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IMF highlights positive economic outlook for Djibouti

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By our staff reporter

The International Monetary Fund (IMF) states that a debt service moratorium can help maintain a stable budget deficit, and that Ethiopia’s faster-than-expected development would positively impact Djibouti’s economy. One key factor driving this strong economic growth is the expansion of the transshipment business.

During a visit to Djibouti from December 8 to 12, 2024, an IMF team led by Esther Pérez Ruiz discussed the country’s economic prospects in light of disruptions in the Red Sea, as well as important policy initiatives aimed at enhancing macroeconomic sustainability and policy credibility.

Pérez Ruiz noted that Djibouti’s sea-dependent economy has demonstrated resilience in the face of regional conflicts.

The head of the IMF team projected a robust growth rate of 6.5 percent for the fiscal year 2024, primarily driven by an increase in transshipments as maritime companies navigate the tensions in the Red Sea.

“Djibouti’s economic outlook faces several risks. Limited job creation or the recurrence of droughts could disproportionately impact the poor. However, stronger-than-expected growth in Ethiopia and a swift resolution of the Red Sea disruptions could improve Djibouti’s overall outlook,” she stated.

Inflation remains moderate, as authorities have stabilized energy and food prices to alleviate the effects of rising import costs.

For the 2024 fiscal year, the fiscal deficit is projected to stabilize at around 3.5 percent of GDP, as reduced interest payments from the debt service moratorium with a major creditor—lasting through 2028—offset weaker tax revenues and grants.

International reserves have been declining over the past two years, standing at just over three months of imports as of September 2023, which raises concerns given the substantial outstanding external obligations.

Pérez Ruiz expressed her appreciation for the authorities’ commitment to initiatives that promote macroeconomic sustainability and enhance the legitimacy of the policy framework.

These initiatives include expediting debt negotiations with key creditors, revising military base agreements, enhancing revenue mobilization by shifting from customs duties to inland revenues, and leveraging dividends from profitable state-owned enterprises.

“These efforts will also contribute to supporting the Central Bank’s independence from the fiscal authority under the currency board, thereby sustaining reserves, exchange rate stability, and controlling inflation,” she added.

Human rights defenders urged to take legal action against violations

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By Eyasu Zekarias

On the occasion of International Human Rights Day, advocates have called for immediate legal action to protect human rights defenders (HRDs) and ensure their safety in increasingly hostile environments. The need for robust legal frameworks that support HRDs has become critical, as the situation for these individuals varies significantly across different countries.

Despite some improvements in certain regions, many countries continue to see a deterioration in the conditions for human rights defenders. The urgent need for national legal frameworks is emphasized to create a safe working environment for HRDs, allowing them to operate without fear of reprisal.

The Network of African National Human Rights Institutions (NANHRI) organized a continental dialogue in Addis Ababa to address the challenges facing HRDs across Africa. This meeting brought together stakeholders from various sectors to discuss the shrinking civic space and the increasing vulnerability of individuals and institutions involved in human rights advocacy.

Gilbert Sebihogo, Executive Director of NANHRI, opened the dialogue by reiterating the importance of adopting legislative frameworks that protect HRDs. “We continue to advocate for the adoption of legislative frameworks that protect human rights defenders and support their efforts to operate in safe and enabling environments,” he stated.

Karin Stanghed, deputy head of the EU delegation to the African Union, reinforced this sentiment, stating, “Protecting human rights is not only an individual right but also the collective freedom of our society.” This acknowledgment highlights the interconnectedness of individual rights and broader societal well-being.

The dialogue, held from December 9-10, involved representatives from national human rights institutions (NHRIs), civil society organizations (CSOs), international organizations, and government officials. The discussions centered on strategies to enhance the protection of HRDs and promote accountability within national frameworks.

NANHRI serves as a regional umbrella organization comprising 47 African NHRIs. These institutions are established to promote and protect human rights within their jurisdictions through various activities, including handling complaints, conducting investigations, and advocating for policy changes aligned with the Paris Principles.

Abdi Jibril, PhD, Commissioner for Civil and Political and Socio-Economic Rights at the Ethiopian Human Rights Commission, emphasized the importance of accountability mechanisms. He noted that scorecards can help guide NHRIs in addressing concerns related to civic space and ensuring that human rights are upheld.

The NANHRI aims to equip NHRIs with essential knowledge, skills, tools, and techniques necessary for fulfilling their mandates effectively. By strengthening these institutions, advocates hope to create a more supportive environment for HRDs facing threats and violations.

As global attention turns toward human rights issues on International Human Rights Day, it is imperative that governments take concrete steps to protect those who defend these rights. The call for legal action against violations faced by HRDs underscores the need for comprehensive legal frameworks that ensure their safety and enable them to operate freely.

The discussions held in Addis Ababa represent a crucial step toward fostering collaboration among stakeholders committed to advancing human rights across Africa. By prioritizing the protection of HRDs, nations can work towards creating a more just and equitable society where fundamental freedoms are upheld for all.

Mahamoud Ali Youssouf seeks AUC leadership 

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By our staff reporter

A senior diplomat and the foreign minister of Djibouti has stated that he is qualified to serve as the next head of the African Union Commission, provided certain conditions are met.

The continental organization is set to elect the Commission’s top leadership, including a new chairperson to succeed current politician and diplomat Moussa Faki Mahamat, during its upcoming ordinary summit in Addis Ababa, scheduled for mid-February next year.

According to the election’s interregional rotation, the eastern region will present candidates for the chairperson position, while the northern region will nominate candidates for the deputy chairperson role. Additionally, the central, southern, and western regions are expected to submit at least two candidates each for the six Commissioner portfolios.

Among the candidates for chairperson are former Kenyan Prime Minister Raila Amolo Odinga, former Madagascar Foreign Minister Richard Randriamandrato, and Djiboutian Foreign Minister Mahamoud Ali Youssouf.

Mahamoud Ali Youssouf met with the media at the Djibouti Embassy the day before a debate at the AU headquarters in Addis Ababa to outline his goals if elected chair of the AU Commission, an organization he has been familiar with for over thirty years.

The 59-year-old career diplomat stated that while the continent’s leaders will ultimately choose the best candidate, his extensive experience makes him uniquely qualified to lead the AU Commission for the next four years.

“I believe we should prioritize expertise in multilateral diplomacy,” he remarked.

When asked what distinguishes him as the right person to lead the continental organization, Ali Youssouf responded, “It is crucial for our leaders to recognize that I possess a deep understanding of the organization.”

“I stand out among the candidates because I have attended all of the African Union’s conferences and meetings for the past thirty years, and I continue to be actively engaged in diplomacy,” he added.

In February, he emphasized that the continent’s leaders would make a rational decision: “The most important thing is not my humble self; the most important thing is the opinion of our leaders, who will choose the best person to take on the responsibility of leading the commission—not for my sake, but for the sake of the continent.”

Ali Youssouf has served as a prominent diplomat for his nation for 20 of his 33 years of experience. “Today is the day of the youth and women on the continent,” he stated during a press conference on Thursday, December 12. He announced his candidacy for the chairperson of the AU Commission, aiming to provide leadership and vision that prioritizes the wellbeing of citizens, particularly women and youth.

Youssouf declared, “I will make a difference, especially in the sectors of peace, security, and stability, by working hard to improve coordination and synergy.”

He states, “If elected, I will ensure that coordination and synergy prevail in the international management of the commission, with transparency and accountability as the guiding principles of my leadership.”

He also expresses, “I will propose a specific methodology to our leaders, focusing on the continent’s top priorities and introducing innovative ideas.”

He emphasizes the importance of prioritizing the implementation of decisions made by member states. 

“We make many decisions, but the implementation rate is very low,” he noted, referencing the African Union’s experience. He pointed out that the first ten-year plan, which concluded in 2024, had an execution rate of only 37%. “That rate needs to be increased and improved,” he added.

Furthermore, he highlighted that the digital revolution is a key aspect of his leadership approach. “I will ensure that youth and women are included at all levels of responsibility and decision-making within the African Union’s policy framework,” he stated.

Strategies for the Continent

The candidate acknowledged that achieving the goals of the African Continental Free Trade Agreement (AfCFTA) will require a series of actions.

He emphasized, “We must recognize that there is a significant challenge regarding infrastructure if we want to create the conditions for the seamless movement of people and goods across borders.”

“We need infrastructure, including railways and roads, as well as the African open sky policy,” he said, highlighting the role of Ethiopian Airlines in enhancing connectivity across the continent.

“However, if the continent does not have enough airline companies operating throughout the region,” he continued, referencing the nearly 35 countries that have previously adopted the open sky policy.

“We need more continental carriers for our cargo, particularly air transport,” he added, noting that while Ethiopian Airlines is performing well, it may be the only carrier on the continent.

“Under my leadership, the new commission will work to address these obstacles to make the continent’s integration, development, and economic growth a reality,” he stated.

Regarding the bilateral meeting, he expressed that if elected, he would implement the Banjul Formula. This 2006 African Union (AU) decision aims to ensure effective representation and negotiation at bilateral summits between African nations and external partners.

The formula specifies that the AU will select 15 African leaders to attend summits, including the heads of the five regions of the continent. Additionally, the AU permits all leaders to participate in summits such as FOCAC and TICAD.

“We do not even adhere to that control formula, which is the issue. Therefore, we must focus on how we, as African Union members, respect and follow the laws we have established. If elected, we will make a concerted effort to uphold the laws we have personally supported,” he stated.

In addressing concerns about certain African governments demanding the withdrawal of foreign military forces, the candidate asserted that military cooperation is essential. He emphasized that Africa needs partnerships with states capable of providing military power, expertise, and other resources.

“Our ultimate objective is for Africa to achieve self-sufficiency in every aspect—economically, politically, and in terms of security. Independence is essential. If elected, I will work towards these goals. While I do not claim to have immediate solutions, I do grasp the continent’s strategic objectives,” he explained.

On the issue of landlocked nations accessing the sea, he noted that the United Nations Convention on the Law of the Sea (UNCLOS) explicitly guarantees free, predictable, and unrestricted access to the sea for these nations.

“We must make a concerted effort to ensure that landlocked countries have a legitimate right to access the sea, and this must be done within the framework of international law,” he continued.

He emphasized the importance of Ethiopia and Somalia resolving their differences in Ankara. “Djibouti also proposed an alternative to Ethiopia even before the declaration agreement in Ankara,” he added.

Sber hosts first meeting of International AI Alliance

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By our staff reporter

Sber’s HQ in Moscow hosted the inauguration session of AI Alliance Network, an international AI alliance.

Launched during AI Journey, the Alliance united AI associations from Azerbaijan, Belarus, Brazil, India, Indonesia, Iran, China, Cuba, Morocco, Russia, Serbia, Chile, Ethiopia and South Africa. Alliance members discussed the key lines of AI development in their countries and presented some suggestions regarding future cooperation.

The participants of the meeting were welcomed by Deputy Prime Minister of Russia Dmitry Chernyshenko, who spoke about the main lines of AI implementation in Russia and invited representatives of the Alliance to participate in the international research  foresight session on artificial intelligence that is scheduled to be held next year. 

“As President Vladimir Putin has said, Russia invites Alliance members to participate in an international scientific foresight session in 2025 to outline our mutual research priorities. There we will discuss these research priorities, as well as mechanisms for selecting and funding the most relevant studies. Russia intends to develop equal, mutually respectful international relations to form a common space of trusted AI technology. The Alliance will help develop datasets that take into account the cultural differences and uniqueness of each of our states. We are interested in having AI products and AI agents that will spread our common values, enhance human potential, and contribute to the prosperity of the BRICS countries,” Dmitry Chernyshenko  stated.

Alexander Vedyakhin, first deputy chairman of the Executive Board of Sberbank, chairman of the supervisory board of AI Alliance Russia:

“Today we have gathered here to open a new page in the history of cooperation between countries representing different continents and cultures. Our goal is to unite the efforts of the best experts, scientists and entrepreneurs to create a safe, ethical, and inclusive AIpowered future. It should rely on artificial intelligence, which changes our lives for the better as we speak, ensures sustainable evelopment, and meets the global challenges of our time. We believe that by working together, we can overcome any obstacles and build a world where technology serves the benefit of all humanity. I am confident that the Alliance will become a reliable platform for interaction and will open up uniqueopportunities for joint technology development.”

The Alliance was also addressed by Pavel Knyazev, Ambassador-at-Large of the Russian Ministry of Foreign Affairs, Russia’s Sous-Sherpa for BRICS, and Mehdi Snene, Senior Advisor on Artificial Intelligence and Digital Transformation, Office of the Secretary General’s Envoy on Technology

The meeting participants agreed that the secretariat of the Alliance would be administered by AI Alliance Russia. Andrey Neznamov, head of the Russian AI Alliance’s working group for international cooperation, was elected Secretary General of the AI Alliance Network.