Saving Africa For Dinner

Salaam

You cannot skim through this article. You need to be seated and relaxed when reading. My name is Munene, A cyclist, Karateka, Engineer, and CEO - Phindor. I write to provoke, and awaken minds. Last week's article inspired me to post this that I wrote months ago but nikaogopa kupost - wale watu waliniweka baridi.

To maintain focus, I have chosen not to talk about corruption and other internal political vices in local gvts.

Intro

We, Africa, are a global supplier of raw materials, yet our trade systems are designed to benefit foreign powers rather than our continent. I find it painful that systemically we are looted and the same money used to "save us". So that I don't get emotionally invested too early, let's start building the case by looking at some key aspects.

We begin with trade imbalances

• Did you know that we account for 30% of the world's mineral reserves, including 40% of its gold and 90% of its platinum.
• These resources are exported as raw materials, while we import finished products at a significantly higher cost.
• ➡️For example: We produce 70% of the world’s cocoa but earns less than 5% of the global chocolate market value, which exceeds $100 billion annually!!! I want you to take a pause and let that sink in. Its no mistake, its by design.

This is how that happens

• Developed nations impose high tariffs on processed goods from Africa but allow duty-free imports of raw materials, systemically killing local manufacturing. Yaani, mkiprocess mkule - msilete huku. For Example, the European Union imposes a 7.5% tariff on roasted coffee from here but none on raw coffee beans - hmmm?

As a result...

• We export over $500 billion worth of raw materials annually, which generate trillions in value for foreign economies.
• For every dollar we earn from exports, it imports $1.50 worth of goods, making us a net consumer - as designed and intended.

Send me an email to pheneas@phindor.com. FYI - I use Lisa to automatically block marketing emails.

The Debt Trap Diplomacy

While foreign aid is marketed as benevolent, I think loans serve as tools for economic and political control. At-least that we can all agree.

Africa’s external debt surged to over $1 trillion in 2023, with debt servicing costs exceeding $60 billion annually—more than many countries’ health and education budgets combined.

Who Benefits?

1. Heard of tied aid ? - Recipients must use the funds to buy goods or services from the donor country.
2. France chews its former colonies through the CFA franc, a currency controlled by the French Treasury. Countries are required to deposit 50% of their foreign reserves in French central banks - ceding control of their economic policies and earning France over $500 billion annually.
3. Export-Import Bank of the US (EXIM) supported $12.4 billion in deals across sub-Saharan Africa from 2009-2019 which focused mostly on projects that required using US companies and tech. For instance, a $4.7 billion loan for a liquefied natural gas project in Mozambique had the stipulation of leveraging US exports and expertise. So, ukiskia Microsoft is investing $1B for a Data Center in Kenya usiruke - think about the cost? kwa sababu Its definitely not free!
4. Between 2000 and 2020, China lent $160 billion to Africa, but that money required contracts with Chinese firms for construction and infrastructure projects. So technically, the money does not leave China.

We are called the largest producers of coffee, mara platinum, etc but we are also the biggest losers.

Ukoloni Mamboleo has a face like "Saving Africa"

Foreign aid and loans are rarely altruistic. In my view, they are designed to serve the geopolitical and economic interests of donor countries - we should all know this.

• Look at the type of projects funded by foreign AID; Food, Drugs and "poverty eradication" - the UN has been in Kibera for over 20yrs - Kibera inaendelea kukua by the way. Mathare is also competitively coming up, $6.82B Later.☠️

• On the other end, Aid agreements are used as keys to get access to Africa’s natural resources for free. A good example is DRC. More than $10 billion in minerals are exported each year from the DRC, yet the country ranks among the lowest in human development.
• Loans and aid are used to automate dependency to ensure economies remain tied to global systems controlled by donor nations.
• Think about the (IMF) that imposes austerity measures as loan conditions, which can literally cripple public services and stifle economic growth. You saw what they did to Kenya with finance bill 2024.
• They use Aid to exert political influence, often supporting regimes that align with their interests while undermining others. I heard them call Kenya a major non-NATO Ally -> there is more to that.

If you cant seem to notice, we are gradually letting go of the power to decide our future - pole pole tu kama wadosi.

What We Could Do

Quick thoughts, Imagine if we processed just 30% of our cocoa locally, that's an additional $10 billion annually. Think about if we did the same for mineral in DRC, West Africa and Coffee in east Africa.

I could have said debt audits for better loan terms that prioritize us but what I come to discover in this land of eve and her boyfriend, is that as long as pesa ni ya kupewa - wewe by default huna maoni.

Imagine if;

• Our brightest minds stayed home to develop solutions to even the toughest challenges instead of only importing American ascents 20yrs since high school.
• Our governments stood tall on paths that prioritized citizens/countries over foreign interests and quick political gains.
• The people of the DRC said “enough” and demanded ownership of their wealth just like West Africa is currently doing.
• The African Union (AU) becomes functional.
• Our rich uncles and aunties shifted focus from chasing plots and building skyscrapers to investing in industries, technology, and the dreams of young people? Imagine!!

Final Thoughts

If even a fraction of the $1.2 trillion in aid over the past 20 years had been invested in anything substantial;

• Africa could have built a self-sustaining economy, reducing dependency on foreign aid - but that can't happen because its a direct threat to the donor.

Juu ya hio stori, you all have seen, Africa is a big sweet cake that everyone is rushing for, once again. Siku hizi naskia inaitwa "the future". Funny huh!

As demonstrated, It is quite clear nobody is coming to your Aid, really. Instead mouth are wide open and mouse traps ready to trap your beggar ***.

In conclusion, when you wake up tomorrow, think about the next 20 years. Ask yourself: How much of Africa will still belong to Africa? Look around—notice where the money is coming from, where it's going, and whose interests are being served. The answer is clear.

As a youth of this continent, your next move will either reverse the cycle or amplify its effects. The stakes are high, and the responsibility is yours. Choose wisely. Africa’s future depends on it.

Send your email to pheneas@phindor.com. FYI - I use Lisa to automatically block sales/marketing emails.