January 5, 2024

What’s behind EU newest charm offensive against Africa?

By: Azhar Azam

November 2023 marked 139 years since beginning of the Scramble for Africa when on 15-November-1884, European leaders gathered for the Berlin Conference in Germany for colonization of Africa and closed the assembly on 26-February-1885 once they agreed to split the continent into 53 countries and divvy up among themselves.

After almost a century and a half, Europe's strategy has changed but neither whereabouts nor objectives as fretful of losing Africa in a fierce geopolitical competition and over its growing role in the bloc's clean energy transition, European Union (EU) has relaunched its charm offensive against Africa through an African-EU investment package of €150 billion and the G-20 Compact with Africa (CwA) and related summits in Berlin.

The CwA initiative, established under Germany’s G20 presidency in 2017 that seeks to boost investments and development in the world’s poorest but fastest-growing region, was hosted by German Chancellor Olaf Scholz and witnessed the attendance of European Commission President Ursula von der Leyen, French President Emmanuel Macron and Dutch Prime Minister Mark Rutte.

With the Ukraine war – during which the bloc noticed not many countries were on its side, acting as a rude awakening – an urgency to secure energy supply from Africa after the Hamas-Israel war and need of the continent's political support, natural resources, skilled labor and IT professionals is driving the EU to warm up to Africa.

But as the EU tries to win favor on a continent, "deep wounds" of colonial rule are yet to heal. Last year, Germany in an attempt to address its “dark colonial history” returned some precious artifacts, looted by the UK soldiers during the colonial rule from Benin, to Nigeria; Abuja has been demanding the British Museum to transfer other such treasures.

These colonial legacies accompanied by racism and xenophobia, “Fortress Europe” migration policies – seen by many African countries as a reminder of the Europe’s colonial past and involvement in slave trade – and diversion of development and poverty alleviation funds to build "Fortress Europe" are the greatest barriers to turn over a new leaf in the Africa-Europe relationship.

Brussels is believed to be somewhat late to the party when it comes to woo Africa and African leaders attending the conference have been forthright in this regard. “This Compact with Africa is a decade behind, that is the truth,” said Nigeria’s President Bola Tinubu.

Other than holding 40% and up to 90% of the world's gold and chromium and platinum, some 30%, 8% and 12% of the world's mineral, natural gas and oil reserves lie in Africa. The continent is also rich in green metals including cobalt, lithium, manganese, nickel and graphite that are critical to sustainable technologies, carbon-free transition and produce lithium-ion batteries for electrical vehicles.

Despite holding about one-third of global mineral reserves, Africa in 2019 produced just 5.5% of the world's minerals worth $406 billion compared to the EU's 7%. As demand for "white gold," lithium, between 2017 and 2022 tripled while that of cobalt and nickel jumped 70% and 40%, Africa has turned into the most-prized region for Brussels..

The continent is further uniquely positioned to flip the script on fossil fuel by leading the world in green hydrogen production. Due to its proximity to Europe, Africa is a geopolitical priority for the EU; bloc is eying the continent's edge in producing green hydrogen through solar and wind power to cut its high-cost fossil fuel-based electricity production in addition to replacing natural gas with green hydrogen in emission-intensive industries such as steel and cement production as well as for warming the European households.

A study by the African Green Hydrogen Alliance comprising Egypt, Kenya, Mauritania, Morocco, Namibia, and South Africa with analytical support of McKinsey last year found the global demand of green fuel was projected to rise by sevenfold by 2050, offering opportunity to its member states increase their GDP by $126 billion. Africa overall has much more potential to produce green hydrogen as high as $1.06 trillion but needs massive upfront investments, tempting Scholz invest €4 billion into the EU-Africa Initiative for Green Energy through 2030 on top of EU's €3.4 billion.

Even as Africa seeks a stable and mutually beneficial relationship with Europe, African leaders are aware the EU latest effort to bolster ties is largely driven by the continent's intensity to hold vast reserves of natural resources. It was readily visible in Kenyan President William Ruto's speech that in March reminded the EU of "scars of colonialism" and "economic and institutional dependencies" and echoed the same sentiments in the recent summit, giving a clear warning to Brussels: Africa won't give them carte blanche to it, come and exploit the continent's natural resources.

As EU ploughs the field for a close partnership with Africa and vies for geopolitical influence with other world powers as well as for critical minerals and new economic opportunities, China has solidified its foothold across the continent. Regional nations have long complained while others talk about investment, Beijing has actually provided financing without giving moral lecturing. Moussa Faki, Chairperson of African Union (AU) Commission minced no words and cut to the chase in Berlin. “Perhaps China was more audacious, perhaps they have more vision and perhaps they trusted the potential in Africa,” urging the EU “to impose less conditions.”

Africa's concerns about Europe's colonization of the continent and reported deferral of the third ministerial meeting between AU and EU indicate Brussels is facing challenges to guide the relationship through troubled waters. The core rationale behind this skepticism is the “forgotten continent” has historically been recurrently dropped down on the EU priority list, catching attention only when there's a disaster or the bloc needs it, as shown by the recent EU efforts to court Africa.

The EU, however, can bolster ties and increase influence in Africa by rectifying the mistakes of its colonial past and sincerely implementing its policy, which aims to develop partnership on the basis of solidarity, security, peace and sustainable economic development and prosperity for the people and the two Unions.

Still, Brussels should make sure that while this cooperation powers the bloc’s household, factories, economy and clean energy transition, it benefits Africa too where most countries are highly vulnerable to climate change and an unprecedented number of people are unemployed, lack electricity and at high risk of dying from infectious diseases as they struggle to live through conflict and hunger.

*My article (unedited) that appeared in the Express Tribune: