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Note: This document is from the archive of the Africa Policy E-Journal, published
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Africa: Globalization Statements/Links
Africa: Globalization Statements/Links
Date distributed (ymd): 000416
Document reposted by APIC
+++++++++++++++++++++Document Profile+++++++++++++++++++++
Region: Continent-Wide
Issue Areas: +economy/development+
Summary Contents:
This posting contains several recent statements concerning
issues of economic globalization: (1) excerpts from the speech
by South African President Thabo Mbeki at the Africa -
European Union Summit in Cairo, (2) a press release from the
G-77 Summit in Havana, and (3) the statement endorsed by
Mobilization for Global Justice protesters now in Washington.
It also contains links to many additional web sites dealing
with these issues, compiled from lists by the Foreign Policy
in Focus project and the Institute for Global Communcations.
A posting also being sent out today contains recent documents
on Africa/European trade relations.
The recently released report of the US International Financial
Institution Advisory Commission (the Meltzer Commission) can
be found at: http://phantom-x.gsia.cmu.edu/IFIAC
+++++++++++++++++end profile++++++++++++++++++++++++++++++
APIC Note: Pan-African Global Links
Guns and Gandhi in Africa: Pan-African Insights on
Nonviolence, Armed Struggle and Liberation, by Bill Sutherland
and Matt Meyer (Africa World Press, 2000; ISBN:
0-86543-751-3)
was featured at a gathering in Washington last week hosted by
the Africa Policy Information Center, the Institute for Policy
Studies and Vertigo Books. The book features reflections on
almost 50 years of Sutherland's dialogues with African
leaders, from the time preceding Ghana's independence through
later years in Tanzania.
Early in the book, Sutherland recalls arranging the invitation
to Ghana's independence celebration for the young
African-American preacher Martin Luther King Jr., and how they
heard Kwame Nkrumah shout as the British flag was lowered:
"Free at Last, Free at Last." In the concluding pages the
authors argue that "In a world of globalization, the
Pan-African movement must also be global ... must unite with
other movements seeking peace and justice.
Ask for the book at your local bookshop, or order on-line at
http://www.africapolicy.org/books
STATEMENT BY PRESIDENT MBEKI AT THE AFRICA-EU SUMMIT
Cairo 4 April 2000
[full text available on South African government web site --
http://www.polity.org.za/govdocs/speeches//2000/sp0404.html]
Integrating Africa Into The World Economy
This historic Summit Meeting has convened because Africa and
the European Union need to establish a strategic partnership.
... At the centre of that system must surely be the voluntary
agreement among us that all of us have a common obligation to
end poverty and underdevelopment on this Continent. ...
Why should the EU be interested in Africa's sustained
development and modernisation!
I can think of a few reasons.
One of these is that it is morally and politically right that
the EU should be interested to assist in ending poverty and
underdevelopment wherever they occur.
If we are wrong, we are ready to be educated out of our
misconceptions.
Another of these reasons is that the fight against poverty in
Africa is also a fight against such epidemics as AIDS,
malaria, tuberculosis and sexually transmitted diseases.
The struggle against poverty is also a fight against genocide,
war and instability.
We believe that Europe cannot be indifferent to the death of
millions, whether through hunger, disease or war, simply
because those who are dying are doing so outside the European
continent.
The third reason is that any serious reflection on the future
of the world economy and therefore the living standards of the
billions who inhabit our world, will show that a strategic
shift towards a significantly larger world economy can only be
achieved as a result of raising living standards in the
countries of the South, and therefore the radical expansion of
the world markets for capital, goods and services. ...
It is because of this that our new partnership also speaks
directly to Europe's own interests.
Our two continents have been in constant interaction even
earlier than the age of the Roman Caesars. Very often that
interaction brought for us bitter fruit.
This historic coming together of Africa and Europe on the
banks of the eternal Nile has the possibility to take
decisions that might mark the beginning of a new process of
interaction among ourselves and a new epoch in the evolution
of human society. But it also has the possibility to be
remembered as a moment when a critically important opportunity
was missed and human hopes were betrayed. ...
Some of the central points we would like to make ...
First, as has been the case throughout human history, capital
investment is central to Africa's economic growth and
development.
Secondly, Africa requires ample supplies of capital to provide
for infrastructure, industrialisation, and the overall
modernisation of society.
Thirdly, one source of this capital is domestic savings.
Fourth, most of our countries are trapped in a vicious cycle
of poverty and lack of capital.
Fifth, a good part of the required capital must therefore come
from abroad.
Sixth, governments and international organisations, such as
the European Union, have to play an active role in Africa's
necessary efforts to overcome general backwardness and
economic underdevelopment.
As Africans, we seek agreement with our valued European
interlocutors that all these propositions are obviously
correct. Such an agreement would be a necessary first step in
a long and difficult journey that we cannot but travel
together.
According to the World Bank, whereas in 1980 the total debt
stock of the Highly Indebted Poor Countries, the overwhelming
majority of whom are African, stood at about $59 billion, by
1997 it had increased to $201 billion. In the same period, the
debt service paid had similarly increased from about $5.9
billion to about $8.7 billion. (World Bank, Global Development
Finance 1999).
To emphasise this point, we must note that a good number of
our countries are net exporters of capital. For example, in
1997 countries such as Tunisia, Nigeria and Zimbabwe were such
net exporters of capital, if we compare 'resource flows' with
'trade flows'. (UNDP Human Development Report 1999). It is
clearly absurd that poor countries should have the obligation
to export huge volumes of capital to countries which have the
capital that would help to end the poverty and the debt which
cause many of our countries to be defined as Highly Indebted
Poor Countries.
This is another conclusion on which we seek agreement with our
valued EU interlocutors, namely, that this situation is absurd
and untenable.
The 1999 UNDP Human Development Report says that official
development assistance has declined by almost a fifth in real
terms since 1992. (UNDP op cit. p11.) The World Bank reports
that in the period between 1992 and 1997, this assistance
specifically to the Highly Indebted Poor Countries declined
from about $13 billion annually to $11 billion.
Once again, we seek the agreement of our EU partners that this
trend is unquestionably wrong and morally unsustainable and
must be reversed in the opposite direction.
According to a 1997 UNCTAD survey, among other things, 26 of
the 32 least developed countries in Africa had liberal or
relatively liberal regimes governing the repatriation of
dividends and capital. (UNCTAD, Foreign Direct Investment in
Africa: Performance and Potential, 1999)
In addition, since 1990, profit levels of foreign companies in
Africa has averaged 29 per cent. Since 1991 these levels have
exceeded all other regions of the world.
In 1998 the World Economic Forum also reported that in much of
Africa progress had been made in other areas that are
important for the creation of a climate conducive to foreign
direct investment.
These include trade liberalisation, the strengthening of the
rule of law, improvements in legal and other instruments as
well as the telecommunications and transport infrastructures.
But despite all this, and with the highest number of least
developed countries, Africa's share of foreign direct
investment flowing to developing countries declined from more
than 11 per cent in the period 1976-1980 to 4 per cent in
1996-1997.
Once again, we seek the agreement of our European friends that
extraordinary measures will have to be taken to encourage
larger FDI inflows into Africa.
As a Continent, once more we commit ourselves to take
additional steps further to enhance the investor-friendly
climate, including the critically important issues of peace,
stability, democracy and an end to corruption, matters that
will be addressed later during our meeting. ...
It would clearly be a matter of common cause among us that
relative to the European Union, Africa remains an exporter of
primary products and a continuously diminishing player as a
trading partner.
Among the issues that are central to addressing this
situation, are the inflows of capital of which we have spoken,
especially into the area of manufactured goods and modern
economic sectors.
The UNDP reports that within the OECD, excluding the United
States, the percentage of Internet users is 6.9. In
Sub-Saharan Africa, this figure stands at 0.1 per cent, far
below the world average of 2.4 per cent. (UNDP op cit p 63)
This illustrates graphically the need consciously and in an
organised manner, to address the issue of the transfer of
technology as an essential part of achieving Africa's
development.
The consequence of such development must necessarily be easier
access of our products into the EU markets, covering both
agricultural and industrial products.
We are certain that our European interlocutors who have
gathered with us here in this ancient African city will agree
with us that all these propositions are not only correct, but
must also constitute an important part of the common effort to
achieve Africa's development.
Accordingly, unless we are told we are wrong, we have every
reason to believe that we share a common resolve to ensure
Africa's integration in the world economy in the ways we have
indicated.
We speak specifically 'of the ways we have indicated' because
the reality is that Africa is and has been integrated in the
world economy. The fact, however, is that this integration has
condemned our Continent to poverty and underdevelopment.
We have put forward a few propositions about which agreement
should be easy to reach because they are neither original nor
contentious.
Were we to endorse these simple propositions, we would
necessarily have to take the next step of agreeing that we
should then jointly determine the ways and means by which we
would translate these propositions into reality. ...
THE GROUP OF 77
Press Release, 10 April 2000
For more information, contact the Executive Secretary
of the Summit, Mr. Mourad Ahmia, South Summit secretariat,
Havana International Conference Center, Room 1105, tel:
+537/282.786, fax: +537/288.655; or visit our Web sites:
http://www.g77.org or http://www.cumbresur.cu.
[APIC note: at the time of this posting, the final G-77 summit
declaration was not yet available on the G-77 web site.
However, an article in the Washington Post (April 16, 2000)
noted the leaders called for "a greater voice in global
economic decisions, increased aid ..., and the cancellation of
unstainable debt." Summit spokesman Arthur Mbanefo of Ngieria
told a press conference, "I, for one, support the
demonstrators." Host President Fidel Castro of Cuba called the
global gap between North and South "a new apartheid."]
IMF, World Bank Policies Have "Debilitating Effect" on
Developing Countries, Says Chairman of South Summit in Havana
[excerpt: full text on http://www.g77.org]
Havana, 10 April--The policies of the international financial
institutions are having a "debilitating effect" on the
countries of the South, said the Chairman of the "Group of
77", the 133 developing countries meeting here this week to
discuss globalization and North-South relations, among other
issues.
Speaking at a press conference today, Chief Arthur C.I.
Mbanefo, who chairs the G77 in New York this year and is
Nigeria's Permanent Representative to the United Nations,
added that, coupled with imbalances in the current
international financial architecture, the debt burden is
causing a "reversal of development growth". For example, he
said, "the debt servicing costs of some developing countries
are double or more than double their total budgets for social
services".
The South Summit will be addressing those issues, among
others of relevance to the developing world. "We intend to
use this first summit of the G77 as an opportunity to
revitalize South-South cooperation so as to enable us to
address the challenges of globalization in an increasingly
knowledge-based society", stressed Chief Mbanefo.
The Summit, which opened today at Havana's International
Conference Center and continues through 14 April, will be the
largest gathering ever of heads of state and government from
the developing world, with more than 60 such leaders expected
to attend. In addition, Chief Mbanefo said, "in a spirit of
openness, we have also invited 56 developed countries --
including members of the OECD -- and 85 international,
regional and subregional organizations". ...
An "interactive debate" is slated to be held here on Thursday,
13 April, when the political leaders of the third world come
together to discuss the four main topics of the Summit:
globalization; North-South relations; South-South cooperation;
and knowledge and technology.
At the Summit, the leaders are expected to adopt two
"interdependent" documents: a "visionary" political
declaration, and a programme of action containing the
methodology and time frame for the implementation of
appropriate policies and strategies arising from the
declaration, Chief Mbanefo said.
Mobilization for Global Justice -- Statement
On the occasion of the first meetings of the governing bodies
of the International Monetary Fund and the World Bank in the
21st century, we call for the immediate suspension of the
policies and practices that have caused widespread poverty and
suffering among the world's peoples and damage to the world's
environment. We assert the responsibility of these
institutions, together with the World Trade Organization, for
an unjust world economic system.
We issue this call in the name of global justice, in
solidarity with the peoples of the Global South struggling for
survival and dignity in the face of unjust, imperialistic
economic policies. Only when the coercive powers of the
international financial institutions are rescinded shall
governments be accountable first and foremost to the will of
their peoples for equitable economic development. Only when
international institutions are no longer controlled by the
wealthiest governments for the purpose of dictating policy to
the poorer ones shall all peoples and nations be able to forge
bonds - economic and otherwise - based on mutual respect and
the common needs of the planet and its inhabitants. Only when
the well-being of all, including the most vulnerable people
and ecosystems, is given priority over corporate profits shall
we achieve genuine sustainable development and create a world
of justice, equality, and peace.
For updated information on the April mobilizations, visit
<http://www.a16.org>. For background information on the IMF
and World Bank, visit <http://www.50years.org>. 50 Years
Is Enough: U.S. Network for Global Economic Justice may be
contacted at <[email protected]> or at 202-IMF-BANK.
Sources for More Information on the IMF and World Bank
Compiled from lists provided by Foreign Policy In Focus
(http://www.foreignpolicy-infocus.org) and Institute for
Global Communications
(IGC http://www.igc.org/igc/gateway/globalization/a16)
2000 Spring Meetings of the IMF/WB
http://www.imf.org/external/spring/2000/home.htm
Bank Information Center
http://www.bicusa.org
Bretton Woods Project
Website: http://www.brettonwoodsproject.org/
Center of Concern
Website: http://www.igc.org/coc/
Center for Economic and Policy Research
http://www.cepr.net
Centre for the Study of Global Governance
London School of Economics
Website: http://www.lse.ac.uk/Depts/global/
Christian Aid
http://www.christian-aid.org.uk/
Corporate Watch
http://www.corpwatch.org
Development Gap for Alternative Policies
Structural Adjustment Participatory Review Initiative (SAPRI)
Website: http://www.developmentgap.org/
Essential Action
http://www.essentialaction.org
European Network on Debt and Development (EURODAD)
Website: http://www.oneworld.org/eurodad/
50 Years is Enough Network
Website: http://www.50years.org/
Financial Markets Center
Website: http://www.fmcenter.org/
Focus on the Global South
Website: http://focusweb.org/
Friends of the Earth
Website: http://www.foe.org/
Global Exchange
http://www.globalexchange.org
Independent Media Center
http://www.indymedia.org
Institute for Policy Studies
http://www.ips-dc.org
Interhemispheric Resource Center
http://www.irc-online.org
Jubilee 2000 Coalition (UK)
http://www.jubilee2000uk.org/
Jubilee 2000 Coalition/USA
http://www.j2000usa.org
Mid-Atlantic Infoshop
http://www.infoshop.org
Mobilization for Global Justice
http://www.a16.org
Oxfam International
http://www.oxfaminternational.org/
The Ruckus Society
http://www.ruckus.org
Student Alliance to Reform Corporations
http://www.corpreform.org
Sustainable Energy and Economy Network
http://www.seen.org
Third World Network
Website: http://www.twnside.org.sg/
The Tobin Tax Initiative, USA
Website: http://www.tobintax.org
TomPaine.com
http://www.tompaine.com
World Development Movement
http://www.wdm.org.uk
This material is being reposted for wider distribution by the
Africa Policy Information Center (APIC). APIC's primary
objective is to widen international policy debates around
African issues, by concentrating on providing accessible
policy-relevant information and analysis usable by a wide
range of groups and individuals.
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