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Forest for Thieves: Why Illegal Harvesting of South Sudanese Teak Leaves Nothing for the People

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The European Union Timber Regulation of 2013 has proved ineffectual and it is still easy to ship illegally harvested teak, “the king of woods”, from South Sudan to Europe via India.

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Forest for Thieves: Why Illegal Harvesting of South Sudanese Teak Leaves Nothing for the People
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In front of the entrance of the Rivièra Maison furniture store in Utrecht stand two low garden tables made of teak. On sale, says the saleswoman, because the next season is already coming up. Where does the wood come from? “Oops,” she replies, “that is an unusual question.” She goes to the computer inside the shop and comes back out radiantly: “These tables are from India!” That sounds likely, because since 2013 exports of furniture from India to the Netherlands have quadrupled. Just like Rivièra Maison, a large chain with a hundred sales points in the Netherlands and six hundred worldwide, dozens of other Dutch companies source their teak products from India. While the country itself produces only a limited amount of teak, India is the world’s largest exporter of teak products.

In order to meet the enormous demand, India is importing more and more wood from other countries for processing into “Indian” furniture or other objects. Teak is a popular wood but difficult to obtain and whenever a fertile source of teak is restricted by international regulations, such as virgin forests in Thailand and Myanmar, India shifts its focus to new suppliers.

Today, much of the teak in India actually comes from the young East African state of South Sudan, a country where the trade in timber is barely regulated. South Sudanese wood is not prohibited on the European market, but the seller must be able to prove that it comes from a legal source. The chance of that happening is small: 90 per cent of South Sudanese logging is illegal. Any wood that reaches European stores is therefore almost always illegal.

The citizens of poverty-stricken South Sudan are excluded from the timber trade which is dominated by foreign companies whose little domestic revenues go into the pockets of corrupt politicians and rebels who until 2020 used it to finance a destructive internal war. Using trade data, social media forums and discussions with importers, we followed the potential route that looted South Sudanese timber takes to Europe via India. We pretended to be traders and proposed one illegal deal after another, often on the basis of forged documents. Despite the introduction of the European Timber Act in 2013, which should have ended the sale of illegally harvested timber, it still appears to be easy to get illegal timber onto the Dutch market.

“Sir we get the supply from Sudan. The certificate of origin we can make Uganda, Congo or whatever you want”, responds our contact from Pratham Exim Solutions when we approach him in a Facebook group and present the strict European guidelines. “We pay some money to an official and get the origin papers we want.” We can choose from five East African countries of origin: Uganda, Congo, Tanzania, Burundi or Rwanda. Of those, only Congo and Tanzania actually have teak plantations.

Various Facebook groups show how India gets its teak. Timber traders, mainly from India, offer large quantities of teak of dubious origin. Posing as traders, we ask if someone can deliver timber from South Sudan to the Netherlands. Someone can. “We get teak from Sudan that comes via Uganda, where we fill the containers in Kampala before it leaves for the port of Mombasa. From there we ship it to India or another country,” says the owner of Pratham Exim Solutions when asked which route the wood will take on its way to Europe.

At our request, he draws up a plan to ship our consignment of wood first to India, and from there to Rotterdam. India, which also has teak plantations, is in principle a legitimate country of origin. “We have good contacts at the Indian Chamber of Commerce, so the papers are not a problem,” assures the merchant. The chat provides evidence of forged labels of origin and a detailed plan to sell wood from South Sudan via India as wood from India. We cut off the conversation just before closing the deal.

Export data of timber consignments from East Africa to India for 2019 shows more than a hundred companies that demonstrably ship South Sudanese teak to India. We bought this data from the Seair, an Indian company that collects import and export data at Indian customs. It concerns five hundred teak shipments totaling twenty thousand cubic meters, with an official value of twelve million euros – not including the inevitable bribes. We also count another 120 parties from Kenya and Uganda that most likely also come from South Sudan. South Sudan itself does not issue labels of origin because the timber market is not yet nationally regulated: as soon as a South Sudanese party enters a timber market in the nearby Ugandan capital of Kampala, the freight becomes “Ugandan”. A number of these companies also say they do business with Europe.

Our data is just the tip of the iceberg. According to calculations by the American research firm C4ADS, more than 100,000 tons of teak from South Sudan go on the world market every year. Teak, “the king of woods,” is native to Southeast Asia and is particularly popular in the boat building and furniture industries because of its weather resistance and “stability”, as traders call it. The limited and more selective logging in primary forests in recent decades has driven up the price.

While luxury yacht builders continue to prefer “primal teak”, plantation wood from Africa is an inexpensive alternative for furniture builders. South Sudan has the largest and oldest teak plantations in Africa: they were planted in the 1940s and are now “ripe” for felling. Usually, plantation teak is relatively well regulated, but this is not the case in South Sudan. The United Nations reports that there are virtually no legal logging concessions, not even for large companies, and that there is no supervision. In addition, replanting trees is a prerequisite for felling in regulated plantations but this does not happen in South Sudan.

South Sudan itself does not issue labels of origin because the timber market is not yet nationally regulated.

Besides oil, teak is the young state’s most valuable raw material, were it not for the fact that the lion’s share of the logging takes place below the radar of the tax authorities. According to the UN, the country could generate at least US$50 million in tax revenues from the timber sector annually. In reality, only one to two million comes in.

On the Internet, the trade in Sudanese timber is less disguised. There are photos of traders proudly posing next to packed containers on Facebook. “Good Sudan prices” is the caption. Pixelated number plates reveal the Ugandan heritage of the individuals. Kenyan journalist John-Allan Namu went undercover to investigate the South Sudanese timber market for his documentary series The Profiteers in 2018. Namu shows how illegally felled teak from South Sudan is mixed with teak from some legal concessions in surrounding regions at a timber market in the Ugandan capital Kampala—the most common method used to conceal the origin of the wood according to Interpol. The fully loaded containers leave Kampala for their next destination, the Kenyan port city of Mombasa, where they are hoisted onto cargo ships. An estimated 73 per cent of South Sudanese teak ends up in India, where it is cut or processed into furniture.

“South Sudan has only existed since 2011 and has had little time and capacity to regulate the timber market,” Namu said from his office in Nairobi. “The market is largely in the hands of foreign companies who pay generous bribes to government officials and rebels who protect loggers.” The money has been used to finance a civil war since 2013, Namu said. That ethnic conflict between the two largest populations in the country came to an end in early 2020 yet there is still fighting in some regions. The population is very poor and the government is among the most corrupt in the world.

Somewhere in the Lopik industrial area of Utrecht in the Netherlands the smell of wet wood is in the air. Wet angelim vermelho, a tropical wood, gives off a sweet-sour scent. Ipe, itauba, massaranduba and twenty other tropical woods are also cut here. But teak is missing. “If you trade in it, you just have blood on your hands,” says timber merchant Albert Oudenaarden. Oudenaarden is the director of Van den Berg Hardhout, a wholesaler who only trades in wood that has been certified by the FSC (Forest Stewardship Council) as sustainable. He can trace every plank of wood in his timber yard to a specific place in the jungle.

Oudenaarden can talk for hours about the importance of wood and the controlled felling of trees which creates space in the jungle and is good for biodiversity if done right. Never remove too much in one place, cut safely and in a controlled manner, do not go into the forest with big trucks, leave important places for animals and the local population alone. His dream? To have only sustainably harvested wood on the Dutch market. Since 2013, however, he has seen the demand for his sustainable wood stagnate. This is a bitter consequence of the new European wood law. “Many companies are increasingly ignoring FSC. The law is intended to combat illegal logging, but whether it does so, I have my doubts about it. In any case, legality says nothing at all about the sustainability of a party.”

South Sudan has the largest and oldest teak plantations in Africa: they were planted in the 1940s and are now “ripe” for cutting.

According to Oudenaarden, the law takes the wind out of the sails of sustainable wood. Furniture makers confirm this. “Such a label only costs money. The products comply with the wood law, so it is good, right?”

The European Union introduced the European Union Timber Regulation in 2013. Anyone who puts wood products on the market must research the entire trade chain and take measures to stem illegality in the chain. An authority has been designated in every European country to supervise the timber trade. Years of lobbying by environmental organisations preceded the introduction of the European Timber Regulation but seven years after its introduction, the scheme has turned out to be much less effective than hoped.

First of all, there are the exceptions: a multitude of products such as chairs, wooden coffins and musical instruments are not covered by the regulation. A teak garden chair made from legal, illegal or wood of unclear origin does not contravene the law. A second weakness is the susceptibility to fraud. Anyone who imports products that do comply with the regulation – table tops, cabinets, whole tree trunks – must have a lot of documents proving the exact, legal origin of the wood.

But that is only a “paper reality” says timber merchant Oudenaarden. You can say anything in documents. Indeed, we easily find a fictitious label of origin from the Indian Chamber of Commerce. Tampering with labels is common practice in the international timber market. Previous research shows, for example, that illegal coniferous wood from the Ukrainian Carpathians ended up in the Netherlands with false papers in 2016, and wood from Latin America and Southeast Asia is also “laundered” more than once.

Third is the weak control over this fraud, including in the Netherlands. Because the Timber Act does not regulate the import but only the marketing of timber, the Food and Consumer Product Safety Authority (NVWA) is the supervisory authority in the Netherlands. The body makes company visits based on risk indicators such as the country of origin, product type or processing country. According to critics, that role should have been assigned to customs. “The border is the only place where you can really say something about the origin of wood,” says Peter Hartog, head of the environmental team of the Rotterdam police. “Once in the warehouse of a company, it is impossible to say whether that one pile of paper actually belongs to that one wood lot.”

The country could generate at least US$50 million in tax revenues from the timber sector annually.

“You better be an environmental criminal than a drug trafficker,” says Hartog in his office in Hoogvliet, where the depot houses confiscated snakeskins and swordfish. “Equally high earnings, minimal chance of being caught, low penalties,” he sums up. Since 2006, Hartog has completed five investigations into the illegal timber trade. There should and could have been more if the work was less international in character and the capacity of supervisory authorities somewhat higher.

The Netherlands has one of the five largest timber ports in Europe. Customs, which check for taxes and CITES – a list of internationally protected flora and fauna – has to deal with 75,000 containers of wood entering the port of Rotterdam every year, and the NVWA must supervise at least 5,000 traders. Other matters are also given higher priority in the investigation by the police. “Then calculate the chance of being caught,” says Hartog.

The European Union is only as strong as its weakest link. Under the Timber Act, only the first trader to place a prohibited batch on the market is punishable. And there are quite a few weak links, the European Commission concluded in an evaluation of the law in 2016. Most countries made far too few human and financial resources available, “which makes the deterrent effect of the enforcement activities rather limited”. Dutch customs acknowledges that they only employ a few people who can distinguish one type of wood from another, and two inspectors work at the NVWA.

In 2017, the authority imposed a conditional fine of 20,000 euros per imported cubic meter on the Boogaerdt company for illegally marketing teak from Myanmar. This is one of the few cases dealt with by the NVWA in recent years. Despite the fine, Royal Deck in Livorno, another company owned by the Boogaerdt family, still imports from Myanmar. A video that was until recently posted on the company’s website shows large shipments of timber in the port of the Asian country, and proudly advertises the timber’s provenance.

Myanmar is a notoriously high-risk country when it comes to the origin of wood. The Netherlands has blacklisted it because it is impossible to distinguish illegally from legally obtained timber in the country due to fraud. Yet it is openly sold in several places in the Netherlands. The fact that wood from forbidden countries of origin still ends up in Europe also illustrates the ease with which teak of more diffuse origin – such as South Sudan – can land in Europe.

Traditional East Asian countries of origin are increasingly restricting the export of teak. India, a country with a strong woodworking culture but too little wood of its own, drew its shortages from the jungles of Myanmar until 2014 when that country was issued an international export ban due to the widespread corruption and illegal logging involved in the sector. Indian merchants have since been importing from East Africa. A simple calculation explains the fraud: Indian forests today can only meet 5 per cent of the demand annually. The rest is imported from Africa and Latin America. Ninety per cent of the supply from East Africa comes from South Sudan. According to Indian sources, it cannot be determined where the wood on the Indian market was harvested. When asked where they get their wood from, Indian teak suppliers are curt: “We don’t do that business.” Or they hang up the phone.

 An estimated 73 per cent of South Sudanese teak ends up in India where it is cut or processed into furniture.

Since 2013, Indian exports to the Netherlands have quadrupled. Some of the teak products arrive in the Netherlands through the Alibaba online store. Some of the companies we approach openly admit that they source their teak from East African countries such as South Sudan to market them on the European market as a “product of India”. “We deliver to Europe by land, air or sea. Never had any problems with it, “says Saurabh Gupta of the Indian company Medieval Edge.

In data on the trade flows between India, the Netherlands and Belgium, we find 161 consignments of teak products that were exported from India to the Low Countries between September 2018 and September 2020. Sometimes these are orders from private individuals, or products not intended for further sale: a large elephant, wooden horses for the furnishing of a pharmacy – “a teak temple for the home” bought at the beginning of the COVID-19 crisis. Three quarters go to furniture chains and wholesalers who sell them on to local retailers.

Rivièra Maison’s  furniture buyer Gideon Manger does not want to believe his saleswoman’s answer. He must have provided incorrect information: “I would never import teak from India. We only work with certified wood from Indonesia. We think that is very important.” To reinforce his story, he sends a screenshot of a certificate from the factory in Indonesia.

That remains to be seen though. In export data, we see fourteen orders – making up a total of almost twelve hundred products made of teak and mango wood – from Rivièra Maison to a company in Moradabad, a city east of Delhi. Teak from India, and therefore of unclear origin. In an official response, Rivièra Maison says that the products ordered in India, although made of teak, are exempted by the European wood law and can therefore still be sold.

The furniture store is certainly not the only one that purchases in India. For example, furniture wholesaler Hazenkamp also sells teak products: wine racks, coffee tables, clocks and lanterns. Where does that come from? “Yes, it will all be India, it is produced there. I dare not say where the wood comes from. Yes, I think it comes from India.” But isn’t he legally obliged to investigate? The employee ends the conversation.

“Better to be an environmental criminal than a drug trafficker. Equally high earnings, minimal chance of being caught, low penalties”

The NVWA is aware of the existence of South Sudanese teak, the service says, but has not found it on the Dutch market in the past five years. According to the authority, most of the inspected companies have the correct documents, but she admits that this does not say everything. A report by Deloitte on behalf of Agriculture Minister Carola Schouten shows that the NVWA does indeed miss the big picture: it only carries out 50 wood inspections per year, often at the same companies. “It is first and foremost up to the business community itself to comply with the rules,” the NVWA said in a response. “After all, it is in everyone’s interest to combat illegal deforestation.”

Nyarayek Moboic recently graduated from the University of Amsterdam as a lawyer and is determined to do something for her native country. She views the logging in South Sudan with sorrow. She fled the civil war in her country with her family in the 1990s. Relatives who have stayed in South Sudan see one loaded truck after another driving out of the jungle.

Indonesia introduced its own quality marks more than ten years ago and obliged exporters to process logged wood in the country first to maintain employment. Moboic has something like that in mind. She hopes to acquire a legal logging concession in the country so that her enterprising cousin can make furniture out of it to ship in a direct line to the Netherlands. “Unique furniture with local influences. But for people like my cousin, it is difficult to get teak. The only option is to buy it from foreigners while it grows in their country. The wood leaves South Sudan. Nothing is left for the Sudanese themselves.”

In collaboration with journalist Ankita Anand, this article is part of the Money Trail project supported by the Nationale Postcode Loterij.

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Romy van der Burgh (@BurghRomy) is an investigative freelance journalist. Linda van der Pol (@lindapolski) is a cultural historian and a freelance journalist based in The Netherlands.

Politics

The Information Disorder Calls for Multidisciplinary Collaboration

The responses to the information disorder adopted in Kenya have been largely ineffective. Multidisciplinary stakeholders working collaboratively stand a higher chance of success and will result in a more informed audience that is less susceptible to mis- and disinformation.

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The information disorder (i.e., mis- and disinformation) pervasive on social media has arguably interfered with democratic processes across the world. As public authorities and political actors continue to embrace social media as a broadcast and civic engagement tool, the potency of manipulated narratives online is further entrenched. This is debatably truer in electoral contexts where issues are perhaps more emotive and divisive. For example, in the run-up to Kenya’s general elections, a notable amount of mis- and disinformation on social media was observable. As Wambui Wamunyu and June Okal noted, doctored images of crowds during political rallies, mild deepfake videos, doctored photos, and fake accounts passing off as political actors or mainstream media were just some of the categories of mis- and disinformation observable on social media. These observations tie in with earlier research by Odanga Madung and Brian Obilo, highlighting the practice of using bloggers for disinformation campaigns. During the actual elections, the EU Election Observer Mission also observed “manufactured amplification and coordination of messages online by fake accounts and malicious, bot-driven activity in support of the presidential candidates”.

The impact of the information disorder on democracies has been extensively discussed and will not be the subject of this article. Instead, this article focuses on the diverse responses which have been mooted and implemented in Kenya by policy makers, media, civil society, and social media platforms in response to the information disorder. In particular, this article argues that these responses are largely ineffective when used in isolation and suggests that collectives comprised of a broad range of multidisciplinary stakeholders working collaboratively are likely to have a higher chance at success. One such collective, Fumbua, was established in the run-up to the 2022 general elections in Kenya, and this article argues that the frameworks for collaboration it established can be repurposed to address the information disorder in numerous contexts.

Contextualizing the information disorder on social media

The proliferation of mis- and disinformation on social media is made easier by the fact that such platforms, by nature, enable peer-to-peer engagement with little to no gatekeeping. While this characteristic has also meant that these platforms have served to create room for civic engagement and act as an equalizer, such civic engagement is often undermined by the harmful content that is prevalent. In recognition of the potential for harm their platforms pose to democratic processes, numerous social media platforms have adopted policies and tools specifically designed to address election-related mis-and disinformation. Comparatively, the content moderation tools applied in the Global South have arguably been scant. For example, in Brazil, the individuals tasked with enforcing Twitter’s policies during the presidential election only got access to the necessary internal tools a day prior to the election, and only in a limited capacity. Twitter allegedly utilized automatic enforcement technology and third-party service providers. According to numerous commentators, it is not uncommon for content moderation efforts in the Global South to be below par. From automatic enforcement tools trained on datasets lacking in local context, to human content moderators facing the same challenge, these platforms’ efforts to curb the information disorder are handicapped from the outset. These challenges are exacerbated in electoral contexts. Recent developments have shown that it sometimes takes third parties such as researchers or civil society pointing out harmful content for platforms to act.

It is generally agreed that mis-and disinformation was prevalent on social media during Kenya’s August 2022 general election. For example, the EU Election Observer Mission indicated in its report that it had identified hundreds of misleading Facebook and Twitter profiles. Platforms triggered their civic integrity policies a few weeks prior to the election and set up information centres and moderately labelled misleading content. However, these labels were not consistently applied and were in fact only deployed during the election tallying process. Stakeholders seemingly lacked a clear solution to address the information disorder on social media. The lack of sustainable and scalable solutions is not unique to Kenya and the region. It is certainly a global problem and a key step in the right direction is securing more transparency from platforms in relation to their enforcement processes as this will enable stakeholders to co-create solutions. However, in the interim, the information disorder can be addressed by effecting incremental and sustainable changes to how media is produced and consumed. One way to accomplish this is through multidisciplinary collectives such as Fumbua.

Addressing the information disorder

Fumbua is a collective of media and media-related organisations which came together in the run-up of the 2022 general election with a view to addressing the information disorder as it relates to political campaigning. The efforts to address the information disorder in Kenya’s 2022 general election can largely be categorized into actions taken in anticipation of the mis- and disinformation (pre-emptive measures) and actions taken in response to the information disorder (reactive measures). Fumbua brought together organisations involved in both areas, such as fact checkers, “pre-bunkers” and traditional media. Both these reactive and pre-emptive measures are discussed below.

The information disorder can be addressed by effecting incremental and sustainable changes to how media is produced and consumed.

Mis- and disinformation has reportedly featured in Kenyan elections since 2013. Consequently, with each passing cycle, stakeholders have been able to understand its nature and develop solutions which are alive to Kenya’s specific context. Unfortunately, due to the rapidly evolving nature of mis- and disinformation practices, the solutions developed have often been reactive in that they seek to get rid of such harmful content or undo its effects after the fact. For example, by criminalizing false content through the Computer Misuse and Cybercrimes Act, by fact checking such content, by using labels to warn audiences of the nature of the content, and by obtaining the takedown of such content from social media sites.

Fact checking has perhaps been the most prevalent or visible response to the information disorder. It essentially entails systematically breaking down the validity of claims made by public officials, institutions, and political actors with a view to identifying whether the claim is factual or not. In Kenya’s elections, various fact-checkers were active. These included independent media, the fact-checking desks of mainstream media, and collectives or associations. To name a few, Africa Check, Africa Uncensored, Pesa Check, Media Council of Kenya, Kenya Editors Guild and The Star were involved in fact-checking claims made during the Kenyan elections. While fact-checking has increasingly become common, it would be improper to conflate its growing prominence with its ability to address the information disorder, especially when empirical evidence on the subject is divided. In highly politicized environments, it is unlikely that being exposed to verification of claims will affect an audience’s world view. This is more so the case where the objectivity and impartiality of the fact-checkers are in question. Fact-checkers often must compete with an audience’s confirmation bias and their credibility is often questioned due to the conflict their narrative poses to the world view of some audiences. This is not made easier by the fact that fact-checking is a difficult, time-consuming, and labour-intensive process which cannot compete with the speed at which false information is spread through social media. Add in the fact that false information more easily captures attention due to its ability to trigger negative emotions and one can understand why the utility and efficacy of fact-checking is limited. Fact-checking claims made through social media have also been especially difficult in Kenya due to the minimal and often performative support given to fact-checkers by social media platforms.

For fact-checking to be effective, it must offer an alternative narrative to that which it is disputing. The challenge is that such a narrative must exist in the first place and must be capable of being accepted by an audience. Where such a narrative exists, there is a risk that it may come with “political baggage” and as such be difficult to accept. In such cases, the efficacy of fact-checking is limited, and this is essentially the challenge faced by fact-checkers – purveyors of false information are not bound by the same rules. Despite all this, fact-checking has been found to positively affect audience beliefs notwithstanding pre-existing beliefs and whether an alternative narrative was presented. However, these credentials are limited as the effects on belief are weak and gradually becoming negligible. Additionally, they do not always translate to downstream effects (i.e., changing of votes).

For a long time, stakeholders seeking to curb the information disorder have found themselves on the back-foot, always responding after the fact. By the time interventions such as fact-checks, social media takedowns, and flags are deployed, harmful content has likely taken root. With this in mind, some pre-emptive solutions have been contemplated and used by stakeholders. These are discussed below.

While fact-checking has increasingly become common, it would be improper to conflate its growing prominence with its ability to address the information disorder.

As discussed earlier in this article, fact-checkers often face the challenge of having to overcome an audience’s inherent biases and the political baggage accompanying the alternative narratives they seek to put forth. In seeking to overcome this reactionary approach, Stephan Lewandowsky and Sander van der Linden argue that it may be more effective to inoculate audiences against harmful content by priming their minds to anticipate it. This has come to be referred to as prebunking, and it essentially entails exposing audiences to watered down versions of false or misleading content with a view to highlighting the tactics used by purveyors of such content. Prebunking efforts recognize that the information disorder may not necessarily be solved by disseminating more accurate information given that harmful content is often consumed in highly politicized contexts. Instead, these efforts seek to redesign information architecture through behavioural interventions (i.e., changing how audiences consume information). In Kenya, Stop Reflect Verify was the first publicly documented election-related prebunking program. It offered a misinformation quiz focused on the Kenyan elections.

While prebunking seemingly promises to reduce the reactionary nature of stakeholder efforts, there is insufficient proof that skills learned in prebunking programmes are applied in practical situations. Counterfactual thinking may be a useful strategy to incorporate into prebunking efforts. Counterfactual thinking involves stimulating an audience’s mind to consider alternative facts and hypotheses when presented with information in a bid to logically deduce the likely truth. The lack of consensus on the utility and efficacy of prebunking as an alternative to fact-checking points to the need for the deployment of multiple interventions in a coordinated fashion, and this is where multidisciplinary collectives such as Fumbua come in.

Building in sustainability 

Periodically, civil society, media practitioners, and the donor community focus their efforts on election-related programmes in a collaborative manner (for example the media’s collaboration during presidential debates). In most cases, the collaboration does not survive the post-election period. As a result, these election stakeholders have to start anew during each election. A considerable amount of time and resources are dedicated to establishing the frameworks for collaboration, taking away from the potential impact these programmes may have. With collectives such as Fumbua, stakeholders are able to repurpose the goodwill that fostered collaboration during elections to continue to address the information disorder in other contexts. By sustaining the collaboration, stakeholders would be able to leverage on incremental gains and make a more impactful change. In relation to the information disorder, they would be better able to move towards how media is generated and consumed. The effect of this would be a more informed audience that is less susceptible to mis- and disinformation.

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Politics

The Next Emergency: Building Resilience through Fiscal Democracy

Crisis is the new constant and advocacy efforts should seek ways of growing public awareness through civic education.

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Are East African countries ready to face the next crisis or are they simply keen to go back to how things were? What does a new normal mean when speaking about public finance management (PFM)?

In continuing the struggle for structural transformation, economic justice efforts must work towards developing a new citizen and preparing for unpredictable or unforeseen events, more so those with extreme socio-economic and political consequences.

This is because, besides known challenges posed by existing inequalities, the COVID-19 pandemic has pointed out how “unusual circumstances such as man-made disasters, natural catastrophes, disease outbreaks and warfare … depress the ability of citizens to engage in economic activity and pay taxes as well as that of governments [capacity] to collect revenue [or] provide services”.

Such circumstances therefore demand more inclusion of human rights-based approaches in economic justice efforts to champion greater fairness within existing financial architecture.

Disasters should, therefore, not obliterate human rights but should heighten the need to respect, protection, and fulfilment of obligations through prioritizing expenditure on service delivery, as well as all elements of Economic, Social and Cultural Rights (ESCRs) to “boost the capacity of residents to withstand shocks” by improving coping mechanisms.

Promotion of fair taxes among other broader economic justice initiatives within PFM should consequently adapt towards championing ESCRS within the context of more disruptive and unexpected incidents. Crisis is constant in the new normal.

Fiscal democracy and civil protection: Recovery, resilience, and transformation

Currently, conversations on recovery are focused on tackling reduced tax collection; slowed growth; depressed formal or informal productivity; exploding unemployment; diminished remittances; persistent poverty; decline in energy access; and escalating food insecurity.

This emphasis seeks to reverse the effects of various lockdown policies that placed restrictions on businesses, mobility, movement within and across international borders, [plus] public gatherings. However, it speaks mostly of a desire to return to pre-COVID levels of economic activity while vital systems in tackling the next crisis such as water, education, or health remain unaddressed.

Economic justice initiatives should therefore embrace fiscal democracy and civil protection as goals or appendages in achieving the structural transformation agenda. This will then speak to the resilience, and transformation needed to ensure PFM works for Africans in good times or bad.

Understanding fiscal democracy takes the form of better prioritization, response to problems, and improved sanctions for mistakes in the revenue cycle.

Advocacy for increased domestic opportunities, promotion of childhood development, enhanced socio-economic mobility, support for workers, motivation of local entrepreneurship, diversification of public infrastructure from mega projects, as well as increased innovation through subsidized research and development should be at the heart of economic justice efforts.

Economic justice initiatives should therefore embrace fiscal democracy and civil protection as goals or appendages in achieving the structural transformation agenda.

Civil protection gives a new framework of planning by envisioning contexts or processes in which a series of unfortunate events can emerge, thus providing adequate responses without breaking the social contract.

Transformation therefore occurs when both go hand in hand so that public facilities are not overstretched in the event of crisis. Hence, in looking at the impact of Covid-19, across the East Africa region, we must ask ourselves: How transformative are the current recovery efforts underway? Will they offer a new resilience?

The salvage job: Economic sustainability through reliefs, guarantees, subsidies, and funds

Responses have clearly been driven by the urgency to overcome the pandemic and the need to forestall outright disaster or collapse. The “short-term rescue mode” has seen efforts to ensure vaccine access and bolstering of public health systems.

On the economic front governments “Have sought debt relief, implemented corporate tax deferrals plus exemptions, made direct citizen transfers and interest rate adjustments. [They have also] implemented guarantees and subsidies, liquidity support and food relief … [with] examples of support for micro, small and medium enterprises (MSMEs). Cash transfers and other safety nets for poor and vulnerable populations are critical for an integrated … response. While not transformational, they are building blocks for a basic level of resilience to external shocks.”

The fact that these efforts are not transformational must motivate the infusion of a justice quotient in recovery efforts. This will enable a movement beyond an emergency-oriented recovery that recognizes existing modern challenges such as climate change, population growth, scarce resources, man-made or natural calamities.

In the case of tax justice, to make the linkages that will establish economic sustainability in East Africa, it is important to understand the effect of recovery efforts in relation to public debt; the tax burden on individuals or households; illicit financial flows; harmful tax practices; economic growth; and resource distribution.

Recognizing the prevalent debt crisis even before the pandemic struck is important in informing economic justice movements and their activities. Concerns were looming over the fact that 40 per cent of Sub-Saharan African countries were in or at high risk of debt distress. Between 2010 and 2018, public debt in East Africa grew rapidly as shown in Figure 1.

Figure 1 – National Debt to GDP Ratio

Source: Individual Country Central Banks

Source: Individual Country Central Banks

In this time, East African Community (EAC) governments failed to mobilize sufficient revenue despite an overall increase in taxes. The situation was therefore exacerbated by COVID-19, the consequence being that these countries are now stuck in a situation where they must tax more to bridge revenue gaps.

Basically this, first and foremost, creates a context of unfair tax policies in the region that burden their respective citizens, does not enhance service delivery, and is exclusionary in how debt repayment strategies are developed.

Lack of open debate about a country’s fiscal priorities within the existing PFM system neglects the needs of youth who constitute the majority of the population among other segments of society, curtails ideas on how to increase resources needed to provide for new economic opportunity(ies) and respond to the next emergency.

Recognizing the prevalent debt crisis even before the pandemic struck is important in informing economic justice movements and their activities.

Secondly, an environment or ecosystem of illicit financial flows (IFFs) that constitutes the formation of International Financial Centres (IFCs) in Kigali and Nairobi plus the signing of numerous Double Taxation Agreements (DTAs) continues to perpetuate itself thereby providing loopholes within the tax architecture that undermine efforts at domestic revenue mobilization (DRM) because the monies going out of countries are so massive, outweighing Overseas Development Assistance (ODA).

This is thanks to “Constitutionalism [among other legal questions] plus demands to implement new public finance management principles, growth in trade and services across countries in the region or with other countries across the globe, and discovery of natural resources requiring more inflows of foreign direct investments (FDI).”

On average IFFs accounts form 6.1 per cent of Sub-Saharan Africa’s Gross Domestic Product (GDP) thereby impeding economic development and sustainability. For instance, since 2011, Kenya is estimated to lose KSh40 billion annually “as government, local firms and multinationals engage in fraudulent schemes to avoid tax payments”. As of 2021, The State of Tax Justice Report indicates this has grown to an estimated KSh69 billion annually at current exchange rates.

Third, growing account deficits and rising external debt are heavily limiting to economic growth. Increased spending on debt repayment is restricting prioritization on essential public goods and services while borrowing remains one of the key sources of budget financing.

In as much as Kenya cancelled its recent pursuit of another Eurobond, the about-turn towards borrowing domestically following a surge in yields within international markets because of the Russia-Ukraine war is still going to punish the country’s citizens by squeezing them out of access to credit.

Lastly, the debt burden is disempowering the citizen. Rising public debt may result in poor public participation in the management of fiscal policy, and weak structures for keeping governments accountable. This is further worsened by limited access to information on debt or public spending. Moreover, there is weak oversight by parliaments as executives take full control of processes.

Policy-making processes during cascading crises: Fiscal Consolidation, Special Drawing Rights, and Open Government

By understanding that crisis is constant, and that it is likely to manifest as confluence events — merging risks of mitigatable disaster(s) — or major confluence events, that is, the combination of potentially unmitigated risk(s) at any one point in time, how does policy making at such a time help to prepare for the emergency next time?

For example, what does Kenya’s fiscal consolidation programme — which comprises of reforms to improve oversight, monitoring, and governance of state-owned enterprises; improved transparency of fiscal reporting; and comprehensive information of public tenders awarded including beneficial ownership information of awarded entities — have to do with preparing for the next series of cascading crises?

Several emergency relief funds have been established to address the impact of COVID-19, such as the Rapid Credit Facility, the Catastrophe Containment and Relief Trust, and the Debt Service Suspension Initiative (DSSI).

However, these efforts are not likely to unlock the existing “trilemma” of solving the health plus economic crisis and meeting development targets while dealing with a tightening fiscal space. This is because they are stuck in the present circumstances with no consciousness of how much the challenge is likely to prevail into the future.

East African Community governments, in this time, failed to mobilize sufficient revenue, despite an overall increase in taxes.

Adopting fiscal democracy not only provides a new agenda determining organizing principles, but it has the potential for establishing a new citizenship through further entrenchment of human rights-based approaches in economic justice, and commitment to open government principles.

It will also anticipate and prevent the disaster capitalism witnessed during the COVID-19 pandemic. Many African countries seem to be in a constant state of crisis, thus allowing for IFFs through PFM malfeasance that locks corruption and fraud into procurement through bid rigging or collusion.

Principals of public participation, demands for accountability, championing non-discrimination, advocacy for empowering programing, and legitimacy through the rule of law should set standards on beneficial ownership while open contracting, open data for development, legislative openness, improving service delivery, access to information, and access to justice will help build resilience in government.

A call to civic education: Revenue rights and obligations

Somewhere along the way, capacity building and training programming took prominence over civic education. Advocacy efforts should look for ways to bring back more popular public awareness. Denial of resources for these kinds of activities has been a major blow for PFM advocacy among other activist efforts.

Civic education will re-establish links between individual claims to service delivery and assigned duties in the fulfilment of public demands. Citizens will be able to identify how the problem manifests and engage on the immediate, underlying or root causes of an issue.

Rising public debt may result in poor public participation in the management of fiscal policy, and weak structures for keeping governments accountable.

It will also allow them to establish the patterns of relationships which may result in the non-fulfilment of rights or absconding of obligations. This will enable them to assign appropriate responsibility by identifying the relevant authorities. It will keep an eye on resources through participating in decision making.

Governments and political leadership should therefore work to improve their communication capabilities in engaging the public so that once this new citizenry is involved, they can work together to achieve representative priorities for action.

This article is based on a presentation and comments made at the African Forum and Network on Debt and Development (AFRODAD), Eastern and Southern Africa Regional Debt Conference, Towards strengthening accountability and transparency around public debt management and the use of IMF Special Drawing Rights (SDRs) in Eastern and Southern Africa, 20–21 June 2022, Nairobi, Kenya.

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‘They Cannot Represent Themselves, They Must Be Represented’

Beyond service delivery, refugee-led organizations are increasingly involved in advocacy yet the current set-up within the field of humanitarian governance continues to relegate them to the role of mere beneficiaries.

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‘They Cannot Represent Themselves, They Must Be Represented’
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Ever since it appeared in the epigraph of Edward Said’s influential critique of Western “experts”, Orientalism, Marx’s dismissal of the French peasantry has come to stand for everything wrong with a certain type of condescending political crusade: elites speaking on behalf of groups viewed as incapable of articulating their own interests.

Commonly known in the humanitarian world as “saviourism”, this patronizing tendency is entrenched within the field of displacement governance, where highly placed individuals employed by donor agencies regularly devise policies on behalf of downtrodden communities whose circumstances are remote from their own.

The dramatic rise to prominence of RLOs (Refugee-led Organizations) presents an important challenge to the paternalism of this order.

Within a short space of time since 2018 when an historic summit in Geneva was convened by refugee leaders from across the world, demands for “a seat at the table” have been recognized at the highest level. In 2019, the UN invited RLO representatives to its own Global Refugee Forum. In 2020, Canada announced an advisory role for a former refugee to observe its international protection meetings; Germany and the USA have since followed suit, underlining the growing acknowledgement of the legitimacy and significance of refugee leadership.

On the surface, these developments would seem to suggest the RLO phenomenon is a rare example of successful “localization”—the transfer of resources and decision-making power to stake-holding communities.

Yet little is known about the regional trajectories of RLOs. This despite the fact that local (or “glocal”) actors in the Global South laid the foundations for the aforementioned developments on the world stage. Without data on the impact of RLOs in camps, settlements and cities where their most important work takes place, their contributions and the obstacles they face remain poorly understood.

Having worked for an international organization as a migration specialist in Kenya and visited Uganda, I’m struck by the vibrancy of RLO mobilization in both countries, as well as the persistent challenges they face. Their successes and their struggles reflect the specificities of displacement governance in East Africa and the surrounding regions—the Great Lakes and Horn of Africa. Tanzania, Kenya and Uganda each host some of the largest refugee populations in the world. Conditions and regulatory frameworks vary and are far from perfect for RLOs in these countries. For the most part, however, they shoulder their “burdens” without succumbing to the anti-immigrant xenophobia rife in more affluent nations. Presidents Museveni of Uganda and Kagame of Rwanda each have lived experience of exile, a fact that reflects a certain acceptance of displacement as a mundane reality rather than an alarming aberration.

This context has important implications for the political agency of refugees. For whilst their participation in public life remains limited and is at times curtailed, RLOs in this region are particularly dynamic and advanced. It is no coincidence that Ugandan RLOs, where refugees enjoy freedom of mobility and association, have played a leading role in the movement for refugee participation in Africa. Studies have identified between 20 and 30 such groups operating in Kampala, home to some 80,000 refugees. The precise number is difficult to ascertain given that RLOs vary in size and visibility.

Defined loosely as organizations established and led by refugees, RLOs include well-established NGOs with transnational networks, funding partnerships and global profiles such as HOCW (Hope of Children and Women Victims of Violence), whose capacious premises in Kampala are not so different from the national or indeed international NGO offices that I have visited in Asia and Africa.

It is no coincidence that Ugandan RLOs, where refugees enjoy freedom of mobility and association, have played a leading role in the movement for refugee participation in Africa.

At the other end of the spectrum, RLOs can be small, informal, community-based “self-help” groups that operate without donor funding or formal membership. Between these two poles are medium-sized operations that lack substantial funding but are registered and possess formal membership structures.

A recent study by refugee researchers, which identified 63 RLOs in Uganda and 138 in Kenya, claimed beneficiaries report positive experiences with RLOs because they treat them with greater dignity and understanding of their needs than larger humanitarian agencies. Service delivery is adapted to local conditions and as a result, targeted towards the needs of groups and individuals. It also tends to be less bound by bureaucratic rules, reaching the newly arrived who lack documentation—often the most vulnerable.

More than mere service-delivery, RLOs are increasingly engaged in advocacy. HOCW’s Congolese founder, John Bolingo Ntahira, contributed to the inaugural Global Refugee Summit in 2018, and remains on the Global Refugee Network’s steering committee, underlining East African RLOs’ pivotal role in driving the international movement for refugee representation in policy-making.

Together with a handful of other pioneering RLO leaders, Bolingo set up RELON (Refugee-Led Organizations Network) in 2017, a network headquartered in Kampala that has branched out into other African countries.

Expanding through international gatherings and leveraging connections in the African Union are high priorities for RELON, which is keen to develop a continental voice. It has campaigned successfully in host countries on issues such as refugees’ access to vaccines, travel documents, and the registration of SIM cards.

This penchant for building solidarities across borders and working at multiple scales of governance holds the key to the innovative potential of RLOs. As transnational actors with diasporic links and cosmopolitan sensibilities, refugee leaders I met are well-travelled, well-networked and inclined towards Pan-African solutions. Unlike many career diplomats who might claim the same, the continental coalitions they build are comprised of people with lived experience of the challenges faced in exile—individuals like Bolingo who shared a home with 70 compatriots in an old bus converted into a make-shift shelter in the early 2000s.

This penchant for building solidarities across borders and working at multiple scales of governance holds the key to the innovative potential of RLOs.

Who better to address the interests of displaced persons than men and women who have themselves experienced or witnessed mortal threats, precarious border-crossings and destitution first-hand, and who still dwell among refugee communities?

***

The UNHCR has taken various strides toward enabling meaningful RLO participation, such as issuing innovation awards to RLOs for their work during the pandemic and piloting small grants. More generally, the working relationship between RLOs and big players within the international humanitarian order expands daily with new initiatives documented on social media amidst smiles and handshakes. The former wish to project themselves as legitimate actors on the world stage, in close proximity to the latter, who in turn find it increasingly incumbent upon them to demonstrate awareness of the importance of RLOs.

Yet, beneath the surface of these exchanges lies a simmering tension. Several refugee leaders I interviewed made allegations of bad faith against powerbrokers in the humanitarian field, accusing them of condescension and placing obstacles in their path: actively undermining their access to funding and/or oppressively “micro-managing” them in exploitative unequal “partnerships”, and excluding and patronizing them at every turn.

“Our ‘big brothers’ don’t want to recognize us,” said a key figure in Kenya bitterly. He is convinced that those who currently control the purse strings “fear” losing privileged positions over organizations such as his own. Others who stopped short of explicit accusation made their sentiments known through body language: brows furrowed, jaws clenched at the mere mention of the behemothic agencies, donors and organizations that comprise the humanitarian establishment.

A 2020 article by Oxford researchers lifts the lid on the history of this encounter with sordid allegations against at least one UNHCR IP (Implementing Partner), InterAid, which stands accused of setting up a fake CBO (Refugee Now) run by its own staff to create false evidence of “community” engagement. If the truth of such matters is difficult to verify, their legacy of mistrust and grievance is clear.

At a conference on localization last March in Nairobi during NGO week, refugee leaders and their allies lamented the lack of structural transformation when it comes to funding flows and decision-making in the humanitarian field. Attendees and speakers included Jean Marie Ishimwe, founder of Youth Voices Community, a Kenyan RLO, and INGOs such as Trócaire, an Irish charity committed to localization.

Frustration that growing RLO visibility during the pandemic has failed to alter mind-sets and bottom lines when it comes to partnerships and budgets was palpable. RLOs complained of being instrumentalized or ignored altogether by most big donor agencies and their IPs. Too often, they said, “inclusion” takes the form of tokenism: invitations to participate in activities typically expect them to mobilize their communities for the realization of projects that have already been designed. Offers of “capacity-building”, meanwhile, rarely consider the pedagogical potential of RLOs, whose local knowledge and lived experience of displacement is often lacking among so many of their expat counterparts employed by international and national NGOs. They lamented the lack of multi-year funding for the development of their administrative capacity, a gap that leaves them unable to hire or retain qualified professionals that might boost their ability to attract funding independently, reinforcing their dependency on larger organizations.

Frustration that growing RLO visibility during the pandemic has failed to alter mind-sets and bottom lines when it comes to partnerships and budgets was palpable.

None of this will surprise observers of localization given the almost complete failure to implement the “Grand Bargain” of 2016, which promised to funnel a quarter of humanitarian funds directly to national and local actors within the field of humanitarian governance but delivered a mere 0.5 per cent of tracked funding in 2019.

***

The hesitancy of large donors to fund RLOs stems at least in part from genuine constraints. RLOs, they say (in private), can be too small and unprofessional to manage and effectively spend large grants that require complex financial auditing. A related concern is the perception that RLOs are unstable given the changing personal trajectories of staff and/or founders, whose individual asylum and resettlement claims can mean suspending operations mid-way through funding cycles. Then there is concern about the potentially distortive impact of funding RLOs, whose ethnic, religious and/or national affiliations arguably make them unsuitable for serving broader, diverse refugee publics.

My own inquiries confirmed what researchers have already documented: that none of these charges should be dismissed, because each contains a grain of truth.

Most RLOs do begin as CBOs catering for specific ethnic and national groupings; oftentimes they possess limited administrative capacity. Those that do manage to grow in size and ambition do indeed tend to be headed by well-educated men. Moreover, it is not unknown for the personnel of RLOs to be resettled in the course of funding cycles. I also heard several references to “founder’s syndrome”, a psychological disorder among some egoistic individuals who struggle to detach their personal interests from those of the organization they have established.

In view of such challenges, some of the most enthusiastic supporters of refugee leadership are seeking to bridge the gap between RLOs and the powerbrokers that perpetuate their exclusion constructively.

COHERE, an INGO with offices in Kampala and Nairobi, has thrown its full weight behind putting refugee-led organizations “in the driving seat”. It does this through training and advice to RLOs on how to attract funds, how to implement and document project work effectively, and how to plan strategically in the longer term. If in its advocacy COHERE counters prejudice among RLO-sceptics, much of its daily work addresses donors’ concerns through corrective measures that acknowledge the need for work on all sides.

Some of the most enthusiastic supporters of refugee leadership are seeking to bridge the gap between RLOs and the powerbrokers that perpetuate their exclusion constructively.

Herein lies the difference between COHERE and reactionary big players dragging their feet on localization: Where the latter use RLOs’ weaknesses as justification to prolong a status quo in which the former can only ever be “beneficiaries”, tokens and symbols in projects they design themselves, the former view them as obstacles that can and must be removed to create a more level playing field.

A glimpse at COHERE’s network provides strong evidence of RLOs’ ability to grow and develop in ways critics seem reluctant to acknowledge. In Kampala, I visited Bondeko Refugee Livelihoods Centre, founded by a Congolese priest now resettled in Canada. Far from parochial, its young staff and membership was diverse in terms of gender and ethnicity: many of those it supports are from Burundi and Rwanda, and like many refugee businesses in Kampala, it even provides employment for Ugandan citizens. The founder’s resettlement seems not have had adverse consequences.

***

As an expat employed by an international organization engaged in advocacy, refugee leaders’ critiques of the humanitarian sector’s paternalism can feel close to the bone. When they fume against the condescension of do-gooders who represent their interests without walking in their shoes, are they talking about me?

None of the refugee leaders I interviewed for this article said so (explicitly), and it would be easy enough to join them in pointing fingers elsewhere. More challenging than “speaking the truth to power”, however, is speaking it to oneself: to admit that the entrenched privilege they seek to dismantle includes my own.

To the legions of foreign “experts” whose postings in the Global South involve analysing, shaping or influencing policies that do not directly affect us, RLOs pose questions we should be asking ourselves everyday about our long-term presence and role in the Global South. Above all: What are we doing to devolve power and resources to present and future generations of stakeholders?

Signatories of the Charter 4 Change such as COHERE and Trócaire have committed to channelling a quarter of humanitarian funding directly to national and/or local NGOs. But many larger bureaucratized entities with decades of heritage and established identities have shown little urgency in adapting to a world in which refugees are partners rather than beneficiaries. Despite many words and some (limited) deeds, commitment to structural reform remains unproven and there is scant evidence of the soul-searching that should be taking place.

For African NGOs, a different kind of self-reflection may be required. Although “local” in terms of registration, these tend to be staffed by highly educated professionals hailing from host country elites, among whom lived experience of exile is rare. It is easier for them to attract donor funding than RLOs, which can cause resentment and rivalry. One refugee leader I interviewed seethed as he recounted rebuffing an invitation from a national NGO to participate in a project as a beneficiary: “We’ll get our own funding to work on this issue,” he scoffed, insisting he could have implemented the same project more effectively.

Devota Nuwe, acting Co-Director of The Refugee Law Project, a highly respected national NGO based in Kampala, has occasionally found herself on the receiving end of such sentiments in the course of her career as a displacement specialist. The kinds of remarks directed at her and her colleagues by individual refugee leaders aggrieved at salaried professionals whose job it is to support them suggest a frankness rarely directed against INGO workers. (“Those clothes you’re wearing, it’s because of us!”).

What such sentiment fails to acknowledge is that there are contexts in which refugees cannot easily represent themselves—in which they must be represented by non-refugees. Defending or appealing on their behalf in courts of law, for example, is specialized work that requires qualified professionals acquainted with the host country’s legal system and political context.

Perhaps this explains Nuwe’s relaxed attitude towards the rise of RLOs, whom she and her colleagues have welcomed into their industry, despite the occasional criticism that comes their way. “There’s room for all of us,” she chuckles, when I ask her if she ever gets anxious about the prospect of a competitive threat from individuals who openly tell her they should be in her place.

In truth, national NGOs that enjoy the trust of their stakeholders have nothing to fear from the rise of RLOs. The same can be said of INGOs already cooperating in partnerships with RLOs, in which each plays a distinct but complementary role to achieve common objectives.

In truth, national NGOs that enjoy the trust of their stakeholders have nothing to fear from the rise of RLOs.

Indeed, there is something to be said for UN Secretary-General Ban Ki-moon’s oft-cited commitment to making humanitarian action “as local as possible, as international as necessary”. The trouble with the current setup is that it under-utilizes the potential of refugees, and is far more international than it needs to be. In the words of John Bolingo Ntahira: “No one understands refugees’ problems better than we do”. Those of us who profess expertise on displacement would do well to acknowledge this basic fact and its transformative potential.

This article is part of a series on migration and displacement in and from Africa, co-produced by the Elephant and the Heinrich Boll Foundation’s African Migration Hub, which is housed at its new Horn of Africa Office in Nairobi.

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