<s docid="FT933-1184" num="7"> More than a decade after the World Bank first sounded the alarm about Sub-Saharan Africa's crisis, and despite some Dollars 170bn in net development assistance that has followed, the region's problems remain acute.</s>

<s docid="FT933-1184" num="29"> Net foreign direct investment in Africa has averaged around Dollars 500m a year over the past few years (mostly into the oil and mining sectors), less than 1 per cent of the global total according to the UN's World Investment Report.</s>

<s docid="FT943-12701" num="26"> Net aid transfers to Africa increased from 5.6 per cent of regional GDP in the early 1970s to 8.3 per cent in the late 70s, reaching 11.7 per cent of GDP by 1990.</s>

<s docid="FT943-12701" num="27"> Sub-Saharan Africa's share of global aid is up to 38 per cent in 1991 from 17 per cent in 1970.</s>

<s docid="FT944-17976" num="16"> Averaging around Dollars 3bn a year, FDI flows to the entire region were considerably less than those received by Malaysia in the early 1990s, it points out.</s>

<s docid="FT944-17976" num="18"> Although the total value of FDI flows into Africa nearly doubled from an annual average of Dollars 1.7bn during 1981-85, to an average of almost Dollars 3bn during 1986-90, says the study, those investments were concentrated in few countries, and modest when compared to FDI flows to other regions of the developing world.</s>

<s docid="FT933-11876" num="40"> Dr Botchwey's plan was overwhelmingly endorsed at the donor conference, which pledged a further Dollars 2.1bn in assistance over the next two years -almost half a billion dollars more than the government had bargained for.</s>

<s docid="FT933-11876" num="60"> Some multinationals which are encountering quota problems in the Far East have expressed interest in setting up manufacturing plants in proposed industrial incentive zones.</s>

<s docid="FT933-11876" num="68"> Mr Yamson places more hope in a new trade and investment programme launched by US aid and other donors, which aims to provide the services and know-how that potential exporters need.</s>

<s docid="FT933-11876" num="77"> The World Bank and co-financing donors withheld Dollars 170m of development assistance.</s>

<s docid="FT933-5763" num="12"> Also active in the fund field is the Wall Street-based Aidoo group, headed by a Ghanaian American, Judith Aidoo, which earlier in the year formed an investment advisory arm, Aidoo Group Asset Management.</s>

<s docid="FT933-5763" num="15"> The fund, of about Dollars 20m to Dollars 30m is likely to be followed by a purely equity fund at a later stage.</s>

<s docid="FT941-10902" num="23"> Mr Miles Morland, of London-based Blakeney Management, calculates that at least Dollars 3bn of foreign money is being targeted at South Africa and a further Dollars 1bn at the rest of Africa in 1994: 'Peanuts in Mexico or Hong Kong, but they are liable to blow the African market apart at the seams'.</s>

<s docid="FT933-5761" num="10"> The IFC itself has invested in large energy sector projects in Cameroon and Nigeria and in the Ashanti Gold Mine in Ghana.</s>

<s docid="FT933-5761" num="13"> Access to finance is probably the main constraint on small firm expansion and the IFC's African Enterprise Fund targets its lending and investment activities on small businesses, funding some 58 projects in 18 countries since its inception.</s>

<s docid="FT944-17899" num="9"> The IFC, which promotes private sector activity, will invest R12.5m (Pounds 2.4m) in the South Africa Franchise Capital Fund.</s>

<s docid="FT944-17899" num="11"> The IFC will also invest R41.6m in a 10 per cent stake in African Life Assurance (Aflife), a life assurance company that does most of its business with poor blacks.</s>

<s docid="FT942-14986" num="48"> The bank, meanwhile, should accept that many of its historic tasks can now be performed by private bodies; a slimmed-down agency should focus its energies on the poorest regions, such as sub-Saharan Africa, where the outlook for private investment is bleakest.</s>

<s docid="FT941-4265" num="11"> CPC has exercised its option to buy a 50 per cent stake in Tongaat's consumer foods division.</s>

<s docid="FT934-15955" num="7"> The company has signed an agreement with Tongaat-Hulett, the diversified South African group, licensing Tongaat-Hulett to make and market CPC brands such as Mazola corn oil, Skippy peanut butter, Ambrosia desserts and Mueller's pasta for the South African market.</s>

<s docid="FT943-2143" num="12"> The projects ranged from farm privatisation in Russia, to capital market development in Zambia, privatisation of telecommunications systems in eastern Europe, investment in the first leasing company in Romania, and the formation of private pension funds in Peru and Argentina.</s>

<s docid="FT943-2143" num="21"> Sub-Saharan Africa remains a big challenge for the IFC.</s>

<s docid="FT943-2143" num="22"> and Mr Lindbaek expects the agency to beef up efforts to set up small and medium enterprises in the region.</s>

<s docid="FR940503-2-00146" num="5"> USIA will consider providing funding up to approximately $200,000, of which $10,000 must be devoted to developing or purchasing specialized support materials for participating African institutions.</s>

<s docid="FT932-9373" num="9"> He earlier told a US congressional committee that with an investment of only Dollars 14m (Pounds 9m) over the next two fiscal years, the US could erase Dollars 228m in debt for as many as 18 of the poorest countries, most of them located in sub-Saharan Africa.</s>

<s docid="LA063089-0111" num="14"> However, Administration planners said the proposal could provide as much as $1 billion in total debt reduction from the $4.5 billion that these countries owe the United States.</s>

<s docid="FT934-4114" num="8"> Donor countries have promised about 80 per cent of the funds the IMF is seeking for its Enhanced Structural Adjustment Facility, which lends money at 0.5 per cent interest to low-income developing countries, mostly in sub-Saharan Africa.</s>

<s docid="FT943-13713" num="8"> If pledges are taken at their face value, South Africa can expect up to R10bn over the next five years, from a variety of bilateral and multilateral donors.</s>

<s docid="FT943-13713" num="14"> Next on the list is the US which has offered R2bn over three years, while a host of other bilateral donors have chipped in including Australia (R700m over three years), the European Union is offering over R400m; the UK will provide R560m over three years.</s>

<s docid="FT943-13713" num="26"> Significantly, the World Bank, potentially South Africa's largest multilateral donor, is reluctant to put a figure to planned lending, although some officials have suggested a figure of about Dollars 1bn a year in the initial phase.</s>

<s docid="LA100789-0001" num="23"> The United States should fully participate in a replenishment of at least $14.5 billion to the IDA, a proposal agreed to by all of the other major donors.</s>

