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UNITED

NATION9~-'

ECONOMIC AND SOCIAL COUNCIL

Distr.: GENERAL E/ECA/OI.15!40 29 March 1989 Original: ENGLISH

ECONOMIC COMMISSION FOR AFRICA Tenth meeting of the Technical Preparatory Committee of the Whole

Addis Ababa, Ethiopia 27 March - 3 April 1989

ECONOMIC COMMISSION FOR AFRICA

Twenty-fourth session of the Commission/

fifteenth meeting of the conference of Ministers

Addis Ababa, Ethiopia 6-10 April 1989

INTERNATIONAL DEVELOPMENT STRATEGY FOR THE FOURTH UNITED NATIONS DEVELOPMENT DECADE: AFRICA'S REGIONAL CONCERNS IN

A GLOBAL PERSPECTIVE

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!NT"~N~TrJNAL OEV:lQP~:NT STRATEGY FJR T~E ~DURTH UNITED ~ATIJNS

~EV2l0P:~ENT DE:6~E~ AC~ICA'S REGIONAL CONCERNS IN Q ~lJ6AL

PERSPECTIvE

1. !n r.IQl~tion 43/182 the General ~sembly iDiic_~11~ c~lled

upon 1M. United ~a11on5 Conteren:. on Tr~d. end Javelopment, tne

r.~lonal Commissions .nd other organizations and speciallZ$Q sgencies of tne Jnit.d N.t10ns system to include in their agenda during their 198~ me2t~nJS items regarding th~ir contribution to the preparation of the International Develop~ent Strategy for the

~ourtn United Nations Jev.loament Decade Bna to ~ontribute effec- tively to the gr.paratory process for the strategy by providing all appr~p~iat2 inc~'ty includ~ng rel~v9nt doc~nentation. Using comprehensive analytical studies, the present paper has been prepared as oasis for illorking out the contrioution of EC4 to the

~ourth United Nations Developnent ~ecace.

2. 3y adoptlng the Lagos Plan of Action for the Economic and Social Oevelopment of Africa 1930-l000,1.1 Africa·s Priority Pr09ramme for Economic Recovery 1986-1990 (APPER)Z./ and the United Nations Progra.m~ of Action for Africa's Economic Recovery and Jevelopmant 1980-1990 (UNPAAERO),3./ Africa has ~ttenpted to bring about a SP?ciflc foc~s for its future development and ad- vancanent. The period 1991-2000 bein~ the last decade of the lagos Plan of Action, a Fourth United Notions Development ~e=ade

can only be seen as an ideal franework for Africa in partnership with the international community, to pursu~ with renewed vigour the goals ano the objectives of th~ African plans and the as- socisted regionalLy agreed strategies. Accordingly, the success- ful 1mplement~tion in Africa of any international development strategy for the 1990s will depend to a considarable extent on tne degree to ~hicn the i~su.. aodresseo in these regional programmes .~e integrally worked into the ;looel strategy.

g.~E£l~A:~_Qftt~~e~~~I_~Aet&I~~~~_QUal~~_Itif_ltiI8~_U~1If~

~AII~~S_Qf~fL~e~;~I_2f,aQf

3. Tha IDS for tho T~1rd United Nations Oavalopment Decade for

th~ 19905 daf1ned the goals linking economic, social, and p o l i t i - cal ~S$ua$, short - and long-term p~rspactives, 3nd dome;ti~ and international policy lssues in sp~~ific areas. Tha ultimata responsibility for dav610~m.nt rests primarily with the develop- ing countries themsalves with clear commitment on the part of the daveloped countries to S~DPort such endeavours through poli:ies a1m1ng at improving the international economic and political 1./A/S-11/14 ~nn.x I

2./A/40/40

3./A/S-13/Z Annex.

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~n~ d~v21cpad CCJnt~10$~

of tne e5~foli5hment of a - nv1 r : (j;1T~.~nt

c:ooperati.)n

:Lvelop~n,l

the c ont o xt

]rder*

to tH'idga the

drl,j t:1r'-;.u,,;;h ,Lnt€rIl2'tiDn211

socio-eco~omic O~p bGtween Tnis of =Qurs~ 19 ~een ~,

~aill 1~t9r"atio~51 Econom~c

4~ Ho~eV2rt durln; t~? 13805 tne perf~rn~nca of tha African

r~glon ~as oe~n f~~ from s~tisfa:to~y in many ~~SP~Ct5~ The

avera~a overall rbt~ of grOMtn of total ragional outou1

j~celarat~d cons~dJrably fr~~ lts 197J5 level ~f ;.2~ to only

1.5~ in tne l'i80s whi:h ~a~ far below th9 tar;at 11

re

post~lated i~ the Intd~~?tiondl G9~~lopnent Strat8gy. ~ lar~e numo~r of in-

jlvidu~i Africen :ountri~s in fact r9cord~d only nagatlVG a~arage

ratGS of 9ra~t~ d0rir; t~8 de:ade~

5. Th@ )8~f0rm?~C€ of the a~ric~lt~ral s6ct~r, ~n which ~vch depand~J was particularly unimp~e551ve linked as it was to un- favorablB clima'tlcal c~~ditL~ns, and other adverse extar~al fac- tJrs 35 »~ll as ~ p~rV2S1ve t?cM~oloJlcal gao which P~evailed ;O~

much ot th~ d~oade. Tn~ sector had not r~corded any positive growtn r~t3s 3xcept ~n excection31 rainy periods. During the 1,805, tne s~ct~r ~~s only 3bla to ac~iev~ a meagre ~ro~tn of

~elow 11. ThB OJtp~t . 0 5 lo~~r than its level of th. lil0. and the ra]io~ durin~ th~ 1930s ramBined on the »ho1. fooj aid depan- dent. Food imports rose by fLva t~m.s compar~d w~th tha 1970s

lav~l. Th~ ~~ojuction structure remained narrow with ~ost

countrias d&P.naing on on~ or two major agricultural products tar general e:onomic liv~llhood.

6. Tha lndustrial sac tor ~as equally undove1oped during tne 1980s. .part tram a few l~nes of production of consumption goods. the intar •• oi.te ana c.pita~ goods sUPsactor ware weak or Virtually non-~'1Itent. Th~ import content rema1ned hi;", produc- tivity lp~ and toera hav. not bean any gains in the cornp~titive

edge, Shortage. at techn1cal ano IK1l1 capa;ilitie$, management

~~ak"e5S3St 5horta~e5 at ra~ ~at!rials ?~d spa~e P3~tS continue to we~k9n t~a capacity of th~ sector to expand and grow. Juring the 1980s. tn • • • ctor achaivad an aV9rage rate of growth ,f only 3.6% compar~d to tha targst of d~ set for the d~cadQ. Si~ilarly.

the s~ct~rs in support swcn as transport, trad~, 2nd services were adversely aff~cted by th& ov~r~ll 3ccnQmic dacline.

7. Par capita ~~come fall shar~ly to 80% b~low wh~t i t ~as at the end of the or~v~ous dGc~de os population rose and ~u~i~es.

3ctiv~ty and economic proouctivity declined. Tna situation was more prec~riou5 in tn_ group of the LeBst Daveloged Countries (LOC) whos. como~ned .ro~th of P~" c~pita income declined sharply over the d&:3de due to th~lr added peculiar arJblems. For the group as a ~hole, aver~.e growth oer capita incom3 decl1nect DY 0.11 on an .nnuBI ba ••• auri~g l]gO-liBS. ~3SS oov~rty thus spread further ~ith about g5~ of th~ Af~ic~n pop~laticn e$tim~t~d

to be lioin; ~.lo~ tne povarty line. Furth.rMor., the budgetary deficit ar~sin~ fr00 th~ lo~ ~xpan5ion of ?cononic ~ctlvity and

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redUC0d foreign savings has cansLoerably many a country in tha re]ion to produce qu.lity of life in tarn,s af prDvislon generation of employm.nt opportun~tie5.

limlts0 tn. ability of any imr'rovements in the of sOL~al s~rvices and

---

1970-1919 1980-1989

GDP ...c, ~~~. 1.5

Agrlculture 1. 3 1 .. ,+

Manufacturing 5~ ;; 3.6

Capital formation 4.4* -2,,0

::xpcrts 3.8* D. 3

I mpor ts 3. o~( -~'• 3

sourc~: EeA estimates

*

refers to 1975-1919

S. Against the pr~ceding over311 Plctur~ of the ~xperi.nc. of Africa during the Third Uni,~d Nations Jevelcpment Decad~, one would like to recall the main oDJectives of the International

~QveloDment Strategy for tne Third United N3ti~n5 Develop~ent

DQcadQ, namely, the deyelopment of the developing countries to which the deYeloped countries c~mmit.d themselves. What in fact happened was that while tn. technokogically dev.loped countriQs are enjoying th~ longest recovery on record for th~ most ~f the 19805 as evidenced by the ~verage of 4 per c~~t annual ~rowth

rate of goods and services Jt West9rn developed cjuntries and 5.8 per cent for Japan all i1 six year~ consecutively, Africz has been suffering from the lo,est growth and worst ~risls sItuation on record during th~ decade.

9. While domestic endogenous and exogenous factors has no doubt played havoc with African develoqm8nt during t~e 1)805, thGre ~s

also no denying the fact t;,at the s xt e r na L e o v a r o nnant had Deen particularly hostile. In partlc~l?r, increase1 pr~tectionism,

rapid advancement in th~ development of technology for the sub- stitution of synthetics fo~ raw naterials, and the Intensifica- tion of bilateral approach to cooperation to ti,. detriment of

3

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~ultilat2ralisin ~ari SO~g

affected Afric&~ dev~lapm.nt

of th8

arforts

ext~rnal f3ctors during th. 19BOs.

"10. Jvarall, t~la 5itu~t~~', ~ef12ct~ ~f\a "fact that ~h2 ,·~~overi

in tne jev~lop9d countries ~as not transmitted at the re~uired

level bnd ;c~l~ dua to i~stitutional factors ~overning msrket

specl~lizati,)n, patar\t ~nd te:hnology protectionism, and inte~na­

tional division of labour i~ int~rnational d~c.ision-ma~ing

centres that limit tha free transfer Qf technology. It is not surpr.sinJ, therefor., th0t 2n the ~ak. of the 1180s which »it- nessed tachn~loJical leaps in sp~c~ and nuclear e~argy and telecommunication revolution, .f"lc. remains tacnnologically be- hind end c~,siderably underdev,lopad; and so rQffiB2nS orona to natural calcl~iti~s and axterncll d0pendenca. Whilg developed countries have m~de ~Qssiv$ additions t~ their capital ~ccu~ula­

tion both quantitativ~ly and qURlit~tivaly, tn. rat. of in_llt- mant has ~een falling continuously during the li8Qs with very in- significant additions to ~~pital stoCks of tn3 1970s. lndaed, even the low capacity to maintain existing stocks signifies the fact that Afr~ca is 2n a daplo~able prOC3SS of capital decumulation.

11. In the area of ~oney ~nd finance tJ which th~ I:S has given due prominenc. in tn~ strategy for the 19805, Africa, of all con- tinents, ha. beln th. worst sufferer and a victim of an unjust international .cono~ic order. The 105 has not only emphasized the conver~enC0 and the close relationships t~at exist bet»een monay, finance and treda as inte~national policy instruments for development but systemetic~lly leid the fr~mewo~k of principles and rules gDvornin; trade, ~onetary and financi~l relations on the clear understanding that the commitment of developed countries to keep tnair markets open, and to provide appropr1ate flow of reSources an' other measures in support of development efforts of the developing c~untries. ~nfortun3Lely in spite of such rules, Africa in one year elona lost 113 billion or one third of its export .arninQs due to the collapse of commodity prices in 1986. Tha retr~nchmeni polici~$ hava forced Quit~ a number af Afrlcan countries to cut down on tneir essential im- ports for deval.opment to cont.~n their current ~ccount deficits.

Nonetheless, many countries ~e~e pressed to resort to heavy bor-

ro~in9 at a tremendous cost 2nd under hard conditionalities. The debt problem ~hich was not conc2eved at that time by the strategy for the third de:ade has oy the ~id 19805 b.co~• • real develop- ment problem of f~r ~~aching and dire consequences for the economic, socia and pol~tic~l life of the m~jority of the African oopul~tion. The ragion total external debt Dbligations stood at i230 billio~ at th. end of 1988 compa~ed to $174 billion in 1985, representing an annual increase of 5.5~. It is not, therefore, surprising tnat sinca the inception of the recovery programme (UNPAAERO) in tn. m2d of the 19805 debt obligations had increased 01 32~ 2nd tne debt overhan. forced nany countri~s to adopt savere adjustment.

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econo~ic d~v01o~~ant9

17. Jne ~f th~ major concerns is tne ~nviron~ental ~ro1Qc1ion to

~a~ntal~ natJral w~01th ~nd Increa32 it~ pr~d~~1ivl~Y ~s well ~s

the r,aad to contr~l its disastrous effects an t~'e 11vQS of the

~aopla and 1~v0st0cK. ~afor@str2tionJ soil d30~~d~tion and Jasertlfication 3re indeed ~~r~ow~ issues that tnr~~tan to cause

per~an3nt da~2~9 t~ tha aCJ-syste~~ In thf 1)80; tn2 Af~~c3n ragi~n ~as hit ~y tha m~st deva~tating natJral disast9~ on record. Jnder su;h w,b~dr3bla burd~n1 sgric~ltur~ could no long-

a~ s~$tain ~h~ o~sic nac~5sities of the Afrlcan Pdpulationt given tha da~8ge to the so~l csu~ed by dro~)nt and other natural

cslamiti~s~ Jrought anj ~e5artification induC8Q probl.ms have affactgd more ~han t~o-third5 Jf the ~frican coun\ries in the last deC3d3~ Jurin~ the period of the G~eat African Drought 1983-1;35, jrou;ht ~ff3ctQd 3S ~I~ny 85 36 African co~ntries

~hicn nad rQQu~reci at on3 tl~e o~ an~tn~r m~ssive emergency food aid. Jut Jf th~ 200 m~~ll~~ l~vlng in the jrouJnt prone countrles, 30-35.mLllion peo~le h~V0 be~n seriously affect~d and as many ~s 10 m111ion peopl~ beca~a di3placed bacaus2 they had to abandon thelr homas in search of food, watar and pastures~

~aminer ~?l~~triti~nt and dise3~as W2re wid~spr~~d ~~ong th~~ in

partic~13r areas of ~?s~arn, Eastern and Southern Africa&

18. Troplcal forests arJ 2stimat9d to be d~clinlr1g 3t t~& rate of 1.3 ~illion hec~3ras par y~ar. ~enetic rasourceS are ~ain~

lost and there 19 a snift. of ~colo~~col zon~s: de5~rtificatlon of th9 Sahel, sahelization of tne savannah anti sav~rlnization of tne forests. Ap~rt from th? &.1 million sQ.km. OCCU01~d by nat~ral

desert. nore th~n 10.3 m~llion sq.k~~ of land suff~red fro~ the effect3 ~f desert1f1cation. Ratis of dese~tificaTion Mava Deen

alar~lng ran~in~ oetween 10 to 40 km. pir y~ar dug t~ Dvergrezing

• oush flres and ineo~quacy ~f sys~e~5 of a;r~cLJltu~G msna~e~ent

and 9xplQitation~ Insppropriate land Ui9 ana ~O~r nanagement of natural re50urces also c0us~d serious land and soil dagrad?tion in most Africsn countrias& If the pr~sQnt p~tt9pn of exploita- tion continu~s wi~hout conS~lOUS efforts to :ontrol forest and soil dQ~radation and introduce irrigation and water ~8SaUrC~S

managem~nt, the for~st ~esources will

1e

threate~~d by depletion wit" some countries under threat of complet~ly losing their

o~odu:tiv& r~sources~

13. Moreover, the in~tility to ~evelo~ tne technical capabil.ity to preserve 8nj conserve the natural ~esource basa 13 a cause far

concer~e In this re~ardJ It 1.5 i~oartant to develop integrated

rase~rcn anG technolo11cal cap~bility to ensure th~t the ~tf~cts

~f drou~ht and desertification are c~ntrol12bi6, t~ ~ntroduce

7

(10)

dr:rv~lo9rnslit of

o r- '1 i.m3.t,ic

Ci?\i~l.:;p plar,t,i ,...,.,,' .(.

~Qr~stry l)al~nLe '~2j~r chansa~ in ~he us~ ar~

j,~rl;}atio'1:?) :,"y·;';t~!\1:' to It;'5::'.~r, :!.s;::?n:1!?.''1;c,?, va~ia~i.lity, ~n0 J~VQ~~P 0io~?n~t~c ~ngL(l~ering to

2G. ~'h2 ;tt~i~"'2Gt Jl th? o~j~ctiv~ of ~~Iyimiz~ng tha iCQnomi;

:;f'\Q:"OCi;i;l :J,J ...lf;:;:r<;'? 01 th.0 po,:,v.!.: t i o n is critically inter-rel?-lied

to javalJpffi!nts In ~xtra-Afrlcan ~arKets~ This is S~ as long as africa r2~ains as J2rt Qf z f,i;hly ~n~erdepende't ~orld. World 1nf13tian and rec~s~iJn co~ld afflict sm~ll econe~iQs with int~n­

sitia~ tnat ~~0 unhearaola ~nd cou~d e~sili thro~ th~ir develop- ment "Q,r:'~ntu'~ o ct (~f .J~::;r~ Tn.U3 :'1f'\'~ of thp ,11.~jo:r- c ov c e r-n s of tha AfriC3n ~9910n lS the a~i3~a~C? ?f 0h unjust intornational economic crd0r :i5 r~ ~~d~ i t s a~k~ard position in tha inter"a- tional di~lsion 01 l~)our ~nd distributlcn of ~orld~s weaitrl. If tna ~ag~on 4ill cor'tilue to ~~ avar-decendent On axtern~l markets in a South-\orth fr~n.wor~ with gro~ing do~ination oy developed c o unt r a a s thro\.igh ,ii\t:i;!'r-~li~t t r a n s r et Lon s L c o e o o r st t o o and

m~nopoli5tic t€c~nol~]y ~~r~ets; i f ths perve~se int~rnatio"al

financial anj monQt~ry arr2nga~ents w?r~ to co~tinua in an in-' cr.asin;ll prLv~tiz~j s/sta~; if tha interest r~tes rem~in 9xor- citent anj 2~~h~~;e rates v~1~ti19, i f th~ dt~riorating trends in ald modaliti.s ard q~ality p~rslst, than the ~rospgcts for the inflow of foreign rzsourc~s to Afric~ ~ill ~e ol:iak in tha 1~90s

and t~e axisttn9 sonbre sltw~tion wlll get sven wor~e. T~Q cnan- Cas for ~frica's recov~ry and 5taoili~y during the rQst of the deceda ~~ulo 08 in sarious jaoperdy. Such ~ill D0co~e the c~al­

len?e fQ th~ 19)C~s.

Zl~ Th~ ~C\J2~~iu~~d ~)C~~-d~Q~om~c ~truci~l-iS of t~e Af~lcan countri~s ~ft~r ~ore t~3n tbrae decades ~t ~olitical indeoandencQ while othar j~Yelo~~;~; CJwntries h~Ji p~ogr35se1 far in ~conQmic

developmant 1$ ~ sarious caUS9 for cons~rn. T~~ colonial

hQrit~]e of small ~nd tiny states hardly capable of meeting the challangas of develooment m3kQ ~ost of the econom1as virtu311y

~n~i~Dl~ ~ntities ~nd void of the nec~s5ary dy~a~i5m and momentum

f~r the ~~=.55a~y t~~e-off. Thi~ 631kanization lad to a host of

unsurmou~tablQ proole8s in tn~ course of j~vQIQprnent and would indeej continue to fru;tr3t@ the ~ffo~t$ of many countries to

~3ke si~nifican~ Dr2aKt~~ouhs tOw~rd6 ~ny ~uture genuine dsvelopmqnt. I~di9a, iQlf-sust?1n2n; dev91oo~$nt cannot Oe adequately a:hiav~d ~i~hin confiflis of s~all 3nd frQ~mQ"tQd

markats. Tna opportunities offeraj by economies ) f scale ar.

non-~xist&nt in most of th~ffi, except for th~ faw ~i,h jominant growth factors such as oil or a r~latlVgly diversif1ed industrial basa. Tha existence of imoerf@ct structures in finance and tech- nology c~n hardly ~rJvidG t~e basle j.nQr~diants for dynamic ex-

panSl~n. J0der the cir·c~m~tances, it 15 difficult for ~any

countries in th~ rR;ion to satisfactorily meet the long-term

(11)

d~viloome~t Obj@Ctl~?S \~ P8rtic~,13r food ~~cul~iti and fuo~

se11-sufflclency~ T02 100d problem has bG?~ IJng i~ Afric~ ano has r9cantly ba~n aX6cerb?tad to unsusta1na~le levels du~ to 1he

.a:T1a r9a nee 0f @xt ~r rid1 y "".:.. t o (,tii v.in o~,.# ...r.;;.1~t r .).l. ~ ~ l ~Y.)

,'J

t ;i.i2- capacit~es of i:-ldlVi~U31 Afri~2n countries. Therefore, nne ~f tne co"cerns 01 ~ev~lop~2~t in the ra~j.on is to fost@r AC00Jmic cooperation and integr~ti)r in order to collac~ivaly 1VerComQ the development impasse f~cinJ t~e reQion ~s a whol» ~y stren~th.ninQ

and ou~ljing u~ ~he ins1itution~1 capacities nacessary {or ~n­

h~ncing the efforts of ~he establishm2nt of tn2 Africar\ Com~on

Market a~ the priorlty of the first JrJar. TOMards that ~ndr i t is n~ces3ary to snt1anca the facilit~tl0n and exp~"sion of ~ntra­

African tr2ld9 ~~ lev21s that ~Julo ensura that more than two- thirds of tAe re9ion's total in goods a~d s~rviees are traded witnin thr ra~ion. MJst urgently need~d in t~is dirQcti0~ ~~ +~?

davelopmant of an integratad tran5ao~t a~d t81ecom~unlc ~1'~1' S\'S- tem for tha physic~l int~'gration of the cont~nant ~ith e view to fostering 9ffect~ve ~~operatlon among ~frican countri~s in order to 3cni~ve self-s~$t~1rg 6conomic developm2nt through the

davalopm~nt of intrs-~1~ic~n trace to fr~& th~ movement of

resourC9S~ f3ctors* 3nd P00pl~~

22. Furtherm,re, thi na~ @laments th~t

Africa and undermine the ppssibilit19S of tion of the goals of the LFA 1n the 19905 and decisive t~ctor$:

ar~ likely to conf~ont

the s~c:Qssful r~$lizc­

r913t~ to t~o important

~) it has bein d0scr~D0d by many that the 19305 is the

dac~d~ of int0t:se pr~lectior,ism. No dOUDt the emer-

Q~nCQ ~f E~r ~~ nn i~t9gret9d economi~ entity )y ~arly

13iO'5 hBS already Dy now lnducad and propelled •• ny

d~valop~~ and cavaloPlng cou~tries into ra~ionalized

bloc economies with flerce comp.tion in cJmmojity

marK~tSf fil'anc~ and ta=hnology:

i i ) according ta ~orld foracasts that ~hil~ the 1980s was c n a r-a c ..t.~rizc-1d by r e s cu rc s shorti:2995, the 19905 is in- dead going tc ~a the Je~joa of rasource ,ru~ch given tha vctaJity of exchange r~te regi~es, tr21€ wars~

state of fl~x c!1~rBct6~i2i~; thg fi~anc~31 ~ark~ts, and tn. ind~ility of ind~st~ial~z~d countri~s to coordinate fis;a: anO ~onat~ry policl~§~

23. Indeed, any new tormult,tion of davalopment aopro9chas should b9 grounded on t~e practL(al eXP9ri.~C3 of the raalls1ic factors that infiuan:e davelJomznt. That ~5 not t~ say th~t th~ LP~ is incapaole of .hR~ing tn. ~fr1can future course of dlvelopment or the obj3ctiva5 3r& 0~bitiou~ but ~ath~r that there are certain areas ~hi:h wera ~Qt aaellate!y snticipa1ed oeforeJ and have now

t~rnad t~ De t1r v~ry facto~~ that h~d div9rted the pl~nned

course of develoP~8nt in ttte African reJi0no

(12)

24. Such B need was ~efl.cted in the. concern that led to the adoption of a five-Ye~~ Medium-t~rm programm. of action (APPER) to reve~Sa drastically the unsustainsola s1tuBt1on that had g~own

unabated since the 1nception of tha L?A and to establish a process of recovery that would provide an impetus for the realization of the Objectives 1n the lony run. Tne programme has redefined the priorities ana established tha mechanism as the

necassa~y set of targets and waasuras for its sucressful im- plamentat10n. This hes been follo~ed by ca~afully j9si~neo ad- justment programmes to ~ectify domestic and external imbalances.

In this context, structural adjustment pro~r~mme5 have assumed

p~ominence in r3conciling the requirements of short-term manage- ment with those of medium-, and lon9-t~rm development objectives.

Once again, indications from ~ecent developments in the region point to the unlikely achievement of the short-and medium-term objectives and hence the sJstai"ment of .~ow~n ov.r the lon9-~un.

The continuation of such an unacciPtable sitU3tlon is ~ cause for alarm and -j~~ld indeed requi~e ~n intensive diagnosis and suo-

tle~ ~nalysis of the causes Bnd the .pprOD~i.t. solutions that would enhance the capacity of the ~.g1on to ~xpal\d and g~ow.

25. From the c~itical exam1n~t10n of the facto~5 th~t had led to the widespread malaise in the re~ion in the 198~s , two facto~s

feature p~omin.ntly. Firs;, the over.ll econom1C developm.nt in

Af~1ca has tluctuatod directly ~ith the weatnBr conditions and ather natural calamities. The s~cond ~el.tes ~a the effects of international environment and thd ove~~nelmin~ vulnerability of the African economies. It is thase tlliO questions that should set the basis for the totdl ra-e:,aminatian of the prospects of Africa·s fut~re path and servo as a gUideline to tha formulation of a ~orkable st~ate9i to the ~est of the century.

26. Afri=a. being the mo~t und€rdevalopej continent. has no douot undersco~ea the impQ~tanc~ that development in the reJion would proceed faster along l1nes well mapped in advance. To that ond, long-term development plans and medium-te~m strate9i~s we~9

designed to fully direct the course of d9v~lopment to tne rest of the century and beyond. These plans and prog~amm.s constitute the cor. of the concept of development in the region and as such they were continuousll translated 1n the forffiul~tion of national development plans, as well as fo~ p~ov1ding the guid~ng theme fo~

the formulation of suer.gianal Bnd regional s.cto~.l glans of ~c­

tion, secto~al development decad.s, ano creation of pref.~.ntial

trade area and economic development com~unities.

27. The regional namely:

basic them. of development as has ba.n laid down in the strategies centres arouno th~e? ba$ic obj~ctivQSf

10

(13)

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(14)

o om ar t i c ;::l:~~~ ._ t "..,~),: ~'"~ ~ c, ~~i t r \ " ',~O di"'\(1 h~~C'),s;.. ary lS

a dav.lo~m.nt oat tern that generates aynam sm fr •• uit~in and iMternalize o~vGlocm2r't~ Thus is the lm~erat va of the third aD-

jective of tha LP~ na~ely the atta2nm@nt of the fJl1 re91~nal

col19ctivd self-rallanc0a The grJunds a~e many. ~irst, dav~lop­

mwnt will pr0cQed t 3 s t e r by pooling rBSOUC&S for commOn o$velop- ment and by cr2atlng the requ1rGd complementary base for the fuller and s:)Q~di ut~li:atlon of resources, and j@condly i t ~ill

free the African countries from th0 U~dua and eXC3SSIve dep~n­

dence on nostile .xt.rnal .nV1ronment.

2~. The overall abj@ctlve of re~~onai lnt~gr6t~on irl the 10ng-

t~rrn devalooment p~rspectivBS would, thus, re~ain on the whole different frJm the orthoDOX fashion 01 ~aximization of the benefits on p~r~ ~conomic grou~ds. In ~f~ica ~t should oe seen as the last resort to 2chieve lasting structural change ~hera ath~r

ma a rs a have f~iled in 'ti12 -i':;h~... ,;,;f grO;,i.:l(]d o xt e rr.eI ..Jl'\cert,3inttQS ...

In this context. the ultimate strate~y shoJld become fostering social and <;fconomic 1nt<>,iration of t"" c o nt a n ent , !n th.short and medi~m-terffi the strategy should aim at the strengthenin9 and the creation of sub-rvgional and rBgion~l coo~e~3tiQn structures with solid arrengemBnts in the spheres of production, technology and finance. within th" context of ~chiQving the objectives of UNPAA2RO at tne country lsvel; and in tne long-run the 9stablish- ment of the African Gemmon MBrk~t and the eventual craation of the Great African Community.

30. The central thema of the stratG9Y ihould become the reversal of the declining product1vity trands th? main cause deDilitating the capacity of the African econo~i~5 to optimize ta:nnalo9Y that is essential tor increases in labour ~roductivity. It is not the Quest10n of th~ rste at which investment sh~uld .xpand ~r the lack of capital p~r 5$ but rath~r tne mlx Jf indigenous capital in the form 01 h~man dexarlty anO natural r9S0urces that is ~ost

crucial for determining the c~ursa of the process af transfor~a­

tion. Indaed, a self-propelllng ana a 5elf-s~staining process of growth and dav~lopment is d legitima~e outc~me ot the proper ~nd

healthy int~r~ction of three factors, namely po~ulatlon, resour- ces and anvironm~nt with a strong support ~f Bn ~nablin9 factor to facilitate the fr~e mobility of f~ctors of prJcuction and

resourc~s and a sustain~n9 fac~Dr in tha form of t~chnologlcal dev~lopm9nt that deepens and conserves dev~lQomant to ach~eve

lasting structural cndnga~ To that en~, ~hQ strategy should as a first prior1ty emphas1ia structural improvements in supply capacity as the most r~leva"t factor for 5PI~rheading healthy growth in the lon9-r~n. ~OW8Vert this should not under~ine ~h9

efficacy of demand m~nagement as vltal Instru~ents for tna s~oth

funct10ning of th. economy to Qlr1Jdicaily adjust to i~bal.nces

in the short-term und restorisng stable growtn Ln the medium-ter~

12

(15)

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