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SUSTAINABILITY & CLIMATE CHANGE

Five Ways in Which Finance for Climate Adaptation in Africa Falls Short

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By Georgia Savvidou

Back in 2009, the world’s wealthier nations pledged to mobilise US$100 billion a year by 2020 to help developing countries cope with climate change. The funding would be used to adapt to the impacts of climate change and reduce or prevent emissions.

The world’s poorest countries are expected to be hit hardest by climate change extremes such as droughts, floods and cyclones. And African countries are among the most vulnerable to those impacts on food security, health, economies and ecosystems. For example, crop yield loss projections are larger for tropical regions of Africa. And poorer populations in sub-Saharan Africa are at highest risk of malnutrition.

At the same time, Africa’s contributions to greenhouse gas emissions causing global warming are among the lowest globallyWithout financial support, climate change is projected to push tens of millions more Africans into extreme poverty by 2030.

Our new research, based on data from the Organisation for Economic Co-operation and Development (OECD), tracked funding for adaptation to African nations from 2014 to 2018. The funding came from governments in wealthy countries and development banks. The work is important as there has been no extensive mapping of climate finance to Africa to date.

We identified five ways in which finance for adaptation to climate change in Africa falls short. These are: quantity; variation among countries; neglect of some sectors; difficulty spending funds and debt.

Adaptation finance doesn’t match the needs

Roughly US$5 per year, per person. That’s what adaptation funding to each African amounted to between 2014 and 2018, at a grand total of less than US$5.5 billion per year.

African governments estimate that they need at least US$7.4 billion per year by 2020. They also expect that they will need much more as the world gets ever hotter – reaching tens of billions of dollars per year by 2050.

It’s clear that the world’s poorest countries will be hit hardest by climate hazards and extreme weather events. The World Bank estimates that sub-Saharan Africa will face the highest adaptation costs per unit of gross domestic product (GDP). This is because of lower GDPs and higher costs of adaptation for water resources, due to changes in precipitation patterns.

But we found that funding from 2014 to 2018 targeting adaptation (US$16.5 billion) was only about half of the funding aimed at reducing emissions (mitigation), which was US$30.6 billion. While finance for mitigation is important because it addresses the root cause of climate change, for African countries that already face severe climate impacts, increased funding for adaptation is urgent.

Map of Africa showing funded allocated to countries.
Some countries are more vulnerable than others

Funders haven’t strategically targeted adaptation finance to the most vulnerable African countries. Per capita funding levels are almost the same for least-developed and more developed countries.

Graphic showing adaptation related commitments for African countries.

Generally, least-developed countries are also more vulnerable to the impacts of climate change. Niger, Somalia, Chad, Sudan and Liberia rank among the most vulnerable countries in the world. Yet they receive less than US$5 per person per year to adapt to weather extremes.

Not all sectors in need receive adaptation finance

Only two sectors, agriculture and water supply & sanitation, received half of the adaptation-related funding. To some extent this aligns with the expected vulnerability and exposure of these sectors to climate impacts. Also, African governments prioritise these sectors in their climate plans.

But money also needs to go to sectors such as education, health and biodiversity and have gender equality as a main objective. Healthy, educated people are more resilient to climate shocks, both socially and economically. And healthy natural ecosystems reduce direct and indirect climate risks. Funded programmes that empower women and take into account the unique needs and priorities of both women and men are found to be more effective.

Unspent adaptation finance

We need to ensure that funding is doing what it set out to do once it reaches poor countries, instead of having negative impacts as some literature suggests. But our research shows that most of it doesn’t even reach countries. Only 46% of adaptation finance committed to Africa was actually disbursed.

By contrast, finance for reducing greenhouse gas emissions was being spent at a rate of 56%. And 96% of overall development finance that funders committed to Africa over the same period was actually spent.

This suggests some major barriers to spending on climate projects, particularly for adaptation projects. Literature that has looked at this problem in more detail suggests that administrations in less developed countries are often not set up to properly plan procurement. They often have to comply with strict funding conditions and guidelines, find counterpart funding within the time that’s agreed, or comply with rigid rules of multilateral climate funds.

Adaptation finance leads to more debt

More adaptation related finance was provided as loans (57%) than as grants (42%). Poor and often highly indebted countries are largely expected to pay back money for adapting to climate hazards they’ve done very little to cause.

Aside from climate justice, on a practical level, grant-based finance has higher disbursement rates than loans. Adaptation finance could make a bigger difference if more of it was provided in the form of grants.

Looking ahead

Climate finance is probably the biggest key – or obstacle – to success at the upcoming UN climate conference COP26 in Glasgow in 2021. The OECD has found that the promise of $100 billion per year for developing nations by 2020 has fallen short by $20 billion.

But our research suggests that climate finance is about more than just one aggregate number. The money must match the needs, in terms of amount and purpose. It must go to all the sectors where it’s needed to put people in a better position to deal with the impacts of climate change.

Funders and recipients must identify and solve the problems preventing money from actually making a difference on the ground. And funders must reconsider the quality of the finance, especially whether it’s provided in a just and effective form.

Georgia Savvidou is a PhD candidate , Chalmers University of Technology

Courtesy: The Conversation


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SUSTAINABILITY & CLIMATE CHANGE

Islamic Development Bank Invests $1.15 Billion in Kazakhstan Water Sector

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At the recent UN Climate Change Conference (COP29) held in Baku, Kazakhstan’s Deputy Prime Minister and Minister of National Economy, Nurlan Baybazarov, celebrated the signing of a landmark agreement with the Islamic Development Bank (IDB). This $1.15 billion investment—the largest project ever financed by the IDB—marks a pivotal step in fortifying Kazakhstan water sector in the face of climate change.

Kazakhstan, with its vast landscapes and varied climate, faces pressing water-related challenges. The country’s economic growth, combined with climate-driven water scarcity, has intensified the need for robust, adaptive infrastructure. This new project, focused on climate-resilient water management, reflects Kazakhstan’s commitment to long-term sustainability and the IDB’s dedication to supporting green growth in member nations. Here, we unpack the ambitious project, its goals, and the promising impact it holds for Kazakhstan water sector and beyond.

Kazakhstan Water Sector

Kazakhstan is the world’s largest landlocked country and has one of the most diverse climates in Central Asia. This diversity, however, also brings vulnerability. The country relies on a delicate balance of snowmelt, river inflows, and groundwater, all of which are under threat due to rising temperatures, decreased rainfall, and increasing demand from industrial, agricultural, and urban sectors.

Kazakhstan’s water usage primarily serves the agriculture sector, which consumes an estimated [X]% of total water resources. The nation’s agricultural productivity, food security, and rural livelihoods are directly tied to the reliability of these water supplies. However, aging infrastructure and inefficient water management have compounded the scarcity issue. The government has been working toward sustainable water use, yet climate-related stresses make this goal increasingly challenging.

A 2023 study by the World Bank warned that Central Asia, including Kazakhstan, could face a 30% reduction in water availability by 2050 due to climate change. With urban growth rates accelerating, the water demand in cities like Astana and Almaty is rising, increasing strain on outdated water management systems.

In response, Kazakhstan has developed a 2050 Development Strategy that prioritizes water conservation, infrastructure renewal, and sustainable growth. With a clear aim to reduce water losses, promote efficient irrigation, and support resilience in rural and urban areas, the government has been seeking international partnerships to bring these goals to life. This is where IDB’s involvement brings valuable support.

The Islamic Development Bank’s (IDB) record-breaking $1.15 billion investment is a testament to Kazakhstan’s strategic importance and the IDB’s confidence in the nation’s economic direction. This funding will support the ‘Development of Climate-Resilient Water Resources’ project, crafted by Kazakhstan’s Ministry of Water Resources and Irrigation. IDB’s additional $3.5 million grant, dedicated to research and development, will further Kazakhstan’s capacity to build climate-smart water systems.

This partnership reflects IDB’s dedication to sustainable development in its member countries. In recent years, IDB has aligned its strategy with the United Nations Sustainable Development Goals (SDGs), emphasizing projects that promote water security, climate adaptation, and green infrastructure.

IDB’s work in climate-resilient projects spans various regions, from Africa to Southeast Asia. For instance, in Morocco, IDB invested in solar-powered water pumping systems to help farmers irrigate fields without relying on erratic rainfall. In Bangladesh, it supported flood protection initiatives that safeguarded crops and homes from monsoon-induced waterlogging. IDB’s mission has become increasingly climate-focused, with a major of its annual portfolio dedicated to projects that enhance resilience against environmental changes.

What the Project Entails

The Kazakhstan water sector project is divided into multiple stages, with each phase designed to tackle a specific set of challenges. The first phase focuses on strengthening water storage, distribution, and irrigation across key agricultural and urban areas. The scale of this initiative reflects Kazakhstan’s commitment to transforming its water infrastructure.

Key Project Goals Include:

  1. Building New Reservoirs
    The construction of four new reservoirs and the restoration of four existing ones aim to bolster the nation’s capacity for water storage. With a modernized reservoir system, Kazakhstan can regulate water availability, minimizing the impact of seasonal variations and droughts.
  2. Rehabilitation of 115 Canals
    This ambitious canal overhaul includes the Astana Reservoir Recharge Project, a critical step toward efficient water distribution. By reducing water losses due to leaks and evaporation, the canal upgrades are expected to improve irrigation for farming communities and sustain urban water supplies.
  3. Analytical Capacity-Building
    Alongside physical infrastructure, the project includes partnerships with institutions like the Kazakh Research Institute of Water Management. These collaborations will focus on river basin studies, water demand forecasting, and the implementation of early warning systems for water scarcity.
  4. Equipping Kazvodkhoz for Water Management
    Kazakhstan’s state-owned water agency, Kazvodkhoz, will receive advanced equipment and automation systems to streamline operations. This will empower local water authorities to monitor water levels, quality, and flow rates more accurately, paving the way for sustainable resource management.

This comprehensive project spans various regions within Kazakhstan: Akmola, Almaty, Zhambyl, Kyzylorda, Turkestan, West Kazakhstan, Zhetisu, and the capital city, Astana. These areas were selected due to their agricultural significance and vulnerability to water-related challenges. By focusing on regions with high water demand, the project will directly impact farmers, residents, and industries relying on consistent water supplies.

Why This Investment Matters

Water security is fundamental to Kazakhstan’s socio-economic future. For a country that heavily depends on agriculture, inadequate water supplies pose a risk not only to food production but also to economic stability. Moreover, water shortages can lead to rural migration, which places additional pressures on urban infrastructure and services.

The IDB-funded project is more than just an infrastructure initiative; it represents a vision for a climate-resilient Kazakhstan. The introduction of automated water management systems, for instance, will allow Kazakhstan to monitor resources with precision, ensuring that water use is optimized based on real-time needs and availability. With climate change affecting the region’s hydrology, these innovations could be a game-changer in mitigating the impact of droughts and floods.

Climate change is a global challenge, but its effects are highly localized. For Kazakhstan, climate-driven changes such as altered river flows and erratic precipitation patterns directly threaten water resources. This project incorporates climate-smart water management practices aimed at adapting to these shifts.

The Development of Climate-Resilient Water Resources project will serve as a blueprint for other Central Asian countries grappling with similar issues. From adopting water-saving technologies to diversifying irrigation methods, Kazakhstan’s efforts could inform climate adaptation across the region.

Baybazarov remarked at COP29, “This investment is not just about building infrastructure; it’s about preparing Kazakhstan for the future. By modernizing our water systems, we are investing in the resilience of our communities and ensuring that our development is sustainable for generations to come.”

Climate-Resilient Infrastructure

IDB’s involvement in Kazakhstan water sector highlights its broader focus on climate resilience. With a portfolio of over $X billion in climate-focused projects, IDB has established itself as a leading financier for sustainable infrastructure in emerging markets. Its projects aim to provide long-term solutions, whether through clean energy, water conservation, or sustainable agriculture.

In addition to this investment, IDB has supported water initiatives in countries like Sudan, where it financed water purification plants, and in Jordan, where it funded the construction of water reservoirs to tackle urban shortages. For Kazakhstan, IDB’s investment not only offers financial support but also brings in technical expertise and strategic insights that will help shape the country’s water policies for years to come.

This water sector project is expected to create numerous job opportunities, particularly in construction, engineering, and environmental management. By hiring local workers and contracting regional companies, the initiative will boost Kazakhstan’s economy and provide valuable skills training in fields like infrastructure maintenance and hydrology.

The social impact, however, extends beyond economic growth. Improved water infrastructure will help rural communities thrive, reduce health risks associated with water scarcity, and ensure reliable access to water for drinking and sanitation. Additionally, these improvements align with the government’s Sustainable Development Goals (SDGs), particularly those related to water access, health, and economic growth.

In the long term, modernizing water infrastructure could significantly enhance Kazakhstan’s agricultural sector. With efficient irrigation and water storage systems, farmers can expand crop production, diversify agricultural exports, and build resilience to climate-induced challenges. The impact on food security and rural livelihoods could transform Kazakhstan into a model for water management in arid and semi-arid regions.

Building a Sustainable Future

The IDB-funded project represents a critical milestone in Kazakhstan’s journey toward sustainable water management. As the country gears up for an uncertain climate future, it recognizes the importance of proactive planning and international collaboration. The Islamic Development Bank’s support is an endorsement of Kazakhstan’s vision, demonstrating that large-scale, impactful projects can be achieved through partnerships focused on long-term sustainability.

Kazakhstan’s commitment to water sector reforms is only the beginning. With new infrastructure in place, the next steps will involve policy improvements, capacity-building for local agencies, and continuous adaptation to environmental changes. As Kazakhstan continues on its path toward climate resilience, the lessons learned from this project will serve as a guiding light for other nations facing similar challenges.

Kazakhstan water sector stands at the cusp of transformation, thanks to the Islamic Development Bank’s historic $1.15 billion investment. This project embodies a vision for a resilient, climate-adaptive future where water resources are managed sustainably to support both urban and rural communities. As Kazakhstan embraces the future, this partnership serves as a reminder that tackling climate change requires bold initiat


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SUSTAINABILITY & CLIMATE CHANGE

The Trillion-Dollar Question: Can Global Unity Find the Funds to Halt Climate Catastrophe?

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At the COP29, currently taking place from November 11 to November 22, 2024, in Baku, Azerbaijan, one is faced with a monumental question that frames every discussion: Can the world’s wealthiest nations truly unite to raise the trillion dollars a year needed to stop the climate crisis in its tracks? It’s a staggering figure, yet as floods, wildfires, and extreme weather ravage communities worldwide, it becomes clear this funding is no longer a distant aspiration but an urgent necessity. Baba Yunus Muhammad argues that the stakes are high, and time is running out – but the money exists. But the question is, will world leaders muster the political will to make it happen?

As the UN’s COP29 summit unfolds in the historic city of Baku, Azerbaijan, an imposing question looms over the gathering: Can the world’s wealthiest nations mobilize the staggering $1 trillion needed annually to address the climate crisis and prevent the most vulnerable from facing environmental disaster? With 198 nations represented, the summit is grappling with an urgent challenge: finding the financial resources to transition the world away from fossil fuels and toward a green, resilient future.

The stakes are high, as floods, droughts, and wildfires continue to devastate communities worldwide. Last week alone, torrential floods swept across Spain, wreaking havoc and claiming lives, a tragic reminder of the escalating risks of inaction. As Simon Stiell, the UN’s climate chief, aptly summarized: “It’s not a question of whether we can afford to tackle the climate crisis; it’s a matter of whether we can afford not to.”

A Trillion Dollars – A Bargain to Save Our Planet

A trillion dollars may sound astronomical, yet in the context of global economics, it is but a fraction of what is achievable. The global economy, which generated approximately $105 trillion in GDP last year, could feasibly absorb this cost, representing less than 1% of annual output. To put it in perspective, the world’s oil and gas industry has made a trillion dollars in profit every year for the past 50 years. These figures make a trillion-dollar climate fund appear not just possible, but economically viable – a bargain, even – if channeled toward building a sustainable world.

The United States, one of the wealthiest and most polluting nations, has already pledged $1 trillion over three years to domestic climate initiatives, showing that the funds exist and can be directed toward climate action. But this example highlights a major issue: while the money is there, it has yet to flow equitably to the countries that need it most.

Developing Nations in Crisis: The Case for Climate Reparations

For many developing countries, the climate crisis is not a future threat but a present-day reality, manifesting in deadly storms, rising sea levels, and crop failures. These nations, which have contributed the least to global emissions, are bearing the brunt of the crisis. The UN Environment Program estimates that adaptation costs alone could exceed $500 billion annually by 2050 in developing countries if current warming trends continue. Yet, these nations are expected to shoulder a disproportionate share of the economic burden, even as they spend over $1 trillion each year on their own climate mitigation and adaptation efforts.

This inequity has led poorer nations to call for the funds to be delivered as grants, rather than loans, which they argue would place them under additional financial strain. Currently, many of these nations are spending more on debt repayments than they receive in climate aid, a situation that risks deepening poverty and economic vulnerability in the Global South.

Financing the Future: Proposed Solutions

As negotiations continue in Baku, several financing options have emerged, each with its own set of challenges:

  1. International Aid and Development Bank Loans: Wealthier countries’ foreign aid budgets will contribute to the climate fund, though experts caution against merely rebranding existing aid as “green.” The World Bank and other development banks, meanwhile, could potentially offer low-interest loans, amounting to $200 billion to $400 billion per year. Yet, as seen at recent meetings in Washington, progress remains slow.
  2. Solidarity Taxes: Climate advocates are increasingly calling for global taxes, such as a 2% wealth tax on billionaires, estimated to raise as much as $250 billion in Brazil alone. Taxes on frequent flyers, international shipping, and financial transactions have also been suggested, but these measures would require unprecedented global cooperation.
  3. Ending Fossil Fuel Subsidies: Despite a climate emergency, fossil fuel subsidies persist globally, totaling a mind-boggling $600 billion annually. Cutting these subsidies could free up funds for climate action, though politically entrenched interests make this an uphill battle.
  4. Private Sector Investments: With the right incentives, private sector finance could help bridge the funding gap. Yet many view this as a means for rich countries to outsource their climate responsibilities, sparking debate on the balance of public and private contributions.

Global Disparities in Climate Responsibility

Another contentious issue is the classification of “developed” and “developing” nations under the UN’s climate treaty. Originally defined in 1992, this classification now excludes several major polluters who remain classified as “developing,” including China, South Korea, and the Gulf states. These emerging economies, once minor players, have become both economically powerful and significant carbon emitters. The EU, the largest provider of climate finance, argues that these countries must also step up and share the responsibility, especially the oil-rich Gulf states, which have reaped enormous profits from fossil fuels.

Saudi Arabia, for example, recently reaffirmed its commitment to extracting every ounce of its vast oil reserves. Prince Abdulaziz bin Salman al-Saud, the kingdom’s energy minister, stated at the Future Investment Initiative in Riyadh, “We will monetize every molecule of energy this land has, period.” This commitment stands in stark contrast to global climate goals and underscores the challenge of achieving universal cooperation on climate finance.

Time is Running Out

Despite these challenges, a potential solution is emerging from the negotiations: a core agreement around hundreds of billions in public finance, supplemented by private investments to reach the trillion-dollar goal. The question, however, is one of timing. The world’s previous climate finance target of $100 billion per year took over a decade to fulfill, and with climate disasters escalating, time is a luxury we no longer have.

The world has the means, the technology, and the funding to curb climate catastrophe – but without political will and coordinated action, even the best solutions remain theoretical. Ani Dasgupta, head of the World Resources Institute, reminded the summit’s attendees, “Ultimately, it’s a political decision to move the world forward to a safer place for our children and everyone else.”

The trillion-dollar climate fund is no longer a “nice-to-have”; it’s a necessity. COP29 represents a crucial juncture: the global community’s commitment today will define the fate of our planet tomorrow. As the summit presses on, the world watches – and waits – to see if global leaders will rise to the trillion-dollar challenge.


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AGRIBUSINESS & AGRICULTURE

Sweet Sorghum offers Solutions in Drought-hit Southern Africa

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By Hamond Motsi

The southern African region is battling with drought at present. This is the result of El Niño, a natural climate cycle characterised by changes in Pacific Ocean temperatures. It has effects on global weather patterns, particularly rainfall and temperature.

The drought has hit the region’s agricultural productivity hard. MalawiZambia and Zimbabwe have declared a state of disaster with respect to their current agricultural outputs. They are seeking humanitarian assistance in the form of food aid to feed their people. The downturn also has economic implications, since over 70% of people residing in the region’s rural areas rely on agriculture for their livelihoods.

The dire situation underscores how important it is for the agricultural sector to prevent, avoid or prepare for the impacts of climate change, which will also bring extremes of weather.

One measure the sector can take is to cultivate biofuel crops. These are crops rich in starch, sugar or oils that can be converted into bioethanol directly or through a fermentation process. Bioethanol, a type of ethanol produced from biological or plant based sources, emits fewer greenhouse gases compared to fossil fuels like petroleum, natural gas and coal. Commonly used biofuel crops include sugarcane, maize, grain sorghum, sugar beet, rapeseeds and sunflower.

These conventional biofuel crops do have drawbacks, however. They are highly susceptible to extreme weather events. They require high upfront investment for fertilisers, chemicals and irrigation. And they compete with food production – if they’re grown as biofuels they can’t also be used as food because of how they have to be processed.

So, researchers are always on the lookout for crops that might be good biofuels without those problems. Sweet sorghum, which is indigenous to the African continent, is one such crop. Unlike the better-known sorghum, it has sweet juice in its stems. In a recent study, I reviewed scientific literature to analyse the potential significance of sweet sorghum to African farmers because of its multipurpose nature and ability to adapt under harsh climatic conditions.

Multiple uses

Sweet sorghum has many uses. It can produce grains, animal feed and sugary juice, making it unique among crops. The grains from sweet sorghum are prepared as steamed bread or porridge malt for traditional beer, as well as in commercial beer production across the continent.

They’re nutritionally rich, with high energy values (342 calories/100 g), proteins (10g/100 grains), carbohydrates (72.7g/100 grains), and fibre (2.2g/100 grains) as well as essential minerals such as potassium (44mg/100 grains), calcium (22mg/100 grains), sodium (8mg/100 grains) and iron (3.8mg/100 grains).

The nutritional value of maize is fairly similar: proteins (8.84g/100 grains), carbohydrates (71.88g/100 grains), fibre (2.1g/100 grains), potassium (286mg/100 grains), calcium (10mg/100 grains), sodium (15.9mg/100 grains) and iron (2.3mg/100 grains).

What sets sweet sorghum apart from a crop like maize is that it’s also resilient in arid climates and has multiple other uses. For instance, it produces a lot of plant material (biomass) as it grows, which is left over after harvest. That’s why it’s useful as animal feed too.

Animal feed is made from what remains once the sweet sorghum crop has been harvested and its grains and stem juice stripped off. The residue is high in nutritional content, which can improve the quality of diets of animals, including cattle. The grains can also be used for animal feed.

The sweet juice in the crop’s stalks is what’s used to create bioethanol. Sweet sorghum contains sucrose, glucose and fructose, which are essential for bioethanol production. Of the conventional biofuel crops I’ve mentioned, only sugarcane yields more ethanol. Studies in the United States have shown that sweet sorghum far outstrips maize when it comes to bioethanol production: it yields 8,102 litres per hectare planted, while maize yields just 4,209 litres per hectare.

Resilient

Perhaps most importantly given the southern African region’s current drought struggles, sweet sorghum is well-suited for cultivation in the sorts of adverse conditions that are typically challenging for conventional biofuel crops.

One of the key characteristics of sweet sorghum varieties is their drought resistance. It allows them to enter a dormant state during extended periods of dryness and resume growth afterwards. Research has shown that, under intense water scarcity conditions, sweet sorghum makes use of its stalk juice to supplement its plant needs.

Sweet sorghum’s ability to withstand low water and nitrogen inputs, as well as its tolerance for salinity and drought stress, makes it an ideal crop for farmers in arid regions. This is why it’s widely used in other parts of the world, including the USBrazil and China.

Investing in sweet sorghum

The continent’s current agriculture value chain is dominated by major crops like maize, wheat and rice, which all originate from outside Africa. Not enough attention is given to crops of African origin, like sweet sorghum, even though it is a multipurpose, hardy crop with great potential for farmers. People are more familiar with sorghum, not the sweet variety, and it is also under-researched.

Governments should be using their agriculture extension services to raise awareness among farmers and consumers about the benefits and practical applications of sweet sorghum in people’s diets.

Developing recipes and secondary or industrial products can enhance the feasibility and awareness of sweet sorghum farming. By investing in research and development, the full potential of sweet sorghum cultivation can be unlocked through governments and the private sector.

Hamond Motsi is a PhD Student in Agriscience, Stellenbosch University

Courtesy: The Conversation


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