Perth the backdrop for Rudd’s $30M African initiative

AS ALL eyes turn to the opening of the Commonwealth Business Forum in Perth tomorrow, Australian Foreign Minister Kevin Rudd will use his time at the podium to launch a $A30 million African mining initiative.

The three-day gabfest, which has attracted heightened security in Western Australia’s capital city, will attract 16 heads of government and 1200 delegates and precedes the Commonwealth heads of government meeting on Friday. In all, an estimated $10 billion of deals are expected to be made during the course of the forum.

Rudd’s three-year African initiative will cover 40 African countries and will bring up to 300 officials to Australia for study scholarships and mining governance workshops. It will also involve increased spending on International Monetary Fund programs, aimed at providing assistance to governments on mining policy, administration, revenue and resource management.

He said it was only fitting to launch the initiative in the west given many Australian businesses leading the African charge were based in Perth.

On his website Rudd said 75% of the Australian mining and oil and gas companies operating in Africa were from the west, reflected in the fact that 70% of WA’s top 10 growth companies had interests on the continent.

The African Mining for Development Initiative will bring up to 300 African government officials to Australia for training in mining sector management and technology as well as boost support forsimilar assistance provided through the IMF. It will build on a $10 million program launched in 2007 which brought officials from 16 African countries to Australia on short-term scholarships.

Rudd said the initiative was in Australia’s interests given 235 Australian companies were involved in 665 projects in 42 African countries or territories, with at least $US24 billion ($A23.2 billion) in current prospective investment. WA Premier Colin Barnett also plans to host a series of private meetings between visiting leaders and the WA mining industry to promote further investment opportunities.