USA invests in Africa

The United States of America has been competing with China for control, trade and natural resources in Africa for many years. Referring to it, the USA brought nearly 50 African leaders into a summit meeting which is taken place in Washington, D.C.

The President of the USA, Barack Obama, announced that the government, together with American companies, were going to invest 33 milliard dollars in African areas. “Today, we have been taking our relationship to a higher level”, he said. These new financial resources should get the economic ties between the USA and Africa deeper. He also explained that there was not all about the assistance, but the trade development what would help Africans in a long-term perspective. Moreover, Obama pointed out that the trade value of the USA-Africa was nearly equal to the USA-Brazil one.

Obama made his speech in African leaders and over one hundred American company chairmen’s presence. The event has been the important part of the USA-Africa summit meeting in Washington, D.C., which has been continuing since Monday. The summit itself has been considered as ‘’historical’’ and ‘’unprecedented’’ by many commentators. This is the first time when the President of the USA has summoned nearly 50 African leaders to one conference.

The private sector, including companies such as Coca-Cola or General Electric, has obliged to invest over 14 out of the 33 milliard dollars announced by Obama in African economy. The financial resources should be invested in many infrastructural projects, agriculture, pure energy, bank sector and information technology.

In addition, the White House obliged to donate another 12 milliard dollars on ’’Power Africa’’ initiative which has been announced this summer. Its main aim is to provide at least 60 million African households, offices or shops with access to electricity. This initiative is supported by the World Bank, the private sector and the Swedish government.

Another 7 milliard dollars of federal budget should be donated on the promotion of American export and investments in Africa, including 3 milliard dollars which will have been allocated by the Export-Import Bank of the United States in two years’ time.

“These investments will get the economic commitment of the USA in Africa deeper, and their development will support African prosperity and open its economic markets for American companies even more widely. It would also stimulate the possibilities of employment both in the USA and Africa’’, said Obama administration spokesman.

Six out of ten most developing economic markets in the world are mainly African countries. As far as Sub-Saharan Africa trade is concerned, the USA will not have any chances in rivalry with China.

During the summit meeting, apart from economic ones, the other issues were poverty, terrorism corruption and Ebola virus outbreak As a result of it, at least 887 people have died in West Africa so far.
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