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Africa cannot develop with donor-driven economy

Mon, 5 May 2003 Source: GNA

The Defence Minister, Dr Kwame Addo Kufuor has noted that Africa cannot escape the cycle of poverty and low growth so long as the economy of the continent remain donor-driven.

Delivering the keynote address at a meeting on the challenges of democracy and economic development in Africa at Tswalu Lodge in South Africa, he said even though Africa needed international support, she often gets "empty words and stringent conditions from the developed world".

A total of 30 participants attended the meeting, the second organised by the South African Institute of International Affairs, funded by the Ford Foundation and hosted by the diamond-mining magnate, Mr Jonathan Oppenheimer, dubbed "Tswalu Dialogue".

President Yoweri Museveni of Uganda, Dr Ibrahim Gambari, UN Under Secretary-General and Lady Linda Chalker of Britain were among the political leaders and experts on African Affairs who attended.

Dr Addo Kufuor told the meeting of the "Africa Think Tank" under the theme, "Locating Africa within contemporary security, political and economic developments" that while African countries are made to kick against farm subsidies the developed world continued to give the support to their farmers.

Last year, the United States government offered four billion dollars in subsidies to 25 thousand cotton farmers in the country, which forced down world prices by a quarter with West Africa losing 200 million dollars while the regions 11 million cotton-producing households suffered untold hardships, he said.

Dr Addo Kufuor noted that the Slave Trade and Cold War rivalry, which African emancipation met created a sense of insecurity for its communities and disturbed their march to real democracy.

He said it was unfortunate that commercial diamonds in Sierra Leone, for example is controlled by Asians and some individuals but not the government of that country, adding that, the extraction of minerals in some African countries are also in the hands of rebels.

The Defence Minister said disease, hunger, squalor and deprivation have a heavy toll on Africa while the continent's debt burden is intolerable.

Africa's debt is well over 300 billion dollars being serviced at 12 point-five percent and growing in stock at five percent per annum, he said, adding, "Africa's share of the world trade is only one per cent".

Dr Addo Kufuor conceded that corrupt and incompetent governance also compounded Africa's problems but said the future prosperity of the continent demanded that the region pool her resources and ideas to solve them.

Because of unfair trade practices and the inter-play of global finance capital, wheeled by information technology, neither of which Africa can afford, the development chasm between Africa and the rest of the world continue to widen.

It is therefore not surprising that Africa's development choices have had to be placed in the hands of external management, he said.

Dr Addo Kufuor said it was a good sign that the unity needed for economic take off and democracy in Africa is being pursued by the African Union and NEPAD.

He called for more unity between the African elite and more serious regional integration for the continent to be able to withstand the challenges of globalisation.

Source: GNA