March 13,
2008: Rwanda claims that Rwandan Hutu rebels operating in Congo's North and
South Kivu provinces have acquired "outside financing." Well, the accusation is
more specific than that. The Democratic Forces for the Liberation of Rwanda
(FDLR) controls several key mines. They also control road and river
transportation routes for the minerals, and several key airfields. One of the
more important mines is a gold mine in South Kivu (at Kilembwe). The FDLR is
also "extracting taxes" from locals in Congo. The FDLR does this in several
ways. There are "road taxes" (charged when people move goods on roads). The
FDLR also controls several market towns and takes a cut of agricultural goods sales
in the markets.
March 1,
2008: The Burduni Army claimed it killed 17 rebels belonging to a Forces for
National Liberation (FNL) faction. One soldier died in a firefight with the
rebels. The shootout occurred in operations following the February 26 slaying
of two Burundi Army soldiers in Bujumbura. In the wake of that attack the
government accused the FNL of intending to "resume the war" (ie, rekindle the
civil war).
February
19, 2008: The US and Rwanda signed a bilateral investment treaty. This is a big
deal for Rwanda and potentially a good deal for US investors. Bilateral
Investment Treaties (BITs is the acronym) provide legal protections for foreign
investors, which is supposed to increase the likelihood they will invest
in a developing country. The "legal
protection" usually means an international arbitration panel (one beyond the
reach of corrupt local officials). BITs, however, serve a political purpose for
local leaders who want to promote "the rule of law" and combat corruption. BITs
provide a small but potentially powerful means of demonstrating how the "rule of
law" reinforces economic development and promotes wealth creation.
