Botswana President, Duma Boko, has emphasised the vital link between accountable governance and Africa’s economic prosperity, highlighting the need for transparency and rule of law. Speaking at the opening of the 2024 African Economic Conference in Gaborone, he described responsive governance as the foundation for peace, stability, and sustainable development across the continent.
‘Peace and stability in Africa must be anchored on accountable and responsive governance,’ said Boko. ‘This is a fundamental human right for every African citizen. It sets the requisite bedrock for any form of measure for our economic development and its sustainability.’
The three-day conference, themed Securing Africa’s Economic Future Amidst Rising Uncertainty, has convened African leaders, policymakers, and global experts to explore strategies for overcoming the continent’s economic challenges. Organised by Botswana’s government in collaboration with the African Development Bank, the United Nations Economic Commission for Africa (ECA), and the United Nations Development Programme (UNDP), the event aims to chart actionable solutions for Africa’s growth.
Governance as a magnet for investment
President Boko argued that transparency, accountability, and adherence to the rule of law are pivotal in attracting foreign investments. He urged African governments to leverage their collective resources to foster prosperity despite global economic headwinds such as inflation, supply chain disruptions, and restrictive monetary policies.
‘Africa is at a crossroads,’ he noted. ‘We must confront the obstacles facing our citizens and leverage our collective strengths to secure a prosperous future.’ Boko also highlighted Africa’s abundant natural resources and youthful population, stressing the importance of value addition and investment in education and skills training to unlock transformative growth.
Addressing economic inequities and climate challenges
Claver Gatete, the United Nations Under-Secretary-General and Executive Secretary of the ECA, spotlighted systemic global inequalities, climate change, and debt burdens as key issues hindering Africa’s progress. Gatete called for urgent reforms to the global financial system, which he described as failing Africa.
He revealed that climate-related disasters cost Africa approximately $440bn annually, with a staggering $1.3 trillion required yearly to bridge the financing gap for the Sustainable Development Goals. Meanwhile, Africa’s external debt has exceeded $1 trillion, with high interest payments stifling development initiatives.
‘The human cost is equally staggering,’ said Gatete. ‘Nearly 476 million Africans live in poverty today, with 149 million pushed into this category recently due to cascading climate and economic shocks.’
Integrating for economic resilience
Boko encouraged African nations to harness the African Continental Free Trade Area (AfCFTA) to revolutionise trade and foster industrialisation. He stressed that regional collaboration could mitigate current uncertainties while creating new opportunities.
Chief Economist and Vice-President of the African Development Bank, Prof. Kevin Urama, echoed this sentiment. He advocated for homegrown solutions to Africa’s unique challenges, calling for improved fiscal policies and innovative resource mobilisation to tackle debt sustainably.
Innovative financial strategies for progress
UNDP Africa Bureau Director Ahunna Eziakonwa proposed creative financial strategies to address Africa’s borrowing challenges and credit rating biases, which cost the continent $76 billion annually. She emphasised the importance of directing Africa’s wealth towards its development goals.
‘Africa’s money must work for Africa’s people,’ said Eziakonwa. ‘We must stem illegal flows where $90bn is lost. Tens of billions of pension funds, sovereign wealth funds, and insurance funds must work for the continent rather than elsewhere.’
The three-day African Economic Conference concludes on November 25 with hopes that actionable strategies will emerge to propel Africa towards a sustainable and equitable economic future.
Source: Reuters
