Steering Committee of the OAU Addis Ababa, 24-27 March 1986

, I

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1--~iSt,>i ~ i.t,,) L..:i9 _~ I _~ I

UNITED NATIONS

ECONOMIC COMMISSION FOR AFRICA P. O. Box 3001

\' '

'ti

,NATIONS UNIES

j c!ciMMlIBIONECONOMIOUE POUR L'AFRIQUE

I

AOOIS·ABEBA ETHIOPIA

ORGANISATION OF AFRICAN UNITY

SECRETARIAT

ORGANISATION DE L'UNITE AFRICAINE

SECRETARIAT B,P.3243

Steering Committee of the OAU Addis Ababa, 24-27 March 1986

Distr.

Restricted First Extraordinary Meeting of the

ECA Conference of Ministers Addis Ababa, 28-29 March 1986

OAU!ECM!2XV!Add.2 E!ECA!ECM.1!1!Add.2 26 March 1986

Fifteenth Extraordinary Session of the OAU Council of Ministers Addis Ababa, 30-3J. March 1986

ENGLISH

AMENDMENTS TO "AFRICA'S SUBMISSION TO THE SPECIAL SESSION OF THE UNITED NATIONS GEIlERAL ASSEMBLY ON AFRICA'S ECONOMIC

AND SOCIAL CRISIS"

(Document ECA/2XV, E/ECA.I)

, I

EC~l/

2XV/ Add. 2 E/ECA/ECM.l/1/Add.2

P~ge

1, Paragraph

one,

(i'l)

Delete the words "responsible for" in the first line

and insert the word

l\of 'l

(b) De10te in the seventh Li.n.. t.ho w')rd ^IIa La.rm.i.nq " and

su~sti~utc

Lhc

W0r~}

]"Lapie'; fnr i t

(c) lied

after t.ho wo rd present

.i

n

Li.r.c

lij

in accordance tlith

Africa~s

for Economic Recovvery adopted at of the

He~ds

of

St~tc

and Government of African Unity,"

e i.qrvt; the follcwing Priori ty PrograInllle the 21st Assembly of the Organization

Page 1 . Paragraph t.wo

(a) Delete the word "profound" in the first line (b) Delete the word "very" in the fourth line Page I. Paragraph three

Delete the following after the word we:

part of the World Community"

Page 2, Paragraph 6

"as an integral

In the second line delete the word "comprehensive"

Page 2, Paragraph e

(~)

Merge part two of

paragr~ph

n with the first part

(b) In thi2 soconc line of the second part elf the paragraph amend the

f i

qur e "50"

t

c. "51" and delete the words

;1memberli

~n~ ~icf

the United Nations

^{l l}

Page 4, Paragraph 12

(a) In the t.h

i rd

li-ne delete the words "'rhe pangs of"

(b) Replace the second sentence with the following:

"The dramatic effects of the drought are manifestation of the fragile natures of the 8conomic structue"

but a socio-

(c) Delete. the r;ords "while not trying to minimize" in the third sentence and substitute the following:

"without minimizing"

ECIl./2XV/Add.2

E/ECA/ECM.l/1/Add.2 Page 2

De18tc

tt~

first line und substitute the following for

it~

"The

_l--'1.frj.c:,~n ;:;",l,:~L::E\i..:.

::':.cisis ].s ess,:;ntially the rosult of insufficient"

Page 5, Paragraph is

(a) Delete the first sentence

~nd

replace

by

the following:

'''i'wenty-fivc, years after independence, inspite of 011 efforts made. the basic economic structures uf

i\fr~can

courrt r i.e s have not fundamentally changed"

(b) ffhc s econd sentence shou Ld

commodi ties

^Q Del(~te

tr,2

W(:.rC1S

ve ry litle dornc s t

i

c demand'!

end

"for

with which

the wcrd there is

Page 5, Paragraph 17

Insert the wor d "poo r " bof,)rc:

tHe

word "pe r

f

o rmance " in the first; line

Page 7,

P~ragr~ph

25

HeplacG t.nc

\;rlrdr-;

'('m:..D.y

P(~.::>plc::;l

ia the first sentence with the words

l'c~rtaln

c1rcles 1'

Page 10. Paragraph 33

In trH:'::

particUlarly

sevent.h f c;,od " I~'

bc·ttorn delete the words

Page 11, Paragraph

^4U

(a) The first

2Gnt0nc~

shlJuld

cnd

in the s e cc.nd line

~ dl::llete

the r est, of well

25

the second sentence

~"'li

th the word

^Ii

image

^II

the first sentenco as

(b)

Replilce the word "the" In

t

ho second line of the first sentence with the word "<:n ,.:

(c)

Delete the

l:.!le ffi1.d.ole

following,

words "since politlcal of the thlrd paragraph

·over the last few years"

independence"

and replace

in the

Page

11,

Paragraph

41

(a) Delete t.he words "work2.blE, and promising future and

ECM!2XV!Add.2 E!ECA!ECM.l!1!Add.2 Page 3

e" in ehe first sentence,

_{~nd ~nd}

other sentence with the words "stacdard of living" in

~he

third line

(b) Delete the second sentence Page 12, Paragraph 43

(a) Delete t.he

f

cLlow.i nq

at,

the

-nd ,'f

the third sentence,

lithat p

r i.dc s

i t

co Lf

as an

interdcpt::::.ndent

conununi.

ty"

(b)

At the beginning of line

(l the Lu

s

t;

part of the third

s ent.erice

should !."bad

~ ^:I

in an in·ccrdcpendent

wo r Ld "

Page 13, Paragraph 46

This paragraph has been adoptee

by

the Steering Committee without amendment, However, the Drafting Committee is proposing the following amendment.

Delete the words "a r ad ica ; change in development priorities", in the third

La

ne

f

rom

th(~

bc.ttom of the paragraph and replace by "the full

commi,

tmc.nt teo the implementation of the development priori

t

ics of "frica' s Priority Programme for Economic Recovery .. 1986-1990"

Page 14, Para 4) (d)

Delete the word "deeply" in the first line Page 15, Paragraph 49

(a) Insert the word "massive" before the word "support"

in the third line

(b) Delete the

wo.rds

"be linked with evidence of" and replace by 'strengthen the" in line 4

(c)

Delete th<, words "on the part" in line 4

(d)

Delete the wo rd s "po l.d cy r e

f

crras and" in line

8

(e) Insert the word "economic" before "policy measures"

in the third Ilne from tho bottom Page 16, Paragraph 50 (b)

(a) At the beginning of the second sontence replace the

wo

rd "four" with the

wo

rd "eight"

(b) Re-number (i)-(iv) to read the word "and" before (iv)

(ii )-(v) and delete

ECA/2XV/Add.2

E/ECA/EC~l.

1/1/ Add. 2 page 4'

(c) Insert a new (i) after the first sentence as follows: "( i) Increased food pzoduc t Lon ., (d) Add the following after storage

and

marketing at

the end of the second

scnt~nce

(vi) agricultural research ::J.nd extonsion;

(vii) water resource management irrigation schemes and

and low-cost (viii) reafforestation programme and drought and

desertif Lea tion cont.ro L

(2)

In Li.no seven dc Le t.e the figure "$54.782" and substitute

"$55.205"

(f) In line eight delete "47.6" and substitute "47.2"

(g) in the third line frcm bottom, delete the word "including"

and SUbstitute "especially"

(11) in the second line from the bottom, delete "finally

measures designed to increase" and also delete "given

primary attention" in the last line. The last sentence

should. now read "The problem of food security and food

prococs

i

nq at natiunal, subregional and regional levels

will be tackled

by

appropriate measures"

, I

OAI¥ECM/ZXV/Add.Z E/EGA/ECM.I/I!Add.2

Page 5

Paragraph 50

Page 17, Old (9) other pol~cy reforms.

{a) Delete sta-rting the second line from the bottom, lILiberalization, wherever possible and profi-t.able, \"ill "be attempted; and"

lb) will also

t_e

Amend last sentence to read as follows "Finally Population Policies be adoptedf wherever necessary"o

Page Ltl , Pragraph (ii (iii)

(a) Add a new sentence at the beginning to read as follows: "r4any countries in the East, Southern, Central and non-Sahel West African subregions are faced inter alia, with serious problems of being land-locked and among the Least Developed countries. In case of countries in Southern Africa, they are subjected to externally engineered destabilization^fl"

(b) Delete in the original first sentence the following. liThe countries in the East, Southern, Central and non-Sahel West African subregions". Add at the beginning of the remaining part "These countries" to form a second sentence.

Page 19, Paragraph 51Ib).

(a) Add a new Iii) as follows:

(ii) "trhe use as a matter of priority of national competence and African experti se" ⁰

{bl Move present (ii) to form point (v)

(c) Amend last sentence of (i) to read "an indication of medium-term support"

Page 20, Replace (d) by the following:

(d) Economic Recovery and the Debt Constraints

Difficulties in estimating Africa's debt burden have been encountered because of differences in definition. While some available data include items such as IMF repurchasesf interest on short-term debt, and payments on private non-guaranteed long-term debt and arrears, others are limited

OAU/ECM/2XV/Add.2 E/ECA/ECM.l/l/Add.2 Page 6

1".0 official credits and pUblicly guaranteed commercial debt . For example,

in its most recent pubLd cetLon s entitleJ. financing Adjustments with g·row_th in sub-Saharan Africa. 1986-1990. The ~Iorld Bank has estimated the debt service obligations of the 25 IDA - eligible countries at $US 6,887 billion per annum during the 1936-1990 period. The comparable figure for eight non- IDA eligible sub-S~haran African countries on which data are available is SUS 9,4,}7 billion pEr annum during the same period. Estimates for five North African countries

is

^{SUS 7,244 billion per annum. Estimates for the}

remaining t.welve sub-Saharan African countries give obligations of SUS 0,898 billion. This brings the total to an average of $US 24,516 billion per annum for all the African countries⁰ The breakdown into payments on principal and interest are as follows:

OAU/ECM/2XV/Add.2 E/ECA!ECH.l/l/

Add.

2

. Page 7

Replace page

21

with the following.

Scheduled debt-§ervicing includipg private non-guaranteed debt

(1mnu~l

average during

1986-1990)

US$ billion IDA-Eligible Countries (in World Bank) (251·

Principal Interest

Other IDA-Eligible Countries (41 Principal

Interest

Other Sub-Saharan Africa (in World Bank) (8)

Principal Interest

Other Sub-Saharan Africa (8) Principal

Interest

North Africa (5)

Principal Interest

TOtal (SO countries)

Projected debt-service, excluding private non-guaranteed debt

<1986-1990)

A. Official Credits.

3.910 2.967

0.357 0.109

5.268 4.229

0.305 0.127

5.377 1.867 24.516

(il ( i i )

B.

COtt~ercial

Credits:

(il

<iii

Principal

Interest Total

Principal

Interest

Total

28.338 14.240

32.242 8.392

42.578

40.634

OAU!ECM!2XV!Add.2 E/ECA!ECM.l!l!Add.2 Page 8

c. Total debt service:

HI'

Principal

( i i )

Interest Total

60.580:

22.632.

83.212

D.

Annual average of debt servicing payable

16.642

OAU!EClI!2XV!Add.l E!ECA!Ecu.llllAdd.2 Page 9 Page 22, Paragraph 50(0)

Change the figures in the second· sentence to read $16.6 billion and

$24.5 billion instead of $14.2 billion and $22.7 billion respectively.

(a) Delete in the second para "We are accordingly putting forward the follow package of proposals" and substitute the following: "Therefore, the objeccives to be attained are"

(b) The number (a) - (c) to read (il - (iii) Page 23, first incomplete paragraph.

Ca) Delete "filled by" in the third line and replace by "mobilized through"

(b) Change the figure "SUS 34.6" in line two to "$US 35.0"

(e) Change the figure "6.9" in the last line to "7.2"

Page 23, First paragraph

Add at the end of the next paragraph the following:

The calculation of the gap has been made on the basis of certain assumptions.

Of the total cost of APPER estimated at an average of US$23 billion per year, African countries have indicated their intention to mObilize, domestically, an average of US$16 billion yearly. However, of this amount about $9 billion will have to be in the form of foreign resources to cover the import content of the programmes to be undertaken. Even i f this can be covered by an increase in export earnings as a result of both an increase in the export volume and an improvement in commodity prices-an assumption whose realisation would depend on significant improvements in the external environment The African countries would still be faced with the problem of raising the present depressed level of current imports to at least the 1980 level, an objective that may itself require some increase in the present level of resource flows.. As such the gap of $7 billion annually (or $35.814 billion for the five year period, observed in table 8) would be furhter additional financial assistance for the specific purpose of financing APPER.

OAU/ECA/2XV/Add.2 E/ECA/ECM.1/1/Add.2 Page 10

Follow-up mechanisms: (Amendments) Transfer old para 55 to 59 as amended Introduce new para 55 to read as follcws,

"The general principles underlying the follDw-up and monitoring me chan i.sm , who

t

hc r at or international levels, are two-fold,

establishment of

nati0n~lg

regional

(i) the mechanism should b,,, simple, operation2.1 and without Lnvo I ving SUbstantive add

i.

tional axpendi r.u re s ,,,nd (ii) the emphasis' s hou Ld be placed, as

fa

r as possible, on

t~1f~ s·treng·th<:~ning ;",f

existing institutions rather than t.hc cr ca

t

Lori of new ones'

Para 56 is also amended by deleting the following words, in the last part of the t.hi.zd sentence, "vz

i.

thin the framewor-k of the

compa ct;

agreed upon at

ec ch

nat __

oria L

level

~ ~I

Para 56 second sentence, after the word "instituted"

inse.rt the

wo

r

d

s

lias

a

pp

r op r

i

a t.o "

Para 58 is amendod by adding the following wcrds at the end of t.he second sentence: "In 'chis respect, i t should be recalled that APPER has already recommended that Afr{can

_countr~es

should establish a follow-up mechanism as apropriat'2o"

Para 58 (c) fitst line,

"monitoring group",

delete the following words after

"unlike the Consultative Group or the Roundtilble"

Para 53 (d) preamble, constitute the core" and

su~gested"

.' ' '

delete insert

the the

following follGwing,

wcrds

~~'should

"e Lemcn c s az e

Para 58 (d) (v) should read as follows,

"where i t is con s i de r ed necessary and feasible" a joint secretariat should be established by the national governments and the donor commmuni ty ill the country conr.erned which "Iill be responsible for servicing the monitcring group"

Para 58 add new subsection (vi)

25 foll~ws;

"The monitoring mechanism will liaise with the Permanent.

St.e

e r

i

nq

OAU/ECA/2XV/Add.2 E/ECA/ECM.l/l/Add.2 Page 11

Commitce on

^"J.

regular basis and prCJvide i t with

^Lnf

orma t

^Lo»

on the implemen·tation of the APPER at the national level"

After Para 58 intcoducE: new section as fellows, Regional follow-up mechanism

New Para 59 to read as follows:

"In adop

^t

i.nq APPER, African Hea·\s uf State and

Governml'~1t

worked out an

o Labo r at;e

and comprehensive follcw-up arrangem8nt:

at the national, sUDregional and regional levels. The most significant among these is the setting up of a IS-nation Permanent Steering Commi t.tee to follow-up::m the implementation and to report periodically thereon t.o the Assembly of Heads of St.at.e and Government. The OAU Permanent Steering Committee is to play the main ce t a

Ly't

i.c and sti.mulating role and provide linkage wi th the internetional community in respect of all action

t,~

be taken at the national, subregional and continental levels, in conformity with paragraph III of Africa's Pri0ri ty Programme for Economic Recover, 1986-1990. This Permanent Steering Commi ttee is servir::ed jointly by an inter-OAU/ECA

secretarL~t.

Indeed, i t is the Permanent Steering Committee that has been the focal po

i

nt; in the p rcpe re

t Lon

of this our submission to the special session.

At the International level

Old Para 59 becomes 60 and delete the following words at:

end "to prepare such reports as may be necessary" and add the

f

o

Ll

owi.nq phrase: "and to follow-up and monitor the

Lmp Lcrncnt

a

t

i.on of APPER at the international level".

Old Para 60 becomes 61.

OAU/ECA/2XV/Add.2 E/ECA/ECM.l/l/Add.2 Page 12

Page 27. Paragraph 61

fa} ^{D e L e}

r.e

^{t h e} words nand in ^{c o r r tr o v er t . L b}Ly " in the second line.

(b) Delete "Af r i.oa remains fUlly committed to the

Lagos Plan of Action because then in the second and third lines.

(c) Delete the wordS ^Ilo f the Plan" in the fifth line.

(dl Add Page 27. Para 63

"wboaa" after "Pd na L Act of LagosII~

(al Delete the paragraph with the exception of which should now come at the end of the first sentence of

the third sentence, paragraph

64.

(b l with the

Replace t.he words ^IIA words ^IIAn important".

landrnark^ll at 'the beginning of that sentence

OAU/ECM/2XV/Add.2 E/ECA!ECM.l/l/Add.2

Page 13

Page

2&.

Paragraph 66

(a) Tran5fer the first sentence of the Paragraph to the end of Paragraph

64~

(b) Delete the rest of the paragraph Page 23. Paragraph 67

Delete the paragraph.

Page 30. Paragraph 71

The penultimate sentence should end with the word "adjustmen"c-programmeslt'G Delete the rest of the sentence.

Page 30. paragraph 72

Delete the pen~ltinatesentence starting with "Naturally, African Governments

Page 30, Paragraph 73

Delete the word lideeply" in the third line

Page 34, (g)

(a) Change the word "fi.ve " to "sixI'.

(b) Delete Ila nd " before Tunisia

(c) Add the word s "and SADR" at the end of (g) Page 340 Par~graph 4 under A

Chang~ the figure 11520^{11 . t o} IlS00" in the third. line Page 35 Parag.aph 2 under B

Change the words ⁰¹ Civil ~V'ars'" to "armed conflicts^If in the second line ..

''''N) l-:,··il~"".~^I,~," < • '"

EIECA/ECl1:

i/ll

"do. 2 Page 14

Page 3G

(d) Change thl"! cor-ds "ba q rains" in the first line of the second paragraph to "main ::-ai.ny seasonⁿ

{b) Change t.he £:lgllre ~'124,2'; in the second li.ne of paragraph 3 to "135~11l~

(c) Delete IIsecond after west; AfricaI' in the t.hi rd line of paragraph 3 and add the word "fi r st " afce r ranks.

Page 37, second paragraph

Delete the second and third sentences of the paragraph Page 38, paragraph 3.

Replace the paracrraph "ith the following "r'he major effects of the economic dependence on South Africa are very cornplex~ Many of the countries earn regular amounts of revenue from remittances from their migrcnt labour which finds employment La z qeLy in the mines and farms of South Af rica , Secondly, Some of the conuntries are interlinked wdt-h the economic infrastructure (transport and communication; of Souch Africa. However, South Africa takes undue advantage of this dependence and t.he following factors need special mention^If

Page 40, second paragraph under D

(3) Change the figures in the second sentence as follows:

"2~67" to ^112"8";

r.3. lute to ^I'3.1" ; '13.01¹¹ to "2"9'1~

(b) Change che wor-d lI~lest Africa^u in line 6 to "East Africa"

Page 41

Delete the last sen t.erice of the first incomplete paragraph and substitute the following:

"The transport and commuru car Lonc systems in Central Africa should therefore be developed to promote industrial and agricultural production and the. economic integration of' the countries of the subregion"

, I

J"V/E(;M!~XV/Add.2

E!ECA/ECM.l/l/Add.2 Page 15

Page 41

Delete the second and third sentences of the last paragraph.

Page

42

End the first sentence with the wo.rd s "Central African sUbregionII and delete

the rest of the sentence,

Page

42,

second

pa~agraph

under

E

(a) Delete the expression lIagro-pastoralism" and replace it by IIbasically agricultural and pastoral^ll in the second line

(b) Delete the word .It\-10" in the fourth line and replace it by "a series

of"

Page 43. first incomplete paragraph

Delete the last sentence starting with ^IIin this context etc".

Page 44, first complete paragraph

Delete the last sent.once starting with "Ac cozd.i nq to a recent study etc.n

Page

44,

first: paragraph under F

_,

' ,

(a)' Delete the words "faster growth in" and replace by "high grol'th, rate

of

I.

(b) Delete -",reversing the relative ne.glect of the rural areas, and,·hence"

in the last sentence of paragraph two and replace by "stemming the flow of"

Page 44, last paragraph under F

Delete "are still too poor to allow" in the ,last line and replace by lido

not adequately allow';

Page 45. first in complete paragraph

Add after the wozd productivity in the second line from the bottom the following between brackets:

(with the exception of Cote d'Ivoire)

- Delete words "nat^H and "any" in line 5 and _~dd less than _betwe~n "in"

and spectacular

OAU/ECM/2XV/Add.2 E/ECA/ECM.l/1/Add.2

Page 16

Page

46.

first paragraph under G.

(bl Delete the word and before Tunisia

Le.) Add the woz da "and SADR"at the end of the paragraph Page 47, third paragraph.

Delete the woz-d "Al.qer La^II in the first line

Page 49-50.

Delete pages 49 and 50 and substitute the following

THE OVERALL PICTURE

Geographical and demographic setting

In order to unders~and the causes and consequences of the African economic crisis, i t is important to outline briefly the geogr?phici:;.l and demographic

settinq. Africa

is

a land of great diversity with a population of

approximately 550 million and covers an area of approximately 30 billion km^J which is about a quarter of the wor-Ld^Is total land a r e a , Out of its total land areat only 44 per cent can be used for agriculture Lnc Lud i.nq pasture. Its vegetation varies from the lush equatorial forests of -Central Africa to the arid deserts of the sahara and Kalahari~ There is great variation in the size of countries as far as area and population are concerned.

The smallest country has an area of less that 500 km² whil.e the ~argest

country, the SUdan, has an area of more than 2.5 million krn²• The population also varies from 65,000 for Seychelles to approximately 95 million for Nigeria.

The main geo-pol~ticalproblems of the region are as follows:

(a) A large number of countrles with small-size markets.

(bl A number of landlocked countries without a good network of roads and adequate communications. thus resulting in difficulties in exporting their commodities and importing essential supplies.

(c) Some countries with very narrow coastal 5trips~

.

,

, ,

OAU/ECM/2XV/Add.2 E/ECA/ECM.l/I/Add,2

Page 17

(d) Large areas of arid and semi-arid landsG

(e) A large number of cQuntries'suffering from drought and desertification.

The main demographic characteristics of the continent are' (a) Wide variations in both population and critical

population densitiesj

(b) A high dependency ratio;

(c) An age-structure, with more than 40 per cent of the population aged less than'lS years;

(d) A high rate of urbanization especially as a result of rural--urban migration which brings in its wake social and .economic problems.

OAU!EGM!2XV!Add.2 E!EGA!ECM.1!1/Add.2

Page 18

Page 51

Replace page 51 with the following:

2. Gross domestic product

Without doubt, the performance of African economies in recent years has been dismal. GDP at current prices for the whole of Africa was 308,356~3

million in 1903 and 310,025.5 mil1ionin 1984, representing a rate of increase of only 0.8 per cent. Per capita GOP at current prices for Africa as a whole was $609 in 1984. However. the situation varied greatlly among the various

sUbregions as is demonst~atedby table 1 below.

Table 1. GOP and GOP per capita by subregion (at current prices)

Subregion GOP (in million $) GOP per capita (in $)

Indian Ocean island countries

East Africa

Southern African States Central Africa

Sahel

Non-Sahel West Africa North Africa

Total Africa

1983

4,170.0 29,817.1 18,U93.7 18,337.0 7,943.7 96,717.8 132,479.0 308,358.3

1984

3,649.2 30.641.2 18,666.0 17,709.6 7,490.7 53,003.9 139.665.0 310,025.'0

19G4

326 227 400 386 202 697 1,385 609

Source; ECA Secretariat calculations

, I

OAU/ECM/2XV/Add.2 E/ECA/ECM.l/l/Add.2

Page 19

From the above table, i t could be seen that between 19&3 and 1904 GOP at current prices fell in four subregions: r ndd an- 'Ocea~ i~land countries, Ce nt r a L Africa, Sahel, and non-Sahel West Africa, remained virtually unchanged dur'",;, the same period in East AFrica and Southern African States; and increased by

5~4 per cent in North Africa.

Growth rates have also been exceedingly poor in AfI:ica during the first half of the 19(105. GOP at constant p.cLce a grew at 1~4 per cent in ,1'980-19B1, 2.G per cent in 19U11982, -1.0 per cent in 1982-1983, and 1.0 per cent in 19f,3- 19\311, showing an average annual growth rate of 1.0 per cent during the period 1980 to 1984.. In the case of GDP per capita at constant prices. the figures for Africa as a whole were -1.5 per cent in 191.10-1981, -0.3 per cent in 1981- 1982, -3.9.per cent In 1982-1983, and -1.9 per cent in 1983-1984, showing an average of -1 .. 9 per cent per year during the period 19UO to 1984. s amt.Le r to what was observed in

OAU/ECM/2XV/Add.2 E/ECA/ECM.l/l/Add.2

Page 20

Page 52

(a) Amend table GOP

2 as follows:

GOP per capita East Africa

Central Africa Sahel

Total

1.6 0.2 1.0

2.7 -2.8 -1.9

(b) Change the figure "3 ..4" in the second line of para9.raph 2 to "2 .. 7".

(cl Change the figure "-3.8" in the last line of the second paragraph to fI":'~.8t1.

(d) Delete the word "desperate" in the first line of paragraph 3 and replace by Qof serious' , concern^il•

Page 54, 3. External trade

Delete the third sentence starting with uThis underscores etc.^1I Page 54, (a) Stagnation of Exports

(a)

(b)

"Although a peak of

(c)

End the fist sentence with the words "5 per cent in the second line ..

Delete the rest of the sentence and introduce a new sentence as fol1owE~

they increased significantly from about $36 billion in 1975 and reached

$96 billion in 1980, they fell sharply to $63 billion in 1984".

Add after "when" in the following" the earninge of.".

(dl Delate the last line of the above sentence and substitute the _followin~c

"figures become $13 billion, 23 billion and S18 billion respectively".

Page 58, First paragraph.

(al Delete the >lord "the barter" and replace by "the terms of trade".

(b) Delete the words "terms of t.zade " in the second Li.ne " ..

Page 61, Table 7

(al Add (US$ billions) at the top (bl Against bilateral add

1975 1980

the following:

1981 1982 1983 1984

Bilateral 5.5 8.6 8.2 9.8 8.4 4.0

, I

OAU/ECM/2XV/Add.2 Page 21

Page 62

Ln s e rt,

aflt;.~r,.

Sl.j;)-parfl. on In'cE.rnt\tiona,l Fund for A.gricul-tu.ral Dev(e1upm",nt ,FAO' s Agricul tur:ll RchClbili

_tati~m

Programmes for Africa

FAO

launched

i1 $245

nill,ion P.gricultural Rehabilitation Programme

f~r

l\frica (i\RPI,) in l1"lrch

1935. 'fhe

p r oqr amm.s ,

_~lhich

consists of,'Z52pr0jE:cts tc,

be .i.mpLemerit.ed 'wer 1985-37,

has

had ,1

very high '. take-up rate

⁰

Already

ha

Lf . of the funds "sought have been cqrru'ni'tt,':;'d, and donors have exp r e s s ed intel'est" in, projects that

c.CC'")Upi:

for c..

f

urt he r 30 per ccn.t,

cf .

the,t{;);taT . .

-Ab0ut

.40 dono.r-s have, corrtr i but.ed to th\", pr oq r.amme , including ,20 gov",rnroents, the 'nld,tilateral

f i

naric i.nq ,aq!"ncies, ,'lnd NGOs, as well' as ,FAO' i tSGH wn.i ch ha s commi

t t

cd $25 million, inaddi tion to

_~

ts pre-- ex

i

s

t

f.nq comrnitments to 1',fl'ic2.

(whi

ch absorb nearly. half of its ros('urces)

~ ARPi~.iE

a c-::,ntinlling proq r cmme de s i.qrned

^{t ( J}

extend beyond the

Lef

e

t.Lme

of

th" f i

r s

t;

set of pro jcc t s . A new pipeline

Ut

pro

j

oc t s is being

'::t~,I:lpi.led⁰

Page

52>

Add ilfteT

Fl\.O

s Agricult:.uri'll Rehabilitution Programme for l\.frica

~

MultinAtJ.onal Assistance

During the last few years ·the resources made

e va i.Lab Le

t

nrouqh

multilaternl sources, par c i.cu

La

r

Ly

tnruugh the UN system ..

in the form ,:;f

technic,~l, f

inaneLll and commoo a ty inputs have

boen declining despite the growing needs of the African counries,

particularly at. a timE: when most, r-f them Rrt> faci.nq sezi.ous

socio-ec0nomic crises. Hence the neod for a sustained policy

of supporting trle UN system and making available adc quat;e

r c sour cc s , thrcugh

th~

system"

tG

assist the

F~fricc.~n

count.r i.os

to meet, their immediate and long--term development needs⁰

Page 22

Page 64: Insert b2forc first paragraph the following new paragraph.

The debt servicJ.n~:i estimates were oe s ed on oat dmecee of two r anqe s , 'rhe lower bound of US$ 16.6 billion gives the projected average annual debt 'service of all the African count::ies for all punl Lc and pUblicly guaranteed debt. This Lowe z estimate exc.i ude s the servicing of private non-guaranteed debt which, however, cansti tutes a burden on the external foreign exchange resources of the African countries. Also , the projected debt service is lower than the scheduled debt service over the period. The details of these projected debt service on a country by country basis are given in Table 6 of the statistical annex in volume Two. The upper bound of US$ 24.5 billion per annum gives the schedUled debt service inclUding the available information, the servicing of the private non-guaranteed debts of all the African countries. The value of this upper bound is based on the World Bank estimates of the 25 African IDA- eligible countries and eight other sub-Saharan countries and our estimates for the remaining African countries.

Page 64, third complete paragraph.

Delete the word "However", and replace by "This underscores"

, I

vn,UIL ....~·!i.:...i..VId.dd •i.

E/ECA/ECM.l/l/Add.2 Page 23

Page 65, first paragraph

Delete the words "an absence of flexibility in debt ·mcanagement" starting in the first line and replace with the follovdng: "the stiff conditions attached to loans"

Page 66, first paragraph under 5.

(a) Delete the following: "According to information made available to the Joint OAU/ECA mission that visited"

(b) Add the following to the last part of the sentence "From the information obtained from^ll

(c) Change the word "group" in the second line from the bottom of the paragraph to the word "gap"

Page 66, first paragraph under 5

Change the figures in the first paragraph as follows:

"$115"

1135.8".

to "$80 .. 4" to "81.1^11, °30" to 1130.6", "34.6" to

Page 66, .Table 8.

Replace table 8 wtih the following table:

Table 8. Resource requirements for Africa's priority programme for economic recovery. 1986-1990 (in million $)

Sector Total cost

Domestic resources already available

or planned

Total external resourCes require-

ments

Agriculture 55 205.1 Other sectors in

support of agri-

culture 53 107.3 Drought and deserti

fication 2 166.9 Human resources

development 6 465.4

40 162.3

35 700.0 1 320.2 3 927.4

15 022.8

17 407.3 846.7 2 538.0

Total

Source: ECA

116 944.7 81 129.9 35 814.8

0LJ_/EC/~./2AV /Add" ...:

E/ECA/ECM.l/1/Add.2 Page 24

Page 67. Replace page with the following'

Table '9~ RcsotircC3: reguirments for Africals priority proqranune for economic recovery, 1986-1990 (percentage)

Sector Total cost

Domestic resources already available

or planned

Total external resources require-

ment

Agriculture 100

Other sectors in support of agri-

culture 100

Drought and deserti-

fication 100

Human resources

development 100

Total 100

67.2

60.9

60.7

69.7

27.2

32.0

39.1

39.3

30.6

Source: Calculated from Table 8 and Statistical Appenuexes in Vol. II

These .tables . demonstrate unequivocally the extraordinary effoz"ts affrican Governments are making to mobilize domestic sources to finance Africa,s Priority

Programme for Economic Recovery, 1986-1990~

The breakdown of the total external resources requirements of $35~8 billion by sector is given below:

Table lO~ Total external resources reguirements

Amount (in millions$)

Percentage of total cost

OAU!ECM!2XV/Add.2 E/ECA/ECM.l/l!Add.2 Page 25

Percentage of total external resource

requirements

Agriculture 15.022.0 12.8 41.9

Other sectors in supportjl

of agriculture 17 407.3 14.9 48.6

Drought and desertification 846.7 0.7 2.4

Human resources development 2 538.0 2.2 7.1

Total

Source.. ECA

Page G8, first paragraph

35 814.8 30.6 100.0.

Change the figures in the first paragraph as follows:

1'4707¹¹ to 117.1"

to "48~6", "42 ..7" to "41.9", "90 ..4¹¹ to U90 .. 5"; and 117.2"

OAU/ECll!2XV/ACo.2 E/ECA/ECM.l/1/Add.2

Page 26

Page 68, Replace table

11

with the following:

SUbregion

Total cost of priority proqramme

Amount (in million $)

Domestic resources available or

plann",d

Amount (in million $)

Total external resources

rcquirement~

Amount

% lin million &1'

Indian ocean Island

co~ntries 1 250.3 100.0 195.1 15.6 1 055.2 84.4

East Africa 18 551. 7 100.0 9 456.3 51.0 9 095.4 '49.0

Southern African

States 4 156.9 100.0 1 638.B 39.4 2 518;1 '60.6

Central Africa 12 834.5 100.0 7 462.4 58.1 5 372.1 41.9

Sahel 5 625.9 100.0 237.2 4.2 5 388.7 95.J

Non-Sahelian we st;

Africa 17 397.8 100.0 10 548.5 60.6 6 849.3 39 ..j

North Africa 57 127.6 100.0 51 591.6 90. 5 536.0 9.7

Total Africa 116 944.7 100.0 1;1 129.9 69.4 35 814.6 30.6

Source: ECA

,

OAU/ECM/2XV/Add.2 E/ECA/ECM.l/l/Add.2

Page 27

Page 69, first paragraph

Change the figures as follows:

"34.6^Q to "35.8"; and "6.9'1 to "7.2^'1

Page 70

Change the first part of the first sentence to read "between $U516.6 and

$24.5 billion^{n •}

Replace first para on page 70 by the following:

Given the indications of the African countries to finance 70 per cent of APPER, i t must be s t.re sscd that. this will involve~-'a foreign exchange component of about $9 billion to cover the import content of the priority programmes.

Even if this can be covered by an increase in export volume and an improvement in commodity prices, the African countries \..,i11 still have to face the task of financing an increased level of imports to at least the . 1980 level. This will not be possible on the basis of African export earnings alone. It will, therefore, be necessary to continue to assist African countries through

increased

net resource flows that will enable the raising of the import level. As such, the $7 billion '~'nnuallY ^{would 'be specific assistance to the} implementation of APPER. On this basis the average annual additional resources requirements including the estimated' de,bt-servicing requirements^v 1986-1990 will be as follows:

Replace the table by following:

Resoruce flow requirements for APPER and debt-servicing

Annual average for 1986-1990

1. External resources required to finance APPER (gap between total cost of APPER and resources that can be mobilized domestically)

2. Estimated debt-servicing requirements Resources flow requirements

Low estimate

7

16.6 (23.6)

High estimate

7

24.5 (31. 5)

OAU/ECM/2XV!Add.2 E/ECA/ECM.l/l/Add.2 Page 28

Change the figures in the second sentence that follows the above table

as follows:

$20

billion instead of $18;and $26 billion instead of $25 billion.

Page

71

Delete from the second paragraph under 6. up to the end of the page and

add the following:

•

In respect

concentrating in

of APPER,

of the

the investment in the development of agriculture, we are following eight areas in order to achieve the objective

1.

2.

3.

4.

5.

6.

7.

8.

Increased food production.

AraO,le., Land development and improvement, of land tenure policies.

.Live$tock, animal production and fisheries development.

Animal traction and agricultural mechanization.

~oodstorage

and fOOd marketing.

«Water -' resoruces management _~nd development,and low sost _nn~ simple irrigation

schemes.

Drouqht, des~rtificationcontrol and re-aforestationprogrammes.

1 research, e xt e ns i on

and human resources development •.

Agricultura Page 72

(a) Delete IV Storage and marketing and the paragraph that follows starting

"although not all etc.

^lI•

OAU!ECA!2XV!Add.2 E!ECA!ECM.c!l!Add.2 Page 29

Page 72

Delete the following at the end of the second paragraph "including rural health and primary health care centres" and add the following new sentence

"In the field of rural health and primary health care, strategies have been adopted for the unimunization of all children and the provision of safe-

l drinking water and sanitation by 1990"

Page 72, Paragraph Six.

Change the figures in the paragraph as follows:

"115.0¹¹ to "116.9"~ "54.U^II to "55.2^11; "47 .. 9" to "47.2"; "51.7" to "53 .. 1";

"44.1" to "4S.4^ft; "6.4" to "6.5"; "5.6'1 to "5.5^11; and "27.7" to "27.6"

Page 74

(a) Delete in paragraph one "Lt, became clear to the OAU/ECA Joint mission that visited all African countries that" at the beginning of the defence and start the sentence with the word "In^ll•

(b) In the significantly the the performance"~

second paragraph under incentive policies, delete responsibili ties" in lines 10 and 11 and replace by

"reduce

"improve

(0) Fourth paragraph ~nsert the word mainly after "undcrutilization"

in line two; and the words ^II and technology^II in line 3 after "materials^II

Page 75. Add at the end of t.he first incomplete paragraph after "policymaking bodies" the following: as >!ell as enhancing the flow of productive private investment. Greater market opportunities and potentials are to be created through the sub-regional trade and economic groupings already in existence or planned to be established and the rationalization of tariffs and sub-regional investment regimes.