Wednesday, January 5, 2011
Africa: Open for business like never before
Africa's new generation of entrepreneurs show extraordinary ingenuity. They are determined visionaries who find solutions to seemingly impossible challenges and strive to succeed against all odds. Not only are they pulling themselves up by their own bootstraps. They are pulling up an entire continent as well.
The stories of Africa's entrepreneurs are the stories of Africa's heroes. While the media focuses on adversity, they are missing another great story: that of Africa's entrepreneurs who are busy getting down to business.
Take for example Ken Ofori-Atta and Keli Gadzekpo, founders of Databank, an investment group in Accra. The two are ivy-league educated Ghanaians, had top jobs on Wall Street [and with KPMG], but left in the early 1990's to return to Ghana and be part of building the nation. A few years later they launched Epack, Ghana's first mutual fund, which invests in more than half of Africa's stock markets and averaged a whopping 60% annual returns since the fund started.
One of their friends, Hermen Chinery Hesse, a software developer creates software specifically produced to withstand hot and humid climates. He is now launching a new business, Black Star Line, an African version of Paypal, and already has several million dollars backing his venture.
Nearby is Kingsly Awuah-Darko, who came up with new wire transfer technology that is faster and more versatile than existing services. The company, Money Systems International is giving Western Union and Money Gram a serious run for their money. Awuah-Darko explains that with newer technology he was able to leapfrog past long-established competitors to a far more functional and versatile system. The company started in 2002 with about $700,000 transferred that year. Within five years, the total in transferred was over $140 million. Awuah-Darko predicts within the next few years his company will be transferring over a billion a year.
These aren't just Africans solving African problems. Databank's E-pack and other investment services have helped Africans invest in Africa's markets, but also allowed international investors to get into the high-growth phase of Africa's nascent markets. Chinery Hesse's software is good for computer users in Africa, but also for those in any hot and humid climate. Black Star Line will help Africans to buy and sell products [and] also facilitate individuals and companies from all over the world to trade with Africa. Money Systems International doesn't just help Ghanaians in the diaspora to send remittances back home, it also helps Pakistani diaspora, Afghani diaspora, and more.
What is most impressive about today's entrepreneurs in Africa is their determination not to be stopped by even the most insurmountable road block. Ask most people to put a nail into a plank of wood and they will ask for a hammer. If there is no hammer, most will give up. Ask these entrepreneurs and they will say, "Here is a rock, there's a brick, I have my shoe."
Read the entire article here.
Tuesday, January 4, 2011
Off-grid power solutions in rural Kenya: Pt 2
**Update: Check out the corresponding picture slideshow here!
“There are many small islands of success, but they need to go to scale,” said Minoru Takada, chief of the United Nations Development Program’s sustainable energy program. “Off-grid is the answer for the poor. But people who control funding need to see this as a viable option.”
Even United Nations programs and United States government funds that promote climate-friendly energy in developing countries hew to large projects like giant wind farms or industrial-scale solar plants that feed into the grid. A $300 million solar project is much easier to finance and monitor than 10 million home-scale solar systems in mud huts spread across a continent.
As a result, money does not flow to the poorest areas. Of the $162 billion invested in renewable energy last year, according to the United Nations, experts estimate that $44 billion was spent in China, India and Brazil collectively, and $7.5 billion in the many poorer countries.
Only 6 to 7 percent of solar panels are manufactured to produce electricity that does not feed into the grid; that includes systems like Ms. Ruto’s and solar panels that light American parking lots and football stadiums.
Still, some new models are emerging. Husk Power Systems, a young company supported by a mix of private investment and nonprofit funds, has built 60 village power plants in rural India that make electricity from rice husks for 250 hamlets since 2007.
In Nepal and Indonesia, the United Nations Development Program has helped finance the construction of very small hydroelectric plants that have brought electricity to remote mountain communities. Morocco provides subsidized solar home systems at a cost of $100 each to remote rural areas where expanding the national grid is not cost-effective.
What has most surprised some experts in the field is the recent emergence of a true market in Africa for home-scale renewable energy and for appliances that consume less energy. As the cost of reliable equipment decreases, families have proved ever more willing to buy it by selling a goat or borrowing money from a relative overseas, for example.
The explosion of cellphone use in rural Africa has been an enormous motivating factor. Because rural regions of many African countries lack banks, the cellphone has been embraced as a tool for commercial transactions as well as personal communications, adding an incentive to electrify for the sake of recharging.
Off-grid power solutions in rural Kenya: Pt 1
**Update: Check out the corresponding picture slideshow here!
For Sara Ruto, the desperate yearning for electricity began last year with the purchase of her first cellphone, a lifeline for receiving small money transfers, contacting relatives in the city or checking chicken prices at the nearest market.
Charging the phone was no simple matter in this farming village far from Kenya’s electric grid.
Every week, Ms. Ruto walked two miles to hire a motorcycle taxi for the three-hour ride to Mogotio, the nearest town with electricity. There, she dropped off her cellphone at a store that recharges phones for 30 cents. Yet the service was in such demand that she had to leave it behind for three full days before returning.
That wearying routine ended in February when the family sold some animals to buy a small Chinese-made solar power system for about $80. Now balanced precariously atop their tin roof, a lone solar panel provides enough electricity to charge the phone and run four bright overhead lights with switches.
"My main motivation was the phone, but this has changed so many other things," Ms. Ruto said on a recent evening as she relaxed on a bench in the mud-walled shack she shares with her husband and six children.
As small-scale renewable energy becomes cheaper, more reliable and more efficient, it is providing the first drops of modern power to people who live far from slow-growing electricity grids and fuel pipelines in developing countries. Although dwarfed by the big renewable energy projects that many industrialized countries are embracing to rein in greenhouse gas emissions, these tiny systems are playing an epic, transformative role.
Since Ms. Ruto hooked up the system, her teenagers’ grades have improved because they have light for studying. The toddlers no longer risk burns from the smoky kerosene lamp. And each month, she saves $15 in kerosene and battery costs — and the $20 she used to spend on travel.
In fact, neighbors now pay her 20 cents to charge their phones, although that business may soon evaporate: 63 families in Kiptusuri have recently installed their own solar power systems.
Friday, December 31, 2010
Happy New Year!
We'll be back bigger and better in the new year with even more updates! Till then, enjoy the new year celebrations, and all the best for the year to come!!!
Thursday, December 30, 2010
Mentor-mentee sessions start this term!
In the spirit of newness the new year will bring though, we will be adding another aspect to the Programme. For the first time ever, we will run special 'mentor-mentee' sessions in between our Mini Seminars. These will provide all mentor groups with a few structured (and I use that term loosely) sessions in a month where you can meet up. The content covered during these sessions is optional; you are free to decide what exactly you use these sessions for. We do recommend however, that you spend at least some of these sessions to start - or continue if you've done that already - discussing and filling out your Appraisal Forms.
Our Appraisal Forms are an essential part of the Programme as they provide the backbone we use to evaluate your mentoring relationships. In other words, they're what we use to find out how well the Programme is working. Enough about that for now though - we'll have plenty of time to discuss this further during the term. If however you have any questions, feel free to shoot me an email or just leave a comment below.
So that's it for a while, but be sure to check back soon. Happy new year in advance!!!
MasterCard Foundation works with unemployed African youth
Some 200,000 low-income youth in sub-Saharan Africa will benefit from a United Nations-backed initiative announced today to increase access for them to financial services in a region where youth unemployment rates are two to three times that of adults.
YouthStart, co-sponsored by UN Capital Development Fund (UNCDF) and the MasterCard Foundation, which has made a four-year, $12 million contribution, is a competition-based programme that will identify and support up to 12 financial institutions to pilot and roll out sustainable financial services tailored to youth.
“We are excited about the potential for YouthStart to accelerate the establishment of youth financial services in sub-Saharan Africa,” UNCDF Executive Secretary David Morrison said.
“Our strong expertise in ensuring that more households and small businesses gain access to credit, savings, insurance and other financial services that expand opportunities, combined with the Foundation’s network and resources, presents another boost for reducing poverty and accelerating progress towards the Millennium Development Goals (MDGs),” he added, referring to UN targets to slash a host of social ills by 2015.
UNCDF will encourage collaboration among financial institutions and providers of non-financial services to spur innovation and influence policy decisions, enabling youth to participate in inclusive financial sectors.
Today, more than a quarter of the population of sub-Saharan Africa are between the ages of 12 to 24, making this group of youngsters the largest ever to be entering adulthood. Half of them remain illiterate, and young women in particular face a more challenging transition to the workplace and independent adulthood since they are more likely to fail to complete primary education and face increasing insecurity and discrimination in the labour market.
Wednesday, December 29, 2010
New video game educates youth on HIV spread & prevention
The HIV and AIDS pandemic continues to grow, particularly affecting young people around the world. Young people often want to talk to their parents about HIV-related issues, but may find it difficult to do so.
Children may worry about parents’ disapproval and have fears about the risk of becoming infected with HIV. Parents are often shy, lack accurate information about HIV and AIDS, or do not have sufficient skills to speak about prevention with their children, and teachers frequently assume that parents will talk with children at home. Consequently, youth do not receive essential information on HIV and AIDS through the adults who are closest to them.
The computer game “Fast Car: Travelling Safely around the World” aims to provide young people with accurate and reliable information about HIV prevention, intending to educate and entertain as well as promoting healthy behaviour.
The project entitled “Development of interactive multimedia tools on HIV and AIDS for youth” aims to develop more accurate and youth friendly HIV-preventive information materials in interactive multimedia formats which address the needs of young people, in a culturally and gender sensitive manner in order to help young people to gain an accurate understanding and reliable information on HIV and AIDS issues and preventive practices, which may change their behaviour.
The project also aims to fill the gap in the computer games area, particularly in developing educational games, which combine education and entertainment. It is expected that the computer game will be used to promote dialogue, especially balanced-gender relations, and self-expression as well as present and share science content. It is also expected that the technology will be a cost-effective means of widening access to health education programmes.
The game is available for download (free of charge) here. Let me know what you think!
We've been reading...
Huffington Post -- As British Prime Minister I trebled aid to Africa. At the 2005 G8 summit we took far-reaching steps in debt cancellation worth more than $100 billion to the poorest African nations. I am immensely proud of what we achieved at Gleneagles: Every day since, the aid given to developing countries has been saving thousands of lives. But I came to recognize that aid alone is not the answer. The truth is that ultimately Africa's future prosperity lies with the decisions of Africa's leaders. We need leadership that is democratic, accountable and transparent. But in addition, we need leadership that is effective, that can shape plans and deliver policies that will make a difference on the ground. The problem for many African countries is not the absence of the right vision or the right intentions. It is the simple lack of capacity to achieve them..
Leaders leave Ivory Coast talks
BBC -- West African leaders have ended their mission to Ivory Coast, having failed to persuade incumbent President Laurent Gbagbo to stand down. They had hoped Mr Gbagbo would agree to cede power to Allasane Ouattara, widely considered to be the true winner of November's elections. But Mr Gbagbo has refused, despite the leaders' threat of military action. The dispute has led to widespread unrest in Ivory Coast, with thousands fleeing and scores of people killed. State-controlled TV has indicated that several million African nationals from other countries living in Ivory Coast might be at risk if threats from African countries of military intervention against Mr Gbagbo continue...
Behaviour change: Critical for newborn survival
Gates Foundation -- There’s plenty of evidence that simple and affordable interventions can save newborn lives. So why haven’t we been able to translate this knowledge more effectively into gains in newborn survival? A critical problem is getting people to change their behavior. In order for any community-based health intervention to be successful, families and communities must transition to new behaviors. Is there a science or method for enabling a smooth and sustained transition? Where are we falling short in our current efforts towards improving newborn survival? Are there insights from other disciplines that we can integrate into our current understanding of behavior change? These were some of the questions that besieged my colleagues and me as we designed an essential newborn care intervention package for a rural Indian community in 2004, and continue to challenge us even today...
Progress on a roll in Kenya
CIPE -- If you’re working in global development and you have just been tasked with increasing toilet usage and improving personal hygiene in East or Central African slums, your new best friend might be one who is deeply motivated to advance your cause: the local toilet paper company. Family-owned Chandaria Industries Limited (CIL) is the leading tissue, paper, and hygiene products manufacturer in East and Central Africa, according to the African Business Review. Besides fronting some of the cost of water and sewage infrastructure in the Ruaraka neighborhood of Nairobi where CIL’s headquarters is located, Chandaria Group companies have also fought for provision of decent water and sewage infrastructure for all, with an eye toward market expansion for CIL-produced goods, according to the company website...
Saturday, December 25, 2010
Merry Christmas!!
Enjoy the holiday!