Africa continues to receive unequal treatment by world money lenders

As heads of state this week gathered to find a solution to the global warming crisis – ending the three-day inaugural Africa climate summit at the Kenya International Convention Centre – the role of big polluters, rich western nations who have failed to honour billions in pledges to help Africa fight the scourge, again reared its ugly head.

Dangling crumbs from the master’s table, US President Joe Biden’s climate envoy John Kerry announced his country’s intention to provide an additional $30 million (about R577 million) “to accelerate climate resilient food security efforts across Africa”. What a pittance.

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No wonder the gesture was immediately dismissed as “not nearly enough” by climate change observers Kennedy Nganga and Gerald Beuchelt, who have been following proceedings at the summit.

“This amount is not nearly enough to accelerate climate adaptation at the grassroots,” said Nganga.

“Does that cover your kerosene cost for your private jet? Seriously, this could easily have been done over a zoom meeting,” said Beuchelt.

In his address, intellectually savvy Kenyan President William Ruto wasted no time in reminding the audience of the impact of inequality in the international financial system – debt distress, worsened by the climate crisis, which he said, has caused “untold suffering and impoverishment in Africa”.

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On average, said Ruto, developing countries paid five times as much as advanced economies when borrowing from financial markets. At the core is the unequal treatment of Africa by world money lenders.

This is what has driven emerging economies to express interest in joining Brics – ready to open an account with its New Development Bank.

Can you blame Africa countries, when all that they reap from the Bretton Woods Agreement on monetary management is an untransformed system, which has continued to only favour the US, Canada, western Europe and Australia – among other 44 countries.

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Signed in 1944, the agreement has only served to keep Africa and the global south out of the real economic growth through paying higher interests when borrowing.

Said Ruto: “Let me be clear, these conversations are necessary. Africa’s carbon footprint remains small, but the human toll of climate change is disproportionately high.

“The urgency to address loss and to configure appropriate financial mechanisms for resilience, grows with each extreme weather event.”

Not mincing his words, UN secretary-general Antonio Manuel de Oliveira Guterres concurred: “An injustice burns at the heart of the climate crisis. And its flame is scorching hopes and possibilities here in Africa.

“This continent accounts for less than four per cent of global emissions. Yet it suffers some of the worst effects of rising temperatures.

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“The blow inflicted on development is all around with growing hunger and displacement. Shattered infrastructure. Systems stretched to the limit. All aggravated by climate chaos not of your making.”

Calling for climate action, said Guterres: “First, we need far greater climate ambition, with countries hitting fast-forward. And the largest emitters must lead the charge.

“And here from Africa I make a very strong appeal to the large emitters, the G20 countries that are responsible for 80% of the emissions that will be meeting this week in Delhi.

“Assume your responsibilities.”