Sunday, May 31, 2020

Strengthen cooperation


Mozjapan.not_
President of the Republic, Filipe Nyusi, on Wednesday received in audience the new Extraordinary and Plenipotentiary Ambassador of Japan, Hajime Kimura, with whom he exchanged views on the stage of cooperation between the two countries and the need for their strengthening.
A note from the Presidency of the Republic sent to our editorial staff indicates that, with the experience of Ambassador Kimura, the Government of Mozambique expects the excellent relations of friendship and cooperation between Mozambique and Japan to be boosted.
Meanwhile, the Minister of Foreign Affairs and Cooperation, Verónica Macamo, present at the audience, classified relations between Mozambique and Japan as excellent, adding that as proof of this there has been constant exchange of visits between public and private government entities, as well as an increase in volume of the Japanese investment in Mozambique.
At the political level, Macamo highlighted the exchange of visits at the highest level, the realization of political dialogue and business forums. The Minister of Foreign Affairs and Cooperation also highlighted the visit of the Prime Minister of Japan to Mozambique in 2014, when the two governments established political and friendly relations.
She also recalled that, in March 2017, the President of the Republic, Filipe Nyusi, made a working visit to Japan to strengthen bilateral cooperation.
Bilateral relations between the two countries are developed through non-reimbursable financial assistance, loans, commercial and mineral projects, electricity, gas, roads and bridges, health and education, among others.
“In the Maputo Corridor, the Maputo Thermoelectric Power Station, the Fish Market in Maputo, the Infulene Health Sciences Institute was built and, with support from Japan, the closure of the Hulene dump is underway,” Verónica Macamo said.

Soldiers of misfortune


WHEN PRESIDENT  wanted help last year to tackle a jihadist insurgency in northern Mozambique, various private military firms were keen to oblige. Mr Nyusi chose Russia’s Wagner Group, which vowed to make short work of the rebels. But after a bunch of its men were killed, it pulled out, humiliated.
Seven Russian contractors from Wagner Group killed in an ambush in ...
In its place, the government has hired a firm with a very different pedigree: the Dyck Advisory Group (DAG), led by a South Africa-based colonel, Lionel Dyck. Mr Dyck served in the army of Rhodesia, the white-run state that became Zimbabwe at independence in 1980. In the 1970s, when Mr Dyck wore its uniform, the Rhodesian army used to attack Mozambique and the Zimbabwean guerrilla bases that Mr Nyusi’s Frelimo party was hosting. ´
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Times change, as do alliances. Despite a UN treaty banning mercenaries, their day is far from over. Some analysts think there are now more of them in Africa than ever. But can they ever be a force for good? Some of them served in special forces known for their ruthlessness during the dying days of white rule in southern Africa.
Since then many have worked in Iraq and Afghanistan before returning closer to their old haunts. In the years after most African countries gained independence, mercenaries were notorious for supporting secessionist movements and mounting coups. They fought for Moïse Tshombe in Katanga as it tried to break away from Congo in the early 1960s, and in Biafra when it sought to secede from Nigeria in the late 1960s.
Nigeria 'hires 250 South African mercenaries' to battle Boko HaramMore recently Simon Mann, a former officer in Britain’s special forces, tried to overthrow the dictator of oilrich Equatorial Guinea in 2004, but ended up in jail.
Western governments have in the past winked at mercenary activity that served their commercial interests. But nowadays Russia is seen as the leading country egging on mercenaries to help it wield influence. It does so mainly through Wagner, whose founder, Yevgeny Prigozhin, is close to President Vladimir Putin.
Executive Outcomes - Trailer - YouTubeShortly after Mr Nyusi met Mr Putin in Moscow last year, Wagner was awarded the contract for Mozambique, which has rich gasfields and is developing Africa’s largest energy project. Wagner has been hired to prop up a number of shaky African regimes. In Sudan it tried to sustain the blooddrenched dictatorship of Omar al-Bashir.
He was ousted last year after big protests. In 2018 hundreds of Wagner men arrived in the Central African Republic to guard diamond mines, train the army and provide bodyguards for an embattled president, Faustin-Archange Touadéra. In Guinea, where Rusal, a Russian aluminium giant, has a big stake, Wagner has cosied up to President Alpha Condé, who has bloodily faced down protests against a new constitution that lets him have a third term in office.
In Libya, despite a UN arms embargo, Wagner is reported to have deployed 800-1,200 operatives in support of a rebel general, Khalifar Haftar, who has been trying to defeat the UN-recognised government. On May 26th America’s military command for Africa said Russia had flown modern fighter jets to Libya to give air support to Wagner.


It released satellite photos purporting to show the jets at al-Jufra airbase. It seems, however, that Wagner has been failing in Libya too, with hundreds of its men being forced to retreat. Private military firms typically say they fill gaps in security that would otherwise lead to chaos. In the Central African Republic, for example, France withdrew almost all of its peacekeeping troops in late 2016, leaving a UN force and a small European training mission that struggled to keep order.
Mercenários" russos deixam Cabo Delgado e vão para NacalaWagner has hardly fared better. In north-eastern Nigeria in 2015 a South African firm called STTEP (Specialised Tasks, Training, Equipment and Protection), had some success in bolstering the Nigerian army in its fight against the jihadists of Boko Haram. However, its contract was cancelled by a new president, Muhammadu Buhari, who reckoned his own forces should finish the job alone.
elmundo.es Obituarios. Líder mundial de información en castellano have signally failed to do so. Mercenaries have three main advantages over regular armies. First, they give plausible deniability. Using them, a government such as Russia’s can sponsor military action abroad while pretending not to. Second, they tend to be efficient, experienced, nimble and flexible. Third, they are cheaper than regular armies. Whereas soldiers receive lifelong contracts and pensions, mercenaries are often paid by the job.
They are also better value for money than the heavy, expensive weaponry that African governments often import, which is not much use against terrorists.
DAG’s hardware in Mozambique is reported to include several helicopters (one of which recently crashed after being shot at by jihadists) and some small aircraft, but nothing hugely expensive. Colonel Tim Collins, a veteran of Britain’s Iraq campaign who has been running a private military firm in Afghanistan, says that “for the money Britain spends on booze at Christmas” such firms could provide African governments with a continental force (not that they would ask for one).
Mercenary 'Mad Mike' Hoare dies at 100 | Daily Mail OnlineEl retorno del Mercenario - Defensa - Comunidad Militar... en Taringa! points out that in Sierra Leone in 1995, mercenaries from Executive Outcomes played a key part in routing the murderous rebels of the Revolutionary United Front. That bare-bones force was co-founded by a South African, Eeben Barlow, who now chairs STTEP. Manned mainly by former apartheid-era commandos, Executive Outcomes had previously helped the Angolan government to defeat the rebels of UNITA, which South Africa had  fostered. DAG’s website claims it has undertaken “security-based operations” in at least eight countries, including the Central African Republic, Malawi and South Africa. Zimbabwe’s president, Emmerson Mnangagwa, is said to be close to Mr Dyck, who caught his eye back in 1981.
That was when he led a battalion of the mainly black Rhodesian African Rifles in suppressing a mutiny of disgruntled ex-guerrillas loyal to Prime Minister Robert Mugabe’s bitter rival, Joshua Nkomo, leaving many dead.
OAM Middle East, another security firm run by a former Rhodesian, John Gartner, lists no fewer than 18 African countries where it has operated. Many such companies stress their credentials as wildlife conservationists, using helicopter gunships to deter poachers. Although opposed to mercenaries on paper, the UN may have softened its stance of late.
It now has a code of conduct for how they may work and has itself used them to help with things such as logistics, neutralising landmines and training security teams.
Chris Kwaja, a Nigerian who chairs a “working group on the use of mercenaries” for the UN’s High Commissioner for Human Rights, thinks they can be useful as long as they are subject to “binding international instruments”. Some private military firms now accept ethics clauses written into their contracts.
THE ECONOMIST – 30.05.2020

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Friday, May 29, 2020

Crisis in hotels, tourism affects 21,000 workers


Sofala: Governo anuncia reintrodução de escolta na EN1 / Notícias ...The crisis caused by Covid-19 has affected some 21,000 jobs in the hotel and tourism sector in Mozambique, the sector’s union said on Tuesday. “Most of the establishments have been closed, placing 21,000 workers, equivalent to 33% of the 64,000 throughout the country, in deep uncertainty,” said Luis Macuácua, secretary-general of the National Union of Hotel, Tourism and Similar Workers (Sintihots).
Seven thousand workers have been laid off, another 7,000 have seen their contracts suspended and about 6,000 sent on vacation, according to the source. The organisation said workers in the sector do not know what is going to happen to their jobs and the “survival conditions” have been reduced. Maputo province is the worst affected, with around 10,000 workers, followed by Inhambane, in the south of the country, and Nampula, in the north, with around 2,500 jobs each. “We ask the government to give employers incentives to create conditions for hotels, tourism and similar establishments to operate,” the union added. In the best of the scenarios predicted by the Confederation of Mozambique’s Economic Associations (CTA), losses in tourism are equivalent to one-fifth of all the business sector’s losses due to the new coronavirus.
Portugal vai formar professores moçambicanos na área de turismo 
Mozambique had, by Tuesday morning, 209 cases of infection by the new coronavirus, one death and 71 people have recovered.

The government is expected to announce the next steps this week after the state of emergency was decreed on 1 April and extended until 30 May – with the Constitution allowing two more extensions. During the same period, there are restrictions on public transport, the wearing of masks on public roads is compulsory, schools are closed and the issuing of visas to enter the country is suspended. In Africa, there have been 3,471 confirmed deaths in more than 115,000 infected in 54 countries, according to the most recent statistics on the pandemic in that continent. Worldwide, according to an assessment by the AFP news agency, the Covid-19 pandemic has caused more than 344,000 deaths and infected more than 5.4 million people in 196 countries and territories.


Metical loses


Currency of MOZAMBIQUE - List of Currency Names
The metical, the Mozambican unit of currency, is depreciating strongly against the US dollar, which economists say could jeopardize the sustainability of public debt. Last March, the Mozambican government warned that the metical could depreciate against the dollar as a result of the Covid-19 outbreak. As of Thursday, one US dollar was purchased at 68.56 meticais and sold at 69.92 meticais, according to Bank of Mozambique official rates consulted by ‘O País Económico’. At the beginning of the year, the Mozambican currency was already showing a depreciation trend vis-à-vis the main circulation currencies in the Interbank Foreign Exchange Market (MCI), with emphasis on the North American currency. The official exchange rate, both in buying and selling, was not more than 63 meticais/USD. Some economists covered in our report associate the slippage of the metical with restrictions on foreign trade due resulting from Covid-19, as well as the monetary policy measures adopted by the central bank.
For economist Agostinho Machava, the depreciation of the national currency results from measures that Bank of Mozambique has been taking, almost routinely, for some time.
Agostinho Machava | Umeå University - Academia.edu
The restrictive measures of the national financial system regulator “limited the circulation of foreign currency in the Interbank Foreign Exchange Market, in particular of the US dollar”, Machava points out. Economist and executive director of the Confederation of Economic Associations of Mozambique (CTA), Eduardo Sengo, said that the depreciation of the metical “is no surprise”.
“At the beginning of the year, a CTA study already pointed out that pressures for the metical depreciation, be very strong this year. This is because, within Covid-19, one of the channels of impact in Mozambique was the export sector, where companies face constraints because their buyers’ economies are at a halt, limiting the generation of foreign currency in the market,” Eduardo Sengo explained. The drop in prices of the main export commodities also reduced the amount of foreign exchange, in particular, the US dollar. “The easing of restrictive measures in some partner countries has aggravated the exchange rate situation,” the CTA’s executive director concludes.

Public debt
Tribunal de Nampula absolve funcionários acusados de corrupção the metical falling, the risk of sustainability of the Mozambican public debt increases, now standing above 100% of gross domestic product, one of the highest rates in Africa. In fact, according to the assumptions of the Medium Term Fiscal Scenario released by the Ministry of Economy and Finance (MEF), which cover the period from 2019 to 2021, the indication is that a 1% depreciation in the exchange rate represents an increase of two percentage points in the external debt-to-GDP ratio.
According to the MEF, public debt is the variable most sensitive to fluctuations in the exchange rate, given that, in 2017, for example, 84% of the total debt portfolio was contracted in foreign currency.
“An exchange rate shock may have adverse effects on private consumption, investment and the real sector through higher production costs for sectors that depend on raw material imports. On the other hand, fluctuations in the exchange rate may negatively influence the balance sheets of public companies through changes in the valuation of liabilities in other currencies,” the MEF report on the medium-term fiscal risks, to which ‘O País’ has had access, reads.
Furthermore, the evolution of the exchange rate shock caused the debt level in 2016 to reach 126.7% of the gross domestic product. This exchange rate impact was more evident with the depreciation of the metical, when the Mozambican currency lost about 63% of its value against the US dollar, whereas in 2017, the appreciation of the metical against the dollar was the equivalent to a reduction of 14 percentage points of the GDP in external debt. To minimise the depreciation of the metical, economists say the Bank of Mozambique should adopt more assertive measures, throwing into the controversy the contentious US$500 million credit line made available to finance the companies’ treasury. According to economists, the financing line announced by the central bank errs because it applies commercial and non-subsidised interest rates.