Progress report on the establishment 01the
Ahican
Economic Community;(Q
'Priority Africa' (item proposedby UNESCO);(j) Operational activities:
~II---61
(i) Report on ECA-execuled techi1ical co-operationprojects;
(i~
progress
in TCDC/ECDCactiYilies
inAfrica;(iii) Activities, work
programlTl8S
and budgets 01 the ECA-sponsored regionaJ and subr8gionaIinslitulions;(k) Recommendalions
fromthe subsidialyorgans
andsectoral bodies01the Commission:(i) Ninlhmeeting01the
Conf_1C8
01 AfricanMinistllrsoIlndus1ry;(i)
S8venlh United N8Iions
R8gionaIC8nographic Conf8r8IIC8for Africa;(iii) Filth meeting01the
Conf--.ce
01African Ministers01SociaJAffairs;(IV) Sev8nIhmeeting01the ConflIrence01African Ministers01Transport, Communications and Pt8nning;
M
Sixth meelilQ 01 theIntergovernmental
CommiUee 01 Experts onScience
and TllChnologyDev8Iopment;(vi) Fourth Regional
ConI8r8nc8
on·the Integration01Women in Developmenl;(vi~ Tenth Il188Iing01 the
ConI8r8nc8
01African Ministers01Trade;(vii~ S8cond Il188Iing01 theConference01African Ministers01Tourism;
(IX)
Sixth
Il188Iing 01 the JointConI8r8nc8
01 AfricanPlanners, Statisticians
and Demographers;(x) Report01the meeting01Chief Ex8CUtiv8s01African Intergovernmentalorganizations;
(XI) Eleventh meeting01the
Africa
Regional Co-ordinating Committee for the Integralion01 Women in Development;(xit) Ninth meeting 01 the Intergovernmental CommiUee 01 Experts 01 African
Least
DevelopedCountries;(xii~ Report 01 the meeting 01 the Conference 01 Chief Executives 01 ECA-sponsoro.d Regional and Subregional Institutions;
(1) Statutory issues:
Follow-up action on relevant resolutions adopted by the twenty-fourth
session 01 the
Commission and decisions adopted bythe
General Assembly and ECOSOC that are 01 interest to Africa:(~ Follow-up action on other relevant resolutions adoptedbythe twenty-fourth session 01 the Commission/fifteenth meeling
of
the Conferenceof
Ministers;(i~ Resolutions adopted by ECOSOC at its second regular session 01 1989 and by the General Assembly at its forty-fourth session in the economic and social sectors that are
of
interest to Africa;I! I ,
(m) United Nations African Institute for< the Preventionof Crimeand the Treatment ofOffenders:
(~ UNDP funding;
O~
Staff
rules;(n) Statusandprospects of the African Institute for Higher Technical Training and Research;
(0) Programme of work andpriorities oftheCommission:
00
Proposals for updalingthe 1990-1991 programme budget;O~ Report oftheAd hocCommittee on the Medium-term Plan 1992-1997;
Oi~ SeII-evaluation of programmes in ECA.
7. Report of the tenth meeting oftheConference of Ministers of African
least
Developed Countries.8. Repon of the fifth
meetir.g
of the Ministerial FolloW-Up Committee ofTen of the Conference of African Ministers Responsible for Human Resources Planning, Developmentand Utilization.9. Anyother business.
10. Date and venue and
other
matters related to the twenty-sixth session of the Commission/seventeenth meeting of the Conference of Ministers.11. Consideration and adoption of the report and resolutions of the meeting.
12. Closure of the meeting.
C. Account of proceedings Opening addresses
336. In opening the meeting, His Excellency Stall Major Abdul Salam JaJoud, Member of the historical leadership of the First September Revolution, welcomed the panicipants. He noted that the theme of the Conference was panicularty appropriate. Ifit were translated into concrete and eIlective programmes and actions, that theme would help lay the foundationslorthe emancipation of the -continent both politically and economically. However, he felt that Africa wouldnotbe allowed to translatethetheme into reality astheWestern countries would not want to see
any
serious development takingplacein the continent. Nevertheless, tomarch forward, African Governments had to have the political will to produce concrete actionsandprogrammes. The establishment of an enabling environment, includingtheinstitution 01democracy, the establishment of popular regimes, the strengthenif19 of co-operation, the development oftransport
andcommunications and of genuine relations with therest
01 the world were imponant elements in the march forward. The African Economic Community had also to be established and the potential for South-8outh co-operation fully exploited.337. He recognized the need for Africa to be open to theoutsideworld,as no countryandno continent could evolve without co-operating with others. However, in this interdependent world, Africahad been the loser, despite its huge potential. lt was impossible fortheAfrican countries to derive
any
meaningful benefit from North;South co-operation astheNorthhadalways tried topreventpoliticalindependenceandhindertheeIlorts of African countries to unite behind common goaJs and objectives. For instance, alterthe success 01 the oil revolution led by Ubya dUring which the price of oil was controlled by the producers, the North had organized itself to ensure that such a revolution would not be repeated for other products, notably those of agricultural, 'I
II II II II
63
ong,n. The North, in particular, had been struggling to produce synthetic substitutes for many of the products in which Africa had a comparative advantage. It was not surprising, therefore, that Africa had 28 of the world's least developed countries. The situation was critical and would become more so with the decline of Marxism in the Soviet Union and the Eastern bloc. This would further marginalize the African countries as their allies would be more and more bUsy with their internal problems. That situation had been created by the West in the guise of bringing democracy to the people of the Eastern bloc.
338. He said that the North, for fear that African and Arab coumries. would join forces following the formation of the Maghreb Union, had orchestrated the conflict between Mauritania and Senegal, two sister Muslim countries. The media of the North, he noted, had rushed to attribute the dispute to the use of the river and to differences between African and Arab Muslims. Those actions were part of the conspiracy of the North to divide and rule Africa. He requested citizens of the two sister countries to be aware of that and to not allow that plot to lead them and Africa as a whole into error.
339. He pointed out that the IMF and the World Bank were contributing to this conspiracy. They provided financial assistance with one hand to a country but ensured that as much as ten times that amount was taken out of that particular country.
340. He appealed to the Commission to analyze all these issues and find radical solutions to stop the conspiracy of the North against Africa. Africa was not responsible for the debt crisis as the loans were contracted on the advice of the North, and were spent under their supervision on activities that had not contributed to development. Finally, he urged participants to be nationalist in their approach to problems.
341. The Executive Secretary of ECA expressed to His Excellency Colonel Muammar AI-Qaddafi, Leader of the Great and Glorious AI-Fatah Revolution and to the valiant people of Libya, ECA's profound gratitude and appreciation. The Jamahiriya had distinguished itsell as the first country ever, since ECA was established, to host two sessions of the Commission within a decade.
342. The Decade ofthe 19905 was one during which Africa must answer a few basic questions: what would be the plightofits people; would Africa succeed in abandoning the process and policies that marginalized its people, and instead, pursue Vigorously a human-centred development strategy and programmes that put the people first? Would Africa begin to recapture the lost ground in the international economy relative to other regions and lay the foundation for becoming a true partner rather than a perpetual dependent in the world economy? What would be its response to the phenomenon of growing regionalism that will be the hallmark of the 1990s with the North American Free Trade Area, Europe 1992, the Pacific Rim, and other developments?
Would Africa, in response, revitalize and reinvigorate its regional economic groupings such as the PTA for Eastern and Southern Africa, ECOWAS for West Africa, ECCAS for Central Africa and MU for the Maghreb countries and advance in the implementation of the Final Act of Lagos which called for the establishment of an African Economic Communityby the year 2oo0?
343. Africa's development partners should avoid the unforgivable mistake of continuing to try to fit development into the adjustment process. The perception that adjustment programmes should continue to evolve or that there should be developed a new generation of structural adjustment programmes (SAPs) must be dropped.
344. With the publication of its recent long-term perspective study Sub-Saharan Africa: From Crisis to Sustainable Growth, the World Bank had moved closer to AAF-5AP. It was to be hoped that once the World Bank had begun to translate the perspective study into operational programmes, it would follow the path of logic and abandon totally and completely the current and the so-called new generation of SAPs. The time had come for the Bretton Woods institutions, particularly the World Bank, to go back full steam to development and transformation. fitting adjustment within their trameworl<, not the other way round. The African Governments and people and their leaders must/recognize that the consenSUS-building effort around AAF-5AP was going to be a long process. They must therefore continue to put pressure on the international community in all fora.
345. There weresix basicthrusts in the fOlWard march totransIonnation. First,
Africa
needed to take ahard look at
and act decisively on the critical and vital issuesof
democracy,accountability and full involvement 01theAfrican
population inthe process
Oftheir development. Secondly, each country must developand adopt
a nationalpolicy framework consistentwith AAF-SAP and rnedium-term plans. Thirdly, ~-SAPmust
become ahouseholdword,and awidelyaccessible blueprint andguideline. Fourthly, a subregional approachto~..sAP must
be
adopted. Thefifth lay
in getting policyinstruments right by deSigning, formuIaIingandapplying ori/tj those policyinstrumentsthat~ appropriate to speciIiceconomic and socialmiflllUX;and the
sixthwas
the creation01afavourable.andmore conducive intemationaleconomic environmentthatfaCiIilaled policylefomlSlorsocio-economic
recovelY and
transtormaIion.346. In
spite 01the odds,
Africamustcontinue to pursue all available avenues and
strlII:egieSlorresolVingsuch criticalissues.While
itwas important to
RlCOgI1iZethe danger01bon'Owingon short termforlong-termprojects oratfloating interest rateslorlargely unproductiveJlIojec1s,itwas
equallyirnpoItant, to insist on a review 01the
economicand
financial power currently exercisedby theBrettonWoods
instiIuIionsontheAfrican economieswitha
viewto reducingtheirdominance
01Africa's
economic destiny. The donorcountriesmust
bemade tosee
theMility 01an arrangement thathad
donesomuchtoconsiderablydininish and narrow ildependent
poIicy-making and nationaleconomic
management and - bythe same token - the
Bretton Woods inslIWtIons, particularlytheWorldBank,shouldreverttodeYeIopmentandtransformation. Part 01thesolution totheproblem 01the
multilateraldebtsmustbeto writeoffor reschedule them. TheWOIIdIllUSl,inthe199Os,move-ar
fromelfort directed
at
refinancingdebt
to a significantandS1lbslantia1reduction 01thestock
01debt.
Urgent action was also needed toincrease resource
IIows to Africa ona
COIlCesslonal basisforlong-termdevelopment 347. Themainquestionwas whether
thepeople01Africa,theirGovernments and
leaderscouldmusterenough politicalwiDtoensure
theemergence
01the newAfrica
duringthisdecade.348. TheAssistant
8ecretary-GeneraJ
01theOAUSlated thatthehostingbyLibyafor a second time 01the
ECA Conference 01Ministers demonsIrated that country's commilmenttothe icIeaIs01African co-operation and integration. He undel1inedthe co-operation and collaboration bet--. theOAU andECA. The issueswhich the IaIler considered were often used as inpulS for the meetings 01the Assembly 01 Heads 01State and Government 01the OAU.
349. He reviewed the major developments taking place throughout the world
incIudiOjJ the emergence
ofeconomic
ortrading
blocs,andthe poIilicaI and
socio-economic developmentsin Eastern Europe,andpointedto
theirpossible consequences
onAfrica. Heconsidefed theindependence 01Namibia on 21 March 1990and, thI\
release 01 NelsonMandalaon 11 February 1990 tobe
welcomesigns
for thedecade
01the1990S.350. Thebeginning 01the19905
was also
an opportune time tonMew the
19808andIlIllpoutfulure
strategies.While the 19808weAl
a
'lost decade',duerecognitionshould
begiven tothe
major developmentstraIegies 01the
period,such
asthe
Lagos Planat Action and the
Final Act 01 Lagos, APPEA, the UN-PAAEAD, Africa'sCommon Position
on theExtemaI
Debt Crlsls and the8doption
01~..sAP. He drewattention to the
devastatingdrought, theplague 01!clcrISIS,famineandmass
starvaIionat lhat decade, and
theI8SpOiISe01the international community with
massivefood aid. The
periodalso wiIn esse c1
majorpolicyprescriptions,m
ategies, and statemenlll 01deYelopmentobjectivesby variousag&llCies,i1cluding theWorld Bank.351_ Thequestion
oow before
theme lillgwas
theiewrewhatAfrica
wantedforilselIand
itSpeopledwing the1990s. An assessment at actions
takenat the
nalionaI level toimplementthe
various regionaland
globaJprogrammes,
and01theconstraining factorssuch as intemal conIlictsand
disputes wasessential, and he hoped
memberStateswouldaddress
themselvestothoseissues.352. Hem saedthe need
to
create anenablingllflIIiromlentforacceleratedsocio«onomic development and
enumerated
POPllla< participation
andtheredeIintionatthefllWPOS8 and olJjectives at
governmentvis-il-vIs
the governedas
someat the
factorsforconsideration.
ThedebtcriSisandthe uncertainJeveI01export pricesand
earningsalsorequired
tobe addressed.i '
353. Finally, hereviewed
the inIra-African
co-operaIlon andIntegrationllIforts ofthe
1980s inthe
establishment 01economicgroupings and instituIions. l1loseInslllutionsW«8 too many, duplicative in nature and .lacked eIIectivefinancialsupportand hadtobe..-ueturedandre-orienled to facirllllte the achievementofthe
AfricanEconomic
Community.354.
Comrade
MersieEjigu,Ministerof PlanningofEthiopiaand
OI1going Chairmanof the Conference, statedthat
therewas'a
dangerthetthe
attention ofthe
intemational communhy might be focused onthe
coming t~oftheEll!!'andWest ina new
political alignmentand
thus shift -9:ifrom tts age-oldconcerns with Africa.
Africamightbe further marginalized andleft todeal, alone, with the uphill taskof achievingecOnomic
development against
the
backdrop of explOsive population growth and environmental degradation. African countries must do theirutmost to keep
African problemson
theeconomic
agendaof
the major donor countries.In
the fourth
UnitedNalionsDevelOpment
Decade, theymustcontinueto exertpressure on the world communhy tohonour
itscommitment toAfrica and.
8$a
minimum, doubleoIIiciaI
development assistance (ODA)IIows to
African LOCsbythe mid-l990s. They mustalso
continue to pressforeasieraccess
of theirexports
to developed country markets; foran
inclusion of agricullural commodities in theGATI
scheme; for the removal of policy conditionalities on multilateralloans; for the untying 01 bilateralaidfrom sources 01supply; and for a sustained transfer 01appropriatetechnologiesthroughthe
UnitedNationssystem to Africa.355. One
aspect
01 the economic trends of the 1980s was thai sub-Saharan Africa had emerged as the economically leastdeveloped and most
vulnerablepart01 the globe. Therecent events in Europe shouldnot divert Africans from undertaking a more comprehensive examinationand
evaluation of the economic policies adoptedin
thelastdecade,
nor from analyzing broader tr!!flds in the world economy which had, despite growing intra-<levelOping country dispsrities, gIlll8I'lIt8dproblems
whichwere
common to African and non-African countries alike.Africa
hadtoseekcommon groundwith other
developing countries on such issues as debt rescheduling orcompensaIory
schemesto stabiliZeexport revenue and impon volumes, transfer of technology and technicalco-operation.356. II
was
slgnillcant to notem. governments
and donor agencijls alikehadbegun to appreciate the urgency of accordingspecial priorhy
to removing long-term structural constraints such as high population growth, environmentaldegradation andfood 1nsecuriIy. IIwasnow
widely agreedthat
devaluation plus deflation wilS unsustainable unless accompanied by special provisions tosafeguard
the welfare of the more vulnerable segmentsofsociety. Theissues 01economicmanagement,
human resources developmentand theappropriate 'enablingenvironment"withinwhich diverse typ8$ofbusinessmightflourish were increasingly coming totheforein the
policy reform agenda tor the 1990s. The recent convergence al views and the eIfort put into the preparation and articulation 01viewscontained in AAF-SAP had, in large measure, contributed tothechanging attitudes to African development problems. A major contributionof AAF-SAP had been to show precisely that economicadjustment programmes had to be both nationally conceived and led in order to haveanv
chanceof success.The
question hadnot
been wnether economic transformation was necessary but what type of structural trallsformation was appropriate to African conditions. Together with the Khartoum Declaration, AAF-SAPhadsucceeded in demonstrating that economic transformation programmes must be so organiZed asnot to diminishthealready dismal levelsof social welfare expenditurein
Africa. It provided a vehicle through which African dissatisfaction with orthodox SAPs could bevoiced.357. As they entered the
final
decadealthe century, development partners must build upon the convergence theyhad so steadily reached.Four
importantprincipleSshOuld govern the formulationof economic policy in the coming decade. First, the rate of growth of total production had to be accelerated and placed on a seW-sustaining basis. Second, increases in the rate 01 economic growth had to be accompanied by considerations of economic justice, both in the conduct 01 international economic policy and organization al international institutions, as well as In the domestic sphere. Third, all should share a common concem for the environment;and fourth, Africa must have its fair share al the technological revolution which was Tapidly transforming production methods. It had to change from being a mere onlooker or an innocent victim of labour-displacing technologies and product substitution, and become an interested participant in the transfer and adaptation of existing technologies to its development needs.
358. His own country had instituted a $8rieS of measures designed to raise investment levels signilicantty.
Compulsory marketing quotas for farm
households
had been abandoned; movement ofgrainandlabour across reglons.had been nberalized; permanentusutrucl rights to land had beengrantedand privatepropertyrights to urban land and property recognized. All enterprises were expected to operate on the principles of competitiveness and profitability. The series of national initiatives designed to overcome long-term structuralconstraints
included a number of special national programmes on food security, disasterpreparedness,
employment generation. consetVationandpopulationcontrol.
359. Thesingle most importantlessonto be
Ioarnt
fromtheforegoingexperienceswasthatAfrica neednotbe diffident about putting forwardits resefVallons andconcerns on economicpolicy
questions. Itmust welcome the convergence in development thinking and the spirit ofdialogue begiming to permeate theinternational
359. Thesingle most importantlessonto be