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You are at:Home»Business»How do companies adapt when African politics collapses in France?
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How do companies adapt when African politics collapses in France?

Nana MediaBy Nana MediaJuly 27, 20253 Mins Read
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How do companies adapt when African politics collapses in France?
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Introduction to Francafrique

The disorder is now in full swing, with more and more African countries, especially in the Sahel region of North and West Africa, rejecting the so-called Francafrique policy of its former colonial power, France. The term refers to a complex and controversial network of political, economic, social and military relationships between France and its former African colonies, which describes a kind of special relationship that is characterized by the continuing French influence in these nations.

France’s Influence in Africa

France’s African politics is often described as neocolonial and is under massive political and popular pressure, and the struggle, on the other hand, openly emphasizes military, diplomatic and economic presence in Paris in Africa. The Sahel region extends from the Sahara desert in the north to the savannas in the south and comprises several countries, including Mali, Niger, Burkina Faso, Mauretania and Chad.

Economic Interests

French companies with operations in the region had enjoyed "preferred treatment", especially during the era of the Cold War due to the Francafrique Directive. However, such a strong reality is that Chinese companies now have a market share of 25% in French-speaking Africa, while France has a share of "between 6% and 7%". In addition, Orano announced last September that it would suspend production in its Arlit uranium mine in northern Niger due to financial difficulties.

Paris Looking for New Relationships

In addition to the uranium sector, the entire influence model of France is destabilized and affects sectors such as infrastructure, telecommunications, energy and public work – all symbols of the presence of France, which are now regularly questioned. In February 2023, French President Emmanuel Macron presented a new strategy entitled "Our Future of the Africa France partnership" and offers new forms of partnerships. The strategy presented by Macron focuses on economic and trade relationships instead of concentrating on security issues.

Competition in Africa

The gradual withdrawal of French companies also opens the door for new alliances, since the African countries would now "have the capacity and partners to replace these companies". China, Turkey and other immediate players are already involved. However, this means accepting new, often opaque conditions and managing a context of risks such as political instability, terrorism and legal uncertainties. After a report, the Energy Giant TotalEnergies, for example, tries to find a new foot in English and Portuguese-speaking countries, including Kenya, South Africa, Namibia and Angola.

Future of French Companies in Africa

With the era of the special relationship between France and its former African colonies now over, there are signs that French multinational companies are also trying to transform themselves by working more with local partners or moving to other parts of Africa. No matter what they do or where they go, legitimacy remains their main capital and must be regained. French companies would now try to maintain the market share "without rejection" by launching joint ventures, local partnerships or creating project companies under local law.

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