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The AFF upholds an order that guarantees their impacts will be reproduced – its try or die for the alternative to address inequality/redistribution on a global scale

Karodia, et al. 15 Karodia, Anis Mahomed, et al. Anis Mahomed Karodia (PhD) - Professor, Senior Academic and Researcher, Regent Business School, Durban, Republic of South Africa. Dhiru Soni (D.Phil) - Professor, Director of Research, Regent Business School, Durban, Republic of South Africa. Joseph, E. David (PhD) - Head City Administration eThekwini Municipality (City of Durban) and Academic at the Regent Business School, Durban, Republic of South Africa. “An Historical Evaluation of the Myth of Foreign Direct Investment and Western ‘Looting’ Cloked as Aid to Africa: Oceans of Poverty in Africa.” International Journal of Research in Agriculture and Forestry, vol. 2, no. 2, Feb. 2015, pp. 50–63, www.ijraf.org/pdf/v2-i2/8.pdf. Accessed 22 July 2023. //dre

Given the greed of today, the poor political climate worldwide, the investment in war by the richer countries like the United States and its allies even the „egalitarian states of the advanced economies such as Germany, Denmark and Sweden the rich-poor gap is now a reality and the welfare gap is growing to perhaps to a point of break point. Tandon (2014) states that “there is no possibility of a „distributive solution‟ within the present system, which is structurally engineered to produce inequality.” There is no doubt and observation throughout the world and amongst weak and strong nations, rich and poor countries the political and social forces are in a state of flux, shambles and are weakening in relation to the power exerted by global corporations together with the reality of global bankruptcy and bankocracy. As concerns the role of so called development Aid Yash Tandon (2014) states that “it is totally misunderstood or deliberately misrepresented and that such aid is corruption and asks why? His answer to this is that such aid corrupts government policy and therefore African governments are obliged to surrender policy space to the „donors‟ and the International Monetary Fund (IMF) and says, what can be more corrupt than that”? What in actual fact does this aid do? It corrupts good governance, creates a dependency syndrome, it brings about a false sense of security, impoverishes African nations, makes the predatory elite more corrupt, reinforces poverty and exacerbates the plight of the poor. It is nothing but money capital or a credit line which involves production and marketing knowhow and technology and, is not provided on the basis of any philanthropy or deal with the manifest challenges and problems of development within African countries. Foreign Direct Investment has to be negotiated by governments with the owners of capital. This is negotiated by the hawks such as the World Bank and other lending agencies and large corporations at a price and the complexities of financial and legal Jargon, couched in a manner that locks in governments This is disempowering and sooner or later developing countries are in trouble. This is basically selling their countries to these capitalist hounds, with the sanction of local political leadership and the predatory elites of African countries. Yash Tandon (2014) states that “that a strong country like China with a huge domestic market can use its power to negotiate a useful FDI package but Africa is nowhere near China and India in leveraging such deals because most of them are hostages to the global corporate owners of capital and technology.” It has to be clearly understood, analyzed and appreciated that global corporations do not act alone on the all embracing reality that they have the ability to secure the power of their mega-states to support such negotiations and that investments are technically and generally made within the framework of Bilateral Investment Treaties (BIT’s). It must therefore be appreciated and fully understood that BIT’s are now recognized by many countries by government bureaucracies that, they are an exercise in undermining the independence and sovereignty of receiving FDI states and countries. What do BIT’s achieve? They achieve the trampling upon poorly resourced countries, exploitation, extra-territorial rights and gains for the owners of capital and secures that their interests are not in any way expropriated, the free transfer of vulgar profits and excessive royalties for protracted periods. It secures litigation in terms of international arbitration. For example, Uganda, according to Yash Tandon is “being subjected to immense and tremendous pressure by the United States of America to secure a bit agreement with it and there is no doubt that, if signed, it will effectively undermine the sovereign rights of the Ugandan nation, stymie development and hold the country hostage and in bondage by these capitalist forces through a process of vulgar and hegemonistic policies of subjugation.” Given this nefarious and untenable situation that has unfolded in particularly “Third World” countries and the recent Africa Conference of African political leaders called by United President Barak Obama in the United States and committing an amount of $33 billion dollars for African development is not being undertaken on the basis of any philanthropy; but in reality that the US has lost economic ground to China and is a ploy to attempt to undermine the BRICS initiatives; and moreover an attempt to placate African leaders to understand that the United States is friendly towards Africa. This friendliness and economic input in the form of aid to Africa, in reality is setting the pace to further subjugate African leadership on the continent to toe the line and play into the hands of capitalist forces. It should be understood that, all of this has to lead to a way forward for African countries to counter this capitalist onslaught. In other words, Yash Tandon says that “at the global level there needs to be a structural adjustment of redistribution for purposes of global justice that requires systemic and systematic transformation; that legal and institutional reform is insufficient and for all intents and purposes misguided, because reform of the existing system can never achieve more than marginal redistribution. This is the reality on the basis that structural and social class inequality is an intrinsic of the existing capitalist order.” Thus the notion of investment needs to be redefined urgently and be led away from the capitalist market logic and domination that keeps people and nations poor on the African continent.

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