With the CEO of TotalEnergies scheduled to meet the president of Mozambique to resume the operations of the energy giant in Cabo Delgado, a new investment model could be developed in the face of insecurity in Africa.

When a huge gas find was made offshore in Mozambique years ago, the country was sure to benefit from it like many countries across the world have.  Having fought a long civil war that was been influenced by Cold War politics, the find was expected to change the fortunes of the country in unprecedented ways. The long period of the war had made it poor. Not long after the find, the country had investors putting a whopping $20 billion into the development of the gas fields. This was unprecedented in the investment history of the continent. TotalEnergies alone invested almost $4 billion.

Unfortunately, rebels who have affiliations with ISIS have launched attacks in the Cabo Delgado region where the project is based, disrupting the project. TotalEnergies has understandable suspended its operations.

Global terrorism is finding a foothold across Africa. In the Cabo Delgado region of Mozambique, however, the ISIS affiliate presence has been a homegrown movement. Years of over-concentration of the scanty development in Maputo — the capital down south — and its immediate regions has meant that the north was largely neglected. This has seen endemic poverty and poor social infrastructure in the region. The situation of extremists capitalising on that to destabilise the region and disrupt investment has not been unique to the country. But what can and should investors could do something about this?

They could develop a business model that invests in the social welfare of host regions of projects as a condition precedent to undertaking the projects. They should not wait for the projects to be completed before helping the communities that host them. This should be at the core of the investment. The implementation of the projects should not be left to the sole control of governments. Mostly, those resources will be diverted. The execution of the social projects sould be under the management of a consortium, jointly appointed by governments and investors.

With this, vital services like education, health and transport, among others, could be effectively delivered. These could help counter the actions of rogue local actors who seek to derail investments. Employment for local youth could be more pronounced after the completion of these social projects and the main projects investors seek to undertake.

In south-eastern Nigeria and elsewhere, the refusal to invest in the people and their communities has cost investors more than they had expected — if they ever expected it to cost them anything. While this could be challenged by governments and bureaucracies, collective efforts by investors and the backing of regional and international organisations could make it work.

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