ACP-EU is a unique partnership

Europe and Africa have a collective responsibility to empower their economies and societies and foster sustainable development, says Louis Michel.

Louis Michel | Photo credit: European Parliament audiovisual

By Louis Michel

27 Oct 2016


Africa, cradle of mankind, is a continent of the future. Its population increases by 2.5 per cent per year, twice as fast as in other developing countries. The population of sub-Saharan Africa is expected to reach 1.8 billion by 2050 - one and a half times that of India currently. Its middle class could count 280 million people by 2020.

For the past 10 years, Africa has been experiencing spectacular growth, exceeding five per cent on average. Africa is now independent and being courted by both traditional and emerging powers, and has found its place on the global political and economic stage. It is an integral part of our globalised world.

Globalisation offers incredible potential. But for these opportunities to be truly positive, governments must stimulate the markets and make them work in a way that benefits our collective wellbeing. Governments must also promote social cohesion, consolidate democracy and remain impartial, while respecting personal convictions.

Governments must deal with economic, food, security, migratory and climactic crises, as well as delays in developing energy markets. This is why African countries must develop an 'impartial public authority' as soon as possible, one that will open up access to education, culture, administration, justice and social and health services that promote dignity. 

In order to avoid any excesses or downward spirals, governments must also be involved in establishing green funds, food security, coordinating energy and climate governance models, and sustainable management of natural resources.

Beyond that, we need a global political arena. World growth is managed by weak institutions without any regulatory powers. There is no 'universal right'. 

To learn from the global financial crisis, from the migratory crisis and from the fight against terrorism, we must understand that building a global government means adding a political dimension to globalisation. This global government should propose, coordinate and lead on development issues that cannot be dealt with at national level.

Within this globalised world, Europe is Africa's most precious partner, and Africa is Europe's most promising partner. Together, Africans and Europeans can adapt globalisation to a model that better suits their shared values and is more respectful of their identities. Without this alliance, we will endure globalisation.

Africa-EU relations have been strengthened by the fact that, for the past 40 years, Europe has been the leading aid donor.

 

The challenge Africa faces is that of governance, both politically and economically. I believe that for the EU-Africa partnership to be truly effective, it must integrate the following proposals. 

First, financial aid should be used to promote economic development. Europe must focus its financial aid on encouraging the emergence of a reinvigorated African economy, with more proactive markets. This is the only way to bring about prosperity and finance social services that are indispensable to citizens' wellbeing.

It is also important to improve the business sector, and support governments through laws that guarantee an impartial legal framework and a macroeconomic context that promotes private initiative.

A fiscal system must be set up that is based on citizens' contributory capacity, as well as transparent and fair management of natural resources.

Investments must also be protected by the law. The African and international private sector is ready to take risks, as long as it is benefits from adequate legal safeguards. Investors are more likely to commit to projects if governments put in place institutions and policies that respect human rights and strengthen the fight against corruption.

Policies must also be implemented that encourage the creation of SMEs, which are crucial to boosting employment. Access to finance and technology, as well as skills and management training, should be absolute priorities.

Natural resources must be managed responsibly and fairly. This is key to avoid huge debt, looting and unfair remuneration for the resources used. This means we need more judicial tools to trace minerals sourced illegally.

Companies operating in developing countries should abide by a code of ethics, based on corporate social responsibility legislation and the application of which should be assessed and binding.

There should also be three-way cooperation with emerging economies such as China, India and Brazil. Their impressive economic development serves as inspiration for African countries. Being both donors and receivers of financial aid puts them in a unique position with regards to development policy.

Countries should receive assistance with their budgets rather than just for specific projects. This will help build coherent national budgets and make governments more responsible for their priorities and the goals they set themselves. This way, each country will truly be in charge of its own development.

Regional development must also be promoted as a motor for economic development. We must push for speedy conclusion of economic partnership agreements so that developing countries can reap the benefits of globalisation as soon as possible.

There must be more investment in good quality education, including equal access for boys and girls, stronger human resources, free school canteens and the development of innovative education techniques such as school trips, multi-level teaching and alternative education options. Policymakers must also set a minimum standard of social protection. Culture must be promoted, as it is the foundation of social cohesion.

We must all - Europeans and Africans alike - seize the opportunity to step up to the historical challenges we face and develop this unique partnership.

As Nobel Peace Prize winner Desmond Tutu said during the European Development Days, "My friendship is linked to your friendship. I need you to be me. I need you to be yourself…and we can only be free together."

Our collective destiny depends on us freely sharing and respecting our ideas, opinions and dreams.

 

Read the most recent articles written by Louis Michel - Post-Cotonou period is decisive for EU-Africa relations