Health equity in economic and trade policies

Africa must use revenues from mineral resources to finance development
Dogbevi EK: Ghana Business News, 12 December 2011

Even though Africa’s mineral resources are fuelling growth and development in many industrialised and emerging economies of the world, Africa still remains poor, under-developed and dependent on external funding, according to Jean Noel Francois of the African Union’s Department of Trade and Industry. He was speaking at the opening of the second conference of African Ministers responsible for mineral resources and development held from 12-16 December 2011 in Addis Ababa, Ethiopia. Mr Francois said the 21st century’s commodity boom has alerted emerging global players to link mineral resource exploitation to infrastructure development, but Africa has yet to seize the opportunity to extract better benefits from its mineral resources to promote broad-based and integrated growth and economic development. Another presenter, Stephen Karinga, expressed frustration that Africa has not benefitted from the dramatic increase in prices for minerals since 2003 due to a number of structural weaknesses in its mineral sector. According to Karingi, in 2010, net profits for the top 40 global mining companies grew by 156% to US$110 billion, prompting countries like Australia and India to increase taxes on windfall earnings, yet Africa has been hesitant to do the same for fear of driving away mining companies.

Africa needs $93 billion a year for infrastructure
Cropley E: Reuters Africa, 12 November 2009

Sub-Saharan Africa needs to double its infrastructure spending to US$93 billion a year, 15% of regional output, to drag its road, water and power networks into the 21st century. Research compiled by the Infrastructure Consortium for Africa (ICA) identified the continent's woeful electricity grids as its most pressing challenge, with 30 countries facing regular blackouts and high premiums for emergency power. Despite the gulf between its target figure and the $45 billion spent now, the report said governments could narrow the funding gap to $31 billion by making $17 billion in relatively simple efficiency gains, such as making more electricity users pay their bills. The report added that infrastructure improvements to date, mainly in telecommunications, had accounted for more than half of the rapid growth rates of recent years on the poorest continent. But frequent blackouts and poor roads still cause headaches and unnecessary costs for business and trade. In most African countries, particularly the lower-income countries, infrastructure emerges as a major constraint on doing business, depressing productivity by about 40%.

Africa Progress Report 2012
Africa Progress Panel: 17 May 2012

According to this report, Africa’s economic outlook is positive in some respects, as the continent is home to seven of the world’s fastest-growing economies, with 70% of Africa’s population living in countries that have averaged economic growth rates in excess of 4% over the past decade. However, the report also records that most countries are not on track to achieve the Millennium Development Goals by 2015, flagging slow progress in areas such as child nutrition, child survival, maternal health, and education. The need for equitable growth is all the more critical, the report states, because of Africa’s profound demographic shift towards youth, as well as high levels of population growth. It calls for a greater focus by policymakers on jobs, justice and equity to ensure sustainable, shared growth that benefits all Africans. Failure to generate equitable growth could result in rising levels of youth unemployment, social dislocation and hunger. Africa’s governments and development partners must urgently draw up plans for a big push towards the 2015 Millennium Development Goals, the report says.

Africa vows to resist after GM ruling
Business Report (South Africa) via Tralac

The US may push Africa to accept genetically modified (GM) food now that the World Trade Organisation (WTO) has ruled the EU broke rules by barring GM foods and seeds, however, Africans vowed yesterday to resist.

Africa's Blue Economy: A policy handbook
United Nations Economic Commission for Africa, March 2016

Africa’s 'Blue world' is made of vast lakes and rivers and an extensive ocean resource base. The Blue Economy can play a major role in Africa’s structural transformation, sustainable economic progress, and social development. The largest sectors of the current African aquatic and ocean based economy are fisheries, aquaculture, tourism, transport, ports, coastal mining, and energy. This Policy Handbook, offers a step by step guide to help African member States to better mainstream the Blue Economy into their national development plans, strategies, policies and laws. The Blue Economy approach is premised in the sustainable use, management and conservation of aquatic and marine ecosystems and associated resources.

Africa-China FOCAC Summit makes good progress on South-South cooperation
SOUTHNEWS No. 99, 15 December 2015

The Forum on China-Africa Cooperation (FOCAC) under the theme: "China-Africa Progressing Together: Win-Win Cooperation for Common Development" was held on 4-5 December in Johannesburg, South Africa. This was the first time that a leaders’ summit level of FOCAC is held in Africa. The Summit which also celebrated the 15th anniversary of the partnership was co-chaired by Chinese President Xi Jinping and South African President Jacob Zuma. The FOCAC was established fifteen years ago with its first Ministerial Forum held in Beijing in 2000. With six Ministerial Meetings and two at Summit level already organised, FOCAC has evolved over the years to become a prominent example of South-South cooperation. In the two-day event, Chinese President Xi Jinping and over 50 African leaders gathered in South Africa to discuss together the blueprints of cooperation and show to the world the power of solidarity among developing countries. To build China-Africa comprehensive strategic and cooperative partnership, the conference was informed that China will implement ten cooperation plans with Africa in the next three years. Guided by the principle of government guidance, businesses being the major actors, market operation and win-win cooperation, these plans aim at addressing three bottleneck issues holding back Africa’s development, namely, inadequate infrastructure, lack of professional and skilled personnel, and funding shortage, accelerating Africa’s industrialization and agricultural modernization, and achieving sustainable self-development.

Africa-EU Conference explores Cotonou scenarios and African integration
European Centre for Development Policy Management: Weekly Compass 3(10), 8 July 2009

At a panel discussion on Africa-EU relations organised by the Friedrich Ebert Foundation on 8 July 2009, participants discussed four scenarios for ongoing economic partnership agreements in West Africa, ranging from a full liberalisation agreement on all trade in goods and services, to no agreement whatsoever. While European Commission representatives favoured full liberalisation, regional stakeholders called for a partial, phased liberalisation, covering only trade in goods. This approach would provide greater flexibility for national and regional trade policy, protect local agricultural and industrial sectors, and facilitate regional integration. Participants also discussed the Joint Africa-EU Strategy (JAES) process. They noted that respect for JAES’s fundamental principles such as ‘treating Africa as one’ and ensuring the ‘harmonisation of existing policy frameworks’ will be more effective than emphasising ‘functional deliverables’ only.

Africa: Time to reclaim class opportunities
Nicolson G: Daily Maverick, 20 August 2014

Narratives of “the hopeless continent” and “Africa rising”, pumped by the West, woven into its knowledge with nostalgic pop culture, rubber-stamped by media and financial institutions, are observed by the author to be false propaganda. A study by Standard Bank titled “Understanding Africa’s Middle Class”, notes African Development Bank’s (AfDB) claims that by 2010, 350 million people or 34% were middle-class in Africa, up from 27% in 1990. Examining 11 countries, chosen for, among other things, scale of population, growth and economy- Angola, Ethiopia, Ghana, Kenya, Mozambique, Nigeria, South Sudan, Sudan, Tanzania, Uganda and Zambia- the Standard Bank report noted that since 2000 the collective GDP of the 11 measured economies has grown tenfold from US$120 billion to today’s level of over US$1 trillion, with a growth in the middle class of 230% in the period. While East Africa is lagging behind in pushing low-income earners to the middle, the region is argued to offer the most interesting findings in the report, with a broad upward shift within the low-income band as households shift from deeply marginalised into less poor categories. Africa’s growing middle class may be driving the rising narratives, but the upward movement of low-income groups is argued to be where the most economic potential will be realised. It’s also these groups that will have the largest impact on political and social development. They’re the groups in the majority, the ones with the largest votes and the largest claim to the need for improved living conditions.

Africa: Unfair Trade a Hurdle to War against Aids
Wasai JN: The East African Standard, 13 March 2007

The ability of African countries to respond to HIV and AIDS is dependent on their ability to control the terms of trade, elicit more favourable patent policies on medication and climb out of poverty - all linked to globalisation. While globalisation has brought some benefits to the urban elite in Africa - information, communication and technology - the outcomes have not reached the urban poor and rural folk who form more than 80 per cent of African populations.

African countries set to reform their mining sector
Social Watch: Pambazuka News 579: 29 March 2012

African ministers of mineral resources resolved, in a conference in Addis Ababa in December 2011, to move into action to reform Africa’s mining sector to benefit the African people. They set a brand new vision apparent in its action plan that includes these six points: Member States should reform the fiscal framework in order to optimise benefits from the mineral sector; Member States should explore the possibility of renegotiating existing contracts to secure a fair share of the rent; Member States should align their development strategies to their long term national development goals; Member States should ensure transparency in the collection and use of mining revenues; Governments could explore the use of equity participation in mineral ventures to capture a greater share of benefits; and Governments in collaboration with partners should build capacity of oversight bodies. Along with the action plan, the ministers reasserted the African Mining Vision (AMV) approved by the February 2009 African Union Summit. The AMV puts development outcomes at the heart of mineral regimes to stimulate the local economy and help prevent mines operating as enclave enterprises.

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