The CGD Podcast – Episode Summary

Title: Seeing Africa as Business Partner, Not Charity: Todd Moss and Scott Morris on Obama’s Trip to Africa

Date: June 25, 2013
Host: Lawrence MacDonald (Center for Global Development)
Guests: Todd Moss (Senior Fellow and Vice President, CGD; former Deputy Assistant Secretary, State Department); Scott Morris (Visiting Policy Fellow, CGD; former Deputy Assistant Secretary, Treasury)

Episode Overview

This episode discusses the significance of President Obama’s 2013 trip to Africa and the shifting paradigm of U.S.–Africa relations. Host Lawrence MacDonald and development experts Todd Moss and Scott Morris examine past and potential U.S. engagement on the continent, the opportunities for partnership, and the importance of moving beyond an aid-based relationship to one grounded in trade, investment, and economic collaboration. The conversation highlights key policy opportunities for the Obama administration, the importance of African agency, and the regional context of the president’s visit.

Key Discussion Points & Insights

1. Expectations for Obama’s Africa Policy

• Todd Moss reflects on high hopes in both Africa and the U.S.:

  “There were high expectations that he was going to pay more attention to Africa than previous American presidents… this trip is a very important moment for him to stamp on the second term that Africa is important, and that the administration is serious about building partnerships with our African allies.” (02:00)

• Obama’s first-term engagement was viewed as “somewhat passive” with minimal new policy initiatives or personal involvement, in contrast to Bush-era programs (e.g., PEPFAR, MCC).

2. Constraints & Realities of U.S. Engagement

• Scott Morris points out budgetary constraints, limiting the potential for "big new pots of money":

  “In the context of where we are with our budgets today, it can't be about big new pots of money. It's really about what we do with what we already have.” (04:22)

• Emphasis is on deploying existing tools and forging “real partnerships, not donor-client relationships.”

3. Should Africa Just Be Left Alone?

• MacDonald raises a provocative question about the downsides of external involvement (militarization, self-interest):

  “Every time we get involved, I think we tend to muck things up… Maybe the less we're involved, the better off Africa is.” (06:25)

• Moss acknowledges mixed results from outside intervention but stresses mutual interest and strong demand among African leaders for robust U.S. partnership:

  “Most African leaders… actually seek very strong, robust relationships with the United States. And that would be in our interest as well.” (07:09)

• Both guests agree U.S. engagement, if rooted in mutual benefit and respect, can be constructive.

4. Obama’s 2013 Africa Trip: Countries and Symbolism

• Scott Morris outlines the itinerary: Senegal (West), South Africa (South), Tanzania (East) – each exemplifying geographic diversity, stable governance, and economic progress (09:55).
• The trip’s timing is strategic, with Obama’s presence itself symbolically significant:

  Moss: “He’s still widely regarded as a hero in many parts of the continent… What he probably will not do is come with big, multibillion-dollar investment packages. But they will be looking to see what kinds of investment… might be announced.”* (11:59)

• The upcoming African Growth and Opportunity Act (AGOA) summit is positioned as a follow-on opportunity.

5. Six Cost-Neutral Policy Recommendations for Strengthening U.S.–Africa Partnerships (Todd Moss’s List)

a. Initiate Trade Negotiations: FTA or Bilateral Investment Treaties (BITs)

• Proposes launching talks for a free trade area or new BITs to signal serious economic partnership:

  “It would seem that some counterbalance here would be… let's start dialogue on either a free trade agreement with a couple of key countries, possibly the East African Community...” (13:56)

• Critique that USTR’s focus on wealthy regions (EU) is “out of kilter” with global growth dynamics.

b. Strengthen OPIC (Overseas Private Investment Corporation)

• Moss champions OPIC as a highly effective but underutilized development finance tool:

  “OPIC is the US Government's development finance institution… it provides political risk insurance… debt capital… help catalyze and spur private investment in the developing world.” (15:49) “Every year OPIC… earns $200–$250 million a year, which it then pays back to the U.S. treasury… Killing it would not help the deficit. It would worsen the deficit.” (16:28)

• Suggests “modest tweaks” to remove regulatory barriers and boost OPIC’s capacity in Africa, yielding more U.S. investment and returns to the Treasury.

c. Support for African Development Bank (AfDB)

• Scott Morris explains AfDB’s unique role as an African-led, infrastructure-focused MDB:

  “It is of the continent… has credibility and a track record… very active in things like the power sector, water sector, things that require large amounts of public money…” (19:04)

• Recommends robust U.S. support for the upcoming AfDB replenishment, tying this funding to U.S. goals and African development needs (20:43).

d. Ambitious Electricity Access Initiative (“Power Deliverable”)

• Moss spotlights severe electricity shortfalls in Africa (7/10 Africans lack access; in Tanzania, the figure is 85%) (23:32).
• Critiques of donor focus on social services instead of infrastructure; highlights innovative off-grid solutions but underscores cost challenges (24:11).
• Proposes using existing U.S. agency tools — USAID, Treasury, TDA, and most of all OPIC — to address power sector needs, but calls for loosening restrictions (especially carbon caps) to enable OPIC participation in gas projects, as with Tanzania’s natural gas find (25:42).

  “Under current rules, probably [OPIC] would be barred from getting involved at all. So the likely option is that a Chinese firm will be asked to come in and build it.” (25:42)

e. Highlighting Energy Poverty as a Health and Development Crisis

• Moss links lack of electricity to critical health and economic outcomes:

  “Electricity is critical to health and education… three and a half million global premature deaths last year from indoor air pollution related to burning biomass… almost a million of those people were in Africa.” (27:44)

• References work of CGD colleagues on persistent constraints power shortages impose on business and development.

Notable Quotes & Memorable Moments

• On expectations vs. reality for Obama’s Africa policy:
  “He had one visit to Africa, less than 24 hours to Ghana… not really shown a lot of personal attention to the continent of Africa, and his administration has been somewhat passive…” – Todd Moss (02:00)

• On new approaches vs. new money:
  “It can't be about big new pots of money. It's really about what we do with what we already have.” – Scott Morris (04:22)

• On U.S.–Africa engagement and agency:
  “Most African leaders… actually seek very strong, robust relationships with the United States. And that would be in our interest as well.” – Todd Moss (07:09)

• On OPIC’s effectiveness and constraints:
  “OPIC has a lot of regulatory and other constraints on it that make it not perform at the level that it could… we've really tied one arm behind OPEC's back to operate.” – Todd Moss (16:35)

• On urgency of power access:
  “7 out of 10 Africans have no electricity. This just—it's jaw dropping.” – Lawrence MacDonald (23:32)

• On health impact of energy poverty:
  “Three and a half million global premature deaths last year from indoor air pollution related to burning biomass…” – Todd Moss (27:44)

Timestamps for Important Segments

• Introduction & Backgrounds: 00:15–01:24
• Obama’s Attention to Africa & First-Term Assessment: 02:00–04:47
• Constraints on U.S. Policy (Aid vs. Partnership): 04:47–06:25
• The Merits and Dangers of U.S. Involvement: 06:25–08:45
• Countries on Obama's Itinerary & Symbolic Value: 09:55–11:49
• Trade Initiatives & Recommendations: 13:07–15:19
• OPIC as a Tool for Investment: 15:19–17:56
• African Development Bank, U.S. Role: 19:04–22:07
• Power Deliverable & Electricity Access: 23:05–27:44
• Health/Economic Impact of Energy Poverty: 27:44–28:50

Conclusion

The episode frames Obama’s 2013 Africa trip as an opportunity to recast the U.S.–Africa relationship from one of aid dependency to true economic partnership, grounded in trade, investment, and African leadership. Moss and Morris urge creative use of existing U.S. tools, U.S. support for African-led institutions, and a focus on transformative challenges like energy poverty. The discussion is candid about fiscal constraints and political realities, but notably optimistic about the potential for mutually beneficial U.S.–Africa engagement.