Business
Angela Merkel visits Africa, as Germany seeks to raise it’s profile on the continent
German Chancellor Angela Merkel urged Kenya on Tuesday to step up its fight against graft to help lure investment from her country, which is seeking to raise its profile in Africa in the face of China’s growing clout.
Merkel used her first official visit to East Africa’s biggest economy to praise Kenya for progress on political and judicial reforms, but said more needed to be done against corruption to woo investors from her country.
“Today, we talked about the importance of fighting corruption,” Merkel said on the lawn of State House, the official residence of Kenyan President Mwai Kibaki.
“Our intention is to further intensify and deepen economic ties between Kenya and Germany. You need a secure and safe framework if you are to secure a greater number of investors from abroad,” she said, offering Kenya 140 million euros for projects over a three-year period.
Germany is seeking to expand its influence on a continent where China has made big gains as it seeks to secure energy, minerals and food. The West has accused Beijing of going easy on Africa over corruption and governance issues.
The prospect of growing Chinese economic influence is welcomed by African countries. Africans expect China to be a more important economic partner than the United States or European Union in 10 years, according to a survey last year.
Ms. Merkel later met with Angolan leaders on the second stage of her three-nation tour of Africa and indicated Berlin’s readiness to help Angola in the defence sector.
At a joint German-Angolan economic conference, Merkel said she wanted to boost business relations, and specifically mentioned the defence field.
“We would gladly help you in your defence efforts, for example in improving the navy,” she said in remarks while one of her delegation members, Friedrich Luerssen, listened in. Luerssen is head of the Bremen-based shipbuilding company Luerssen Werft.
“Angola is an important partner for us. Together, we could be getting a lot more things going,” she said. Amid the international financial and economic crisis, Angolan-German trade had shrunk by 40 per cent to around 700 million dollars.
Merkel cited energy, technology, equipment for schools and universities and raw materials development as potential areas of investment.
With Angola being an oil producer and with oil prices rising, there was the possibility of “good economic development,” she said.
“Germany is a fair partner. We naturally want to be economically successful, but we also want success for the people in your country,” Merkel said. People in Angola would only achieve affluence “if there is a good connection between economic success and social balance.”
Merkel is to complete her three-nation tour on Thursday with a visit to Nigeria and talks there with President Goodluck Jonathan.

