Debt Reduction Proposal: An Application Of The Biotech tropicana Systems Biodiplomacy Program.

NEGOTIATIONS

Aboubakar YARI1; Venus YARI1; and Myra YARI2

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Affiliations:

1. Biotech tropicana,IncCOMMUNITY
2. Marketing Body, Biotech tropicana Corporation.

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Discussion:

By 2005 the Biotech tropicana Systems developed a contracted project for the government of Benin republic; a resource poor country of the western coast of Africa.

The two parties agreed on a $ 20.000 USD cash payment and a permission to use the results for implementation of the project toward the human capital capacity building program project developer party, the Biotech tropicana Systems.

The project comported three phases, a development phase II, an implementation phase III preceded by an exploratory phase I. 

Phase I and phase II were completed but phase III was aborted shortly after initiation.

Project developer party, the Biotech tropicana Systems did not receive nor the $ 20.000 USD cash payment, nor the permission to use the results for implementation of the project toward the human capital capacity building program.

Project developer party, the Biotech tropicana Systems used own fund to develop project for the recipient Benin government party.

The net result is a loss in investment over the basic $ 20.000 USD cash due, when the primary investment in project development is taken into consideration.

Contracts with the private sector:

Over the 10 years from 2005 to 2015, the Biotech tropicana Systems also signed and executed contracts with the private sector. All contracts with private sector were exonerated even where some private sector institutions demonstrated late payments. Overall the Biotech tropicana Systems earned over $30.000 USD in contracts with the private sector between 2005 and 2015. A net $ 20.000 USD was directly invested in the Biotech tropicana Systems in acquisitions of various work related equipment’s and incubator expansion programs. The remaining $10, 000 USD were spent in daily activities including exploratory trips for data collection, food, and other daily life activities.

Inference:     

By inference from similar projects contracted with private sector institutions that honoured their contracts, and further investment of the capital gains, the Biotech tropicana Systems calculated a minimal loss of cash over $200.000 USD for failures of public institutions to exonerate contracts of over 10 years, from 2005 to 2015. Many of the equipment purchased were broken or stolen by little mafia cells.

Investment monitoring:

For modelling purpose we traced and graphed the gains in investment for $2000 USD over the 10 years. Our investment model generates $21.800 USD over the 10 years from the base $2000 USD. From the modelled investment graph we made an inference of a net gain of some $340.000 USD from a $20,000 USD base; which remained unpaid by the public sector. We adjusted the modelled $340.000 USD net gains to minimal $200.000 USD in real life context. What we claim to be due to the Biotech tropicana Systems for over 10 years delay in payment by the public sector.

Debt classification:

By status Benin republic higher HIV/AIDS monitoring agency (cnls) affiliated to the office of the president is the agency that owes money to the Biotech tropicana Systems, not the government or the president. Then a change of government or president does not alter the debt status.

Negotiation platform:

We construed the delay in delay in payment by the public sector as an opportunity to test our biodiplomacy program.

We split the $200.000 USD into two $100.000 parts to be negotiated as follow:

Part I:

Previous negotiations were coordinated by a family member who is also a member of a government. We propose to apply half or $50.000 USD toward a building owned by family member and member of government to acquire a third building in Benin republic in addition to two others we own. We claim the remaining $50.000 USD in cash for a total of $100.000 USD.

Part II:

We construe part II as an opportunity to compare our poverty reduction program with that operate by the government. We donate the remaining $100.00USD to resource poor communities of Benin republic as part of our SMARToda financial and technical assistance program to the resource poor communities. Our assistance program is organized as follow:

1. We split the $1000 USD into 100 bags of $1000 each
2. We provide technical assistance and monitoring for small business development and operation for one year for free for a total value $1000 USD through our Biotech tropicana,IncCOMMUNITY program.
3. We get a total bag value of $2000 USD
4. We form 10 four members teams in 10 resource poor communities in Benin republic for a total of 100 four members teams.
5. We assign the bag of $ 2000 USD to each team
6. As part our gender equality program, each team must include at least one female.
7. The teams are given an overview of small business opportunities and freedom to choose a type of business of interest.

Results;

Data are collected for one year from our poverty reduction program and from the government poverty reduction program for comparative analysis.    

NOTE:

The government operates a poverty reduction program through cash access of 50.000 Benin francs or $100USD for the female parent of in average four members families of two kids and two parents. The program is implemented by the government microfinance institution. The program received substantial funding from various banks and a $40 millions USD  from a US MCA program poverty reduction through cash access program. Our preliminary analysis suggest the government program will have zero to negative impact on poverty reduction. The design of the government program with

1. Limited monitoring and follow up without any formal training
2. The size of the cash capital $100USD for a family of an average four members is just too little to produce   any positive impact on poverty reduction.

 Poor governance in the form of failure to exonerate contracts. Poor discipline in the form of breaking and or stealing work equipment are selected characteristics of poorly governed poor countries. No matter the amount of assistance received countries with such characteristics always demonstrate poor development performance. In the scenarios discussed above, Benin republic did demonstrate poor governance and poor discipline. See the United Nations Human Development Index.