities’ challenges on a needs basis. It is necessary to understand that water is not only a basic human need but also a basic human right.
– Awad Bin-Jawed
Photo: Flickr
Combating Statelessness for Rohingya Refugees Continues
The Muslim Rohingya minority found in Myanmar have been systematically stripped of citizenship in bureaucratic ways, which has led to combating statelessness for Rohingya refugees.
In 1982, the ruling military junta put in place discriminatory citizenship laws in Myanmar. The law favors the country’s “national races” and excludes the Muslim Rohingya and several other ethnic minorities, automatically granting full citizenship to these “national races.” The national races include groups that were present in Myanmar before the British conquest in 1824.
Removing Rohingya Rights
Throughout past years in Myanmar, each form of ID was declared invalid and then taken from the Rohingya, replaced with a card that indicated fewer rights. The “white cards,” created in 1982, were temporary documents that left the Rohingya in legal limbo.
Currently, the authorities urge the Rohingya to apply for a “national verification card.” The new identification card is highly criticized because of the multistep citizenship process associated with the cards. Many Rohingya, in addition, don’t feel confident that they would have “full” citizenship or basic rights with the new cards.
Nurul Hoque and his family are Rohingya refugees that are fearful of these new cards. He holds on to his grandfather’s old and frail identity card from Myanmar from before the implementation of the discriminatory citizenship laws. This old document is a reminder of a life that he and his family had left behind in Myanmar.
Nick Cheesman, a political scientist at Australian International University, describes to DW that the deprivation of citizenship among Rohingya was not a result of the 1982 law but more an inaccurate implementation of the law.
United Nations High Commissioner of Refugees and Combating Statelessness
In combating statelessness for Rohingya refugees, the United Nations High Commissioner of Refugees (UNHCR) has declared a worldwide effort to end statelessness by 2024. Around 10 million people in the world are denied citizenship, which causes many obstacles in obtaining basic rights.
To overcome statelessness, the UNHCR works with many other organizations to assemble and endorse more compelling solutions. It collaborates with other international organizations, nongovernmental organizations, civil society groups, national human rights institutions and academic and legal associations. The United Nations General Assembly granted, through a series of resolutions in 1995, the UNHCR the formal approval to combat statelessness through identification, prevention, reduction and protection of stateless individuals.
The UNHCR believes that citizenship, or some structure of documented status within a state, is required for basic rights to be achieved. This statelessness determination status, though, is to give individuals an interim way to attain basic rights. The final goal is to end statelessness altogether.
United States Assistance to Myanmar
The United States humanitarian policy in Myanmar has been guided by the importance of protection of basic rights for refugees and asylum seekers. On September 20, 2017, the State Department allocated $28 million in humanitarian aid for displaced people in Bangladesh.
The overall objective for United States policy in Myanmar is to establish a democratically elected civilian government that recognizes human rights and civil liberties of all Myanmar citizens and residents, revealing another effort in combating statelessness for Rohingya refugees.
– Andrea Quade
Photo: Flickr
Inequality in South Africa is Still Being Perpetuated Today
South Africa has long been known as one of the most unequal societies in the world. In the 1990s, South Africa’s Gini coefficient–a measure that reflects inequality, where zero is absolute equality and one is absolute inequality–was, at 0.66, the highest in all the 57 countries for which this data was available. That measure, as of 2015, has remained the same. The top 10 percent of South Africans earn roughly 60 percent of all income and own 95 percent of all the country’s assets, whereas 80 percent own no wealth at all. Inequality in South Africa continues to be a major issue as the country moves to distance itself from its apartheid- era exclusionary style.
The root causes of South Africa’s severe inequality can be traced back to the establishment of Cape Town, a Dutch shipping port in the 1650s. Over the next two centuries, “military conquest and political exclusion, which took a colonial and racial form,” expanded into the interior.
After the British took over in the early nineteenth century, the defeated indigenous groups were never fully incorporated into the economic and political model. The twentieth century brought the neighboring counties under British rule, culminating in a peace settlement which “inscribed racial discrimination in the foundations of the new South African state.” The framework for inequality in South Africa had already been laid by the time the National Party came to power in 1948 and enforced its apartheid legislation.
South Africa continues a system of socioeconomic exclusion. However, whereas historically the exclusionary practices were racially-based, today the extent and depth of inequality in South Africa is increasingly intersectional. Although it continues to impact black South Africans the most, it strikes at race, gender, class and age. Over 55 percent of South Africans continue to live in poverty and unemployment sits at 25 percent.
All hope is not lost, however. The University of Witwatersrand in Johannesburg has founded a new center, the Southern Centre for Inequality Studies, that will drive a five-year-long, interdisciplinary project. It will include approximately 80 researchers from across the country: economists, historians, legal academics, healthcare experts, sociologist and other disciplines.
The most promising hope yet for combating inequality in South Africa comes from the implementation of the National Development Plan. The plan seeks to reduce inequality and eliminate poverty by 2030 by “drawing on the energies of the country’s people.” Some of the key points include: increasing employment to 24 million, ensuring all children can read and write by the third grade and providing affordable healthcare and a public transit system. It also aims to strengthen the criminal justice system, including governmental accountability. “Progress over the next two decades means doing things differently,” the plan states.
In detail, the plan calls for:
After handing over the plan to President Jacob Zuma, Minister Trevor Manuel stated that “social cohesion needs to anchor the strategy.”
South Africa’s apartheid era formally came to an end in April of 1994. Less than a month later, in May of 1994, Nelson Mandela became the first black, democratically elected president. The exclusionary system that Mandela grew up in is still widely overreaching within the country, but as the nine provinces continue to work together, there will be hope. Inequality in South Africa does not have to be a perpetuation.
– Aaron Stein
Photo: Flickr
How Agritourism Benefits People in Rural China
As China continues its efforts to lift its citizens out of poverty, initiatives have been established to help those living in rural communities. The government has created the twelfth Five Year Plan that aims to alleviate poverty and focuses on people in rural China, who are more susceptible to poverty than those who live in metropolitan parts of the country.
The plan states that China plans to “lift all of its poor out of poverty by 2020,” by mainly focusing on people living in the nation’s 128,000 poor villages and 832 counties. The plan further encourages the development of competitive industries in areas that include agriculture and tourism to help pursue the goal of alleviating poverty by 2020.
Beyond the government’s efforts to support citizens in rural communities, migrants from these communities, who previously moved to metropolitan cities for better opportunities, are moving back to their hometowns and villages to set up businesses to help progress these areas.
A cause for this shift is attributed to favorable policies implemented to help progress the lives of people in rural China. The Chinese government has created policies that focus on improving rural infrastructure, providing subsidies, streamlining registration procedures, improving financial services and setting up entrepreneurial parks.
In recent years, approximately seven million returnee migrants have established agriculture-based enterprises in their hometowns and villages. Estimates state that the number of returnee migrants is increasing by 10 percent each year. As a result, The Ministry of Agriculture states that at least eight new jobs on average have been created for people in rural China when businesses are set up by returnee migrants.
What is Agritourism?
One industry that has been proven effective in alleviating poverty in rural China is the agritourism industry, which has seen increased interest by both developing and developed countries with large agriculture industries. Agritourism can be defined as the act of tourists visiting a farm or ranch for leisure, recreation or educational purposes.
The increased interest in agritourism can be attributed to tourists’ increased understanding of environmental protection and a heightened interest in improving the quality of life for those who live in rural China. The urban economy in China has also contributed to this popularity with its growing economy and raised awareness of healthy living, which has increased the demand for organic products and rural tourism.
The Results of Agritourism
The past six years have brought success to the agritourism industry and have helped bridge the economic gap between the urban economy and rural economy in China.
In 2012, there were roughly 1.7 million leisure farming and agritourism businesses that were created and helped create employment for 6.9 percent of the total rural labor force. These enterprises brought in an annual revenue of over 240 billion yuan from the 800 million tourists who visited rural China.
In 2016, the number of tourists increased to 2.1 billion people, who brought in and estimated 570 billion yuan that helped 6.72 million households in rural China.
Needed Improvements to the Agritourism Business Model
Even though agritourism has proven successful for millions of citizens, there are still sectors in the agritourism industry that need improvement.
There have been numerous issues that have arisen concerning agritourism and how to sustain the industry, so it can become a more reliable avenue to help alleviate poverty in China. These issues include problems with sanitation practices, lack of program planning and lack of reliable research and monitoring systems.
Also, with rural residents offering tourists “rural-style themed” food and accommodations, these practices have hindered further development of the agritourism industry. Solutions proposed have been to encourage the government to “help logistically and practically by integrating education resources in vocational institutions and by providing tailored training services for the new farmers.”
With efforts underway to improve the livelihoods of China’s rural residents, and with agritourism having already been proven as a successful industry, only time will tell whether this industry can be enough to lift people in rural China out of poverty for good by 2020.
– Lois Charm
Photo: Flickr
5 Important Ways that World Trade Reduces Poverty
World trade proves to be a prosperous way for countries to keep good relations while benefiting from one another. World trade reduces poverty in many unique forms, allowing businesses to buy and sell their goods in an easier, safer environment while improving economic balance and structure.
Economic Benefits
According to the World Trade Organization (WTO), an economy will grow quicker and at a more consistent pace when free trade is more easily accessible. A company which earns a greater profit is more likely to hire a larger amount of people while giving their employees a stable position within the company, without fear of being laid off or fired due lack of funds or money.
WTO reports that there has been a 34 percent wage increase for companies in sub-Saharan Africa that participate in exporting goods. In a closed economy, the numbers severely decrease in amount, proving that the impact of trade can have a great consequence on each individual country. Generally speaking, world trade reduces poverty by boosting each economy and providing more opportunity for growth in any country.
Education and the World Trade Institute
With a better economy that has higher profits, this creates more money to be given to educational institutions. Not only do elementary, middle and high schools benefit, but for countries with an open market, this gives college-aged students and business owners a chance to learn the skills in trade, importing and exporting.
The World Trade Institute (WTI) provides many different programs for graduate students interested in learning the art of trading. WTI offers Doctorate and Masters programs in economics, political science or international law and economics. The World Trade Institute also offers courses and topics in trade, investment and sustainability, leaving its students with the knowledge of a successful career in trade while providing internship opportunities to gain experience and learn how world trade reduces poverty.
Reduction of Corrupt Governments
Many times, high poverty rates within a country can be a sign of government corruption or the country’s leaders taking advantage of its citizens. The World Trade Organization has enabled many different plans to help fight bribery, extortion, fraud and nepotism. Through the Government Procurement Agreement, government purchases can now be tracked and watched to ensure all money received or gifted is in good faith and only used for those who are abiding by the law.
The American Society of International Law reports that citizens universally pay around 25 percent more than average for communal goods and services under corrupt governments. When the government is providing better funding for things such as housing, education or creating jobs rather than participating in questionable business deals, this opens up opportunities for the people to create a better life.
Industrialization and Infrastructure
When business owners and entrepreneurs have access to public transportation and roads, it provides an outlet that allows them to travel to and from different regions, expanding their markets and advertisements. However, when a business owner who produces a good they would like to trade does not have a simple entry into other provinces, it proves difficult for them to be able to make any money or get their product noticed.
The World Bank reports that, sometimes, increasing trade for poverty-stricken areas can have quite an easy answer; sometimes, all that is needed is a new road. The World Economic Forum states that for a continent such as Africa, it is best for nations to trade with their neighboring countries. This allows the business to trade on a smaller scale before moving on to trade with first-world countries such as China or the U.S.
Technology Brings New Trading Outlets
Technological advances have made it easier than ever before for consumers to find what they wish to buy and for business owners and product builders to “post” their brand online. This way, the consumer can have their product delivered right to their door, while the company benefits from the profit.
E-commerce sites have recently become a staple in African communities, and businesses such as Jumia have seen a rise in revenue by raising $150 million in 2014 alone. Websites like Jumia have everything a customer could possibly want or need, from electronics to fashion to grocery items. Websites like Jumia showcase how technology can bring in money and jobs, while easily marketing brands around the world.
Technology, economic benefits and industrialization are only a few ways world trade reduces poverty. The Office of the United States Trade Representative ensures that our markets are left free and open, while keeping trade agreements with countries where poverty can be most prominent, such as Africa, the Middle East and South and the Western Hemisphere of the Americas. Keeping good relations with these countries ensures economic and job growth while bringing in an abundance of goods.
– Rebecca Lee
Photo: Flickr
Foreign Investment Growing Development Projects in Mauritius
Mauritius is a southern African island country in the Indian Ocean that is famous as a tourist destination. The country is known for its peaceful people comprised of mixed races and multiple languages. Mauritius initially had an agriculture-based economy which the nation diversified into various sectors, including sugar, tourism, textiles and apparel and financial services, transforming it from a lower- to an upper-middle-income economy.
At present, the country is trying to achieve the status of a high-income economy by 2020. In order to reach this goal, various development projects in Mauritius are aiming to create job opportunities, update primary education, generate sustainable energy and improve the infrastructure of the country.
Indian Government Development Projects in Mauritius
In March 2017, India allocated ₨ 12.7 billion for various priority development projects in Mauritius, including the following:
In August 2017, ₨ 9.9 billion was earmarked for the construction of an express metro, which will facilitate transportation between Curepipe and Port Louis, covering a distance of 26 km. The project aims to decrease traffic congestion and save ₨ 4 billion each year. It consists of 19 stations, 6 urban terminals and four interchanges with 18 air-conditioned trains in operation. It is expected to be completed by September 2019.
The project started in 2017 with the aim of supplying digital tablets to students in grades one and two containing digitized study materials. ₨ 500 million has been spent on this program, which includes the cost of hardware, software and training assistance.
India is providing a fund of $4 million with an additional $52.3 million line of credit for this project. Its aim is to upgrade the maritime and surveillance operations of the Mauritius National Coast Guard to fight against drug trafficking in the Indian Ocean.
The remainder of the ₨ 12.7 billion is going towards the construction of several new buildings, including ₨ 1.1 billion for a new Supreme Court building in the capital city of Port Louis, ₨ 700 million for construction of social housing units and ₨ 500 million for an up-to-date ENT hospital.
Projects with the African Development Bank
In 2013, the Sustainable Energy Fund for Africa granted $1 million for the development of a Deep Ocean Water Application Project in Mauritius. The aim of the project was to install an innovative low carbon seawater air conditioning system.
Mauritius has no oil or natural gas reserves, and so to reduce its energy imports, it has employed this seawater air conditioning system. The system extracts and pumps cold water from the Indian Ocean, which is used to air condition the business district of Saint Louis and its adjacent regions.
This innovative technique has helped to lower the cost of air conditioning systems and reduced carbon emissions by 40,000 tons. It has provided jobs to local engineers and technicians and also created job opportunities in other sectors like aquaculture, pharmaceuticals and bottling.
Mauritius is also looking forward to other development projects in cooperation with India as well as the World Bank, which will help it achieve the status of a high-income developed country.
– Mahua Mitra
Photo: Flickr