Dzvinka Kachur and Mark Swilling
More than 40 African heads of state return from Sochi after a fervent courting by Russia and with the ink drying on some substantial deals. Ethiopia and Rwanda have sealed nuclear co-operation agreements to bring the number of African countries keen on nuclear development to 18. South Africa is not among them.
The Black Sea retreat that is said to have been years in the making aimed to offer African leaders a renewed sense of partnership with Russia, who played the decolonial card with a firm hand.
African sovereignty, independence and a disdain for bullish western politics was the charm Russian President Vladimir Putin laid on thick. Analysts say the Kremlin claims that it has racked up $12.5-billion in deals over the two-day Russia-Africa summit. But it remains to be seen whether they actually materialise as real investments. The symbolically laden event to bolster co-operation and trade comes as sanctions against Russia persist. Firming up a Russia-Africa trading bloc is clearly a way to escape these constraints by structuring more deals in Russian roubles to improve economic stability.
Russian economic presence on the African continent is quite small. The $20-billion trade with all African countries is almost two times smaller than African deals with France and pales in comparison with China’s almost $200-billion worth of investments in Africa. So, what is Russia’s plan for saving African countries from the West?
To start, Putin has announced the forgiveness of the Soviet Union-era debts to several countries, including Ethiopia, Mozambique and Madagascar. Wiping out debts for Mozambique comes with new agreements that allow Russia’s Rosneft access to the natural gas resources in Mozambique (that could create tensions with China) and co-operation in the military area. Many of the agreements also assume state loans from Russia. The structure of agreements hardly takes a “no strings attached” approach.
Russia is believed to have a long history of using state loans for the political benefit which has often facilitated an opportunity for corruption with its neighbouring countries. South Africa is one country that was on the brink of inking a state loan from Russia to construct a nuclear fleet. Had the almost R1-trillion deal gone through it might have collapsed the South African economy over the long run because of the way energy prices would have been driven relentlessly upwards.
Nuclear energy now costs globally between R1.70 and R2.80/kWh, compared to coal which is R1.30/kWh and renewables which are between 50c and 60c/kWh. Despite the potentially disastrous consequences of the nuclear deal, former South African president Jacob Zuma remained loyal to Russia:
“They would not come for us. They would understand, we would have an agreement to work out another arrangement. We know they [Russia] are trusted people. We know they will never sink us; they will lift us.”
In Putin, Zuma found an ally who shared contempt for western colonisation and hostile western businesses.
Russia has sought a way to take the sting out of finance agreements with business partners, setting out what it calls more favourable conditions for financing, instead of the punitive measures of western institutions. The International Agency of Sovereign Development RBK (IASD) launched earlier this year was promoted at the summit. The agency has already facilitated $2.5-billion worth of deals with Niger, Guinea and the Democratic Republic of Congo.
The non-state agency was positioned as a general partner of the summit and constitutes a collective of “consultants” with headquarters in Moscow. It is headed by Konstantin Malofeev, who was closely connected to the mercenary activities in Eastern Ukraine. Malofeev says:
“We have a network of direct contacts at the highest level with governments, institutions, corporations and investors around the world. We are supporting economic reforms in the countries which are trying to get out of economic and financial dependency of the western countries… Our goal is decolonisation, identifying infrastructural projects for investments.” Transparency is not part of this decolonial project as Malofeev has refused to disclose funding sources.
Military co-operation appears to be another central pivot for Russia which has pursued security contracts with more than 40 African countries to the tune of $3-billion in 2018.
“We will continue our course towards expanding contacts between the special services and law enforcement agencies of Russia and Africa in the field of combating terrorism, organised crime, drug trafficking, money laundering, illegal migration and piracy,” explained Putin.
The contracts foresee supplying military equipment, training military personnel, establishing service centres for Russian military equipment and more. Some deals are more than just an exchange of money for hardware and expertise though. Russia has received access to decision-making circles in Sudan’s Ministry of Defence, while Russian citizen Valeriy Zakharov was appointed national security adviser to the President of the Central African Republic (CAR).
Russia’s other leverage for earning state credit is the energy sector. Russia’s national nuclear corporation, Rosatom, is at different stages of negotiating nuclear power plant construction with more than 15 countries in Africa. The closest to implementation is the nuclear power plant on the Mediterranean coast in El Daaba, Egypt, where four third-generation VVER 1200 reactors are planned by 2028-2029.
Russia provides most of the funding, 85%, of the $21-billion nuclear power plant. In addition, Rosatom gets a 60-year servicing contract to maintain the reactors. Among other countries negotiating for nuclear plants are Nigeria, Uganda, Rwanda, Ghana and more. Most of these countries lack the capacity to distribute the amount of energy that these nuclear plants will produce.
It may still be a bit early for citizens of African countries to worry — out of the 26 reactors that were planned for the end of 2014, only five came online in 2018. However, those who do bow to pressure and agree to the construction of a nuclear power plant will soon discover that a Russian nuclear power plant is more than just an energy generator: it is more akin to a hybrid combination of a powerful embassy and a military base, complete with a sovereign guarantee to cover the loan finance.
In the months leading up to the summit, Russian officials met with almost all of their African counterparts. Each meeting would start with the story of the common history of the struggle for political and economic independence against the West. The ideological push from Russia is that western countries are out to exploit African nations, while Russia is a partner for development and an ally at the international level.
It would do well for African states to remember that Russia is a country where racism and homophobia in public discourse are rife. In September 2019, the CEO of Russian VTB bank Andrey Kostin addressed the Mozambican government saying:
“I hope our black friends in Mozambique are listening to this”. It begs the question: how will Putin’s revival of European fascist ideas associated with the fascist writer Ivan Ilyin and propagated by the highly influential Izborsk Club be reconciled with what it will take to build trust-based relationships with African leaders?
The Izborsk Club includes Putin confidantes like Alexander Dugin, Sergei Glazyev, Tikhon Shevkunov and founder Alexander Prokhanov. Prokhanov blames the Jews for the Holocaust and when he heard that a delegation of Russians had met President Barack Obama he moaned that it was “as if they had all been given a black teat, and they all suck at it with lust and mammalian smacking… In the end, I was humiliated by this.”
In Prokhanov’s eyes Europe is dying:
“The white race is perishing: gay marriages, pederasts rule the cities, women can’t find men.” This is the man who has accompanied Putin on radio shows and whose ideas shape Putin’s Eurasian expansionism.
What may bind Russians and Africans together would be strident nationalism and anti-West sentiment (especially with the likes of Trump and Johnson in power); but tensions may arise when Africans become aware of the white supremacist ideas that are core to the ideology that the Putin power elite likes to propagate within the Russian cultural-polity. Ironically, there is very little to distinguish between the ideologies propagated by Trump adviser Steve Bannon and Putin thought leader Alexander Prokhanov.
Russia is an active international player that was part of the G8 prior to its illegal annexation of Ukrainian Crimea. It has veto power in the UN Security Council and is a member of BRICS. The opportunity to strengthen its sphere of influence by courting 55 African countries’ allegiance is worth the effort of the mammoth undertaking of organising this summit. After all, those African nations hold 25% of votes in the UN.
In 2014, when Russia annexed Crimea and UN Resolution 68/262 was adopted on March 27 2014 (“Territorial integrity of Ukraine”), 18 African countries voted in support of the resolution. Only two countries, Sudan and Zimbabwe, supported the Russian position in 2014. On a similar vote in 2018, the total number rose to eight countries: Burundi, Chad, Comoro, Eritrea, Sudan, South Sudan, Zimbabwe, Uganda and South Africa.
As Russia sets out to reshape global geopolitics, African leaders should not forget that the Russian economy is struggling, with GDP growth that is predicted to be a mere 1.3% in 2019, averaging 0.32% over the period 2015 to 2019. The levels of poverty in some areas in Russia are comparable to those in many African countries. Racism, homophobia, a constricted civil society and curtailed human rights are all hallmarks of the Russian Federation under Putin. Africans should be under no illusion about who their suitor really is, especially those who value their democratic institutions and practices.
Dzvinka Kachur and Mark Swilling write for the Centre for Complex Systems in Transition Stellenbosch University.
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Rolex watches
Understanding COSC Certification and Its Importance in Watchmaking
COSC Certification and its Demanding Criteria
COSC, or the Controle Officiel Suisse des Chronometres, is the authorized Swiss testing agency that attests to the accuracy and precision of timepieces. COSC certification is a mark of quality craftsmanship and trustworthiness in timekeeping. Not all timepiece brands follow COSC accreditation, such as Hublot, which instead sticks to its proprietary strict criteria with mechanisms like the UNICO, attaining equivalent precision.
The Art of Precision Timekeeping
The core system of a mechanized timepiece involves the spring, which supplies power as it unwinds. This mechanism, however, can be vulnerable to external elements that may influence its precision. COSC-accredited mechanisms undergo demanding testing—over fifteen days in various conditions (5 positions, three temperatures)—to ensure their resilience and dependability. The tests assess:
Mean daily rate precision between -4 and +6 secs.
Mean variation, highest variation levels, and effects of thermal variations.
Why COSC Accreditation Matters
For timepiece aficionados and collectors, a COSC-accredited timepiece isn’t just a piece of technology but a proof to enduring excellence and accuracy. It signifies a timepiece that:
Offers outstanding reliability and accuracy.
Ensures confidence of quality across the entire construction of the watch.
Is apt to maintain its worth more effectively, making it a smart investment.
Well-known Timepiece Manufacturers
Several renowned manufacturers prioritize COSC validation for their watches, including Rolex, Omega, Breitling, and Longines, among others. Longines, for instance, presents collections like the Archive and Spirit, which showcase COSC-accredited movements equipped with advanced substances like silicon balance suspensions to improve durability and efficiency.
Historical Background and the Development of Timepieces
The concept of the chronometer originates back to the need for precise chronometry for navigation at sea, emphasized by John Harrison’s work in the eighteenth century. Since the official establishment of COSC in 1973, the accreditation has become a benchmark for judging the precision of high-end watches, maintaining a legacy of excellence in watchmaking.
Conclusion
Owning a COSC-accredited timepiece is more than an aesthetic choice; it’s a dedication to excellence and accuracy. For those valuing accuracy above all, the COSC validation provides peacefulness of thoughts, guaranteeing that each certified watch will perform reliably under various circumstances. Whether for individual contentment or as an investment, COSC-certified timepieces stand out in the world of horology, maintaining on a tradition of meticulous chronometry.
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로드스탁과의 레버리지 스탁: 투자의 신규 분야
로드스탁에서 제공하는 레버리지 스탁은 증권 투자법의 한 방법으로, 높은 이익율을 목표로 하는 투자자들에게 매혹적인 선택입니다. 레버리지를 이용하는 이 전략은 투자자가 자신의 자본을 초과하는 투자금을 투자할 수 있도록 하여, 주식 시장에서 훨씬 큰 영향력을 행사할 수 있는 기회를 줍니다.
레버리지 스탁의 기본 원칙
레버리지 스탁은 일반적으로 자금을 차입하여 운용하는 방식입니다. 사례를 들어, 100만 원의 투자금으로 1,000만 원 상당의 주식을 취득할 수 있는데, 이는 투자자가 기본 투자 금액보다 훨씬 훨씬 더 많은 증권을 취득하여, 주식 가격이 올라갈 경우 해당하는 훨씬 더 큰 이익을 획득할 수 있게 됩니다. 그렇지만, 주식 가격이 떨어질 경우에는 그 손실 또한 커질 수 있으므로, 레버리지 사용을 사용할 때는 신중해야 합니다.
투자 계획과 레버리지
레버리지는 특히 성장 가능성이 큰 기업에 투입할 때 유용합니다. 이러한 기업에 상당한 비율로 투자하면, 잘 될 경우 상당한 수익을 획득할 수 있지만, 반대 경우의 경우 많은 위험도 감수하게 됩니다. 그렇기 때문에, 투자자는 자신의 리스크 관리 능력을 가진 시장 분석을 통해 통해, 일정한 사업체에 얼마만큼의 자금을 투입할지 결정하게 됩니다 합니다.
레버리지의 장점과 위험 요소
레버리지 방식의 스탁은 높은 이익을 약속하지만, 그만큼 높은 위험도 수반합니다. 증권 시장의 변동성은 예측이 힘들기 때문에, 레버리지 사용을 이용할 때는 항상 상장 동향을 세심하게 주시하고, 손실을 최소화할 수 있는 계획을 마련해야 합니다.
최종적으로: 세심한 고르기가 요구됩니다
로드스탁을 통해 제공하는 레버리지 스탁은 강력한 투자 도구이며, 적절히 이용하면 큰 수익을 벌어들일 수 있습니다. 그러나 상당한 리스크도 고려해야 하며, 투자 결정이 충분히 많은 사실과 신중한 생각 후에 진행되어야 합니다. 투자자 자신의 재정 상황, 위험을 감수하는 능력, 그리고 시장 상황을 반영한 조화로운 투자 전략이 중요하며.