An African Military Power

BERLIN/LUANDA (Own report) - Parallel to the escalating crises in Greece and Ukraine and the participation or involvement in various wars in the Arab world, the German government is intensifying its efforts to enhance its political and military influence on the African continent. German companies are seeking lucrative business opportunities in booming Angola at the "Angola/Germany Economic Forum" ending today in the country's capital Luanda. Despite its persistent efforts, so far, German trade relations with Angola have not achieved a real breakthrough, whereas Berlin has already made progress in its military cooperation with Luanda. In late 2014, both countries signed an agreement on a "partnership" in military policy followed by a joint military exercise in March 2015. Angola is considered useful as an ally for implementing Germany's geo-strategic interests in Sub-Saharan Africa. It has been massively upgrading its military apparatus and thereby become a challenge to South Africa's claim to continental hegemony.

Angola's Oil Boom

Angola is currently one of the emerging economic powers and boom markets on the African continent. It is Sub-Sahara Africa's second largest oil producer, with billions in foreign exchange revenues from oil exports. In this millennium, it has recorded an average double-digit growth rate, making it therefore one of the world's fastest growing economies. Due to the recent significant decline in oil prices, the boom has subsided. Nevertheless, this Southwest African country is still receiving Africa's largest influx of foreign direct investments. In addition to oil, Angola has extensive gas reserves, most of which still unexploited. According to estimates, Angolan reserves could suffice for the production of 6.8 billion cubic meters of liquid gas per year for two decades. Angola already supplies natural gas to China, Brazil and Southeast Asia.[1] Due to this economic boom, the nascent Angolan oil bourgeoisie has become an increasingly assertive investor in Europe. The Angolan Sonangol oil company, for example, has acquired large shares in the Portuguese Galp Energia oil and gas company, as well as in the Portuguese bank, Millenium BCP.

Germany Lagging Behind

Since some time, Germany has been seeking to extend its economic influence in Angola. More than twenty German companies are currently present in the country, including the Frankfurt-based Commerzbank AG and the Swabian technology company Bosch. The Gauff Engineering Company, in Nuremberg, is participating in important infrastructure projects. However, this cannot hide the fact that German companies are significantly lagging behind their international competitors. Angola's most important trade partners are China, its former colonial power Portugal, followed by the USA, Brazil, India and South Africa. In June, the People's Republic of China granted Angola a loan of US $25 billion. In return, Luanda promised Beijing access to large areas of land.

Efforts to Catch Up

Berlin's top government levels are actively supporting German businesses in their efforts to overcome this deficit. The sixth "Angola/Germany Economic Forum," where political and business representatives from both countries regularly seek possibilities for closer cooperation, began yesterday, Tuesday in Angola's capital Luanda, and ends later today, Wednesday. This year, the forum focuses on the economic development of Angola's health and energy sectors as well as its infrastructure and agriculture. German enterprises hope that the Angolan government will invest its enormous oil sales revenues in large-scale modernization and capitalization projects, which could produce lucrative contracts. The various speakers on the forum's diverse panels will include Angola's Ministers of the Economy, of Health and of Energy. The German participants will include a high-ranking delegation from the Ministry of Economic Affairs and Energy, led by Parliamentary State Secretary Brigitte Zypries (SPD). The sponsors include the Swabian technology Voith Hydropower, Gauff Engineering and the Commerzbank AG. Luanda will simultaneously be hosting the Feira International de Angola (Filda), the country's largest business fair, with Germany being the "Partner Nation" of the year. This year, "Germany will have a record of 28 exhibitors on more than 700 m²," boasts the lobbying association, German-African Business Association (AV).[2] State's Secretary Zypries and her delegation will also represent the German government at the Filda.

Military Policy Cooperation

Berlin and Luanda's military cooperation has begun to become more concrete than the economic cooperation. Last year, the governments of the two countries signed an agreement on cooperation in military policy. (german-foreign-policy.com reported.[3]) This agreement includes "defense-level talks as well as the regular participation in seminars."[4] Early last March, German and Angolan Marine units carried out training exercises in boarding using the German frigate "Brandenburg" anchored in Luanda's harbor, as part of a German mission and training naval unit. At the time the frigates "Hessen" and "Karlsruhe" were also at anchor in Luanda alongside the "Brandenburg".

Junior Partner

The military and military policy cooperation is an aspect of Berlin's efforts to use a hierarchic division of labor in alliance with regional junior partners to expand its African geostrategic influence. Over the past few years, Germany has used a similar "support in training" approach to expand its influence, for example, with West Africa's Malian and Ghanaian military.[5] For Germany, the alliance with Angola seems particularly apt for serving its expansion efforts, since Luanda, for its part, is beginning to play a leading role in Southern Africa and beyond, and, for this purpose, is engaging in a massive enhancement of its military forces. Angola has increased its military budget from US $3.5 billion in 2010 to US $6.8 billion in 2014. According to observers of regional developments, Angola intends to increase its military expenditures to US $13 billion, by 2019.[6] The Angolan military budget has now surpassed that of South Africa - in 2013 - which has led the German Institute of Global and Area Studies (GIGA) in Hamburg to consider Angola "the region's largest military power."[7] In light of this development, South Africa, which until now had been assuming the role of the continental hegemon, has begun to coordinate with Angola the enactment of its concepts for sub-Saharan Africa. For example, along with the Democratic Republic of the Congo, the two countries have created a trilateral mechanism for "pacifying" the Great Lakes Region.

Arms Customers

For Germany, Angola's arms buildup offensive is considered an ideal alternative to South Africa, with which Berlin had maintained a relatively intensive military cooperation. Pretoria's ties to the BRICS alliance (Brazil, Russia, India, China, South Africa), which in the long run is a challenge to the West's hegemony, has made it increasingly unreliable in German eyes - not least of all in the context of the West's current conflict with Russia. Luanda's large investments in military goods are an additional enticement for German arms industries to seek lucrative business deals. In March of this year, in the course of the joint military training exercises in Luanda, German arms producers installed an industrial display on the frigate "Hessen" to peddle their wares. Among those visiting the exhibit to appraise personally the quality of German war material were the Inspector General of the Angolan Armed Forces, Gen. Geraldo Nuanda and Angola's State's Secretary for Industry, Gabriel Kiala.

[1] Angola: Wirtschaft. Boomland des Kontinents. liportal.giz.de/angola/wirtschaft-entwicklung .
[2] Johannes Kurt: Afrikas ambivalenter Aufsteiger. Afrika Wirtschaft 2/2015, www.afrikaverein.de.
[3] See Militärpartner Angola.
[4] Ministerin trifft angolanischen Amtskollegen. www.bmvg.de 25.11.2014.
[5] See Kämpfe im Sahel (II) and Oil for Arms Exports.
[6] Francisco Galamas: Oil Slump doesn't derail Angolas ambitious military spending. www.worldpoliticsreview.com 17.06.2015.
[7] Daniel Flemes, Elisa Seith: Südafrikas regionale Herausforderer. GIGA Focus 7/2014.


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