mm Wm ECA-MRAG

ECA/MRAG/95/17/MR

ECA-MRAG

ECA Multidisciplinary Regional Advisory Group

ECA/PAID Programme Document on Enhancing the Capacity to Manage

Self-Reliance and Sustainable Development In Africa

M. J. BalogunBy Senior Regional Adviser

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Addis Ababa

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ECA/MRAG/95/17/MR

TABLE OP COHTENTS

Introduction 1

PART I: SCOPE AND MAGNITUDE OF AFRICA'S

DEVELOPMENT CRISIS 3

PART II: PRIORITIES IN SELF-RELIANCE AND

SUSTAINABLE DEVELOPMENT 13

PART III: PROGRAMME ON SELF-RELIANCE AND

SUSTAINABLE DEVELOPMENT: MAIN THRUSTS ... 23

PART IV: DEVELOPMENT AND IMMEDIATE OBJECTIVES .... 26

PART V: PROGRAMME ACTIVITIES AND OUTPUTS 28

PART VI: PROGRAMME COST ESTIMATES 43

PART VII; PRECONDITIONS FOR SUCCESSFUL

IMPLEMENTATION OF PROGRAMME 49

ECA/MRAG/95/17/MR

Eraguma&_£ii&: PAX0, ECA, »*

5 years

State,

Development)

, and commonwealth secretariat

oeVeloP.ent

January

tin - Local currency equivalent of - cogence facilities an,

expertise, data, etc.

fi»PP°rt:

(in cash) - US$2,8S9,000

(in Kind) - Equipment and research support

ECA/MRAG/95/17/MR

a. 19.0. "»» ~»y «'"« "»»"! ***>•"

==

values, institutions and practices /«»

"^- to those societies classified as under-developed.

and collective self-reliance. Ms is eh..

1^«« out clearly in the Monrovia strategy <»»>

Plan of action fl980^ the Final Act of Lagos, and tbe i

Alternative Frameyor* to Structural Adjustment Programs fAAF

ECA/MRAG/95/17/MR Page 2

3. ^ t. P f r

i. the ^"-ntS^XrL See^ to hfve received little

*no*n - reduced ^""""J; r^i social unrest, and

^ ^ ^ ^ structur ^

to assess. While We a tunnei, the record of

light at the end of the^ long, d ^.^^ pr£)jectlon.

achievements to-date ^/^f^Jth of economies in other

i ntrast »*££ ^ ^/^f^Jth of economies ^ Xndeed, in contrast »*££ ^developed mar.et econo^es

regions of tne *orld Jl-rtxeol-^' ^ ^ ^^ ^ or astern Europe, Ja^' ^"^^ ^^mu. Xf the present

econom.es ǥȣ* ^ contineJlt wliJ reach the

than they were a century or two before.

4. It is precise, this

of self-reliance and sustainable

crisis as well as the e***™1 managei«nt and crisis. It then focuses in^JJ; J£ and sustainable ^JJ; J£ and sustai

-—

_i

Ji^L the gramme, its

The justice

*>"»-"> ifZl Jthe tUet Tneficiaries are discussed in development, as well as the ** immediate objectives-are

Part III- The programme's strategic ana

ECA/MRAG/95/17/MR Page 3

articulated in Part XV. Xn

strategy.and ^ti ^

specifies t,e aethod to J

Part VX presents a budget cover^

also undertakes an analysis of exploring external —^£

VII) focuses on t.e of the prc-graaae at

implementation activities

oneTnother. Xt also

specific outputs,

life span- «

uccessf«l i.pl

and regional levels

6. At no time is a project Mnage policies and

development in Afraca continent is faced

tc»

than today the

fronts -

! the resources

rate.

rBIative abundance to abject P™*J {Fom pertaining

economic *ac*vardness d,d «**«*• ^ their ^ern-ents took the hope of a prosperous *«**••* ^ fcheir contiBent was not solace in the then widespread ^' »«* ^^ Qf

alOne in the struggle for economic gr~tt. >J

Xiving, eguitaMe --ri.ut.on - I—, ^J ^

socio-political order. A* ° ,,deveioping-, -transitional- or

■«'«■■ "0

—

jbetter

ECA/MRAG/95/17/MR

Page 4

8. That is now all in the past. The dream of an Africa marching from poverty to affluence was dreamt in the final hours of colonial rule and at the dawn of independence. By the late 1970s, this

dream had turned into a nightmare. Today, the cumulative effects of inappropriate policies and, in some cases, acts of God, are noticeable in practically every sphere of life - balance of payments difficulties in widening current account and budget deficits, increasing debt-service obligations, the decline of the welfare state and the consequent reduction in social services and infrastructural expenditure, growing unemployment, rising cost of living, steady decay of public service institutions and values, increasing rate of social mobilization and breakdown of law and order. Africa's socio-economic crisis has been confounded by natural disasters such as droughts, desertification and soil

erosion, and by human assaults on the ecosystems.

Magnitude of Crisis

9. For a brief period - certainly up to the end of the 1960s and the beginning of the 1970s - Africa rightly earned the appellation of a "developing" region. Threats of stagnation became noticeable after the oil shock of 1973. Table 1 below presents a graphic picture of Africa's economic growth and decline from 1965 to 1986.

According to the table, sub-Saharan Africa recorded an annual GDP growth rate of 6.4 per cent and per capita GDP of US$560 between 1965 and 1973 - a performance which is comparable to that of other developing regions and more impressive than that of South Asia.

After 1973, the picture changed dramatically. In contrast to the growth trends in the rest of the world, sub-Saharan Africa's GDP growth rates assumed a down-ward slide from the early 1980s. With the exception of 1985 when a rate of 2.2 per cent was recorded, Africa's economic performance during the decade - the "lost decade"

- was at best, lack-lustre, at worst, negative. The achievement in the first three years of the 1990s points to a continuation of the

ECA/MRAG/95/17/HR Page 5

^ * *h« 1980s

discouraging trend of the 1980s

r

's estimates of developing

cent*

3.5 per cent i

for 1990 and 2.2 for 1993

to

Zrail of * per cent;, recover the

the rate ^ oJbIigations, and.

at a rate not lower than 6 per cent.

-

of the then high-performing ^-sr. Cameroon and

of these economies manifested themselves. _._

12 structural and institutional rigidities are, indeed, &» tan*

12' &crucH" result of the economies' of the African economies. As a result ° ■ _ ■

ECA/MRAG/95/17/ftR Page 6

inid-2986.

estimated that the average dollar imports of ^-tured goods in the

r

is

-JTy costly machinery and eguipment

.here capital goods ,ere imported ror ^lop»e,t -re .ever ta.e, to develop «- i-^-u- «

i . result; ^TcT^shad to pay huge

imports-, i.e. turkey projects, ne»

^agement of the projects, and the replacement of

technology, ra.les i. 2 «* 3 present fairly recent

^on

ECA/HRAG/95/17/MR Page 7

external trade, balance of payments, and external de»t front,,

respectively.

Table l; , rirfftrnnl Tr-** rnrtaiton

(percentage change)

value Volume Unit Value

imoorts

Value Volume Unit Value

Terms of trade

purchasing power of exports Share in world exports

10.7 8.0 2.5

5.0 5.1 -0.1

2.6 10.8 2.1

31.0 17.3 11.7

25.8 15.2 9.2

2.3 20.0 2.4

-5.8 7.0 -12.0

•1.1 1.4

■2.5

■9.7 -3.4 2.2

-6.1 -6.2 0.1

6.9 3.6 3.2

-3.0 -9.0 2.0

ECA secretariat

ECA/MRAG/95/17/MR Page 8

Table 2: Balance of Payments. 1989-1992 ($billion)

Exports Imports

Trade balance Services (net)

Unrequited transfers - Official

- Private Current Account

Capital flows & errors Overall balance

Change in reserves and use of resources (+/-)

Financing

1989

60 67 -7 -18 26 12 14 1 3 4

-2 2

.7 .8 .1 .8 .9 .2 .7 .0 .7 .7

.1 .6

1990

75.

75.

0.

-19.

27.

. 10.

16.

8.

-12.

-4.

-9.

-13.

8 7 1 8 7 9 8 0 1 1

0 1

1991

72.

74.

-1.

-19.

27.

11.

16.

6.

-5.

0.

-4.

-3.

4 1 7 7 8 5 3 4 8 6

4 8

1992

70.8 81.0 -10.2 -18.7 24.7 11.2 13.5 -4.2 -7.1 -12.3

4.4 -6.9

Source: ECA secretariat

ECA/MRAG/95/17/MR Page 9

281-0 118.9 162.1 278.8

121.5 157.3 268.3

128-2 140.1 Developing Africa

North Africa

Sub-Saharan Africa

frf; ffjf ^ Developing Africa North Africa

SSA

Pfrtfftff '*> ffnii* te GDP

94.6 81.8 106.9 93.8

90.9 96.6

Developing Africa North Africa SSA

pfffrfr tn Gcr^ff ft gj*rvicga

255.9 208.0 303.6 265.3

220.2 312.3 260.8

228.8 292.4 314.2

304.5 323.6

Developing Africa North Africa

SSA

pgfrfc sefryjce tff goods k 7fin'11Tftff Exrts

25.8 30.9 20.0

28.3 1 25.8 34.7 31.6

22.2 ! 20.2

Developing Africa North Africa

SSA

ECA secretariat (a) - Prelim, estimates.

ECA/MRAG/95/17/MR Page 10

uncial Dimension

15 The decline in Africa's economic performance has triggered off a major social and human development crisis. Subsequent to the reduced inflow of resources, a number of African countries were obliged to introduce stringent austerity measures. Thus, at the instance of the IMF and with the support of the World Bank, these countries implemented structural adjustment programmes (SAFs) the

main elements of which are reduction in the size of the public

sector, reduction in public expenditure, imposition of curbs on monetary and credit expansion, withdrawal of subsidies and statutory transfers, elimination of price controls, privatization

of state-owned enterprises, and devaluation of currency.

16. The combination of the fiscal, monetary, policy and

institutional measures (introduced under structural adjustment

prograM.es; adversely affected the quality of social services and

the standard of living of the people. In specific terms, the

public sector aspect* of the reform programme resulted in mass retrenchments - with no guarantee that the equally besieged private

sector would be able to absorb the swelling ranks of the unemployed. The reduction in public expenditure - particularly, social services expenditure - resulted in the progressive decline in the quality of services suck as education, law enforcement, environmental sanitation/conservation, health and medical care, transportation, and water supply-

17. credit restrictions have raised the cost of transactions on

the capital market. The frequent currency devaluations have, by

leading to instability on the foreign exchange market, eroded the investors' confidence. When the inflationary effect of devaluation on domestic price levels is considered along with the excruciating impact of the withdrawal of subsidies and price controls, one Jbegins to see the fuels for a major social conflagration.

ECA/MRAG/95/17/HR Page 11

^* c+mrtural adjustment, the

l.. mm argued by the advocates of «™£Zy to rectify tne

_y

short-tera Baconian —«" « ~^ likg tbe surgerieS

structural i^aIanceS In each economy. ^^ the

condition of most of the p versial lssue. The

structUral -*-*T^™ are ^ -e scope of tM. exercise.

it ^ ^fU/r I the i,creaSina rates of social

governance „ ^ J

collapse of civil society

=

„. faced *I«, the resource constraints and the ?

Z systems, policy-makers Have been pressurized i

ECA/M^AG/95/17/MR Page 12

plant and marine life, ozone depletion, de-forestation and the

reduction in bio-diversity) have been conveniently overlooked,

import restrictions on cheap, but energy-guzzling and environmentally hostile second-hand motor-vehicles have been lifted or eased. Above all, little is done to revive or promote

indigenous, environmentally friendly and foreign-exchange conserving initiatives in areas such as food and agriculture,

herbal medicine, textiles and garments manufacture, pottery and

ceramics, leather and hides refinement, and metal fabrication.

TlW ""Y forward

20.

.„. Africa's ability to find answers in the short-term, to its structural problems, and in the long-run, to the challenges of self-sustained and sustainable development, hinges on how it approaches the most deadly crisis - that of supply and demand. The logic is simple yet most frequently mis-understood in the

development policy equation. The region's growing indebtedness, as everyone acknowledges, is attributable to the persistent failure

to produce, at the right price, time and place, what the rest of

the world wants. Coupled with this contempt for the global

consumer market is Africa's tendency to enter the supply market blind-folded. in both senses, it is a captive of external

conditions.

21. While it is generally believed that the way out of the crisis lies in self-reliance - especially, national and regional,

collective self-reliance - there is as yet no clear guide on how to embark on this difficult journey. The most authoritative source on

the subject to-date is the Lagos Plan of Action (1980) and the

first attempt to translate the LPA's precepts into policy and

programmatic language is the African Alternative Framework to

Structural Adjustment Programmes (AAF-SAP). Neither the LPA nor

AAF-SAP seemed to have succeeded in accelerating the movement

for

ECA/HRAG/95/17/MR Page X3

that aatter, sustainable

leaders' pledge to, aaong til*.'

review investnent ^f

„.,

assessment of the per/orMnce o new indicators of development.

prOBOte

SUSTAINABLE

ECA/MRAG/95/17/MR Page 14

This raises questions of

of self-reliance and sustainable development

Pf.fi nn-.ion of Terms

' and •sustainaJble development'

in economic and political decision-making

ECA/MRAG/95/17/MR 15

*—-

rlJ1, ::n««.io» - —«.

pursuits;

generation;

— -

developaent schemes

-**«, d«finition provides the litmus test of self-

„. It the P™?^™1"^ lve the various ^rican countries ^ lve the various ^rican co JZ- nee, to * introduced to -Me-

*aMiyses

ECA/MRAG/95/17/MR Page 16

*.^ 7 f- i-a 7 iant and sustainai>le

Africa's record in ia-pleaentany self-relaant ana

policies leaves auch to be desired.

r.ttor

comprehensive

t * *°,~ ,= reflected in the disproportionate amount of spectacular " J^0^. and techJlolo*y-i«tensiVe projects

resoarCethgge in the fiBlds of telecommunications, data processing,

and civil aviation.

ECA/MRAG/95/17/MR Page 17

30. Klite-oriented project, continue ,o *.

coaaunity-sponsored activities largely I-*-.

approach to d^Ic^ planning — '"^T lt

7^ prises ^accepted

the aajor, if aot the only, tool of "m

of excessive ce.trali.atic, of ad^inistrat^e

participation are no. familiar jargons ,n the discourse

^velopBent. yet, the Journey tovards sustaina^lity (« ter»s of

ao-Jty "ownership" of TO«— and projects; "<£>£££

_{pace «1W.} By and large, development schemes area still

^^L ndition for —al

^^L*e fiat or <mposed a. a condition for /^

assistance. As a result the local grass-root support that

:;;:":r; *»-.' *— ^^^»—°

lacking.

S2. vev.lop.ent essentially entails bearing soxe costs in expectation of certain benefits. However, in vw of the

overwhelming bias for elite-oriented projects and basic needs, and considering the price-distorting

excessive centralization of decision-making referred to earlier at

"not L^ely that a fe* reap the fruits of development leaving

the masses to pay the costs.

ECA/MRAG/95/17/MR Page 18

33. In particular, the costs of structural adjustment programs

fall Heavily on the *«* and poor sections of society -woven

children, those on fixe* income, « -« - ««" f° j"" "

i*cO*e - sinply because they nave no jot,. The cost, <*«

pollution and toxic wastes dumping are passed by a few

owners as externalities to be accounted for by society as a whole A formula is yet to be worked out to charge environmental costs to company accounts and plough back the resources into employment-

generating environmental clean-up or conservation programme.

r,,Ifnre aijfl Tnt-ellectnal

34. Development most frequently necessitates aspiring towards new

goals and abandoning some of the ways of the ancestors. All the same, the need for innovation should not be taken as a licence to disparage a -developing- people's culture and devalue their

-native- intelligence.. One tragic error committed in the previous

efforts to -develop-' Africa is Co take a unilinear view of the exercise - i.e. *y assuming that the path follo,ed by the industrialized societies of the west must necessarily be trodden by

the new nations seeking modernity.

35 The experience ot Japan and the Newly industrialized countries (especially Taiwan. Hong Kong, Singapore and South Korea;

underscores the fact that a high degree of cultural and intellectual autonomy is a prerequisite for the sustainabHity of a development paradigm or strategy. A people lacking in collective

^elf-confidence may -import- development and all the gadgets needed to **• it work, but it will be unable to fit the pieces together

and make them work for its own benefit.

ECA/MHAG/95/17/MR Page 19

Transfer

36. A development scheme can still be sustainable even if it originates from external source,. However, it '™**aU£

another condition - i.e. it should ensure that the skills for executing/managing, and for replicating or up-grading it, are not

Bsamax^ ^yond the reach of the recipients. »*«*»"££

this is one condition which many a development project has found difficult, if not impossible, to meet. The result is that the survival of many donor-assisted projects too often depends on the continued retention of foreign experts and the setting aside of

scarce foreign exchange for their remuneration.

37 xt is difficult to say whether the failure of -technology transfer" arrangements is by accident or design. Empirical studies have, nonetheless, revealed that in negotiating technical assistance agreements, the essential steps to follow in ensuring r,K.»tiv« technology transfer are seldom sp.it -«t in detail.

Even where the donor,- appear willing to transfer new technology the recipients rarely follow-up the offer with adequate institutional and managerial support. Either the implementing agency is not established or it is not properly staffed. The so- called counterpart arrangements have also not worked in a satisfactory way as the local counterparts tend to be moved out to other jobs, frustrated by lack of incentives, or discouraged from

trying out new ideas.

to

38 Development becomes truly sustainable where, every citizen xr

challenged to give of his/her best in any chosen field. In such a

situation the burden of, or the responsibility for, the survive,

and grovth of the economy is eMim&l&sUQZUz accepted by all the

actors.

ECA/%RAG/95/17/HR Page 20

39 For some curious reasons, neither the public nor the private factor in Africa has evolve* a strategy aimed at galvanizing and activating the continent's reservoir ox hunan resources for productivity and wealth creation. The public sector is particularly notorious for systematically violating the principles

of merit and for picking medicares in preference to genuine

achievers.

40. It must also be noted that as a result of the deepening socio- economic crisis, pay levels have lagged terribly behind the cost of living. This has encouraged moon-lighting, divided loyalty and

other ethical violations.

41 A stagnant economy is not a sustainable one - at least, not froa the point of view of the tae.ii* population of unemployed, underemployed or laid off persons. Unemployment has indeed become a major socio-economic, and political issue in Africa. A decade or so ago, the problem was what to do with the swelling ranks 01 unemployed secondary school leavers. The net has widened in recenr.

gears to include university graduates.

42 Perhaps with the new emphasis on the enhancement of entrepreneurial capacity in the formal and informal private sector a credible solution *L11 be found to the problem of unemployment.

Pffyprty flJJayration

43 While no economy has succeeded in completely eradicating poverty, a genuinely developed one will, at least, attempt cosine capital accumulation with equity and redistr^ut.v;

elective.. With particular reference to Africa, poverty is ar

is;,:a which require urgent attention. This is reflected m t«

ECA/MRAG/95/17/lffi Page 21

only

and telecommunications services, and police protection, essential areas not covered *y the HID rnde*.

anti-social behaviour

45 rindincr the financial resources to tac*le the

S2§

SC«e«es, the decisive factor is the cash flow. J

, pointed out in Part X, «rle.'- major headache in recent

sC to maintain a constant «« «T develop-ent resource^

to maintain a constant

ECA/MRAG/95/17/MR Page 22

development policies.

flid Kill not be averted fro* Africa si»ply «

4,. » any case, aid Kill «* ^^ oflly at the stage of

tents It g

4,. » any ^^ oflly at the stg

the basis of commitments. It g indicates that the

i « ~»- "^

ⁱⁿ

h

disbursements - i-. « ~»- "^ the dolors of further reCipient .ill I—«* <*» it -d Z;^;; deBOMtrate that it is

llrtiliti-. It is "o. up to Afrxca to

It is " p

^ --if_

deserve of exter^l assistance. "£%? J^ optlon.

reliance and sustainable development xs the only

„. . an antidote to the currently ^^ £Z -

the various countr.es of Afrac « the

latent energy of ^^'^^^ sbould be enlisted in the

sector's reserve of human res transfor*ation.

fcattle for economic survival and structura

nnmntnl

costs - perhaps, risks. The

ofjhe

50. xn a ,ay, Agenda ,1 encapsulates ^st ofjhe «—«

portions on the sustainable development of he earth ^ ^

Se developing nations' ^"J^ ^y as the industrial

resources for poverty alleviation countries' environmental priorities.

,<fee all consensus documents, Agenda 21's substantive

"• HWSVer' ^ !e tesTed only ^en the purpose and intent of achieve«entS will be tested only recailed that the

specific clauses are contested. ,It sho

ECA/MRAG/95/17/lfil Page 23

z

tor a. pr~~v.«°» •* «**" ' * M o, W.«I. "■

uiiderscore equity in dovelopaent.

H4IH TBW3TS

* ^h« issues raised in the preceding S3. Talcing into account U-^J^ ^ ^icy-aalcers

analyses, this P™»»-- '*" "*^, as well as approaches to, and senior onagers to the <*»1*ma9"°*^ IB specific terms, t*e

-

of proJ&leas and po*«iMlIta«

proposed'

ECA/MRAG/95/17/MR Page 24

55. Within the limit of available resources, the programme is

expected to comprise national. sub-regional and regional components. Regardless of the level at which the programme is implemented, broadly four types of activities will be undertaken:

(i) iminiimj_jtjn.i. bj 1

ftfftr^^ti^n rrf ********<* options (this will

culminate in the preparation of national/sub- regional/regional economic recovery and sustainable development Working Papers);

(ii)

(Hi)

fat which the key issues in the

Working Papers will be brought to the attention of

policy-makers, especially those located at the presidency, ministry of finance and planning, the central bank, chambers of commerce, and secretariats of non-governmental and voluntary

development associations);

work (in the form of policy seminars

Fjft (

management workshops, institution- and capacity- building consultancies/advisory missions, and periodic evaluation of problems and achievements);

nrf ** nof/nffelliM (proceeding

from the assumption that, in the final analysis, it

is the aggregate micro-level decisions which decide the fate of macro-development plans, the project will go down to the level of the operators and propose measures to strengthen the supervision of

their activities).

ECA/MRAG/95/17/MR Page 25

just ffiyfciQ**

56. The project's 3**■

urn area and the novel

topics.

57.

n lies mainly in its coverage of a

lfl handling the various it appli

has received a lot of

„* (Of self-reliance) to sustainable

58. By lining the concept foi self ^ ^

deveiopBent (a ^HT^jrr* outages the steps to

operational defimtaoM of develc p implefflented as

in .eating new d*ll.»g- ^fc^j ffleaeuraMe i^t»

private sectors.

programme are the peoples of

ECA/MRAG/95/17/MR

Page 26

PART IV: DEVEUOPMSNT AND IMMEDIATE OBJECTIVES

flt Objective

61. The programme's strategic objective is to forge a new regional coalition dedicated to the cause of self-reliance, sustainable

development, and structural transformation. For too long, the

major initiatives for the development of the African continent have

emanated from external sources. The project's over-riding goal is

to internalize the process of development and encourage Africans from all walks of life to control their own destiny.

62. In pursuance of the development objective, the programme seeks, in the short- and medium-term, to:

1. Identify the major obstacles to self-reliance and sustainable development at the national, sub-regional and

regional levels;

2. Suggest measures (policy, institutional, managerial, etc.) to overcome the obstacles to, and enhance the prospects for, self-reliance and sustainable development;

3. sensitize the various actors (political functionaries, career administrators, private entrepreneurs, and officials of IGOs and NGOs etc.) to their individual and collective responsibilities for optimizing the benefits of policies and programmes of self-reliance and

sustainable development;

ECA/MRAG/95/17/MR Page 27

other linages ^e^een national

policies and prograiwnes;

THZSSZ

sustainable development;

*■■ of the project target groups

.. Focus the -ttentl°\0JtorthBR&D Ancles, xaos^aos.

as ethical violations;

...«—« « .^ rrr:*

ECA/MRAG/95/17/MR

Page 28

IMMEDIATE OBJECTIVE Is TO IDENTIFY TBE MAJOR OBSTACLESTO SELF- RELIANCE AND SUSTAINABLE DEVELOPMENT XT NATIONAL, SUB-REGIONAL AND REGIONAL

LEVELS.

activities (1)

1.1: Fact-finding missions to assess the progress attained towards, and the problems encountered in attaining self-reliance and sustainable development at national, sub-regional and regional levels.

[Baseline study on progress and problems in self- reliance and sustainable development.]

1.2: Data analysis 1.3: Report writing

Outputs (1)

1.1.1: National/sub-regional/Regional Economic Recovery and sustainable Development Working Paper(s). [Reports of Baseline studies.)

IMMEDIATE OBJECTIVE 2: TO SUGGEST MEASURES (POLICY, INSTITUTIONAL AND MANAGERIAL) DESIGNED TO OVERCOME OBSTACLES TO AND ENHANCE TBE PROSPECTS FOR SELF-RELIANCE AND SUSTAINABLE DEVELOPMENT.

ECA/MRAG/95/17/MR Page 29

(2)

paper)

working Paper's findings).

(2)

2 a.

" L and

fsuM.ary of the conclusaons

dialogues and /ollor-up actions)

IOCS MD

«* OJTXKXSUW

MD

ECA/MRAG/95/17/MR

Page 30

3.2: Baseline Study of the Strengths and Weaknesses of the Public Sector as an Agent of Self-Reliance and Sustainable Development; Proposals for improvement

in Performance.

3.3: Baseline Study of the Strengths and Weaknesses of the Formal Private Sector as an Agent of Self- reliance and sustainable Development: Proposals for

Improvement -

3.4: Baseline Study of the Strengths and Weakness of the

Informal Private Sector as an Agent of Self- Reliance and Sustainable Development: Proposals for

Improvement.

3.5: Baseline Study of the Strengths and Weaknesses of the Indigenous NGOs and Voluntary Development organizations: Proposals for Enhancement of their capacity for Self-reliance and sustainable

Development.

3.6: Baseline Study of the Strengths and Weaknesses of Democratically Elected Local Government as an Agent of Local self-reliance and Sustainable Development:

a Reform Proposal.

3.7: Baseline Study of the Strengths and Weaknesses of Public Enterprises: Proposals for Improvement.

3.8: Baseline Study of the strengths and weaknesses of Sub-regional IGOs: Enhancing Their Capacity for Self-reliance and Sustainable Development.

ECA/MRAG/95/17/MR Page 31

the Press to underscore

and sustainable deveiopnent;

the findings of Activity 3.2);

on

Activity 3.3

... w «

^and

^

scale Entrepreneurs Activity 3.4.

for the Board and

of Activity 3.5.

« /a, policy «i~™ and •«ri-te*- for coaflunit^

- ^ , councillors and Senior Local Governaent L - *aSed on tne findings of M^^t, S.6.

3 7 (A) perrorMnce i,proVe,ent .or.shops for tne Board and Mana^ent of Pu«io Enterprises - ^ed on the

findings of Activity 3.7.

ECA/MRAG/95/17/HR 32

3.8 (A) Policy seminars and workshops for sub-regional and Regional IGOs - based on the findings of Activity

3.8.

3(B): (Institution/Team-building Advisory Missions)

3.1 (B) Advisory Missions on the Policy imperatives of Self-reliance and sustainable Development - based

on 3.1 and 3.1 A;

3.2 (B) Advisory Missions on the Institutional and Managerial Responses of the Civil Services to the challenges of Self-reliance and sustainable Development - based on 3.2 and, 3.2 (A).

3.3 (B) Advisory Missions on enhancing the capacity of the

Private Sector for self-reliance and sustainable Development - based on 3.3 and 3.3(A).

3.4 (B) Advisory Missions on enhancing the capacity of indigenous small- and Medium-scale Businesses for self-reliance and sustainable Development - based

on 3.4 and 3.4(A).

3.5 (B) Advisory Missions on enhancing the capacity of indigenous NGOs and VDOs for self-reliance and sustainable Development - based on 3.5 and 3.5(a).

3.6 (B) Advisory Missions on Enhancing the capacity of Local Government for self-reliance and Sustainable Development - based on 3.6 and 3.6(A).

ECA/MRAG/95/17/MR Page 33

,„ —, — - 'Tu'£JZT'

region - *«*•* *» 3-8 and

r^i-pnts (3)

3mlml. search sports fbased on Activities 3.1

3.8).

(Jbased Oil Activities 9.1A - 3.8A;.

Mi-ion reports and foundations fbased on

Activities 3.IB - 3.sb;.

TBS XBCBSSAKT FISCAL,

mid supra- POLICIBS AMD PSOGSMOOS

Missions

Advisory Missions to Member-States of IGO* on

Feasibility of Establishing Ministries/Depart,

of Regional Cooperation at National level

among other tnings, serve as institutional focal

point for intra-African cooperation, enhance

ECA/MRAG/95/17/MR Page 34

market accessibility of States, and optimize the benefits of their participation in integration schemes).

4.2: Advisory Missions on coordination of National Programmes and Policies in support of the Abuja Treaty.

4.3: Advisory Missions on Cross-border Trade in Agricultural commodities (including infrastructural, customs and payments arrangements)•

4.4: Advisory Missions on the Harmonization of Sectoral Policies and Programmes (Food and Agriculture, Environment, Transport, Energy, External Debt, Trade, Customs, Money and Payments).

4.5: Advisory Mission on a concentric (National/sub- regional /Regional/South-South/Global) Approach to Market Accessibility.

Activities 4 (A) Seminars and Workshops

4.1 (A) Seminars on the coordination of National Policies and Programmes in support of the Abuja Treaty (for Public and Private Sectors).

4.2 (A) Seminars on cross-border Trade in Agricultural commodities.

4.3 (A) Workshops on a Concentric Approval to Global Market Accessibility.

(*

ECA/MRAG/95/17/MR Page 35

rr:

Manufacturing Markets

of

Cooperation).

of N-tion-1 Missis «eports on

Policies and Programmes in support of the

Treaty.

on Cross-Jborder Trade 4 # ^. 3 Mission

Agricultural coaaodities.

4#1.4 Mission report on Harmonization of sectoral

policies aiid Programmes.

4-I.5 Mission Reports on a concentric approach to HarKet

Accessibility.

4 11 (A) sports and seco^dations of Seminars on

cJortination or national Policies . Programmes in

support of Abuja Treaty.

412(A) seminar Reports * Kecoi^ndations on croSs-*order

Trade in Agricultural commodities.

ECA/MRAG/95/17/MR Page 36

4.1.3 (A) workshop Reports a Recommendations on * Congtrtric

Approach to Global Harket Accessibility.

4.1.4 (A) Workshop Reports U Recommendations on Enhancement

of National/Regional capacity to Access World Commodity and Manufacturing Markets.

OBJECTIVE 5: TO PROPOSE MEASURES AXMMD AT BARBESSXWG

MD RATIONALLY IXVESTIWG/*A*ACI*G EXTERNAL AMD DOMESTIC RESOURCES AND CONSOLIDATING THE GAIBS OF SELF-RELIAHCE AND SUSTAINABLE DBVEWPHEBT.

_£.• Research and Data Gathering

Feasibility study on the Establishment of a Social

■ security and Poverty Alleviation Fund Operating at Local community and National Levels.

5 2' Feasibility Study on introduction of cost Recovery Plans and user charges in the Management of infrastructural Facilities (Highways, Housing, Water Supply and Electricity, Sewage Disposal and Environmental clear-up Operations).

5m3; A Critical Review of Traditional and New Sources of Revenues (Toll gate collections, airport fees and charges, value added tax, national recovery/reconstruction levies, community

development levies, etc.) 5.1:

page 37

rv:■':

5.4: Baseline Study of Public Investment Programmes and

Proposals for Rationalization._^ ^

5 5- Accounting .for and, f*«tion«lly ; investing

t, Revenue; A critical iea.ie.. >nd *ropo«l

5.6: Maximizing the potential contributions of" the

■■'.:Urlama^nxport-JMpart._J>rt<tor_**9}&»l Economic

integration and cooperation- vv> ... _,

5 7 Feasibility study on the Replication of the Ugandan

Model of Revenue uobilizaiotn and Management iio?« ^through the Revenue Authority). ,^L.:.::_:,:_

5A.- Seminars and WorkBbope

5 2 a- seminars on the BstaMishwnt and Managewsnt of

-- i^ Social .security and Poverty Alleviation WndJJ^

• - managers of social and poverty relict servicesj -

based onr-S.l

5 2 Ai seainars on the mtroduction/Manage«ent of Cost Recovery Wans and user charges (*or wnagers of infrastructural facilities) - based on 5.2.

s 3 a- Seminars on the Traditional and Hew Revenue sources

' v w (tor policy makers and senior managers in the civil

service, public enterprises, local government, and

HGOs) - based on 5.3.

ECA/MRAG/95/17/MR Page 38

5.4 At Seminars on Ethics and Accountability (for policy makers, managers, and operational staff in government, private sector and NGOs/ypQs) - based on 5,4.

Activities s B: Advisory Missions

5.1 B: Advisory Missions on the Introduction/Management of Cost Recovery Plans, Traditional and New Revenue Sources and strengthening of Public Accountability institutions.

5.2 B: Advisory Mission on the Establishment of National and Zonal Revenue Authorities. ,

Outputs (5)

5.1.1: Research Reports - based on Activities 5.1 - 5.7 5'1.2A Seminar Reports - based on Activities 5.1A - 5.4A 5.1.3B: Mission Reports - based on Activities 5.IB - 5.2B

IMMEDIATE OBJECTIVE 6t TO TOCOS TBE ATTENTION OF TOM PROJECT TARGET GROUPS ...ON MEASURES DESIGNED TO PROMOTE JUDICIOUS ALLOCATION OF RESOURCES, IMPROVE PRODUCTIVITY, AND GRADUAL!* ELIMINATE NEGATIVE MANAGEMENT PRACTICES AS WELL AS ETHICAL VIOLATIONS.

ECA/MRAG/95/17/HR page 39

indicators Development.

indicators

sector contriimtiojis to

Perfbrnance indicators.

tributions of Universities and R

t ——

Perforaance Indicators

Per/or«ance indicators.

ECA/MRAG/95/17/MR Page 40

6A: Sejriiiars and WorJcshops

6.IA seminars on the £nhance*ent of Productivity in

Public and Private Sectors.

6.2A Seminars on Human Resource Management for Self- reliance and sustainable Development.

6.3A Seminars on the impact of Ethics on Self-reliance

and sustainable Development (Focus on specific ethical themes, e.g. capital flight, bribery and corruption, conflict of interest, over-incoming and

padding of bills.)

(6)

6.1.1: Monographs on performance indicators for self- reliance and sustainable Development - based on

Activities 6.1 - 6.8).

6.1.2: Reports and Evaluations of seminars and workshops

(Activities 6.1A - 6.3A).

IKMBDIXFB OBJECTIVE 7: TO IBTBGRATB ESVISOmUBTAL COKCEBKS IBTO

DEVBUOPHSNT PUUmiHG PROCESS AHD COLLABORATE WITH TARGET GSCOPS IN DEVELOPING SHVIXmMEKTAL ACCOOUTIWG

METHODS.

7: Seminars and Workshops

7.1: seminars on the implications of Agenda 21 for National and Regional Development Policies.

ECA/MRAG/95/17/MR Page 41

7.2; Seminars on the Management and Resource implications of Agenda 21.

7.3: Seminars on Environmental Accounting Methods.

7As Advisory services

7.1A Advisory services on the Integration of Environmental concerns into the Planning process.

7.2A Advisory services on the Exploration of Resources for Environmental Management (Agenda 21 and

domestic sources).

7.3A Advisory services on the development or improvement of Environmental Accounting Methods.

Outputs 7

7.1.1 Reports and Evaluations of Workshops (Activities

7.1 - 7.3).

7.1.2 Mission Reports (Activities 7.1A - 7.3A).

IMMEDIATE OBJECTIVE 6: TO PROPOSE A NEW DEVELOPMENT PLANNING FRAMEWORK WBICB ENABLES PARTICIPATING COUNTRIES TO MONITOR THE PERFORMANCE OF TBSIR ECONOMIES AGAINST TBS INDICATORS OF SELF-RELIANCE AND SUSTAINABLE

DEVELOPMENT.

ECA/MRAG/95/17/MR

Page 42

a: (Advisory and Training Missions)

8.1: Advisory Missions on the Re-organization of Ministries/Departments of Planning (to meet the challenge of self-reliance and sustainable

development).

8 2: Advisory Missions on the Application of New (Self- reliance and sustainability) indicators to compilation of National Accounts statistics.

8 3: Training workshops (for National and Sectoral Planning Units) on the implications of self- reliance and sustainable Development for Planning.

nut-nuts a

8.1.1 Reports of Advisory and Training Missions

(including evaluation of Training Workshops).

PART VI: PROGRAMME COST ESTIMATES

sxnlnnntorv

64.64. in preparing the project cost estimates, it is necessary to

teginwith background information on how the entire program wxll

be administered.

65 Apart from the preparatory activities to be undertaken (prior

to the inauguration of the program*, it is envisaged that the

substantive task of managing and controlling the project will be

carried out at tiia. levels - regional and national.

ECA/MRAG/95/X7/MR Page 43

r-J niui 1

66. The Regional aspects of the programme will be coordinated by the Regional Programme Director whose terms of reference are spelt

out in an annex (Annex A). She/he will be responsible among other

things for

(a) the planning of regional activities;

(b) the execution and monitoring of the regional

components of the project;

(c) collaborating with National Directors in implementing national components of the project;

(d) monitoring and evaluating the implementation of Regional and National activities;

(e) administering, and accounting for funds expended on regional activities and on support to national secretariats of the programme; and

67. It is hoped that the regional aspects of the programme will be supported by external donor agencies.

Cnnonnants

68. The national secretariats of the programme are to be managed and supervised by National Programme Directors (NPD) whose terms of reference are attached, as Annex B. They will perform at the national level those functions carried out at the regional level by the Regional Programme Director (RPD). In addition, the NPD is

ECA/MRAG/95/17/MR Page 44

eo -Hi-

programme

„.

resources NGOS.

Ivail/ble

^available

""""" "'

undertaken in

d—tic resource, - I...

governments, the private sector, and

a.

(H)

(Hi)

0rganiZation of Preparatory ^

National Project directors on the Thrusts, and Methodologies of the Project,

iiaison vith donor agencies,

secretariats of program, record-Keep^g,

ation of «**». ^

the Kegional Secretariat, a,d supervision

of project staff;

HeCruitfflent of consultants; P^ent of

remuneration and miscellaneous servicing of project-related

ECA/MRAG/95/17/MR Page

seminars and workshops; procurement of training material and equipment; and preparation and/or collation of performance reports -

71.,-.. in view of the fact that the regional activities can only be financed with convertible currencies, external donor institutions will be approached for assistance in meeting the programme's regional obligations. A detailed breakdown of the regional cost

estimates is provided here-under.

CostEstimatesoftheRegionalComponentoftheProjectonEnhancingthecapacitytoManageSelf-reliancesandSustainableDevelopment

ProjectActivityandInput

ProjectPlanning

00.01DSAfor52NationalProjectDirectorsat$100perdayfor5.days

00.02OfficialTravelof52NPOstovenueofProjectPreparatoryMeetingat$2,000perperson

ProjectCoordination,MonitoringandDirection

00.03R/ProjectDirector00.06ProjectOfficer00.05StatisticalAnalyst00.06Admin.Assistant00.07Bilingualsecretaries(2)

ProjectImplementation

00.08Consultants:

Objective(1)Objective(2)Objective(3)Objective(4)Objective(5)Objective(6)Objective(7);Objective<8> Total1994-1998

m/m--■

•-60606060120

481224109113624 US*26,000104,000425,000240,000200,000150,000160,00048,00012,00024,00010,0009,00011,00036,00024.000 1994

m/m--

--1212121224

48612

_.--

---- us*26,000104,00085,00048,00040,00030,00032,00048,0006,00012,500^------

-- 1995

R/m--

--1212121224

--6125

--530 US*

--

--85,00048,00040,00030,00032,000

6,00012,0005,000

--5,00030,000 1996

m/m--

--1212121224

.,--

--56336 USS

--

--85,00048,00040,00030,00032,000

--

--5,0006,0003,0003,0006,000 1997

m/m••

--1212121224

----

--

..33

--6 US*^----85,00048,00040,00030,00032,000------,.3,0003,0003,000-6,000 m/m--__1212121224--------•-----6 1998

USS

--85,00048.00040,00030,00032,000

----

--

----

----6,000

00.09OfficialTravel 00.10MissionCosts 00.11GroupTraining 00.12Equipmentor 00.13Non-expendable Equipment 00.USundryPrinting4 Publications 00.15ProjectEvaluationft Review

250,000 200,000 300,000 45.000 45,000 40,000 30,000

50,000 40,000 160,000 30,000 30,000 20,000

50,000 40,000 160,000 15,000 15,000 10,000

50,000 40,000 160,000 5,000 15,000

50,000 40,000 160,000 5,000

50,000 40,000 160,000 15,000

ECA/MRAG/95/17/MR Page 48

RaanvrcB Budget

72. in view of the fact that the needs of the participating countries vary, it is not possible at tills stays to prepare a

budget for each national programme. It is, however, imperative that adequate provisions be made for the following broad

categories of activities:

(i) ffftfffmn7f> Mnhilization (allocation of seed money by the Government, solicitation of private sector and voluntary contributions, and establishment of special funds/endowments for self-reliance and sustainable

development);

Programme piannina (establishment and staffing of National secretariat of the Programme, organization of induction/orientation workshops, and communication

with target groups);

(Hi) Pr-oyrannia, Jmplsment-At ion. Co-ordin&tion.

nntf evaluation (Organization of policy dialogues/roundtables; commissioning of base-line studies; conduct of seminars and workshops; and fielding of consultancy missions; periodic review of progress in implementation of programmes as well as the suggested reform measures; and evaluation of impact and effectiveness of the programme).

73. To ensure that the major activities under the programme are properly carried out, it is further recommended that each participating country, as a matter of priority, establish a National secretariat and locate it close to the highest level of

Government.

74. The secretariat should be headed by a senior-level official who has a reputation for competence and a track-record of achievements. He/she should, in addition to being acquainted

ECA/MRAG/9V17/HR

Page 49

.„„„.-

PROGRAM**

76. . a aatter of

- seeiclna to promote tne t.in goals

sustains development) *»st itself *e acceptable

^et groups. «. there is any doul,t that -l^liance

priority in any country, no atte-pt should

^ thJ pro^ra s no meaningful result can ^e

7^ ro the extent that the programs is perceived M^f

?roupS as addressing their o.n concerns, it can^e presumed that

The program .ill receive their unqualified support. It hoveler, that support is not forthcoming feither because of the Tubts about its relevance and usefulness, or because of prior

coaBit*ents to other programs or activities; the progra^e .ill

not have the intended i*pact. It is, therefore ^f^J^

the participating countries be fully resolved to

ECA/MRAG/95/17/MR Page 50

programme In its entirety or not at all. Unlike previous reform efforts, the programme does not thrive on rhetoric but on action*

78. The programme's bias for action necessitates the recruitment of high-calibre staff to implement regular as well as super numerary (consultancy) activities. If the Regional or National Secretariat is staffed with incompetent personnel or individuals with divided loyalties, the programme's objectives will not be

realized. ...

79. Besides the factors internal to the administration of the programme, it is necessary to acknowledge the Influence of the external environment. If serious efforts are not made to address the Issues of macro-economic stability, the programme's productivity enhancing efforts will be vitiated. By the same token, if ethnic conflicts or constitutional crises threaten the peace and security of a country, it will be difficult to implement a programme of self-reliance and sustainable development. Consequently, it is imperative that genuine efforts be made to resolve issues in national integration and to implement aspects of the UN Secretary-General's Agenda for Peace linking peace with development, and social justice with social order.

80. Above all, the success of this programme hinges on how far member-states are prepared to establish and sustain a culture of accountability - one which makes the environment inhospitable to ethnical violations and enables the majority of people to see in their life-time the positive impact of the sacrifices they are routinely called upon to make for the survival and development of their societies.

ECA/MRAG/95/17/MR Annex A Page 1

Annex A

aalUiaaBcmisa:

Regional Virector (Pro.ra.Me on Development) LS/L6

united Nations Economic commission for Africa,

Mdis Ababa, Ethiopia, ECA HULPOCs, and Pan- African Development Institute, Douala, Cameroon

amitimJUimv Under the supervision o, £ --tive

Secretary of ECA, and m collaboration with

PAID, ECA substantive units, and ECA

MLPOCs, the incumbent is expected to

implement, co-ordinate and monitor the regional and subregional components of the

programme on seir-reliance and sustainable development, in addition to undertaking joint activities with the national programme

Cirectors.

under the general supervision of the Executive Secretary of the ECA, the Regional Programme Director is expected to:

(i) Plan, implement, co-ordinate, and monitor the

regional and suib-regional components of the programme on self-reliance and sustainable

development (hereafter referred to as the

Programme);

(it) Supervise the effective administration of the

regional secretariat of the Programme;

BCA/WUW3/95/17/

Annex A Page 2

(Hi)

(iv)

(v)

(vi)

(vii)

(viii)

(ix)

(x) (xi) (xii)

(xiii)

Recruit the secretariat's core staff as well as the short-term project staff and consultants;

Supervise the disbursement of funds in accordance with laid down rules, maintain record of

transactions, and render periodic account;

Collaborate with PAID, ECA substantive divisions, ECA MULPOCs, and the national programme directors in planning and executing activities under the Programme, and in following up recommendations

for policy reform;

Convene consultative meetings, prepare working documents for the meetings,, and keep record of

proceedings;

Plan and, where necessary, undertake programme-

related-missions;

Supervise workshop/seminar planning, logistics,

and organization;

collate and evaluate Programme reports and

outputs;

Assist in establishing national secretariats;

Liaise with donor agencies;

submit progress reports to the Tripartite Review Committee (ECA/PAID, representatives of the Target Groups, and donor agencies);

Prepare a final report at the end of the

Programme's life-span;