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Africa: Addressing debt challenges in State-Owned Enterprises

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In a concerted effort to tackle the growing challenges of State-Owned Enterprise (SOE) debt in Africa, the United Nations Economic Commission for Africa (ECA) hosted a high-level workshop in Pretoria from 21 to 23 August 2024. The event brought together finance policymakers, industry experts, and international organizations to share best practices and develop strategic solutions for effective SOE debt management across the continent.

The workshop brought together officials from the Ministries of Finance of Cameroon, Ethiopia, Ghana, Nigeria, South Africa, and Zambia, along with representatives from UNDP, the African Forum and Network on Debt and Development, and major state-owned entities. The focus was on enhancing governance frameworks, improving financial oversight, and exploring privatization options.

Participants discussed the critical role of SOEs in driving national development, acknowledging that while these entities have the potential to bolster economic growth and address market deficiencies, they also pose significant risks to government finances. The workshop highlighted that poorly managed SOEs can lead to severe financial burdens, potentially destabilizing national budgets and contributing to the deterioration of sovereign credit ratings.

“In many African countries, SOEs play a vital socio-economic role. This workshop comes at a critical time for Africa’s development, with both SOE and government finances under pressure amid cascading crises and multiple shocks,” said Zuzana Schwidrowski, Director of the Macroeconomics, Finance, and Governance Division (MFGD) at ECA, in her opening remarks.

Ms Schwidrowski noted that “critical public services tend to deteriorate alongside SOEs’ financial difficulties, leading to a downward spiral of weakened service delivery and growth.” That is why ECA organized this capacity-building workshop “to develop practical solutions and options for Africa,” she added.

The discussions also underscored the importance of corporate governance, risk management, and internal oversight as drivers of reform. Participants shared successful approaches to SOE debt management and identified key barriers, including challenges related to mandate delivery and the intricate links between sovereign and SOE credit ratings.

Lee Everts, Chief of the Macroeconomic Analysis Section in MFGD, emphasized the need for a multifaceted approach to address the rising SOE debt. “Financial restructuring, governance and operational improvements, and in some cases, privatization or asset sales, are essential steps to mitigate the risks posed by SOE debt,” she said.

The workshop, organized by ECA’s Macroeconomics, Finance, and Governance Division in collaboration with its Sub-Regional Office for Southern Africa, is part of a broader series of capacity-building initiatives aimed at strengthening public debt management across Africa. ECA remains committed to supporting African nations in implementing innovative and robust solutions to the persistent challenges posed by SOE debt and related government liabilities.

Distributed by APO Group on behalf of United Nations Economic Commission for Africa (ECA).

Medical Needs Soar after 500 Days of War in Sudan

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27 August 2024 marks 500 days since the War in Sudan, and the country began enduring its worst humanitarian crisis yet. This is a shameful moment for international humanitarian organisations and donors, who for over 16 months have failed to provide an adequate response to the country’s escalating medical needs, from catastrophic child malnutrition to widespread disease outbreaks. Heavy restrictions from both warring parties have drastically limited capacities, including ours, to deliver aid, says Doctors Without Borders (MSF)

Fighting between the Rapid Support Forces (RSF) and the Sudanese Armed Forces (SAF), starting from the capital, Khartoum, on April 15, 2023, has been raging across multiple parts of the country, triggering an unprecedented humanitarian crisis in Sudan. The conflict has left tens of thousands of people killed and injured. Between April 2023 and June 2024, MSF treated 11,985 war-wounded at supported hospitals. The violence has created the world’s largest displacement crisis: over 10 million people, or one in five people in Sudan, have been forced to flee their homes, many of them facing repeated displacement, according to the UN.

As political solutions for the crisis stagger, malnutrition rises amid increasing food prices and a lack of humanitarian supplies. Beyond the catastrophic situation in North Darfur’s Zamzam camp, MSF’s inpatient therapeutic feeding centres in other areas of Darfur, like El Geneina, Nyala and Rokero, are full of patients, and the same applies to refugee camps where we operate in eastern Chad. Since the onset of the war until June 2024, we have treated 34,751 acutely malnourished children in Sudan.

“Today, children are dying of malnutrition across Sudan. The help they most urgently need is barely coming, and, when it does, it is often blocked,” says Tuna Turkmen, MSF Emergency Coordinator in Darfur. “In July, for instance, trucks with MSF supplies in two different locations in Darfur were blocked from reaching their destination. RSF held two trucks, and unknown armed men seized one”. The situation is also challenging in east and central Sudan. MSF has been blocked from bringing medical supplies and international staff to hospitals in south Khartoum for many months.

In addition to man-made impediments imposed or tolerated by the warring parties, including lawlessness, insecurity, bureaucratic obstacles, and delayed or denied permissions to reach affected populations, which have significantly slowed down the humanitarian response, natural impediments are now also hampering movements of humanitarian personnel and supplies. 

The rainy season, an annual occurrence that exacerbates needs and complicates movements, is at its peak. Heavy rains have flooded crossing points and washed off critical roads and bridges. With the collapse of the Mornei bridge in West Darfur, the only lifeline route connecting Central and South Darfur with Chad, from where supplies arrive, millions of people will not be able to receive assistance coming by road. 

We already see an uptick in malaria cases and water-borne diseases, with cholera outbreaks now declared in at least three states. The threat of vaccine-preventable diseases among children, such as measles, is looming, with the war putting immunization campaigns on hold. 

Meanwhile, the conflict has put nearly 80% of the health facilities out of service, according to the World Health Organization, crippling an already struggling health system. In El Fasher alone, MSF-supported facilities were attacked 12 times, and only one public hospital remains partially functional with the ability to perform surgery since fighting escalated in the city in May. 

Most recently, on 22 August at around 4:40 am, shelling struck the house, accommodating part of the MSF team working in El Fasher and Zamzam. Fortunately, the damage was only material, and no one in the house was injured. This constitutes the 84th violent incident against MSF staff, vehicles and premises in Sudan since the start of this conflict, which has been characterised by a glaring disregard for the protection of civilians, as well as health personnel and facilities.

The situation is not much better in neighbouring countries, where about two million have sought refuge, often separating from their dear ones. “My husband has been missing for over a year and I don’t know where he is,” says Um Adel, a woman in Metche, a camp in eastern Chad. “[My son] Khalid was fine, until the food started to diminish. After a day or two of not eating well, he developed a high fever. I don’t feel comfortable here and the situation is not good, I want to go back to Sudan.”Warring parties and member states with influence over them must ensure the protection of civilians, health personnel and medical facilities. Responsible authorities on both sides of the conflict must simplify the processes granting permissions for humanitarian movements and personnel through all available routes across borders, states, and frontlines, and provide prompt responses. The United Nations, relevant agencies and anyone with the power to help must employ all measures to ensure that available access routes are utilized to their fullest extent.

We are also struggling to get supplies and staff to our projects. In tandem with access, securing sustained funding to UN agencies, as well as local organisations and responders, who are carrying the brunt of this response, is also essential,” says Esperanza Santos, MSF Emergency Coordinator in Port Sudan. “A meaningful response with aid reaching people who need it most must start now. There is no more time to waste.”

MSF is one of the few international organizations working on both sides of the conflict in Sudan. It currently runs and supports medical projects, including over 20 primary healthcare clinics and hospitals across 8 of Sudan’s 18 states. MSF employs 926 Sudanese staff and 118 international staff, and it provides incentives to 1,092 Ministry of Health staff.

Distributed by APO Group on behalf of Médecins sans frontières (MSF).

Lagos state and World Health Organization (WHO) collaborate for a healthier population

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The World Health Organization (WHO) Country Representative (WR), Dr Walter Kazadi Mulombo, has reiterated the organisation’s commitment to supporting the Lagos State Government in its quest to improve health indices and the quality of care for the state’s population.

Dr Mulombo made the statement during a courtesy visit to the Governor of Lagos State, Babajide Sanwo-Olu. 

Supportive intervention 
The WR recalled that Mr Sanwo-Olu had expressed his commitment to improving health indices and the quality of care in Lagos State during their previous visit to Chatham House in London.

While acknowledging the significant milestones achieved by the Lagos State in the healthcare sector, Dr Mulombo pledged WHO’s commitment to partner with the state government to ‘Walk the Talk” in collaborating for a healthier population. 

He added, “Counting on Mr Sanwo-Olu’s leadership, WHO is willing to partner with the Lagos State government to strengthen human Resources for Health. By building a skilled and responsive health workforce, Nigeria can improve health outcomes and strengthen the overall health system in Lagos.” It is worth noting that Lagos State leads the Health Insurance scheme, exceeding the target of one million enrollees per state, and contributes over 10% of the national GDP. Likewise, the state has been attracting medical practitioners from the diaspora, mirroring the medical tourism trend in India. 
Recall that Lagos was the first state to report the COVID-19 and Ebola outbreaks in the country in 2020 and 2014, respectively and successfully managed the outbreaks in record time. 

Commending the state government’s PHC reforms, Dr Mulombo also informed the Governor that Lagos State that WHO will be piloting the global framework for strengthening health emergencies and preparedness in cities and urban areas  in Lagos state.

On the response to the ongoing cholera outbreak in the state, the WR said the current cholera situation necessitates an escalated response to prevent further spread and fatalities.

He also stressed the need for a holistic approach integrating health interventions with environmental sustainability. “The health of the population is intrinsically linked to the environment. We must adopt strategies addressing health and ecological challenges to achieve sustainable development.

Collaboration for a Healthier Population 
In his remark, the Lagos State Governor strongly supported the WHO framework and its implementation in Lagos. The Governor expressed gratitude for WHO’s support under the WR. He said he is committed to enhancing emergency preparedness efforts, improving infrastructure, and fostering collaboration among various stakeholders to build a resilient city.

He promised to transform the WHO office in Lagos into a mini country office and urged WR to spend more time there. “We are grateful for WHO’s partnership and support in our fight against cholera and other health challenges. Our administration is dedicated to creating a healthier Lagos by investing in health infrastructure, promoting environmental sanitation, and ensuring access to clean water.

We recognise the critical role of partnerships in achieving our health objectives. WHO’s support is invaluable, and we look forward to continued collaboration to enhance the health and well-being of our people,” he said.

Mr Sanwo-Olu said Lagos, as the country’s commercial nerve centre, has exhibited a high level of resilience and is an investor-friendly environment relevant to people’s needs. 

He explained that the influx of people into the state contributes to surveillance and data challenges in responding to the problem scientifically. 
He, however, acknowledged that areas of improvement for the state include increasing budgetary allocation for health, scaling up provision and access to potable water to an irreversible level in the next twelve months, providing public toilets to reduce open defecation, and building the capacity and competence of health workers to be prepared for and respond to all forms of health emergencies.  

Walking the delegates through the health and environmental plans of the state, Mr Sanwo-Olu highlighted the state’s plans to integrate health and environmental strategies into its development agenda.

He explained that the goal is to create a sustainable and resilient health system that prioritises the well-being of our citizens. 
We will continue to invest in health infrastructure, promote environmental health, and ensure our policies align with global health standards,” said the Governor.

The visit highlighted the collaborative efforts between WHO and the Lagos State Government in addressing public health challenges. It also served as an opportunity to present to Mr Sanwo-Olu the CCSIV Country Cooperate Strategy 2023 – 2027

The partnership between WHO and Lagos State represents a significant step towards advancing health emergency preparedness in cities and urban settings. 

These initiatives include capacity building for health workers, enhancing disease surveillance systems, and implementing community-based health interventions. 

On the sideline of the visit, the WR also met with the WHO Lagos state, commending them on their efforts to support the government in achieving its Sector-Wide Approach (sWAp)  goal of attaining Universal Health Coverage for Nigerians.

Distributed by APO Group on behalf of World Health Organization (WHO) – Nigeria.

Global strategic preparedness and response plan launched by WHO to contain mpox outbreak

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The World Health Organization (WHO) today launched a global  Strategic Preparedness and Response Plan  to stop outbreaks of human-to-human transmission of mpox through coordinated global, regional, and national efforts. This follows the declaration of a public health emergency of international concern by the WHO Director-General on 14 August.

The current plan is subject to inputs by Member States, who were briefed on the plan on Friday, 23 August.

The plan covers the six-month period of September 2024-February 2025, envisioning a US$135 million funding need for the response by WHO, Member States, partners including Africa Centres for Disease Control and Prevention (Africa CDC), communities, and researchers, among others.

A funding appeal for what WHO needs to deliver on the plan will be launched shortly.

The plan, which builds on the temporary recommendations and  standing recommendations issued by the WHO Director-General, focuses on implementing comprehensive surveillance, prevention, readiness and response strategies; advancing research and equitable access to medical countermeasures like diagnostic tests and vaccines; minimizing animal-to-human transmission; and empowering communities to actively participate in outbreak prevention and control.

Strategic vaccination efforts will focus on individuals at the highest risk, including close contacts of recent cases and healthcare workers, to interrupt transmission chains.

At the global-level, the emphasis is on strategic leadership, timely evidence-based guidance, and access to medical countermeasures for the most at-risk groups in affected countries.

WHO is working with a broad range of international, regional, national and local partners and networks to enhance coordination across key areas of preparedness, readiness and response. This includes engagement with the ACT-Accelerator Principals group; the Standing Committee on Health Emergency Prevention, Preparedness and Response; the R&D Blueprint for Epidemics; and the interim Medical Counter Measures Network (i-MCM Net).

The WHO R&D Blueprint, along with Africa CDC, Coalition for Epidemic Preparedness Innovations (CEPI) and National Institute of Allergy and Infectious Diseases, will host a virtual scientific conference on 29-30 August 2024 to align mpox research with outbreak control goals.

“The mpox outbreaks in the Democratic Republic of the Congo and neighbouring countries can be controlled, and can be stopped,” said Dr Tedros Adhanom Ghebreyesus, WHO Director-General. “Doing so requires a comprehensive and coordinated plan of action between international agencies and national and local partners, civil society, researchers and manufacturers, and our Member States. This SPRP provides that plan, based on the principles of equity, global solidarity, community empowerment, human rights, and coordination across sectors.”

WHO headquarters and regional offices have established incident management support teams to lead preparedness, readiness and response activities, and are significantly scaling up staff in affected countries.

Within the Africa Region, where need is greatest, the WHO Regional Office for Africa (AFRO) in collaboration with Africa CDC, will jointly spearhead the coordination of mpox response efforts. WHO AFRO and Africa CDC have agreed on a one-plan, one-budget approach as part of the Africa Continental Mpox Strategic Preparedness and Response Plan, currently under preparation.

At the national and sub-national level, health authorities will adapt strategies in response to current epidemiological trends.

Distributed by APO Group on behalf of World Health Organization (WHO).