What’s behind EU’s newest charm offensive against Africa

Europe’s strategy has changed, but neither whereabouts nor objectives

November 2023 marked 139 years since the beginning of Scramble for Africa. On 15 November 1884, European leaders gathered for Berlin Conference in Germany for colonisation 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.

Europe’s strategy has changed, but neither the whereabouts nor the objectives. The EU has relaunched its charm offensive against Africa through an African-EU investment package of €150 billion and G-20 Compact with Africa (CwF).

CwA, established under Germany’s G20 presidency in 2017 and seeks to boost investments and development in the world’s poorest but fastest-growing region, was hosted by German Chancellor Olaf Scholz and attended by EC President Ursula von der Leyen and French President Emmanuel Macron.

With the Ukraine war — during which the bloc noticed that not many countries were on its side, acting as a rude awakening — an urgency to secure energy supply from Africa and need of the continent’s political support, natural resources, skilled labour and IT professionals is driving Brussels to warm up to Africa.

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

These colonial legacies accompanied by racism and xenophobia are seen by many African countries as a reminder of the Europe’s colonial past and involvement in slave trade. Also, diversion of development and poverty alleviation funds to build “Fortress Europe” are some sticking points to turn over a new leaf in the relationship.

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 and 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 lithium, the “white gold”, tripled between 2017 and 2022 and that of cobalt and nickel jumped 70% and 40% respectively, 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 EU which 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 and warming the European households.

A study by African Green Hydrogen Alliance comprising Egypt, Kenya, Mauritania, Morocco, Namibia and South Africa with analytical support of McKinsey last year found that the global demand for green fuel was projected to rise sevenfold by 2050, offering opportunity to its member states to increase their GDP by $126 billion. Africa has much more potential to produce green hydrogen as high as $1.06 trillion but needs massive upfront investments.

This tempted Scholz to invest €4 billion in Africa’s green energy through 2030 on top of EU’s €3.4 billion. Brussels is somewhat late to the party when it comes to woo Africa. African leaders attending the conference were forthright. This CwA is “a decade behind, that is the truth,” said Nigeria’s President Bola Tinubu.

Even as Africa seeks a stable and mutually beneficial relationship with Europe, African leaders are aware that EU’s 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 EU of “scars of colonialism” and “economic and institutional dependencies”. He expressed the same sentiments in the recent summit, giving a clear warning to Brussels: Africa won’t give them carte blanche to come and exploit the continent’s natural wealth.

As EU ploughs field for a close partnership with Africa and vies for geopolitical influence with other world powers and for critical minerals and new economic opportunities, it’s China that has grown up into a bountiful tree for impoverished continent through decades of cultural, diplomatic, economic and political engagement.

Regional nations complain while others talk, but Beijing has actually provided financing without any moral lecturing. Moussa Faki, Chairperson of African Union (AU) Commission, minced no words, stating: “Perhaps China was more audacious, perhaps they have more vision and perhaps they trusted the potential in Africa.” Faki urged EU “to impose less conditions”.

China is accused of saddling the poor African countries with debts. The rebuttal came from none other than AU Chairman, Azali Assoumani. Defending Chinese investments, he said Beijing had poured huge investment on continent, calling for a “positive competition”. Several investigations and African leaders have also dismissed allegations of debt trap.

Boosting trade is key to helping Africa meet its potential. The China-Africa trade last year hit $282 billion, thanks to Chinese initiatives to address trade imbalances and import more African agricultural products. Even CwA members that witnessed export decline in H1-2023 relative to 2022 in almost all the major markets including US and EU saw their exports to China grow. Brussels thus can take a page out of Beijing’s playbook.

Africa’s concerns about Europe’s colonisation and deferral of third AU-EU ministerial meeting indicate Brussels is facing challenges to guide the relationship through troubled waters. The core rationale behind Africa’s skepticism is that the “forgotten continent” has historically been dropped down on EU priority list, catching attention only when there’s a disaster or a need.

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

Yet Brussels should make sure that while this cooperation powers bloc’s factories, stimulates economy, accelerates clean energy transition and heats households, it should avoid making Africa a battlefield of geopolitical influence. This cooperation should benefit the continent which is highly vulnerable to climate change and where millions are unemployed and where there is lack of electricity and a high risk of dying from infectious diseases as its population struggles to live through conflict and hunger.

Published in The Express Tribune, January 5^th, 2024.

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