Rebel group divisions prolong Mali instability

Subject Problems with implementing the Algiers Accord. Significance President Ibrahim Boubacar Keita (IBK) reshuffled his cabinet for the second time this year on September 24. Despite adding four extra posts, none of the new ministers represent armed groups in the north. Five months since signing the Algiers Accord with northern groups, implementation of the peace agreement has barely begun. Impacts There is a risk of attacks on army posts in the north and elsewhere. Aid organisations will remain vulnerable to attacks in the north of the country. Foreign investment in the mining sector will stay subdued. The Bamako government will seek to sustain international and regional confidence in the Accord.

Significance A 2018 peace agreement was meant to provide space for economic reform and recovery, but it has failed to deliver this. Moreover, the outlook for improvement remains poor. Impacts Many South Sudanese will remain reliant on international organisations to provide basic services. Corruption and mismanagement will deter foreign investment, including in the oil sector, the main source of government revenue. Despite a formal end to the conflict, persistent insecurity and the risk of further unrest will constrain the recovery.


Significance Burhan’s decision responds to renewed threats by the Council of Beja Nazirs (CBN) to blockade Port Sudan unless the eastern track of the Juba Peace Agreement (JPA) is annulled. This poses a problem for Burhan, whose other partners in government, the Sudan Revolutionary Front (SRF), oppose any deviation from the JPA. Impacts Fears that Sudan’s ports will remain susceptible to stoppages will deter foreign investment and shipping into Sudan. SRF leader Yasir Arman’s return to the protest movement underscores the fragility of the SRF’s alliance with the coup leaders. The committee may drag out consideration of the eastern question, to avoid controversy while the coup leaders try to win wider support.


Significance His comments are optimistic. The other two rival administrations that are based in Libya have resisted efforts to form a unified government, while armed groups (some associated with the administrations, others independent) compete for local dominance. As a result, intermittent escalations in fighting and sporadic attacks by fringe militias continue to occur in parts of the country. Concern has grown about the impact on civilians. Impacts Bombings and outbreaks of intense fighting will remain a risk in key contested locations in the north. Clashes between militias will recur sporadically in the south. The number of migrants working in Libya and seeking to travel to Europe may increase again.


Subject Management of South Sudan's economy Significance A framework peace agreement reached in Khartoum on June 27 comprised only five substantive articles; it was therefore striking that one focused on re-starting oil production. The potential -- and the desire -- for economic recovery are real, but turning potential into actual development and growth will require more than just getting the oil flowing again. Impacts Attempts to strengthen oilfield security in Unity State could trigger new fighting. Unity’s oilfields could potentially add 70,000 barrels per day by the end of 2019. Foreign investment inflows will remain minimal in the short-to-medium term.


Subject Outlook for the mining sector. Significance Encouraged by this year’s price increases for most of Peru’s mineral exports, the government is seeking to push ahead with plans to attract much-needed foreign investment into the mining industry. This will involve politically contentious moves to deregulate some of the cumbersome procedures that affect investors. Impacts Next year’s growth target of 4% is probably over-optimistic. Social and environmental protests will add to the costs of mining investment in Peru. Once opposition has emerged to projects, it will prove difficult to reverse. Climate change will accentuate problems of water shortage for mining operations.


Subject The mining outlook in Ecuador. Significance The collapse of world oil prices has forced the government of President Rafael Correa to search for new sources of public revenue and foreign investment. The mining sector, which remains underdeveloped, has the potential to make significant contributions on both of these fronts. Reflecting the growing importance of the sector, the government has a created a Mining Ministry and appointed a mining minister. While numerous challenges continue to face the industry, it has shown signs of increased activity in the opening six months of the year. Impacts Opponents of mining development will attempt to impede medium and large-scale projects, through the courts and on the streets. Changes to water laws and policies will face opposition due to fears they may facilitate mine development and threaten water supplies. While investment in the mining sector will boost economic activity, the economy will expand more slowly than expected in 2015.


Subject Sudan's new cabinet. Significance The prime minister has appointed a new unity government, in accordance with a disputed 'national dialogue' framework completed last year. For the past five years, Sudan has been facing the combined economic pressures of budget cuts, reduced foreign investment, a weakening currency and rising inflation. The former government pushed through some subsidy cuts, despite public protests over the ensuing economic hardship. In January, Washington announced a lifting of economic sanctions on Sudan, raising Khartoum's hopes that it will become easier to attract foreign investment. Impacts Gulf institutions will provide new financing for energy and infrastructure projects. Mining and agriculture opportunities in the north and centre of the country could also attract some new investment. However, major Western companies will remain wary of doing business in Sudan.


Subject Progress on the peace agreement. Significance The decentralisation of political and financial power to appointed interim councils for the five regions of northern Mali is a key element of the 2015 peace deal for northern Mali. The government finally took this key step in mid-October, awarding key posts to the Coordination of Azawad Movements (CMA), which had been fighting for autonomy. This may bind the group more strongly into implementation of the peace deal. Impacts The long delayed municipal elections will be a key test of opposition parties' political strength. Jihadist groups will continue their campaign of violence in the north-east, including raids into Niger. Community grievances and jihadism will fuel continuing local violence in Mopti region in central Mali. The UN peacekeeping force will try to strengthen manpower and equipment, but may find it hard to attract high-tech military contributors. The UN force will also open a base in Menaka, in the far east, to counter the resurgent jihadist threat in this area.


Significance In preparation for this, Sudan’s transitional authorities on October 18 incorporated the peace agreement’s provisions into the ‘Constitutional Declaration’, the provisional constitution covering the transitional period. Impacts Including the peace agreement into the constitution sends a strong signal to armed groups of the government’s commitment. This show of goodwill may accelerate pending peace processes with holdout armed groups. Establishing a transitional legislature will add a new centre of power, which could complicate government decision making.


Significance MONUSCO on February 11 had already halted its support for the planned offensive, linking its decision to concerns over human rights abuse allegations against two Congolese generals tasked with leading the operations. Tensions between the government and its main international partners come at a time of growing instability in the eastern provinces, threatening to reverse gains made since the 2013 defeat of the main rebel group in the Kivu provinces, the M23 Movement. Impacts The UN is the international donor community's main entry point into DRC, making it a key diplomatic pawn. MONUSCO is unlikely to withdraw completely given the range of security and development functions it offers. However, its offensive role against armed groups through the Force Intervention Brigade (FIB) will become increasingly political.


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