I'm no economist, but I understand the reality of the challenges facing Africa today, due to the negative impact of the global economic crisis and will give an overview on the topic of global crisis, an African perspective. There is no doubt that Africa has been hardest hit by the impact of the global financial crisis and this summit is brainstorming to find solutions to the unfortunate plight. If you are looking for solutions, let me share my experiences with you.
Globalization for each stretch of the imagination has great advantages. Unfortunately, it is clear that Africa has not benefited from its positive aspects and instead said has become far more dependent on developed countries to the great detriment of the suffering masses. Africa has been vulnerable to a number of reasons. The first is the lack of national tenacity, accountability and a spirit of patriotic fervor. Africa has been unable to stay united and strong, because a good number of us in leadership positions, rather than uphold the ideals that protect the sovereignty of our countries have fallen to the dictates of our colonial and development partners and recently through its multinational organizations that come with promises of employment, capital and infrastructure development.
Unfortunately these investment opportunities do not benefit from the mass of our people because of political and economic parasites who are in charge of the affairs of our countries. Corruption is real and if not the key factor for the failure of Africa in our deliberations on these next few days and saddle ourselves only with a scientific approach to solve the effect of global crisis in Africa, we will be doing a disservice to the continent.
Corruption is a major drawback to any development process that spans our continent. Some of us have created a culture of impunity that allows us the right to use all sorts of methods to fleece our countries of their resources. If we can not improve on the corruption index each year on what basis do we mourn for the negative effect of the global economic crisis? The soul of some parts of the continent has literally been sold during the period of 30 to 50 years than most African countries have been supposedly independent from colonial rule. Ironic facets of our sovereignty seems to have returned to our colonial and development partners and some of their corporate entities.
Some of these foreign influences even dictate what the policy guidelines that we have to and unfortunately, have also adopted their cultures with patronizing arrogance. I appreciate the fact that they live in a vacuum and therefore can not be expected to produce everything they need locally, but we have to be so obsessed with foreign cultures and to their adoption as a sign of lifestyle of good quality. Globalization has its own dictates. He preaches the free movement of goods and services and denounces the imposition of any form of economic barriers. The assumption is that by doing so, all economies will benefit in the same place.
We know this has proven to be a nightmare, especially for those of us in Africa. And how can we expect a level playing field when there were clear differences from the start. Most of our continent lacks infrastructure development, it lacks the ability to transform natural resources into finished products and have never had bargaining power in trade. Although the production of cocoa, timber, minerals of all types and a considerable amount of oil that we sell ourselves short because sadly foreign interests to control the use of these natural resources on their own terms.
Are the changes brought about by globalization taking place in our terms? Have we been able to stem the tide of brain drain? Are we not accepting globalization to the detriment of our own development and survival? We know that most of us have inherent weaknesses in terms of our political relationship with our people. This is what makes us so vulnerable.
When globalization became a phrase China, for example, quickly tap on your primary resource - skilled labor - and proceeded to work hard at making everything imaginable in the world. Although he suffered a brain drain that said that most Chinese are formed in the West and other advanced economies back home to share this knowledge. Today China is a great economic and military power and respected worldwide. As part of the disadvantages and advantages of globalization seems to have suffered deprivation and the work of this summit to identify ways to stem this tide.
One of the main road of recovery is the institution of mechanisms to protect the national sovereignty of our countries in terms of economic development. Without clearly establish the mechanisms that describe the extent of investor transactions and the lack of structures to control their operations, many of these investors who abuse our national interests without control. Most of these investors to repatriate most of their earnings to their native countries, leaving us with little capital for reinvestment in other projects viable. The developing world needs political leadership, traditional judicial and bold and energetic company dedicated to improving the situation of his people.
Fourteen years ago, the Social Development Summit in Copenhagen, Denmark, I challenged the Western banks and financial institutions to open their vaults and their books to expose leaders and personalities who had plundered the wealth of their countries, but were protected by the so-called Western banking standards of secrecy and confidentiality. At that time, my colleague from world leaders gathered there knew my problem with stunned silence. Fidel Castro was the only figure who welcomed the challenge.
The negative effect of globalization was a wakeup call. Governments and peoples around the world, after having felt the chilling effect of the siphon the wealth of their nations in foreign accounts and foreign wealth accumulation in drug trafficking, terrorist financing and the purchase of political power have gone after these banks to expose their criminal clients and their loot. If we can contain this type of savagery then economic decentralization and regionalization will be the way forward in our quest for development.
Decentralization is an energy transfer system that garners respect and confidence of the people we elect as leaders. Decentralization allows governments to share their problems with the common people. This is what has been structured and raised in what we call the local government. Everything must be done to encourage local governments. Share the central government's burden to people, what governance refers demystifies and brings people into contact with the problems facing the central government. Numerous examples are scattered throughout the continent of governments imposing the so-called development projects in their village when the towns priorities are totally different. During the mid-70, a government of Ghana spent hard earned resources to create a wall of the stadium when a modern medical center was required priority project for the people of the area.
The current global financial and economic crisis, which is the worst crisis since the Great Depression of the 1930s, has confirmed what we in Africa have long known - that markets are fickle and are in favor of the strongest players . It is now more than ever clear that the international financial institutions that were mistaken for African States to adopt a hands-off approach and that this poor advice weakened African economies and put us in a bad position to withstand the current shocks. It is now clear that even the strongest economies, the effectiveness of timely government intervention has been demonstrated. We have seen that the state is not the enemy of development. In Africa, more than any other, no doubt, we need a strong state development can protect the rights of Africa to contribute to the global economy, not only as suppliers of raw materials or as hewers of wood.
But to do this, we must unite as Africans north and south of the Sahara and build a viable political and economic space and beautiful that can support creativity and ingenuity and initiative of our diverse and talented people. And do not be afraid to empower our people. When properly applied decentralization creates a healthy climate development, because the common people claim ownership of policies, projects and programs and are ready for the stomach along with the failures of government. How many governments are grappling with the face of public relations to convince people with all kinds of excuses for failed projects? If the decision to implement the projects are conducted in a top down approach, but in speaking with the people in a decentralized environment, there would be no need to spend scarce resources to protect the reputation of the government.
In Ghana, decentralization was achieved by establishing democratically elected district assemblies and their sub-structures. And through a system of elections and appointments in consultation with the chiefs and other opinion leaders 70 percent of the members was elected while 30 percent are reserved for appointees, who were mainly intellectuals and professionals looking for a good whose areas of expertise of the most informed decisions.
Decentralization and empowerment of people as leaders puts us in a position of responsibility, because the people instead of demanding accountability from them. Local government now has the potential to meet development that meets the basic needs and human rights of people in the developing world, helping to address the crisis of globalization. It has the potential to contribute to the prevention of conflicts related to the demands of good governance and participation.
Decentralization also encourages the practice of a greater sense of social responsibility to the sanitary conditions and preventing serious infectious and contagious diseases. It also allows a more responsible exploitation of local natural resources, while preventing environmental degradation. Local governments also have the potential to contribute to the management of the population and the reduction of extreme poverty and degradation. Decentralisation, if properly implemented provides the basis for regionalization. Regionalization as we all know we can exploit economies of scale, greater bargaining power and the exploitation of resources of the Member States for the benefit of the group.
Today the Economic Community of West African States (ECOWAS) is one of the most powerful regional groups in Africa. It took us centuries to get where we are today, but still not have the kind of economic integration necessary to ensure the benefits of economies of scale that allow us to have a common currency, build factories and touch each of the natural resources for development concluded.
But as stated earlier these steps require courageous leadership and a structure for effective decentralization, ensuring popular participation and ownership of national policies. This is crucial for successful integration of key players should be the people who participate in the process. Socio-cultural differences of our continent can only be achieved if the participants do not feel the ground that national sovereignty is being delivered by the central government.
As the world reflects on how you should modify this model of development called capitalism, we can consider that this is a good time to emphasize a return to African values and seriously question the emphasis on selfish individual, who is in the heart of the capitalist model that has led us to this sorry state of affairs worldwide. We need a return to community values and away from the values of the selfish. This is a time to insist that there is much that Africa can teach the world, if we believe in ourselves and the value of our cultural and spiritual heritage.
Africa has a steep hill to climb to soften the blow of the global financial crisis. However, if the continent is ready to take the bull by the horns and take courageous policies to lift Africa out of the darkness, then it will be a part of the battle.
Thank you.
