Debt Relief and a New Era in Canadian-African Relations

African debt relief has repeatedly appeared in news around the world over the past month. Recently, the debate has come to Canada and the Government has claimed they’re considering it.  Here are two reasons why Canada should pursue African debt relief.

The first reason is simple: It will save lives. The Coronavirus pandemic has yet to hit Africa as hard as other continents – at least according to official statistics – but for most states in sub-Saharan Africa, the general healthcare infrastructure in not well developed and COVID-19 test kits are in critically short supply. This could mean the COVID-19 outbreak in Africa is already spreading rapidly, we just won’t see this rise in cases until it is too late. If the pandemic were to take hold in Africa, the consequences could be devastating. The World Food Programme (WFP) has warned that the pandemic could leave 265 million people suffering from acute hunger by the end of 2020; double the current total.

Many African nations’ finances are already stretched, and the burdened of short-term debt repayment is particularly acute in Africa. Debt relief would allow nations to quickly shift more money to their healthcare sectors, and would undoubtably save lives.Debt owed to Canadian companies is not a significant factor in Africa, and Canadian debt relief alone will not suddenly solve all the problems on the African continent. However, it will do its part in relieving pressure on some governments, and allow them to focus on the coronavirus pandemic.

The second reason Canada should pursue debt relief is more long-term in its reasoning, and some would say, a more opportunistic approach. Canada should pursue debt relief as a method to improve its relationships with the nations of sub-Saharan Africa, and begin a new era in Canadian-African relations. Canada should always help nations in their times of need, and Canada already has a reputation of doing so. However, Canada should also pursue a foreign policy objective of significantly raising Canadian-African relations. Debt relief during a time of pandemic is simply a good time to meet both of these goals at once.

Canada maintains an embassy in only about one-fourth of all African nations, and adding non-embassy representations to the total only raises the final tally to just four-tenths of African nations; paltry numbers. In comparison, the United States, France, the United Kingdom, Turkey, Russia, and China have diplomatic representatives in nearly every single African nation.

Even demographically-smaller nations, such as the Netherlands and Belgium, and economically-comparable nations, such as South Korea and Spain, have more diplomatic representation in Africa. Clearly, the Government of Canada has looked past Africa on the diplomatic front. With that being said, why does Canada need better relations with Africa? And how will this benefit them? The reasons are clear; Sub-Saharan African economies will be the growth champions of the future, and Canada is uniquely placed to aid in the development of these economies and mutually benefit from their growth.

By Western standards, much of sub-Saharan Africa may be considered poor and underdeveloped. However, things are not standing still in Africa. Take Rwanda for instance, a country etched into the collective Canadian memory through the tragic attempts of Roméo Dallaire and the subsequent Rwandan genocide. Our impressions of Rwanda have remained the same for the past two and a half decades, but Rwanda itself has not remained static. Rwanda’s per capita GDP has grown more than six-fold since 1994, and the nation aims to join the ranks of the global ‘Middle Income’ nations by 2035, and become a ‘High-Income Country’ by 2050. Rwanda is no exceptional case either. Ethiopia, Côte d’Ivoire, Senegal, Ghana, Kenya, and Uganda, just to name a few, are experiencing similarly rapid growth rates.

Canada is exceptionally well-placed to play an important role in sub-Saharan Africa’s economic development. Most of sub-Saharan Africa uses French or English as their lingua franca and business language. As education increases, these languages will become even more important and ubiquitous within these countries. English and French happen to be the two official languages of Canada as well. Canadian companies and diplomatic missions will have no problem conducting business in either language, giving them a leg-up with the competition.

While France and Britain may have deep ties in Africa, both are looked upon with suspicion by their former colonies, which may present Canada with opportunities. Likewise, China has no colonial-baggage and has invested massively in Africa over the last decade. But China too is becoming increasingly criticized across the continent. Whether because of their so called “debt trap diplomacy” in Africa, or due to the diplomatic backlash that they have recently faced because of the mistreatment of Africans in various Chinese cities, China has lost a lot of their reputation in Africa, and their tactics are seen more and more as neo-colonialist.

To their credit, Canada has recently begun to slowly reengage with Africa, but with a sole purpose. Canada is looking to gain a non-permanent seat on the UN Security Council, and their election strategy runs through Africa. In this regard, Prime Minister Justin Trudeau made an eight-day working-trip to Ethiopia’s capital, and seat of the African Union, Addis Ababa, and to Senegal in early February. Trudeau’s trip to Africa was considered a success, and Senegalese President Macky Sall even publicly pledged to support Canada’s bid for a seat on the UN Security Council. However, the trip also highlighted Canada’s lack of African policy and need for an African-focus in times other than simply when African votes are needed in the UN. Peace and security are the largest priorities for the African Union, and as Alice Musabende puts it “Canada has been largely absent from those discussions.”

Canada needs to engage more regularly with African nations and should position itself as a champion in the ethical development of African economies, while also aiming to improve human rights and democratic institutions. As nations like China continue to maneuver to become dominant players in the African economy, and do so in an exploitative and uncaring way, Canada should lead the way in fostering ethical and sustainable growth and trade.

Canada alone will not change the fate of Africa, and they must take measures to attract like-minded nations to rally around the cause. However, leading by example and setting a bold precedent in Africa will gain Canada a reputation as a nation striving for change. Canada is exceptionally well placed to help African nations in their time of need, and to develop strong and long-lasting bonds that will pay dividends in the future. Canada needs to begin a new era in Canadian-African relations, and debt relief is simply the start. As Prime Minister Trudeau rightly stated “We have everything to gain by working together.”