Transcript South Africa 4.4 (48)

Sub-Saharan Africa
Purpose
To provide the class an
understanding of the
interrelation between the
historical, political, and
economic issues of Sub-Saharan
Africa with emphasis on Nigeria,
South Africa, and Ghana.
Sub-Saharan Africa
Agenda
• Sub-Saharan Africa
• History
• Regions and Regional Powers
• The Problem(s)
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• Definitions
• Comparative indices
The Plan
Over the Horizon
Conclusion
Questions
Sub-Saharan Africa
The Bridge
Sub-Saharan Africa
References
• Ayittey, George Africa in Chaos
• Van de Walle, Nicholas African
Economies and the Politics of
Permanent Crisis
• Nafziger, E. Wayne African Capitalism
• http://www.africa-union.org
• http://www.cen-sad.org
• http://www.transparency.org/surveys/index.
html
• http://www.freedomhouse.org/
Sub-Saharan Africa
Sub-Saharan Africa
• 48 countries
• Four times size of
USA
• 770 million people
• 50 % of world’s
gold
• 40 % of world’s
potential hydroelectric power
supply
Sub-Saharan Africa
Sub-Saharan Africa
• 19 countries
• Six month
military college
• Humanitarian
projects
• Lifelong friends
Sub-Saharan Africa
Sub-Saharan Africa
• Colonial
History
• Anchor States
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South Africa
Nigeria
Kenya
Ethiopia
Sub-Saharan Africa
Sub-Saharan Africa
• Nigeria
• 123 million
• Africa’s largest
domestic market
• GDP $36 billion
• Exports: oil
(98.4%), cocoa,
rubber
• 250 Ethnic groups
Sub-Saharan Africa
Sub-Saharan Africa
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South Africa
42 million
GDP $126 billion
Unemployment 23.3%
World’s largest producer of
gold and platinum
Agriculture and mining
9.7% of GDP
Africans 78% of population
Whites 10% of population
Apartheid abolished in
1991
Sub-Saharan Africa
Sub-Saharan Africa
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Ghana
17 million
GDP $5.2 billion
Inflation 23.6%
Exports cocoa,
aluminum, gold
• Renewed political
stability
• Key player in UN
military missions
Sub-Saharan Africa
Sub-Saharan Africa
• African Union
• Sub-Regional Organizations
Sub-Saharan Africa
Sub-Saharan Africa
• African Union (AU)
• 53 members
• Accelerating the process
of integration in the
global economy
• Address multifaceted
social, economic and
political problems
• Includes Court of
Justice, African Bank,
Pan-African Parliament
Sub-Saharan Africa
Sub-Saharan Africa
• Southern
African
Development
Community
(SADC)
• 14 members
Sub-Saharan Africa
Sub-Saharan Africa
• Economic Community
of West African States
(ECOWAS)
• 16 members
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Seeks to eliminate tariffs
and other obstructions to
trade among member
states
Establish a common
external tariff
• Seeks to create a
single monetary zone
• Military monitoring
group (ECOMOG)
Sub-Saharan Africa
Sub-Saharan Africa
• Community of SahelSaharan States
(CENSAD)
• 18 members
• Strengthen peace,
security, stability,
achieve global
economic and social
development
• Promote free
movement of persons,
capital and interests to
Member states
Sub-Saharan Africa
Sub-Saharan Africa
• Common Market for
Eastern and Southern
Africa (COMESA)
• 21 members
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main focus is on the
formation of a large
economic and trading unit
Established a free trade
area , that removes all
internal trade tariffs and
barriers
Introducing a common
external tariff structure
to deal with all third party
trade
Sub-Saharan Africa
Sub-Saharan Africa
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East African Community
(EAC)
3 members
Emphasizes economic cooperation and development
Regional cooperation and
integration envisaged is
broad based, covering trade
to tourism, and from
monetary affairs to
infrastructure development
Other areas of cooperation
include free movement of
trade, political matters
including defense, security,
foreign affairs, legal and
judicial affairs
Sub-Saharan Africa
Sub-Saharan Africa
• Intergovernmental
Authority on Development
(IGAD)
• 7 members
• Mainly drought and
conflict stricken
• Foster regional security
and sustain economic
development
• Restoration of peace in
Sudan and Somalia
remains the primary goal
Sub-Saharan Africa
Sub-Saharan Africa
• Economic Community
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of Central African
States (ECCAS)
11 Members
Develop capacities to
maintain peace,
security and stability
Develop physical,
economic and
monetary integration
Develop a culture of
human integration; and
Establish an
autonomous financing
mechanism for ECCAS
Sub-Saharan Africa
The Problem(s)
The Problem Solving Process
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Step 1: Recognize & define problems
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Step 2: Gather facts & assumptions
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Step 3 : Develop possible solutions
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Step 4: Analyze each solution
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Step 5: Compare outcome of each solution
• Step 6: Select the best solution
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Step 7: Follow-up and evaluate
Sub-Saharan Africa
The Problem(s)
• Three layers
• Regional
• External
• Colonialism
• Racism
• Lack of Development
• Internal
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Political Instability
Corruption
Democratization
Economic Development
Environmental
Racism and Tribal differences
Sub-Saharan Africa
The Problem(s)
• Political Instability
• 14 countries (of 48)
in conflict 1
• No state monopoly
on use of force
• 64 coups from 19631968
• Widening gap
between states and
societies
• Wars are internal
1 Institute of Peace
and Conflict Studies
Sub-Saharan Africa
The Problem(s)
• Corruption
• Transparency
International
Corruption
Perception
Index
• Surveys of
business,
government,
and country
specialist
Sub-Saharan Africa
Country
• Bangladesh
• Nigeria
• Ghana
• India
• China
• Brazil
• Mexico
• South Africa
• Hungary
• Japan
• US
• Finland
CPI
1.3 (133)
1.4 (132)
3.3 (70)
2.8 (83)
3.4 (66)
3.9 (54)
3.6 (64)
4.4 (48)
4.8 (40)
7.0 (21)
7.5 (18)
9.7 (1)
The Problem(s)
• Democratization
• 192 countries
surveyed by
Freedom House
• Free, partly free,
not free
• Road to democracy
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Freedom
Rule of law
Incentives
Infrastructure
State apparatus
Sub-Saharan Africa
Type
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Free PF
1973
35%
2003
44%
GDP
89%
SSA (73) 2
SSA (03) 11
18%
21%
5%
9
21
NF
47%
35%
6%
28
16
The Problem(s)
• Economic Development
Country
• 54.8 % PPP $1 per day in 2000 • Sierra Leone
1
• Nigeria
• 19 of Bottom 20 “Low Income
• Ghana
Economies” are African 2
• Van de Walle notes four options • India
• China
• Leave formal economy
• Brazil
• Religion
• Mexico
• Conflict
• Democratic response
• South Africa
• 1 Bhalla (2002), Class handout • Hungary
07 Apr
• Japan
• 2 Class handout, 02 Apr, based • US
on UNDP and World Bank data
Sub-Saharan Africa
PPP
$480
$830
$1980
$2450
$4260
$7450
$8770
$9510
$12570
$27430
$34870
The Plan
• Christianity, Commerce, and Civilization
• Development
• Environmental
• Structural
• Error in Diagnosis
• Internal
• External
Sub-Saharan Africa
The Plan
• Development based on
political, institutional,
intellectual, and economic
freedoms
• Seek to end conflicts
• Control environment
• Correlation between
economic development and
“good governance”
• President Bush African
Policy
Sub-Saharan Africa
The Plan
• African Growth and
Opportunity Act (AGOA)
• New Partnership for
Africa’s Development
(NEPAD)
Sub-Saharan Africa
Over the Horizon
• MBendi potential
• Rivers make Africa cheapest power
source in the world
• Manufacturing center of world
• Tourism trade
• Increased agricultural output
• Post HIV/AIDS population smaller, richer,
and more intelligent
• Malaria and TB eliminated
Sub-Saharan Africa
Conclusion
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Key is to develop African
solutions to these African
problems (Ayittey)
• Evolve from crisis management
to development
Sub-Saharan Africa
Questions
Sub-Saharan Africa