Transcript ATF 2012 - Presentation on Enhancing Productive Capacities and

Enhancing Productive Capacities & the Improvement of
Industrial Performance in Africa
Presentation
By
Prof. David N. Abdulai
President & CEO
African Graduate School of Mgmt. & Leadership
[email protected]
Equipping Today’s African Leaders for Tomorrow’s Challenges
Equipping Today’ African Leaders for Tomorrow’s Challenges
Enhancing Productive Capacities & the
Improvement of Industrial Performance in Africa
Equipping Today’s African Leaders for Tomorrow’s Challenges
Equipping Today’ African Leaders for Tomorrow’s Challenges
Enhancing Productive Capacities & the
Improvement of Industrial Performance in Africa
Equipping Today’s African Leaders for Tomorrow’s Challenges
Equipping Today’ African Leaders for Tomorrow’s Challenges
Enhancing Productive Capacities & the
Improvement of Industrial Performance in Africa
OVERVIEW OF PAPER
 Introduction
 Statement of the problem
 Overview of Africa’s Industrial Performance
 Lessons Learned Pertaining to Africa’s Industrial Performance
 Enhancing Africa’s Productive Capacities to contribute to IP
 Analysis, Observations & Suggestions
 Conclusion
Equipping Today’s African Leaders for Tomorrow’s Challenges
Equipping Today’ African Leaders for Tomorrow’s Challenges
Enhancing Productive Capacities & the
Improvement of Industrial Performance in Africa
INTRODUCTION
• Africa’s remarkable econ. Growth in the last decade
• Have 10 fastest growing countries in the world
• 8 out 10 past yrs. Africa has grown faster than East Asia
• Growth due to increase dd of its commodities
• Macroeconomic Mgmt. & Good Governance
• Increase Capital inflows & aid
Equipping Today’s African Leaders for Tomorrow’s Challenges
Equipping Today’ African Leaders for Tomorrow’s Challenges
Enhancing Productive Capacities & the
Improvement of Industrial Performance in Africa
STATEMENT OF THE PROBLEM
• Achieving any significant level of econ. growth & dev’t. is linked
to the industrialisation of the economy.
• Africa’s industrial sector remains small & underdeveloped.
• It is the least developed manufacturing region in the world
• Africa need to improve industrial sector & its performance
• This will be impossible without the enhancing of its productive
capacities.
Equipping Today’s African Leaders for Tomorrow’s Challenges
Equipping Today’ African Leaders for Tomorrow’s Challenges
Enhancing Productive Capacities & the
Improvement of Industrial Performance in Africa
OVERVIEW OF AFRICA’s INDUSTRIAL PERFORMANCE
• Africa’s MVA decreased from 3.6% to 2.9% in 1998
• Africa’s MVA declined to 0.2% from 1980-88
(UNIDO, 1991)
• Africa’s MVA in GDP fell from 12.8 % in 2000 to 10.5% in 2008
• There has been a decline in the importance of manufacturing in
Africa’s exports.
• Africa continues to be marginalised in global manufacturing.
(UNCTAD, 2011)
Equipping Today’s African Leaders for Tomorrow’s Challenges
Equipping Today’ African Leaders for Tomorrow’s Challenges
Enhancing Productive Capacities & the
Improvement of Industrial Performance in Africa
MAJOR CAUSES
• Domestic policy failures (design & implementation)
• Lack of policy space to implement alternative policies
• Structural constraints
Equipping Today’s African Leaders for Tomorrow’s Challenges
Equipping Today’ African Leaders for Tomorrow’s Challenges
Enhancing Productive Capacities & the
Improvement of Industrial Performance in Africa
LESSONS LEARNED – INDUST. PERFORMANCE IN AFRICA
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The kinds of domestic policies developed & their implementation matter
Structural factors
Ownership of the development process is important
Inward-looking industrialisation strategies & impact on Africa’s indust.
Development of technological capabilities of domestic firms
Agriculture-Industry linkages are extremely important
Private sector should be included in industrialisation process
Political Stability
Sust.
Equipping Today’s African Leaders for Tomorrow’s Challenges
Equipping Today’ African Leaders for Tomorrow’s Challenges
Enhancing Productive Capacities & the
Improvement of Industrial Performance in Africa
ENHANCING AFRICA’S PRODUCTIVE CAPACITIES TO
CONTRIBUTE TO INDUSTRIAL PERFORMANCE
• Capital accumulation
• Technological progress
• Structural change
• Institutional frameworks
• Investment & credit challenges
• Human capital development
• Technology & R&D
Information coordn. & Prod. linkages
Equipping Today’s African Leaders for Tomorrow’s Challenges
Equipping Today’ African Leaders for Tomorrow’s Challenges
Enhancing Productive Capacities & the
Improvement of Industrial Performance in Africa
ASKING QUESTIONS, SEEKING ANSWERS
• Now that we know what we know now. What should be done?
• What are Africa’s priority actions in achieving this goal?
• How do we overcome the implementation & monitoring
Challenge?
• How do we marshal the political will to achieve these goals?
• How do we turn our inspirations & aspirations into reality
through perspiration?
• How do we move from NATO to MATO?
Equipping Today’s African Leaders for Tomorrow’s Challenges
Equipping Today’ African Leaders for Tomorrow’s Challenges
Enhancing Productive Capacities & the
Improvement of Industrial Performance in Africa
THANK YOU
Equipping Today’s African Leaders for Tomorrow’s Challenges
Equipping Today’ African Leaders for Tomorrow’s Challenges