| United Nations | A/51/228 |
General Assembly
Distr. GENERAL
6 August 1996
ORIGINAL:
ENGLISH
A/51/228
General Assembly
Fifty-first session
Item 44 of the provisional agenda*
* A/51/150.
IMPLEMENTATION OF THE UNITED NATIONS NEW AGENDA
FOR THE DEVELOPMENT OF AFRICA IN THE 1990s
Report of the Secretary-General
SUMMARY
In its schedule for follow-up, monitoring and evaluation, the
United Nations New Agenda for the Development of Africa in the 1990s
provided for the mid-term review of its implementation in 1996. In
its resolution 50/160 A of 22 December 1995, the General Assembly,
acting on this provision, decided to establish an ad hoc committee of
the whole of the fiftieth session of the General Assembly to conduct
the mid-term review and to submit its report to the Assembly at its
fifty-first session and requested that the Secretary-General submit a
report on the implementation of the New Agenda with inputs from
Governments and organizations of the United Nations system as well as
from intergovernmental bodies, in particular the Organization of
African Unity (OAU), and non-governmental organizations.
The present report reviews some critical development issues
affecting the implementation of the New Agenda and recommends measures
to accelerate this implementation and generally to foster sustained
and sustainable growth and development in Africa. The imperative
tense is used in order to highlight these measures. The annex to the
report gives an account of the performance in the implementation of
the New Agenda, focusing on efforts by all respective parties
concerned.
Section II of the report raises a number of priority issues
facing Africa in the 1990s. These issues include good governance, human
development and capacity-building, mobilization of resources,
including domestic and foreign direct investment, trade, commodity
diversification and industrial development. The report recommends the
following:
(a) To improve governance, it is important that African
countries pursue and strengthen further the democratization process and
enhance an institutional framework that ensures the rule of law, promotes a
strong and participatory civil society, allows a free and independent
press, ensures the functioning of an independent, efficient and
reliable judicial system and civil service and a strong partnership
between Government and the private sector, as well as non-governmental
organizations and grass-root organizations;
(b) Conflict prevention, management and resolution
should be actively pursued, with African countries taking required measures
within appropriate mechanisms;
(c) To enhance human development and capacity-building,
African countries need to allocate adequate resources for this purpose. Some
of the additional resources for human development and capacity-
building could be mobilized through reductions in unproductive public
spending. On the other hand, public expenditure on human development
should be increased. Where inadequate, health care systems should be
expanded and made more efficient with the help of the private sector.
Similarly, education systems should be strengthened by improving basic
skills for further learning and expanding educational opportunities
for all, particularly girls and women. An interrelated aspect of
capacity-building is the effective deployment and utilization of human
resources developed through educational training and the provision of
health and other social services. The Programme of Action of the
International Conference on Population and Development, the Dakar/Ngor
Declaration on Population, Family and Sustainable Development and the
Beijing Declaration and Platform for Action should be implemented by
African countries;
(d) To mobilize development resources, it is essential
for African countries to encourage public savings by implementing efficient
taxation policies, rationalizing public expenditure and creating the
conditions for increasing private savings by strengthening financial
intermediation structures and adopting appropriate interest rate
policies. Export earnings are also critical in mobilizing development
resources. Therefore, African countries should attempt to restructure
the composition of exports and develop niche markets for them. To
promoting convertibility of subregional currencies and allowing
mobility of capital;
(e) The principles of full partnership and shared
responsibility call for the international community to provide adequate and
assured support for the implementation of the New Agenda. To do so, the
international community should improve the level, scope and modalities
of its assistance. This would include channelling assistance towards
Africa's development priorities and switching to non-debt-creating
assistance;
(f) Key development partners should also extend to
African countries exemption from trade rules relating to the elimination of
subsidies and liberalization requirements and at the same time promote
diversification of Africa's economic base, especially commodities.
The international community should make an "adequate special
contribution" to finance the preparatory phase of commodity
diversification projects and programmes as called for by the General
Assembly in its resolution 49/142 of 23 December 1994;
(g) The donor community should take additional and
decisive measures to alleviate Africa's external debt burden. These measures
could include, inter alia, extending the limit for debt reduction
beyond the Naples Terms, taking into account the specific requirements
of each country, including its ratio of debt service to savings;
encouraging multilateral financial institutions to do the same for
highly indebted poor countries; and supplementing existing strategies
for debt reduction with adequate adjustment policies and concessional
aid flows;
(h) The coordination of multi-donor assistance is also
critical to increasing the efficiency and effectiveness of development
assistance. This objective could be strengthened by the support of coherent
sector strategies with common implementation and follow-up arrangements and
focused efforts on building national implementation capacities.
Section III of the report contains the conclusions.
The annex reviews the efforts made by African countries and the
international community in implementing the New Agenda. These are as
follows:
(a) There has been a significant improvement in the
overall economic performance with the number of countries recording negative
growth rates dropping from 19 in 1993 to 3 in 1995. Also, the number
of countries that achieved the target of 6 per cent annual growth rate
(c) The majority of African countries have engaged,
although with mixed results, in constitutional reform. During the past five
years, multi-party elections have become commonplace in political life and
civic organizations have emerged in nearly every country;
(d) The drive towards redefining the respective roles
of the State and the private sector is now fostered in many countries. The
increased awareness of the key role of the private sector is being
translated in several initiatives to promote private entrepreneurship
as well as improving the business environment. Beyond privatization,
a number of Governments have revised their foreign investment
legislation to make their countries more investment-friendly,
including lifting restrictions on investment in sectors previously
classified as sensitive;
(e) The development of the food and agricultural sector
has been central to most of the economic reforms in Africa. Policies aimed at
domestic trade facilitation have benefited farmers and food traders.
Similarly, agricultural commodity exporters have profited from tax
reforms as well as monetary adjustment. For the improvement of access
to food by the poorest groups, some countries were able to establish
early warning systems and safety nets to cope with famines and
food-related disasters;
(f) African Governments have allowed and promoted the
participation of African and non-African non-governmental
organizations in national development programmes. In some countries,
mechanisms have been established for continuous consultations between
Governments and non-governmental organizations. The new climate of
confidence has allowed non-governmental organizations to figure as key
partners in fostering community participation and implementing
self-help programmes. They have also adhered to recent international
programmes of action for human development which require more
resources to develop community health care systems, to maintain and
expand social facilities, to reform education system with more focus
not only on literacy but also on skills development and to control
major epidemics, including the human immunodeficiency virus
(HIV)/acquired immunodeficiency syndrome (AIDS);
(g) Environment awareness has found expression in
several regional and local initiatives. Many countries have adopted national
environment action plans and encouraged participatory community
actions aimed at the control of desertification. Many Governments
have undergone a change in attitude regarding population policy and
its relation to production and the environment. A number of measures
are now being taken, including awareness-raising with regard to the
compensatory mechanisms. However, more needs to be done to alleviate
further the debt burden, to increase official development assistance
and to support the development of capacities and the upgrading of
infrastructure;
(i) The United Nations continues to mobilize
international support for Africa, to keep African development on the
international agenda for the 1990s and to allocate increased resources to
programmes on Africa. Despite budget constraints the drive towards a
system-wide coordinated approach culminated in the launching, in March 1996,
of the Special Initiative on Africa;
(j) As evidenced in the report, the great majority of
African countries have consistently taken appropriate actions to achieve
sustained and sustainable growth and development, including, in
particular, political and economic reforms. As a result, signs of
tangible progress are noticeable. At this critical point, the
international community should accelerate its support to these
countries in order to sustain the momentum leading to recovery and
sustainable development.
CONTENTS
Paragraphs Page
I. INTRODUCTION .................................... 1 - 9 7
II. CRITICAL ISSUES FOR FURTHER CONSIDERATION AND
RECOMMENDATIONS FOR ENHANCING THE IMPLEMENTATION OF
THE NEW AGENDA .................................. 10 - 51 9
A. At the level of African countries ............ 11 - 34 9
1. Good governance .......................... 12 - 14 10
2. Human development and capacity-building .. 15 - 23 10
3. Mobilization of domestic resources and
foreign direct investments ............... 24 - 29 13
4. Trade, commodity diversification and
industrial development ................... 30 - 34 14
B. At the level of the international community .. 35 - 51 15
1. Improving the level, scope and modalities of
aid ...................................... 38 - 40 15
2. Improving the external environment ....... 41 - 45 17
3. Coordination of economic assistance ...... 46 18
4. South-South cooperation .................. 47 - 51 19
III. CONCLUSIONS ..................................... 52 - 56 20
Annex. Actions taken and progress achieved in the implementation
of the United Nations New Agenda for the Development of
Africa in the 1990s ..................................... 22
I. INTRODUCTION
1. The conclusion that emerged from the final review and appraisal of
the implementation of the United Nations Programme of Action for
African Economic Recovery and Development conducted in September 1991
was that the economic and social crisis facing the African continent
since the early 1980s had continued unabated. There was ample
evidence that Africa had achieved little progress despite the fact
that more than 30 African countries had embarked on political and
economic reforms through structural adjustment programmes. Only a few
signs of recovery were noticeable, while the overall outlook was
simply bleak. The structural constraints to growth had continued and
the social situation as suggested by the declining trends in major
social indicators, especially the increase in poverty, continued to
give rise for concern.
2. It is in this context, and based on Africa's submission, that the
General Assembly unanimously adopted on 18 December 1991 the United
Nations New Agenda for the Development of Africa in the 1990s (sect.
II of the annex to resolution 46/151). In this new political compact,
African countries clearly reaffirmed the primary responsibility of
Africans for the economic and social development of the continent.
The international community committed itself to support Africa's
efforts. A major feature of the New Agenda was the principle of
shared responsibility and full partnership for the achievement of the
desired goals, including, inter alia, an annual average growth rate of
6 per cent of gross domestic product by African countries and a
minimum of net official development assistance of US$ 30 billion in
1992, which would increase at an annual average rate of 4 per cent
thereafter.
3. As adopted by the General Assembly, the New Agenda underscored a
mutuality of commitments and responsibility by Africa on the one hand
and the international community on the other. Africa committed itself
to focus its efforts on: (a) the restoration of peace and social
stability; (b) the achievement of sustained and sustainable growth and
development; (c) the promotion of regional and subregional economic
cooperation and integration; (d) the improvement of living standards,
equality of opportunity for women and the intensification of the
democratization process; (e) the promotion of investment; (f) the
development of human resources and capacity-building; (g) the
protection of environment and the promotion of sustainable
development; (h) the integration of population factors into the
development process; (i) the pursuit of agricultural and rural
development policies and strategies in order to integrate fully rural
economies in their national context, achieve food security and
strengthen self-reliance in food; (j) the intensification of
South-South cooperation; and (k) the increased role of
non-governmental organizations.
4. For its part, the international community pledged to provide full
and tangible support to Africa in its efforts to achieve sustained and
sustainable growth and development. Such support would primarily
cover: (a) a solution to Africa's debt problem; (b) increased
resource flows; (c) enhancing Africa's export earnings by providing
more open access to markets and by supporting the diversification of
African economies, especially of commodity diversification; (d)
regional economic integration; and (e) arresting environmental
degradation and enhancing scientific and technological capacities.
5. The United Nations system was expected to play a major role in the
implementation of the New Agenda by devising a system-wide plan of
action for Africa consistent with the elements of the New Agenda, and
devoting adequate resources for its implementation. In accordance
with the established schedule, the Secretary-General was requested to
report on the implementation of the New Agenda to the General Assembly
and the Economic and Social Council. The non-governmental
organizations were called upon to play an increased role in various
areas of the New Agenda, including, in particular, the promotion of
indigenous small-scale businesses, community development projects,
training, the mobilization and efficient utilization of domestic
resources and the formulation and implementation of development
assistance projects.
6. Political support to the New Agenda was reaffirmed by the Tokyo
International Conference on African Development, held in October 1993
and co-organized by the Government of Japan, the Global Coalition for
Africa and the United Nations. The Conference adopted the Tokyo
Declaration on African Development, which underscores the
determination of African countries and their development partners to
strengthen their collective forward-looking efforts for the
development of Africa, within the priorities set by the New Agenda.
As a follow-up to the Tokyo International Conference on African
Development, the Asia-Africa Forum: Sharing of Experiences was held
at Bandung, Indonesia, in December 1994 to enhance Asian-African
cooperation. As part of an effort to relaunch development of the
continent and to reaffirm Africa's primary responsibility and
ownership of its development, the Council of Ministers of the
Organization of African Unity (OAU) held an extraordinary session at
Cairo in March 1995 in which it conducted an in-depth and critical
review of the political, economic and social situation in the
continent. The session concluded with the adoption of the Cairo
Agenda for Action, which was endorsed by the OAU Assembly of Heads of
State and Government in June 1995 (see A/50/647, annex II).
7. The New Agenda is a global political compact that integrates the
objectives of other initiatives on Africa, such as the Abuja Treaty
establishing the African Economic Community (AEC); Agenda 21 on
environment and development; the Dakar-Ngor Declaration on Population,
Family and Sustainable Development; the Human Development for Africa
for the 1990s; the Second Industrial Development Decade in Africa; the
Second United Nations Transport and Communications Decade for Africa;
and the African Platform for Action adopted by the Fifth Regional
Conference on Women at Dakar. It should, therefore, not be seen as an
instrument to be implemented in isolation from other programmes
adopted in the major areas of social and economic development.
8. The objectives, goals and priority areas set out in the New Agenda
are carried forward and reinforced by other global major programmes
originating from United Nations conferences and include Agenda 21
adopted by the United Nations Conference on Environment and
Development; the Programme of Action of the International Conference
on Population and Development; the United Nations Programme of Action
for the Least Developed Countries for the 1990s; the Copenhagen
Declaration and the Programme of Action adopted by the World Summit
for Social Development; the Beijing Declaration and Platform for
Action adopted at the Fourth World Conference on Women; and the
Istanbul Declaration and Habitat Agenda adopted by Habitat II. In the
light of these existing instruments, it is essential for African
countries to design policies and strategies to address their economic
and social problems and for the international community to support
their efforts boldly.
9. The present report is prepared pursuant to General Assembly
resolution 50/160 A and is based on the analysis of data and
information gathered from several sources, including African Member
States that responded to that effect to a questionnaire prepared by
the Economic Commission for Africa (ECA), and relevant reports by
international organizations, essentially within the United Nations
system. The report has adopted the same structure as the one
submitted by the Secretary-General to the high-level segment of the
Economic and Social Council, in July 1995, on "The Development of
Africa, including the implementation of the United Nations New Agenda
for the Development of Africa in the 1990s" (E/1995/81). It reviews
the critical issues requiring further consideration which also
constitute obstacles to the full implementation of the New Agenda
during the second half of the 1990s and beyond and presents
recommendations for enhancing its implementation. It reviews and
analyses actions taken by the African countries, the donor community,
the United Nations system, non-governmental organizations and other
countries and entities for the implementation of the New Agenda since
its inception in December 1991. This review and analysis, presented
in the annex to the present report, is based on a report prepared by
ECA in response to the request contained in General Assembly
resolution 50/160 A.
II. CRITICAL ISSUES FOR FURTHER CONSIDERATION AND RECOMMENDATIONS
FOR ENHANCING THE IMPLEMENTATION OF THE NEW AGENDA
10. The implementation of the New Agenda in the first half of the
1990s has resulted in several achievements, including an unprecedented
change in the landscape of African political economy and an improved
climate for international development cooperation. Although by 1995
more African countries than in 1991 had made significant achievements
in a number of key areas, the overall situation was characterized by
some uncertainties. For the effective implementation of the New
Agenda, Africa and the international community need to give particular
consideration to the areas that would contribute most to consolidating
the basis for achieving a substantial breakthrough.
A. At the level of African countries
11. At the level of African countries, the range of policy priorities
deserving reinforced commitment include good governance, human
development and capacity- building, mobilization of domestic resources
and foreign direct investment, trade, commodity diversification and
industrial development.
1. Good governance
12. Good governance has been identified by recent regional and
international programmes of action as a prerequisite to sustained and
sustainable growth and development, including poverty eradication. In
its resolution on the Relaunching of Africa's Economic and Social
Development: the Cairo Agenda for Action adopted in March 1995 (see
A/50/647, annex II), the OAU Council of Ministers recognized and
resolved "that good governance, peace, security and stability and
justice are among the most essential factors in African socio-economic
development". The Council forcefully recommended that all African
countries take the necessary measures to "ensure the speedy promotion
of good governance, characterized by accountability, probity,
transparency, equal application of the rule of law, and a clear
separation of powers, as an objective and a condition for rapid and
sustainable development in African societies".
13. Sustainable development cannot occur without peace, which requires
proactive efforts towards conflict prevention, management and
resolution. Most African countries now recognize these links and are
actively engaged in initiatives for peace-building through, for
example, training programmes on conflict resolution and post-conflict
reconstruction.
14. To consolidate the democratization process and improve governance,
further concrete steps need to be taken at the national level:
(a) To create an institutional framework that: (i)
assures wider participation in decision-making and implementing processes and
facilitates the emergence of a strong, viable and assertive civil
society; (ii) promotes open dialogue with all groups, be they ethnic,
religious or regional; (iii) intensifies the democratization process;
and (iv) guarantees the rule of law, accountability and transparency
of Government;
(b) To allow free and independent media and encourage
scrutiny by the free press of Government and/or public agencies and bodies;
(c) To ensure the establishment and functioning of an
objective, independent, efficient and reliable judicial system;
(d) To institute mechanisms for promoting peace, political
stability and security;
(e) To create a developmental State by establishing an
efficient, motivated and dedicated civil service and by maintaining a strong
partnership between the Government and the private sector.
2. Human development and capacity-building
15. Human resources in many African countries are inadequately
developed as is evident from the limited access of the population to
education at all levels, health and other social services; the high
levels of unemployment and underemployment, particularly among the
youth and women; and the low levels of income and productivity of the
labour force. Thus, matching available human resource endowment with
actual requirements is one of the most critical problems facing Africa
in its endeavour to achieve sustainable development.
16. A major challenge from the mid-1990s and beyond will be to
overcome these constraints and to ensure that human capacities are
solidly built to catalyse the socio-economic development process. To
this end, African countries should endeavour to translate their
commitments to the development of human resources into realistic and
concrete measures, particularly in the following priority areas: (a)
expanding and increasing the efficiency of health care systems;
(b) implementing coherent population policies; (c) strengthening the
education systems; (d) enhancing scientific and technological
capacities; and (e) utilizing human resources efficiently.
17. Good health is essential to sustainable development. Health
sector reform should be put in place to ensure more equity in service
delivery and more efficiency. This calls for rebuilding, upgrading
and expanding the delivery of services to reach a much wider
population. Since the Government alone would be unable to meet the
needs in the health and education sectors, measures would have to be
designed to induce a greater participation of the private sector and
community-based organizations in the delivery of health services.
18. Population, patterns of production and consumption, poverty and
environment and the empowerment of women are so closely and
intricately interrelated that none of them can be considered in
isolation. At its current annual rate, population growth already
outstrips many national efforts aimed at food security, employment,
poverty eradication and social progress. Comprehensive population
policies and programmes that address the specific long-term
development goals of a country should be formulated and implemented as
integral components of macro- and sectoral development strategies.
Programmes for the provision of reproductive health information and
services, including for family planning, should be strengthened and
expanded. Empowerment of women and their greater participation in
development efforts is a basic and cardinal prerequisite for
sustainable development.
19. The Programme of Action of the International Conference on
Population and Development and the Dakar/Ngor Declaration on
Population, Family and Sustainable Development, recommend a set of
measures that African countries should endeavour to implement. These
include the following specific population and development goals:
(a) To integrate population policies and programmes in
development strategies, focusing on strengthening social sectors to
increase access of the population to such services and working towards
bringing down the natural population growth rate from 3.0 to 2.5 per
cent by the year 2000 and to 2.0 per cent by 2010;
(b) To ensure the availability and promotion of the use of
all tested available contraceptive and fertility regulation methods,
including traditional and natural family planning, with a view to
doubling the contraceptive prevalence rate;
(c) To aim, by the year 2000, for the region as a whole,
for a life expectancy at birth of at least 55 years, an infant mortality
rate of less than 50 per 1,000 live births and a childhood mortality
rate of 70 per 1,000 or less and, furthermore, to develop and
implement programmes to reduce maternal mortality by at least 50 per
cent from the 1990 level by the year 2000. Such programmes should
include family planning services and studies in order to reduce the
increasing incidence of unsafe abortion, estimated to cause 30 to
50 per cent of maternal mortality in parts of Africa.
20. Progress towards achieving universal primary education should be
intensified with a view of providing basic skills for further
learning. African Governments have committed themselves to the spread
of literacy and basic education, with the support of the international
community and within the context of the Jomtien Strategies on
Education for All. Governments of the region should pursue these
strategies with determination. However, the immediate challenge is to
remove actual constraints to enrolment and to adapt curricula and
service to country specificities and to the region's current and
future socio-economic development needs.
21. In most African countries, the private sector participates
actively in the pre-primary, primary and secondary education systems.
It should be encouraged to venture into post-secondary vocational and
technical education and teacher training. Activities such as the
production of instructional materials, including textbooks, hold much
promise for private sector involvement.
22. The problem of unemployment and underemployment in African
countries has proved to be intractable and persistent over the years.
Smallholder agriculture, the largest employment sector in the economy,
is beset by problems of low skill levels, low application of science
and technology to production, and hence low productivity. The private
sector can play a major role in rapid technological development in the
vital sectors of African economies. There is also a need to
facilitate the development of informal sector enterprises, which
employ more than 60 per cent of the urban labour force.
23. It is also important that efforts be made to exploit all of
Africa's human potential. Women, who constitute more than 50 per cent
of the total population, make up only 37 per cent of the labour force
and, generally, either participate at lower levels of skill or in
low-productivity activities. In many places, the status of women
depends on their reproductive status. The average woman in most
African countries bears more than six children. Because of a
combination of high maternal mortality and high fertility, she has a 1
in 21 lifetime risk of death from pregnancy-related causes. More than
600 mothers die for every 100,000 live births in Africa. Teenage
pregnancy is high and rising in many countries. The adoption of the
African Platform for Action at the Fifth Regional Conference on Women
held in Senegal in 1994 and the Beijing Declaration and Plan for
Action (1995) is a renewed commitment by African countries to
integrating women in the development process of their countries.
National and international efforts should be accelerated towards the
implementation of the Platform for Action, and the progress achieved
in this regard monitored and evaluated.
3. Mobilization of domestic resources
and foreign direct investments
24. To implement the New Agenda effectively and support Africa on the
path of economic recovery and robust sustainable development, massive
amounts of resources are required. In line with Africa's proclaimed
commitment of maximizing self-reliance, most of the resources needed
in Africa will have to be domestically mobilized, even though external
assistance will remain essential, especially for the least developed
countries in Africa.
25. What is critically needed is a significant increase in the rates
of savings by households, enterprises and the State. It will also be
necessary to promote the establishment of efficient domestic
intermediating institutions for the mobilization of resources and
their channelling to efficient application. The creation of a
favourable economic climate as a result of peace, security, stability
and improved governance could enhance investor confidence, arrest and
reverse capital flight and help to attract foreign direct investment.
26. Some of the measures proposed to enhance domestic resource
mobilization include: (a) raising public revenue by restructuring
taxation and improving efficiency in tax collection; (b) controlling
public expenditure, focusing public expenditure on priority needs and
tightening procurement procedures; (c) increasing private savings by
adopting an appropriate interest rate policy, mobilizing community
resources efficiently and encouraging the operations of informal
financial institutions, such as "tontines" in West and Central Africa,
in productive activities; and (d) reviving external trade by
increasing Africa's share of world trade. For Africa to recapture and
increase its share of the world market that was lost in the 1980s,
African countries should create competitive niches in the world
market, especially in the industrial and services sectors, and change
its exports by increasing the production of manufactured goods for
export.
27. To attract domestic as well as foreign direct investment, it is
important to improve the overall business climate, particularly
through the following main measures: (a) ensure political stability
and, in this context, social stability is important to promote
economic growth and development, to avoid capital flight and to
attract fresh resources from outside; (b) demonstrate accountability
and transparency; (c) sustain the momentum of growth and macroeconomic
stability by the adoption of appropriate fiscal, monetary and
financial policies; (d) curtail and better control non-productive
expenditures, such as military expenditures; (e) support African
entrepreneurial drive and private initiative and, therefore, nurture
the private sector by promoting it and giving it a greater role in
spearheading the acceleration of economic growth; and (f) develop and
maintain infrastructural facilities.
28. Efficient telecommunications facilities are a vital element of
basic infrastructure. The most recent advances in informatics and
telecommunications allowing the rapid transmission of vast amount of
data on the global electronic highway gives foreign firms the ability
to redeploy production activities over a wide geographical area while
maintaining low costs and retaining quality. Access to reliable and
modern telecommunications services is not only crucial to the
performance of domestic firms and markets, but it is also a
determinant of foreign investment location. Therefore, particular
attention should be paid to developing telecommunications, current
efforts should be boosted and increased investment should be made in
this sector.
29. The improvement of the financial institutional infrastructure is
another important measure that would need utmost attention. In this
respect the measures that could be considered by African countries
include: (a) facilitating increased direct capital transfers between
private institutions through money markets, banks, etc.; (b)
facilitating financial transactions and transfer among African
countries; and (c) deepening and improving financial intermediation by
implementing the recommendations in the report of the
Secretary-General entitled "Towards advancing financial intermediation
in Africa" (A/50/490). It was recommended in the report that African
countries should support and promote various bank and non-bank
financial institutions; devise and promote the development of a
variety of financial instruments and develop and implement specific
instruments in accordance with the circumstances of countries. In
addition, they should strengthen the ability of financial institutions
such as the postal system, credit unions and cooperatives and credit
institutions sponsored by non-governmental organizations to mobilize
small savings.
4. Trade, commodity diversification and industrial development
30. Many African countries continue to rely on the export of two to
three primary commodities for the bulk of their export earnings.
However, this dependence on a limited number of primary commodities
has had severe adverse effects on the ability of African countries to
absorb the cyclical shocks or world recessions. Furthermore, the
producers of primary commodities are faced with a severe reduction in
the purchasing power of agricultural exports owing to a general
downward trend in demand and prices. Because of their narrow export
base, the erosion of preferential markets, as a result of the Uruguay
Round agreements, has had an adverse effect on their overall export
earnings, limiting their gains in improved access in other categories.
31. African Governments need to diversify their economies. A
diversified economy strengthens links among the various sectors of the
economy and leads to the development of other sectors of the economy,
such as transportation, communications and finance. It is also
critical to improving the sustainability of production and the
reduction of environmental stress. Vertical diversification, through
increased processing to enhance the value of existing commodities, and
horizontal diversification, through the production of a wider range of
exports for the domestic and external markets, including the
development of new uses for traditional commodities, lead to increased
job opportunities and higher incomes. Higher income improves access
to food by the poor. In order to become more closely integrated into
the global economy, African countries also need to increase their
export of products and services and to develop niche markets, for
which there is an increasing international demand.
32. To do so, African countries could put more priority on
diversification in their development policies and investment
programmes and create an enabling environment by fostering private
sector initiatives in this area, making infrastructural improvements
and strengthening human resources and technological capacity,
particularly in the area of production, processing and marketing.
33. Industrial development is central to structural transformation of
African economies; to the increase in national production, employment
and incomes; and to the diversification of Africa's exports. At
present, the level of industrial development in many African countries
is low, characterized by inefficient technology inputs and high
operating costs.
34. It is therefore critical that national policies and programmes be
formulated for the accelerated industrial development of African
countries. To this end, priority attention should be given at the
national level to: (a) the effective implementation of the Programme
for the Second Industrial Development Decade for Africa; (b) the
strengthening of the subregional and regional institutions in the
fields of science, technology, engineering, management and industrial
standardization and quality control; and (c) the development and
strengthening of indigenous entrepreneurial capability, with special
focus on micro, small- and medium-scale enterprises.
B. At the level of the international community
35. The New Agenda emphasizes the principles of shared responsibility
and full partnership between Africa and the international community
and calls for a new partnership for Africa's development. In pursuit
of this, the international community has accepted that quality
international support and cooperation are vital for Africa's
development.
36. The international community should reinforce its support for
Africa by increasing its focus on assisting African countries to make
progress in the critical priority issues. It is also necessary to
increase the level, scope and modality of resource flows through
official development assistance, to improve the external environment
particularly as it relates to external indebtedness, to support the
diversification of commodities and to facilitate and enhance market
access to Africa's exports.
37. In this context, a formula under discussion is the 20/20
initiative, by which on a voluntary basis donor countries reserve 20
per cent of their aid to the development of vital social sectors,
while national Governments that are willing to do so similarly
allocate 20 per cent of their national budget to these goals. This
initiative, which would increase significantly and/or utilize more
efficiently the resources allocated to social development, was
discussed at an international meeting at Oslo in April 1996 by a
number of interested countries, many from Africa, and multilateral
organizations.
1. Improving the level, scope and modalities of aid
38. Given that many African countries, especially the least developed
countries, continue to face economic difficulties that make their
access to private credits impossible, there is a strong case for
increasing the volume and concessionality of development assistance to
Africa. In addition, the quality of international support to Africa's
development efforts will need to improve significantly in the 1990s.
Central to this change is the acceptance by the donor community that
African countries are in a stage of transition that it is willing to
support.
39. Some of the measures that need to be examined by the donor
community and African countries individually and collectively include
the following:
(a) Focusing aid resources on Africa's own priorities
through adhering to well-articulated priorities of the recipient countries.
The need for re-channelling of aid flows to key priority development
programmes in the context of sound macroeconomic policies ought to be
recognized, the capacity- building requirements ought to be carefully
examined, and technical assistance ought to be targeted to activities
that fulfil that objective and phased out as local capacity develops.
International support should not create new debts;
(b) Linking humanitarian and development assistance
through allocation of more resources to conflict prevention and by giving
priority to reconstruction in post-conflict societies. In recent
years, Africa has witnessed a number of violent intra-State conflicts
that have diverted a significant portion of domestic and international
resources away from development and have become a major impediment to
development. At the same time, a few countries are coming out of such
conflicts but the situation there remains fragile. The efforts being
taken by African countries, singly and collectively, to address
conflict resolution and conflict management problems within Africa are
most encouraging. However, unless these efforts are supplemented by
international financial and technical assistance, they may prove
inadequate. Consideration should be given to developing a response
mechanism to attract appropriate assistance in post-conflict
situations.
40. A comprehensive approach to conflict prevention and management,
post-conflict reconstruction and development needs to be devised by
the international community, including the United Nations, the
multilateral financial and development institutions, interested donors
and African countries along the following lines:
(a) Support the OAU Mechanism for the Prevention,
Management and Resolution of Conflicts, and its Peace Fund;
(b) Strengthen the international community's early warning
capacity to detect impeding conflicts;
(c) Encourage a coordinated donor response to meet the
needs of post-conflict reconstruction that provides policy advice and
assistance within a coordinated framework;
(d) Encourage African countries to reduce military
expenditure.
2. Improving the external environment
41. Measures in this area include further alleviation of Africa's debt
burden and enhancing Africa's export earnings through export promotion
and diversification.
Further alleviation of Africa's debt burden
42. Over the years since the emergence of the debt crisis in the early
1980s, steady progress has been made in resolving the global debt
problem. However, while the progress is noticeable for middle-income
countries, it is less marked for low-income countries, especially
African countries, despite the special facilities in their favour,
including the enhanced concessional terms by the Paris Club and the
concessional lending by the International Monetary Fund (IMF), the
World Bank and others. The debt problem of Africa needs to be seen
not only in terms of its sustainability from the point of view of the
balance of payments, or even indeed budgetary balances, but also in
relation to a country's actual and potential savings capability.
Although individual countries have diverse debt-servicing profiles,
external debt service claims nearly one fifth of its average savings,
and over 4 per cent of its gross domestic product and debt service on
multilateral debt accounts for nearly half of the total debt service
or about 2 percentage points of the gross domestic product. Given the
low level of savings in Africa and the need to supplement it with
external capital flows, such a high proportion of domestic savings
being pre-empted by external debt service cannot be considered
sustainable. Further, given that almost half of the debt service is
accounted for by the debt owed to multilateral institutions, a lasting
solution of the debt problem of Africa cannot be found without also
addressing the issue of multilateral debt.
43. The international community should consider further initiatives
along the following lines to resolve the debt problem of African
countries on a sustainable basis:
(a) With respect to commercial bank debt, commercial banks
should be encouraged to accept deeper discounts in buy-back operations and
lower interest rate on par bonds, and to devise options (such as less-than-
full collateralization of principal) to reduce up-front costs.
Furthermore, consideration should be given to providing additional
resources for the World Bank's Debt Reduction Facility for
International Development Association (IDA) countries;
(b) As concerns official bilateral debt, and as indicated
by the G-7 summit in its Lyon communiqu‚ of 28 June 1996, the Paris Club
should be encouraged not to consider the 67 per cent debt-stock
reduction agreed in Naples as the absolute upper limit, but to go
beyond it if the individual circumstances of a country so justify it,
including the country's savings potential and the ratio of debt
service to savings. A recent joint analysis by the World Bank and IMF
suggests that, for the majority of highly indebted poorest countries,
the existing strategies and mechanisms are likely to be adequate with
appropriate adjustment policies and concessional aid flows. However,
for a minority of these countries, a debt relief up to 90 per cent of
the net present value of debt would be required in order to restore
this long-term external sustainability. The Paris Club could also be
asked to provide a guarantee of debt relief by giving up-front
debt-stock reduction, especially in those cases where the countries
have already demonstrated a good track record in the implementation of
reform programmes;
(c) Regarding multilateral debt, the above-mentioned joint
analysis by the World Bank and IMF, not only recognizes the magnitude
of multilateral debt, but, more importantly, also makes proposals that
cover this category of debt for the first time. These proposals have
been endorsed by the Interim Committee of IMF and a definite decision
should be forthcoming by the time of September 1996 annual meetings of
the IMF/World Bank. These two institutions should be provided with
the necessary encouragement, including resources (especially for the
Enhanced Structural Adjustment Facility (ESAF) to implement their
proposals.
Enhancing Africa's export earnings
44. The successful completion of the Uruguay Round, by providing
greater access to the world markets for African products, holds
promising possibilities for African exports in the long run. In the
immediate short term, however, the net effect of the Uruguay Round may
well be negative for many African countries, especially owing to the
loss of preferences in the European Community, as indeed is
acknowledged in the Ministerial Decision on Measures Concerning the
Possible Negative Effects of the Reform Programme on Least Developed
and Net Food-Importing Developing Countries, taken at Marrakesh,
Morocco. This adverse effect, if realized, would further cut back the
growth and savings rates in Africa unless appropriate compensatory
facilities, including further tariff reductions by the developed
countries on African exports and assistance for food imports are
provided to help African countries adjust to the new global market
environment.
45. In the longer term also, benefits from open markets would be more
significant and visible for Africa if African countries were able to
increase and diversify their products for exports. In addressing this
concern, the General Assembly, in its resolution 49/142, recommended
the improvement of existing compensatory mechanisms, the expansion of
opportunities offered by the Common Fund for Commodities and urged
Member States to make an initial special contribution to finance the
preparatory phase of commodity diversification projects and programmes
in African countries. The international community should take steps
to implement this resolution as the issue of the establishment of a
diversification facility is now perceived by the African countries as
a litmus test of the feasibility for the effective implementation of
the New Agenda.
3. Coordination of economic assistance
46. Besides selectivity, another basic requirement is coordination of
multi-donor assistance, especially in such areas as agriculture,
infrastructure development and health where donor investments
predominate. For improving the overall impact of economic assistance,
a broader sectoral and integrated approach would be of primary
importance. In this respect, the following measures appear necessary
to strengthen donor operations:
(a) Economic assistance should support coherent sector
strategies, and the objectives determined by the recipient countries
should be respected by all donors;
(b) International assistance should be geared primarily
towards the consolidation of nationwide capacities;
(c) All donors active in a given sector should strive to
build common implementation and follow-up arrangements to avoid overtaxing
the already limited capacities of Governments;
(d) Aid should be paired with minimal technical assistance
that primarily aims at reinforcing local implementation capacity.
4. South-South cooperation
47. The experiences of advanced developing countries are of relevance
to African development and suggest that South-South cooperation is a
viable strategy for development. Its scope is immense and covers such
areas as the transfer of technology and expertise, the provision of
advisory services, training, joint ventures, trade and investment,
agricultural and fishery development, education and research and
poverty reduction.
48. To benefit fully from South-South cooperation, African countries
should intensify consultations with other developing countries and
establish the necessary governmental institutional setting to
coordinate and strengthen South-South exchanges.
49. Advanced developing countries, including the newly industrialized
countries, should pay special attention to African needs for
South-South cooperation. They should take initiatives for
consultations, business tours in Africa, fair exhibits, exchange of
information and establish a network for exchange of experiences.
Given the diversity of development levels within Africa, the potential
for intraregional cooperation and assistance also needs to be tapped.
50. The United Nations system should intensify its South-South
cooperation activities with African countries. To that effect,
funding organizations and international financial institutions should
allocate more resources to these activities, placing themselves as a
third party in triangular arrangements.
51. Donor countries and the private sector should enhance their
support for South-South cooperation with Africa by providing the
necessary resources, information, expertise and technology transfer
through their support for multilateral initiatives, bilaterally or
through triangular arrangements.
III. CONCLUSIONS
52. The analysis of the progress made in the implementation of the New
Agenda during the period 1992-1995 shows achievements in human,
institutional and private sector development and reveals significant
variations among African countries in their economic and social
performance. As evidenced in the analysis, the effective and timely
implementation of the New Agenda is contingent upon the political will
of African Governments and their commitment to allocate adequate
resources for this purpose. However, for African efforts to succeed
within the time-frame of the New Agenda, they should be complemented
by adequate and assured resource flows from the international
community. The provision of an enabling external environment is also
an important factor in this process.
53. In spite of the slow economic recovery in the early 1990s, most
African countries have experienced socio-political changes that appear
to open up for development. These include, inter alia:
(a) The trend towards democratization of political systems
and along with it the growing demand for local and regional participation
in the development process;
(b) An increasing recognition by African Governments of
the important role of the private sector - domestic and foreign - in
development and thus the need to provide an enabling business
environment;
(c) The growing commitment among African countries for
promoting subregional and regional cooperation and integration. This is
evidenced from the concrete action taken by various subregional
communities towards rationalizing and harmonizing a number of their
activities with those of AEC;
(d) At the international level, the period 1992-1995
witnessed the active participation of Africa at world conferences and summit
meetings held under the auspices of the United Nations. This should
have a positive effect on advancing social and environmental
development in the continent.
54. Notwithstanding the successes achieved by a number of African
countries, there is still a pressing need to address continuing issues
in the development process. Some of these issues are: (a) the need
to adopt and apply the principles of good governance; (b) the
persistent high rate of population growth and its effect on
development; (c) the gaps in national capacities for implementing
development programmes; (d) the persistent problems of civil war and
displaced people; (e) the unmanageable external debt and
debt-servicing obligations of Africa; (f) the stagnation of official
development assistance and flows of foreign direct investment; and (g)
the anticipated difficulties in adapting to a globalized world
economy.
55. To achieve the major objectives of the New Agenda and especially
the target growth rate of 6 per cent, it will be necessary to open
Africa's production and financial sectors to the world and to step up
the drive to attract more foreign direct investment inflows with a
view to gaining access to external markets and integrating the
emerging African economies more closely into the global economy. Even
more crucial will be the readiness of Africa's public and private
sectors as well as households to boost their aggregate savings rate to
channel a substantial share of economic output towards capital
investment. African countries need to realize that Africa's future is
in their hands. This requires more commitment by political leaders to
the goal of achieving sustained and sustainable growth and
development.
56. As the New Agenda deals with long-term development of Africa, a
further commitment to a dynamic partnership between Africa and the
international community is vital for the realization of the
continent's potentials in the coming years. This in no way undermines
the need for stronger commitment on the part of African Governments,
their peoples and communities towards sustained growth and sustainable
development of the African region.
ANNEX
Actions taken and progress achieved in the implementation
of the United Nations New Agenda for the development of
Africa in the 1990s
CONTENTS
Paragraphs Page
I. ACTIONS BY AFRICAN COUNTRIES ................. 1 - 55 23
A. Sustained and sustainable growth and
development .............................. 2 - 5 23
B. Regional and subregional economic cooperation
and integration .......................... 6 - 14 24
C. Intensification of the democratization
process .................................. 15 - 18 26
D. Investment promotion ..................... 19 - 27 27
E. Human dimension .......................... 28 - 34 28
F. Environment and development .............. 35 - 40 30
G. Population and development ............... 41 - 43 32
H. Agriculture, rural development and food
security ................................. 44 - 48 32
I. South-South cooperation .................. 49 - 53 33
J. Role of non-governmental organizations (NGOs) 54 - 55 35
II. ACTIONS BY THE INTERNATIONAL COMMUNITY ....... 56 - 100 35
A. Donor community .......................... 56 - 66 35
B. United Nations system .................... 67 - 91 38
C. Non-governmental organizations ........... 92 - 97 42
D. Special initiative on Africa ............. 98 - 100 44
Tables
1. Official development assistance flows to Africa, 1983-1994 45
2. African economies at a glance ............................ 46
I. ACTIONS BY AFRICAN COUNTRIES
1. The present annex contains a review of the achievements made in
the implementation of the New Agenda since its adoption in December
1991. Under various priority issues, regional and subregional as well
as some country-specific experiences are presented.
A. Sustained and sustainable growth and development
2. Twenty African countries, of which 19 are in sub-Saharan Africa,
experienced negative growth in 1992. In 1993, 1994 and 1995 this
figure dropped to 17, 15 and 4 respectively. This explains, in part,
the improvement in overall economic performance at the continental
level. In 1992, three countries - Burundi, Gambia and Mali - recorded
a gross domestic product growth rate of 6 per cent, which had been set
out in the New Agenda as the desirable average annual growth rate to
be achieved by African countries. In 1994 and 1995, 10 and 12
countries respectively achieved this rate of growth. They were, in
1994, Angola, the Central African Republic, Equatorial Guinea,
Eritrea, Guinea-Bissau, Lesotho, Morocco, Togo, Tunisia and Uganda;
and in 1995, Angola, Benin, C“te d'Ivoire, Eritrea, Lesotho, Malawi,
Mali, Rwanda, the Sudan, Togo, Tunisia and Uganda. Of the 19
countries that achieved gross domestic product growth rates in excess
of population growth rates in 1995, 5 were from southern Africa, 7
were from East Africa, 4 were from North Africa and 3 were from West
Africa. Mauritius and Botswana were the two countries that
consistently recorded growth rates in excess of 5 per cent between
1992 and 1995. In this context, Africa is no longer an
undifferentiated mass of poorly performing economies. Differences
among individual African countries and groups of countries with the
potential for rapid growth and socio-economic transformation have
persisted, but current indications are that African societies and
economies increasingly achieve real and sustainable economic growth.
Statistical indicators on African economies are given in table 2
below.
3. In almost all countries, reform measures have been adopted to
liberalize domestic prices and external trade. About 35 countries
have made monetary adjustments. The ensuing results have been
significant with respect to growth of food and agricultural production
as well as exports. In the Communaut‚ financiŠre africaine (CFA)
zone, countries that have accompanied the monetary alignment with
rigorous public finance policies have increased their competitiveness
and allowed exporters to gain more resources and have given impetus to
private sector recovery by settling internal payment arrears.
Important privatization programmes were carried out in North Africa,
especially in Egypt, Morocco and Tunisia. The process has reduced the
burden of public parastatals on government budgets and allowed a
significant increase of the share of savings and investment in the
gross domestic product. In this subregion too, trade policy, monetary
and fiscal policy measures have allowed the economies of adjusting
countries to gain a more diversified structure.
4. About 21 countries have taken steps to improve public finance
management through improved methods of accounting. These countries
include: Algeria, Angola, Botswana, Cameroon, Central Africa
Republic, C“te d'Ivoire, Gabon, Guinea, Kenya, Lesotho, Malawi, Mali,
Morocco, Mozambique, Namibia, Senegal, South Africa, Tunisia, Uganda,
the United Republic of Tanzania and Zambia. In Cameroon, for
instance, the 17 largest public enterprises are now required to submit
quarterly financial accounts, which provide information on their
current operations and regularly updated forecasts on revenue and
expenditure. In Lesotho, since March 1993 the budgetary process has
included debate by parliament and dissemination of information on the
budget to the public and the donor community. In South Africa, the
parliamentary standing committees have recently become considerably
more active in scrutinizing public expenditure and the activities of
public officials. This has been done to improve the domestic economic
management, including effective mobilization and utilization of
domestic resources.
5. A large number of countries have taken special measures to improve
efficiency and transparency in the tax system. Countries such as
Benin, Burkina Faso, Malawi and Mali are reported to have introduced
more rigorous controls on customs by simplifying the tax and tariff
systems. In the Gambia and Uganda, the latest reforms include the
computerization and reorganization of the customs department and the
introduction of a taxpayer identification number. Zambia has made
substantial improvements in the revenue collection, experiencing a
sharp recovery from 14.4 per cent of the gross domestic product in
1993 to about 19 per cent in 1995.
B. Regional and subregional economic cooperation and integration
6. African countries have continued to strive for subregional and
regional cooperation and integration. The coming into force in 1993
of the Abuja Treaty establishing the African Economic Community (AEC)
was a major step and opened a new chapter in the history of African
economic integration.
7. In North Africa, arrangements for subregional economic cooperation
in the framework of Arab Maghreb Union (AMU) are in progress. An
example of sectoral cooperation in the energy sector are plans by
Algeria to supply gas for electricity generation in Morocco through
the Europe-Maghreb pipeline, the construction of which began in 1994
and is scheduled to commence operation in 1997. Recently, the Libyan
Arab Jamahiriya has also significantly increased its investment
portfolio in Egypt. Egypt and the Sudan have yet to be integrated as
full members of AMU although they still sit in on Union meetings as
observers; Egypt has recently taken steps towards becoming a full
Union member.
8. In East and southern Africa, a treaty ratified in December 1994
led to the transformation of the Preferential Trade Area for Eastern
and Southern African States into the Common Market for Eastern and
Southern Africa (COMESA). The achievements of COMESA in the
implementation of the programmes for transport and communication
include a consistent road user charge system approved on 1 April 1995.
In cooperation with the European Union COMESA has also embarked on a
project agreement to establish an Advanced Cargo Information System,
initially in 10 of its member countries. These are: Burundi,
Djibouti, Eritrea, Ethiopia, Kenya, Rwanda, Sudan, Uganda, the United
Republic of Tanzania and Zambia. Licensing procedures for heavy
vehicles and COMESA third-party motor vehicle insurance schemes have
also been established, while the formation of a Multinational Coastal
Shipping Line and the adoption of harmonized telecommunication
policies are in the pipeline.
9. In East Africa, over the past three years, Kenya, Uganda and the
United Republic of Tanzania resumed active discussions towards
reviving the East African Cooperation (EAC) in trade, transport and
communications, finance, and investment, as well as regional
immigration and security. In March 1996, the secretariat of EAC was
officially inaugurated at Arusha, United Republic of Tanzania, and the
process of the adoption and harmonization of various cooperation and
integration policies is under way.
10. The entry of South Africa into the Southern Africa Development
Community (SADC) in 1994 has been looked at as a move towards a
stronger subregional cooperation and integration. More recently, SADC
has targeted itself for the elimination of trade barriers within the
next two years and for the creation of a common currency system by the
turn of the century. Attempts are also being made to find modalities
on how to harmonize and rationalize SADC/COMESA activities with a view
to avoiding duplication of efforts.
11. Consistent with the long-term vision of the Abuja Treaty and with
a view to addressing the regional dimension of adjustment, 14
countries in East and southern Africa and the Indian Ocean, namely,
Burundi, Comoros, Kenya, Madagascar, Malawi, Mauritius, Namibia,
Rwanda, Seychelles, Swaziland, Uganda, the United Republic of
Tanzania, Zambia and Zimbabwe, have adhered to the Cross Boarder
Initiative (CBI). The Initiative is co-sponsored by the European
Union, the World Bank, the African Development Bank (ADB), the
International Monetary Fund (IMF) and the three subregional economic
groupings, namely COMESA, SADC and the Indian Ocean Commission (IOC).
CBI is based on the principles of reciprocity, self-selection of
jointly agreed policies and peer pressure. It is anticipated that the
harmonization of exchange systems and trade policies, together with
the removal of trade barriers between the participating countries,
would lower transaction costs and efficiency gains that a larger
regional market would provide.
12. The two main cooperation intergovernmental organizations in the
Central African subregion, the Economic Community of Central African
States (ECCAS) and the Central African Customs and Economic Union
(UDEAC), have each embarked on a programme of sectoral cooperation in
the areas of food and agriculture, industry, transport and
communication. Within the institutional framework provided by AEC,
ECCAS has adopted a tax and customs reform resulting in a single and
simplified common external tariff, a generalized preferential tariff
of 20 per cent for intra-community trade and a turn-over tax, which is
to pave the way for the introduction of value-added tax. Ultimately,
the tax systems of the various countries will be harmonized. The
third economic community in the subregion, Communaut‚ Economique des
Pays des Grands Lacs (CEPGL), is currently functionally inactive,
owing to the unstable situation and insecurity in the area. Made up
of three countries (Burundi, Rwanda and Zaire), CEPGL has achieved
some success in the areas of energy, agronomic research and transport,
despite the fact that the unresolved conflicts continued to delay the
implementation of its comprehensive programme of economic cooperation
and integration.
13. Meanwhile, significant institutional changes have also taken place
at subregional levels in West and Central Africa between 1992 and
1995. In West Africa, the Council of Ministers of the Economic
Community of West African States (ECOWAS) agreed in 1993 on a 10-year
plan for the harmonization and rationalization of the West African
intergovernmental organizations so that by the year 2005, all the
remaining intergovernmental organizations (about 40 in all) would have
to be transformed into specialized agencies of ECOWAS. This would
include the merger of the West African Health Community and the
Organization for the Campaign against Major Diseases, the
transformation of the West African Clearing House into the West
African Monetary Agency, and the harmonization of the activities of
the Communaut‚ Economique de l'Afrique de l'Ouest and the Mano River
Union with those of ECOWAS. Also, seven members of ECOWAS (Benin,
Burkina Faso, C“te d'Ivoire, Mali, Niger, Senegal and Togo), all
members of the Union Mon‚taire Ouest-Africaine, signed, on 11 January
1994, a treaty establishing the Union Economique et Mon‚taire
Ouest-Africaine, which subsequently absorbed the Communaut‚ Economique
de l'Afrique de l'Ouest.
14. Furthermore, in a radical departure from the Community's principal
objectives, ECOWAS has acted as a regional peace-keeper by sending in
a monitoring group, the ECOWAS Military Observer Group (ECOMOG), to
monitor a cease-fire and install an interim Government in Liberia.
While the problem of attaining a sustainable peaceful solution in
Liberia remains unsolved, the regional efforts towards arriving at
some peaceful solution is under way. On 24 July 1993, a Treaty was
signed by all ECOWAS members, replacing that of 1975, and adding the
role of regional peace-keeping into the ECOWAS list of objectives.
C. Intensification of the democratization process
15. Following the end of the cold war and the fundamental changes that
have been taking place both politically and economically in the world
at large, Africa has shown its determination to press ahead with the
democratization of development and full implementation of the African
Charter on Human and People's Rights and the African Charter for
Popular Participation in Development and Transformation.
16. A number of African countries have moved from long-established
one-party rule to a process of democratization. It is pertinent to
note some concrete achievements made by some African countries in the
democratization process. In South Africa, for example, a peaceful
constitutional transition from apartheid to a new democratic and
non-racial South Africa in 1994 has kindled domestic and international
confidence in the country's future. Human rights and popular
participation are today widely accepted ruling principles. In
Mozambique, the peace accord and multi-party elections that followed
in October 1994 were major landmarks in the country's search for a
stable political environment and national reconciliation. In
Ethiopia, a constituent Assembly elected through popular vote in the
spring of 1994 approved the Constitution of the Federal Democratic
Republic of Ethiopia in December 1994 leading to the National Assembly
in August 1995 and putting an end to the Transitional Government
towards the establishment of a federal Government.
17. During the 1990s, regional initiatives such as the OAU Mechanism
for the Prevention, Management and Resolution of Conflicts have
contributed to bringing peace in such countries as Angola, Comoros,
Ethiopia, Eritrea and Mozambique, and to some extent in Burundi and
Rwanda. The past and the ongoing peace-keeping activities by ECOMOG
in Liberia should also be seen as an effort towards achieving a
peaceful solution in that country.
18. Other initiatives in the direction of conflict resolution and
post-conflict reconstruction are also noteworthy. Under a five-year
grant from the Norwegian Government, the African Centre for the
Constructive Resolution of Disputes (ACCORD) launched a peace-keeping
training programme called "Training for peace". The first training
seminar in November 1995 involved government representatives of the 12
SADC countries. Furthermore, the Study and Research Group on
Democracy and Economic and Social Development in Africa (GERDDES-
Africa) is now systematically conducting local seminars on governance
in public administrations and law schools.
D. Investment promotion
19. The drive towards privatization of public enterprises and the
general favourable macroeconomic climate now fostered in many African
countries are telling positive signs of the determination by several
of these countries to improve the investment climate. Although
foreign direct investment flows to Africa in the early 1990s have been
stagnant, centring around US$ 3 billion per year, a few middle-income
African countries did experience increased flows in the last two
years.
20. A study by UNCTAD entitled "Foreign Direct Investment in Africa
1995", reveals that foreign investment is profitable in Africa. For
instance, an interregional comparison of profitability of foreign
direct investment in Africa by foreign affiliates of the United States
of America demonstrates that investment in Africa can be highly
profitable. In 1992, net income as a share of owner's equity in
Africa was 24 per cent, while that of the United States affiliates in
Latin America and the Caribbean was 11 per cent. The figure is also
higher than that in most developed country regions (11 per cent for
all developed countries). Most of the profits of these affiliates
have been generated in the primary sector.
21. The national regulatory frameworks conducive to foreign direct
investment have evolved in many African countries, permitting easier
repatriation of profit and providing tax concession and other
incentives to attract such investments. In an effort to improve the
investment climate and encourage the flow of investment, several
African countries have eliminated certain restrictive laws, specially
those on the repatriation of profits and ownership. The processes in
C“te d'Ivoire, Ghana, Kenya, Lesotho, Mali, Morocco, Nigeria, Senegal,
Sierra Leone, Tunisia and Zimbabwe have been documented.
22. Cameroon and the Central African Republic have managed to bring in
line their investment codes in conformity with the provision of the
UDEAC Treaty - a process towards harmonizing all the investment codes
in the UDEAC subregion. The new investment codes offer international
investors simplified, transparent, and easy approval processes,
including investment authorization services in one place.
Furthermore, in August 1994, the Government introduced a business law,
which harmonizes commercial legislation in the CFA zone. In addition,
a number of incentives, such as tax holidays and repatriation of
dividends, are also provided for in the new investment codes for
foreign investment.
23. The Government of Ghana, as part of its economic recovery
programme, has been pursuing a programme of divestiture of state owned
enterprises. Under the Government's economic recovery programme,
private investors in the divestiture are benefiting through the
liberalization of imports and foreign exchange, as well as easy
remittance of dividends, profits and fees abroad. In addition, trade
regimes devoid of public intervention and reforms that have reduced
company tax have helped make the business climate more conducive to
investment.
24. In an effort to stimulate private-sector investment and growth,
the Government of Uganda has made substantial progress in the
politically sensitive task of returning properties expropriated from
both foreigners and nationals under a former regime. Also, the
foreign exchange market has been steadily liberalized, the latest step
being the replacement of the foreign exchange auctioning in November
1993 by a fully liberalized inter-bank market.
25. The Government of Zambia, in order to facilitate a uniform policy
on privatization and improve transparency in the management of
parastatals, has decided to close the parastatal holding company and
transfer its remaining responsibilities to the Ministry of Finance and
the Zambian Privatization Agency. Liquidation proceedings started in
1994 for both Zambia Airways and the United Bus Company. The
political decision to close Zambia Airways demonstrated again the
Government's strong commitment to the reform programme.
26. In Ethiopia, domestic private participation in freight forwarding
and clearing has been allowed, and the domestic private investors can
now engage in banking activities. The implementation of the new land
leasing policy has started, with the first urban land auction
conducted in January 1995.
27. A number of countries went further in opening up their economies
for foreign enterprises involvement in sectors that in past years were
restricted to State-owned enterprises. For instance, Burkina Faso,
Mali and the Niger have adopted liberal mining codes and successfully
attracted private investments, both domestic and foreign.
E. Human dimension
28. The imperative of human development was recognized in Africa as
far back as the early 1980s. In this regard, noteworthy landmarks are
the Khartoum Declaration adopted at the International Conference on
the Human Dimension of Africa's Economic Recovery and Development
(1988), the African Charter for Popular Participation in Development
and Transportation (1990), the World Summit for Children (1990), the
World Conference on Education for All at Jomtien, Thailand (1990), the
International Conference on Assistance to the African Child (1993),
the African Platform for Action adopted by the Fifth Regional
Conference on Women at Dakar (1994), the African Common Position on
Human and Social Development in Africa (1994) adopted by the ECA
Conference of African Ministers responsible for Human Development in
preparation for the World Summit on Social Development.
29. The achievement of regional and global goals by African countries
requires the active involvement of all levels of civil society. As
part of national reviews of progress towards these goals, appropriate
consideration should be given to measuring its positive contributions,
analysing the constraints with which it is faced, and promoting its
greater involvement.
30. The extent of overall progress achieved in Africa since the 1990
World Summit for Children can be gauged by the fact that 33 African
countries have finalized their national programmes of action for
children. A further 12 are at the draft or preparatory stage, making
a total of 45 that have made significant advances. Noteworthy too is
that, out of a total of 53 African States, as at 1 July 1996, 51 had
ratified or acceded to the Convention on the Rights of the Child,
which is further articulated in the African Charter on the Rights and
Welfare of the Child of the States members of OAU. At the same date,
45 countries had become States parties to the Convention on the
Elimination of All Forms of Discrimination against Women.
31. The role of women in development has been receiving due attention.
This has been spelt out in various international forums, such as the
International Conference on Population and Development held at Cairo
in 1994, the World Summit for Social Development held at Copenhagen in
March 1995, the Fourth World Conference on Women held at Beijing in
September 1995 and the United Nations Conference on Human Settlements
(Habitat II), held at Istanbul in June 1996. At the Beijing
Conference, some 90 States announced very concrete commitments to
improving the status of women in different areas. Among them were
some 20 African Governments. Some of the commitments were to
introduce new laws or amend existing ones to advance the status of
women and eliminate de jure discrimination, improve women's economic
situation and facilitate their access to credit, improve women's
literacy level and health conditions, devise means to alleviate the
problem of rural women, and increase women's position in politics and
higher decision making. Apart from the fact that African countries,
individually and collectively, have actively participated in these
major conferences, a number of countries have begun implementing some
of their commitments, for example, Burkina Faso, Kenya, Nigeria and
Uganda, by promoting women's groups and increasing their participation
in designing and implementing investment activities in rural areas.
Some data show that representation of women in political life is
increasing rapidly.
32. The HIV epidemic is continuing to spread steadily in Africa and
has started to reverse some of the major development gains. Life
expectancy at birth has already decreased in 15 countries
(representing 54 per cent of total African population) and projections
indicate that the decrease in life expectancy will continue and that
the increase in mortality, including child mortality, will be
significant well into the next century. On the other hand, some of
the countries that are the most affected are starting to see the
results of their efforts as the epidemic is starting to slow down.
This should be an encouragement for African nations in collaboration
with their development partners to redouble their efforts to combat
the HIV pandemic.
33. Social safety net policies have been set in a number of countries,
for example in C“te d'Ivoire, Ethiopia, Kenya, Mali, Mozambique and
Uganda. In C“te d'Ivoire, Ethiopia and Uganda, for instance, this has
centred around labour-intensive programmes to assist poor rural
households in achieving increased agricultural production and incomes.
In addition, credit facilities are extended to retrenched and retired
civil servants to enable them to create self- initiated income
generating activities.
34. Longer term social expenditure policy aimed at maintaining or even
increasing real government expenditure on social services has been
observed in several African countries. In Malawi and Zimbabwe, for
instance, measures such as the waiving of user fees for primary health
and education services for the poor have been enacted. In Kenya, user
fees for health services have been waived for children under five
years of age and civil servants below a specified age. In Ethiopia,
Mali, the United Republic of Tanzania and Zimbabwe the authorities
have sought to reduce military expenditure or other outlays in order
to increase social expenditure.
F. Environment and development
35. There is now consensus on the positive linkages between
sustainable environment and development. This recognition has been
reinforced by and found expression in the 1992 earth summit of world
leaders, the United Nations Conference on Environment and Development,
which translated the new environment and development agenda into a
comprehensive plan for national and international action. On their
part African countries, in response to the Conference process,
committed themselves in the African Common Position on Environment and
Development to integrating environmental concerns in their existing
and future sectoral policies. This is with a view to ensuring that
such policies protect and improve the environment and natural resource
base for the health and welfare of their peoples.
36. Environmental awareness in the African region has found expression
in a number of agreements and declarations since the United Nations
Conference on Environment and Development in 1992. A number of
meetings and conferences have been held in African countries to adopt
ongoing programmes and develop new ones in line with the
recommendations of the Conference. Some of the major ones were:
(a) The ECA Conference of Ministers responsible for Social
and Economic Planning and Development, which at its nineteenth session in
May 1993 adopted the African strategies for the implementation of
Agenda 21 by resolution 744 (XVIII). The Conference identified 7
cross-cutting priority areas out of the 24 as contained in the African
Common Position on Environment and Development. The Conference also
institutionalized the Conference of African Ministers responsible for
Sustainable Development and Environment as a forum to review progress
made in promoting sustainable development in the region with emphasis
on the relationship between food security, population, human
settlements and the environment;
(b) The African Ministerial Conference on the Environment.
This is the lead regional intergovernmental institution responsible for
environmental issues. At its fifth session, in November 1993, the
Conference adopted new policy orientations to provide regional policy
framework for national, subregional and regional environmental
matters, including global negotiations concerning the environmental
conservation issues in promoting the sustainable development of the
region;
(c) The meetings of the major subregional
intergovernmental organizations on environment and development, e.g., the
Permanent Inter-State Committee for Combating Desertification in the Sahel,
the Inter-Governmental Authority on Development for the horn of Africa and
SADC.
37. In addition, OAU in close collaboration with the United Nations
Environment Programme (UNEP), ECA, the United Nations Sudano-Sahelian
Office and the United Nations agencies, has been active in the region
in developing initiatives in the implementation of the recommendations
of the United Nations Conference on Environment and Development. ECA
has also initiated a number of activities concerning environment and
development. In this regard, within the framework of building and
utilizing critical capacities in Africa for sustainable development,
ECA has carried out a study on capacity building in the area of
environment policies. ECA also developed draft guidelines for
monitoring progress made in Member States in building environmental
management capacities for sustainable development. These were adopted
at the first session of the Conference of African Ministers
responsible for Sustainable Development in March 1996.
38. A number of African countries have formulated national
environmental action plans to deal with environmental issues. Several
countries have begun implementing investment programmes derived from
these plans, including Burkina Faso, Ghana and Madagascar. In
addition, several countries are implementing natural resources
management components, notably Benin, Kenya and Mali. Projects
financed by the new Global Environmental Fund have also started,
including Ghana Coastal Management, Congo Wild Lands, Seychelles
Bio-Diversity and Mauritius Bagasse Energy.
39. Some African countries have established new institutions, e.g.,
ministries, secretariats, commissions, task forces, etc. to deal with
environmental and sustainable development issues. In other countries,
existing legislation has undergone significant review for improvements
in the light of the agreements reached at the United Nations
Conference on Environment and Development.
40. Regarding integrating environment issues into key policies, plans
and decision making, cooperation among various government agencies and
non-governmental organizations has been both innovative and
encouraging. A good number of African countries have given serious
attention and priority to national capacity-building for sustainable
development. Several bilateral aid agencies and United Nations
agencies have been complementing the efforts of Governments in
strengthening the institutional, managerial and technical capacity of
the latter to implement sustainable development programmes.
G. Population and development
41. At the International Conference on Population and Development,
held at Cairo in September 1994, 179 States, including African
Governments, defined a new paradigm of population and development
which goes beyond mere numbers of human beings and demographic targets
to place the well-being of individual women and men at the centre of
all activities aimed at achieving sustained economic growth and
sustainable development.
42. At the national level, African Governments are strongly committed
to integrated population and development policies, plans and
programmes. Almost all countries have recognized that the high rate
of population growth poses a major constraint to continued and
sustained economic and social development. To date at least 38
African countries have adopted or are formulating an official national
population policy; 30 countries have incorporated population factors
into their "full" development plans or structural adjustment "rolling"
plans. In about 10 African countries, observers already foresee the
beginning of "demographic transition".
43. With respect to reproductive health, almost all African countries
are integrating family planning counselling and services as well as
safe motherhood initiatives into their public health programmes. In
line with the Programme of Action of the International Conference on
Population and Development, Governments are also taking steps to
expand services to include other aspects of reproductive health,
including prevention of HIV/AIDS. The network of service delivery is
growing, although convenient access to these services varies greatly
among the countries of Africa. In a recent survey, of 41 responding
countries in sub-Saharan Africa, 29 reported significant progress in
expanding their family planning service networks and 28 indicated an
increase in the use of such services. The same survey noted a wide
range among the countries in the percentage of government health
facilities that offer family planning services - from a low of 1 per
cent to a high of 100 per cent. Such estimates are somewhat
misleading, however, as they do not indicate the extent to which the
services offered are either visible or truly accessible. The effect
of increased accessibility, albeit still limited in most countries, is
reflected in an increased contraceptive prevalence rate in 22 of 45
sub-Saharan African countries. In spite of these increases, however,
prevalence remains below 20 per cent in all but six countries. Fewer
than 15 per cent of couples use modern methods of contraception, and
among married women more than 25 per cent are estimated to have unmet
needs for family planning services. Improving reproductive health
would be a major step in laying a solid basis for development in
Africa.
H. Agriculture, rural development and food security
44. A good number of African countries have made significant progress
in removing major constraints to the development of the agricultural
sector. Deregulation of wholesale and retail prices of agricultural
products, particularly cereals and fertilizers, and withdrawal from
direct involvement in agricultural marketing and the provision of
agricultural inputs have been realized. Private sector development of
horticulture production in Kenya and Zimbabwe, rubber in C“te
d'Ivoire, pineapples in Cameroon and coffee in Kenya are examples of
spectacular private sector successes involving Africans and foreign
companies that can be multiplied many times. Food crop marketing in
Benin, Ghana, Nigeria, Uganda and the United Republic of Tanzania by
private marketing agents are further examples of successful private
sector development in agriculture.
45. Several countries have also moved to consolidate more numerous
agricultural extension projects created by donors into a more
efficient and lower-cost national agricultural extension system.
Recent evaluations of the teaching and visits extension systems in
Kenya and Burkina Faso have shown extremely high economic rates of
return. Similar progress has been made in Benin, C“te d'Ivoire,
Ghana, Guinea, Malawi, Mali, the Niger, Nigeria, Togo, Uganda, the
United Republic of Tanzania and Zambia. In addition, some of these
extension systems have made special efforts to recruit women extension
agents, and to develop messages designed to assist women. Kenya and
Nigeria have been particularly effective in assisting women farmers.
In Kenya, for instance, extension messages have been translated into
vernacular languages since many rural women may not know Kiswahili or
English.
46. Mali has been very successful in increasing cotton production in
various regions. In particular, a project carried out in what used to
be a food importing area in the south of the country has stimulated
production of food crops as well as cotton. Reliable market schemes,
the credit system and adequate storage facilities for the farmers have
attributed to this success.
47. Farmer-managed savings and cooperatives in Benin, Burundi,
Cameroon and C“te d'Ivoire have been supported by donors and
Governments, and have shown considerable success. Cooperative coffee
marketing enterprises in Kenya have shown success in the past, but
this remained an isolated instance. There is a resurgence of interest
in cooperatives in Cameroon, Uganda and the United Republic of
Tanzania. Informal farmer organizations such as women's groups are no
longer restricted anywhere. Pastoral associations and irrigation
water associations are becoming stronger in the Sahel.
48. Food security projects were begun between 1991 and 1994 in six
countries: namely Benin, Burkina Faso, Cameroon, Madagascar,
Mozambique and Rwanda. In addition, food security strategies have
been established in Kenya and the Sudan. Many donors have provided
food for work and some dietary supplements. Indeed, there is
increased food supply in those countries, which have been undertaking
sound marketing and other agricultural policy reforms. On the demand
side of the food security equation (i.e., affordability by
households), Governments have stepped up measures of technological
support to farmers in terms of better seed, animal health, extension
services credit, and physical infrastructure (i.e., better roads) with
a view to increasing farmers' incomes.
I. South-South cooperation
49. During the past five years, continuous efforts have been made
towards the strengthening of South-South cooperation. Various steps
being pursued by a number of Africa's subregional groupings for
enhancing economic cooperation within the continent have already been
documented. The scope of South-South cooperation covers areas such as
transfer of technology and expertise, the provision of advisory
services, training, joint ventures, trade and investment, agricultural
and fishery development, education and research and poverty reduction.
50. Some major donor countries have called for increased emphasis on
South-South cooperation, its inclusion as a central element in the
agenda for development and the convening of a United Nations
conference on development (General Assembly resolution 49/126). This
has contributed to the relaunching of South-South cooperation with
Africa. In this respect, a number of initiatives related to the
implementation of the New Agenda were carried out by the United
Nations Development Programme (UNDP) Special Unit for Technical
Cooperation among Developing Countries and included, inter alia:
(a) A meeting of over 20 African senior officials involved
in public sector administration and management. The meeting worked out a
strategy for enhancing productivity, accountability and responsiveness
of public institutions in the region, which was reflected in the
report of the Secretary-General on public administration and
development (A/50/847-E/1996/7) submitted to the General Assembly at
its fiftieth resumed session;
(b) The commissioning of a sourcebook on African food
production and processing technologies for commercialization to promote
indigenous African technologies and to bring research results into the
productive sector;
(c) A capacity enhancement exercise in the area of
agriculture, industry and technology, which was co-sponsored by the Government
of Nigeria and included the participation of over 24 countries from
Africa, Asia and Latin America and the Caribbean, reached agreement on
over 270 proposals.
51. Other United Nations system institutions that have contributed to
boosting South-South cooperation with Africa include the Economic
Commission for Africa (ECA), which has been assisting African
subregional groupings in their efforts towards harmonization and trade
liberalization, among them supplemented by sectoral programmes in
agriculture, infrastructure, transport, communications and monetary
harmonization. The United Nations Conference on Trade and Development
(UNCTAD) and the Food and Agriculture Organization of the United
Nations (FAO) have provided technical assistance and advisory services
to a large number of African integration and cooperation groupings. Non-
governmental organizations and private voluntary organizations have
provided a wide range of services and are taking part in networking
and triangular arrangements involving other non-governmental
organizations and the related associations, private voluntary
organizations, universities, development agencies and recipient
Governments.
52. An important step in the strengthening of the Africa/Asia
cooperation was the Tokyo International Conference on African
Development, followed by the Africa-Asia Forum: Sharing of
Experiences. The Forum adopted the Bandung Framework for Asia-Africa
Cooperation: Working Towards the Twenty-first Century, which
constitutes a platform for interregional cooperation based on the
sharing of experiences on policies and practices in the priority areas
of the New Agenda. A series of subregional workshops and seminars,
including, in particular, regional workshops for East and southern
Africa, and for West and Central Africa were held in 1995 and 1996.
53. Another initiative that is worth mentioning is the African-Latin
American Institute, which has been designed to support collaborative
relations between the two continents in the areas of trade and
investment, social and economic development and educational, cultural
and scientific exchanges. Furthermore, there is cooperation between
OAU and the Latin American Economic System.
J. Role of non-governmental organizations
54. With the emergence of civil society as a result of political and
economic reforms, non-governmental organizations play an increasing
role in African development. They are no more under suspicious
scrutiny from Governments. In several countries, non-governmental
organizations prominently supplement Governments' efforts towards
development programmes, for example in the mobilization of domestic
resources, infrastructures development and education. Some
Governments have integrated non-governmental organizations and
professional organizations in decision-making on devising policy
frameworks and early planning of programmes.
55. Concrete examples of partnership between State actors and civil
society can now be spotted in several African countries. In Senegal,
the municipality of Dakar launched, together with the Coordination of
Youth Associations and Movements in the Urban Community of Dakar, a
vast operation of cleaning the city, ensuring a satisfactory
evacuation of household waste and a follow-up of efforts for
environmental education provided by local authorities and State
services. In Bobo Dioulasso, Burkina Faso, a local committee for
dialogue, the Comit‚ Local d'Animation et de Suivi, was established.
It deals with the dynamics of local urban development. In Ghana,
cooperation between the Government and the Ghana Association of Women
Entrepreneurs led to the organization of the First Global Women
Entrepreneurs Trade Fair and Investment in Africa, held at Accra in
June 1996. In Cameroon, access by relevant non-governmental
organizations to radio and television with a view to assuring gender
balance in decision-making helped increase the number of women in
municipal councils from 400 to 800 in recent elections. In Zimbabwe,
cooperation between the Government and the Organization of Rural
Associations for Progress facilitated the distribution of relief food
supplies during the 1992 drought. Over the last three years, ACCORD
has been training civic leaders in public policy negotiations and
conflict resolution in South Africa.
II. ACTIONS BY THE INTERNATIONAL COMMUNITY
A. Donor community
56. The donor community has participated in and committed itself to
supporting the implementation of the New Agenda. In addition, donor
countries have taken several new measures in support of economic
reforms, including development programmes and projects in Africa,
peace-keeping and emergency relief operations. The support of the
international community in the implementation of the New Agenda may be
broadly categorized in four main areas: official development
assistance; external debt; market access; and foreign direct
investment.
57. In the 1991 report for the final review and appraisal of the
United Nations Programme of Action for African Economic Recovery and
Development, the Secretary-General estimated the official development
assistance needed for the implementation of the New Agenda to amount
to $30 billion in 1992, rising in real terms by 4 per cent annually.
Bilateral and multilateral aid flows to Africa continued to increase
in the 1980s, reaching the peak in 1990. However, since then,
resource flows to Africa have declined; for example, net flows of
official development assistance to Africa as a whole accounted for $25
billion in 1992 and declined to $23 billion in 1994. Official
development assistance has been an important element for many African
countries, especially sub-Saharan African countries. Bilateral
official development assistance in real terms declined from a high of
$13.9 billion in 1990 to $11.7 billion in 1993 to the sub-Saharan
region.
58. There have been some improvements in the last five years regarding
the modalities of aid to Africa, especially disbursement. An
increasing share of official development assistance is going through
the multilateral institutions, which generally lend in support of
economic adjustment programmes. For example, official development
assistance flows to those African countries implementing adjustment
programmes supported by the International Monetary Fund (IMF) have
grown more rapidly than for other countries without such programmes.
Thus, between 1987-1992, average annual net official development
assistance flows grew more than 40 per cent for Benin and the Gambia,
35 per cent for Mozambique and almost double for Uganda. This trend
may be considered in conformity with the donors' commitment under the
New Agenda to support Africa's reform efforts.
59. A positive element to declining official development assistance
has been the increasingly concessional terms for such assistance to
sub-Saharan Africa from countries of the Development Assistance
Committee of the Organisation for Economic Cooperation and Development
(OECD). For example, the average grant element of official
development assistance is estimated to have increased by about 3
percentage points during 1992-1993 over that of a decade ago. Donor
aid to Africa is now primarily in the form of grants. The loans from
multilateral institutions including the World Bank and IMF are on
concessionary basis.
60. Some OECD countries have been unable to fulfil their commitments
owing to financial difficulties in their respective countries.
However, some other OECD countries, particularly Norway and Japan,
have fully adhered to the principle of additionality of aid resources
to Africa as enunciated in the New Agenda (see table 1). While Norway
topped as the highest aid giver in terms of its share of the gross
national product in 1994, France, the United States of America,
Germany and Japan ranked as the four major donors to Africa.
61. Some donors are channelling greater amounts of assistance through
non-governmental organizations to improve the outreach of such
interventions and support at the grass-roots level and to assist
vulnerable groups and women.
62. In addressing the burning issue of African external indebtedness,
a number of initiatives have been proposed to reduce the burden,
especially for highly indebted least developed African countries. The
initiative taken in 1992 by Canada, Denmark, France, Germany, the
Netherlands, Sweden and the United Kingdom of Great Britain and
Northern Ireland to cancel as much as $15.1 billion of official
development assistance debt owed by the least developed countries,
equivalent to 14 per cent of total concessional bilateral debt,
benefited mostly the low-income African countries. In a similar move,
the United Sates has announced its willingness to write off up to half
of the debt owed to it by the poorest African countries eligible under
the International Development Association (IDA). Equally important is
the recent forgiveness by France, in January 1994, of an important
share of the stock of the public debt of the 14 countries of the CFA
zone, in the context of the CFA franc devaluation. The most striking
feature of the recent debt relief initiatives is that many
restructuring strategies have offered a conversion clause, giving
ample room to debt for development swaps.
63. Notwithstanding the coming into force of the Uruguay Round of
negotiations, African countries temporarily continue to enjoy
preferential access to the European Union market under the Lom‚
Convention IV, the Global System of Trade Preferences Among Developing
Countries (GSTP), the General Agreement on Tariffs and Trade (GATT)
and other stabilization mechanisms. The conclusion of the Uruguay
Round and the establishment of the World Trade Organization are major
steps towards liberal market access. While the consequences of the
Uruguay Round for Africa are detrimental in the short term, with the
improved macroeconomic situation, realistic exchange rates for African
currencies and market-oriented policies, Africa would, in the long
run, be in a better position to penetrate export markets. Some donors
have expressed their willingness to consider measures to protect
Africa from the adverse effects of the Uruguay Round. Allied to this,
the World Trade Organization would be the best institution to assist
African countries to take advantage of the opportunities being
afforded by the Uruguay Round.
64. Foreign direct investment can play an important role in providing
development resources for Africa. In Africa, it is currently small
and concentrated in just a few sectors. Moreover, foreign direct
investment flows to Africa have stagnated in the early 1990s, at about
$3 billion per year. The recent efforts made by many African
countries at providing the business and investment confidence, and
macroeconomic stabilization and structural reforms provide promising
prospects of increased foreign direct investment flows into Africa.
Donor countries could assist in stimulating additional foreign direct
investment flows to Africa and thus make Africa more attractive to
foreign investors.
65. More details on resource flows to Africa during the mid-term
period of the implementation of the New Agenda will be provided in an
addendum to the present report (A/51/228/Add.1).
66. The regional dimension of development, which is a major element in
the New Agenda, has also been supported by a core of donors which view
economic integration in Africa as an element of sustainability in the
longer-term. In support of the process which had been started by
African Governments, several initiatives aiming at strengthening
integration institutions have been taken by some of Africa's partners,
especially in the Sahel, eastern and southern Africa region.
B. United Nations system
67. Since its adoption in December 1991, the implementation of the New
Agenda has been a primary concern of the United Nations, under the
leadership of the Secretary-General. Not only has African economic
recovery and development been proclaimed one of the top priority
issues of the United Nations in the 1990s, but more concretely a
special programme of the United Nations medium-term plans (programme
45 of the medium-term plan for the period 1992-1997 and programme 6 of
the medium-term plan for the period 1998-2001) and a special section
of the programme budget for the biennium 1996-1997 (section 7-B) have
been established for Africa. Institutional arrangements including the
Office of the Special Coordinator for Africa and the Least Developed
Countries in the Department for Policy Coordination and Sustainable
Development, the United Nations Inter-Agency Task Force on Africa
chaired and serviced by ECA and the Africa Recovery Unit in the
Department of Public Information have been put in place to promote and
support the consideration of the implementation of the New Agenda at
the global and regional levels, coordinate system-wide efforts,
increase and sustain awareness of Africa's critical economic and
social situation and impulse concrete actions at the field level.
68. In addition, the Secretary-General established in 1992 a Panel of
High-level Personalities to advise and assist him on African development.
The Panel was recently fully reconstituted. The Panel reached
conclusions and made concrete recommendations on a number of important
issues, such as debt, diversification of Africa's commodities,
financial flows, human resource development, peace, democracy and
development, economic cooperation and regional integration and the
role of non-governmental organizations. These conclusions and
recommendations have been made available in a publication entitled
"Priority Africa, Summary of the Work of the Panel of High-level
Personalities on African Development".
69. Some of the actions taken by the United Nations to ensure the
implementation of the New Agenda include co-organizing the initiative
described in paragraph 53 above. The Asia-Africa Forum played a
catalytic role with UNDP in the establishment of the South-South
Cooperation Fund and the Asia-Africa Cooperation Fund. The United
Nations has also worked to promote the dialogue between development
actors in African development, especially to enhance cooperation with non-
governmental organizations. Raising African emerging issues,
advocating for vigorous support to Africa to avoid its further
marginalization and ensuring that the continent remains a top priority
of the international agenda have also been its primary concern.
70. Particular attention was given by the United Nations to the issues
of Africa's external indebtedness and diversification of commodities.
On the first issue and on the recommendation of the Panel of
High-level Personalities on African Development, regular submissions
were made to the Group of Seven at its annual summits from 1993 to
1996. These have contributed to progress achieved on debt relief for
African countries.
71. On the second issue, the proposal by the Secretary-General to
establish a diversification facility for Africa's commodity stemming
from his report to the General Assembly (A/48/335 and Add.1 and 2) and
complemented by a further analysis (A/48/914) led to the adoption of
General Assembly resolution 49/142. In this resolution, the Assembly
invites States participants in the African Development Fund existing
within the African Development Bank to make an initial adequate
special contribution to finance the preparatory phase of commodity
diversification projects and programmes in African countries. For
their part, many African countries, especially the Gambia, Ghana,
Namibia, Nigeria and South Africa have actively embarked on commodity
diversification programmes and projects.
72. At the request of the Committee for Programme and Coordination and
in compliance with the provision of paragraphs 39 and 40 of the New
Agenda (sect. II of the annex to General Assembly resolution 46/151),
the United Nations system-wide plan of action for African economic
recovery and development was established in 1992 and revised in 1994.
Following its consideration of a policy paper on African development
in September 1994, the Administrative Committee on Coordination, which
gathers under the leadership of the Secretary-General, all executive
heads of the United Nations system organizations, including the
Bretton Woods institutions, decided to prepare and launch the Special
Initiative on Africa.
73. Various agencies and organizations of the United Nations system
have, to a great extent, adapted their programmes towards the
achievement of the major objectives of the New Agenda. New programmes
and additional resources have been directed to key priority areas,
including human development and capacity-building, basic health and
the control of pandemics, food and agriculture, natural resources and
environment management, and the promotion of women in development.
74. The New Agenda and other instruments incorporate provisions
showing international support for Africa's informal sector and its
role in the development process. In this connection, the United
Nations system organized an international workshop on informal sector
development in Africa in New York in June 1995. The workshop
recommended that an international task force be set up to design a
specific programme of support for Africa's informal sector. The
programme of support is currently under preparation.
75. The diversification and reinforcement of production systems have
been strongly advocated and support programmes have been carried out
through projects and programmes designed by UNIDO and FAO to increase
production and improve the competitivity of products. Several
measures have been taken in implementation of the second Industrial
Development Decade for Africa. These measures relate to increased
production, promotion of inter-African trade, vertical diversification
of industrial production and capacity-building for industrial
development through strengthening Africa's technological capabilities
and thus enhancing its competitiveness in the global economy.
Increased financial loans and support programmes have been directed
towards the development of the private sector and the setting up of
viable enterprises.
76. As for assistance for the mobilization of internal and external
financial resources, the implementation of programmes aimed at
reinforcing informal and formal financial systems has contributed to
promoting domestic savings in African countries. Other programmes
have been developed to restore the debt-servicing capacity of African
countries in order to facilitate their access to external funds.
Initiatives for debt reduction were undertaken and reinforced and led
to the debt cancellation of close to $1.5 billion.
77. The economic integration of African countries has been encouraged
through support projects designed for economic groupings (ECCAS,
ECOWAS and UDEAC) as part of the economic integration process of their
respective regions. Actions have been undertaken by the joint
OAU/ECA/ADB secretariat set up to support the establishment of AEC.
Due attention has been paid to the development of transport and
communications in the economic integration process through the
Sub-Saharan African Transport Programme. The implementation of the
second United Nations Transport and Communications Decade in Africa
also benefited from consultant services. Projects for the
computerization and dissemination of economic data were equally
implemented.
78. In order to achieve human development, many programmes and
projects have been designed to reinforce and develop human resources
as well as to improve the health situation and living conditions. The
development of human resources particularly through a better
involvement of women in the development process has led to projects
focusing on the participation of women in industrial development.
Other actions were also undertaken to promote the role of women in
social development and to support measures for women taken at the
national level.
79. Actions aimed at achieving education for all led to the
implementation by the United Nations Educational, Scientific and
Cultural Organization (UNESCO), of the programme "Priority: Africa",
focusing on the development of support projects with the view to
formulating national policies for education, improving teaching aids
and teachers' training. Particular attention was paid to South Africa
through the implementation of a special programme entitled "Rebuild
South Africa", the objectives of which were to harmonize education and
consolidate democracy. Other programmes were carried out to increase
female school enrolment through projects aimed at reducing the gender
gap in primary education and through support projects to improve child
education.
80. With regard to the improvement of the health situation, projects
devised by the World Health Organization (WHO) were aimed at extending
health activities and measures to the local level. Epidemiological
surveillance systems have been put in place, and the coordination of
HIV/AIDS control activities have been strengthened. Programmes to
control diseases that are particularly widespread in the continent,
such as malaria and leprosy, have been developed. Priority has been
given to child care. Programmes aimed at iodizing salt and
distributing vitamin A have been carried out. The implementation by
the United Nations Children's Fund (UNICEF) of universal child
immunization as well as the intensification of oral rehydration
therapy for children has contributed to the reduction of child
mortality.
81. Concerted action is needed to tackle health problems around the
world, in particular in Africa. One such concerted action is a joint
United Nations programme - UN-AIDS - launched in 1993 by UNICEF, UNDP,
UNFPA, UNESCO, WHO and the World Bank. This is an unprecedented joint
venture of a common approach by the United Nations with a view to
tackling a major problem in a coordinated and cost-effective manner.
In Africa, UN-AIDS works with African countries on approaches that
draw on international "best practices", that build on what countries
throughout the world have already put into place and take advantage of
the experience and expertise they have accumulated over the past
decade. Assistance is being provided in such areas as blood safety,
behaviour change strategies, legal responses, medical care for curable
sexually transmitted diseases, social marketing of condoms, and
strategies to address the two-way links between AIDS and development.
82. In the field of employment promotion and capacity-building, the
International Labour Organization (ILO) continued to implement
technical cooperation projects in several African countries.
Programmes included technical assistance to labour ministries, private
employers and workers, organizations. Activities also included
technical support to African regional and national networks for
employment promotion, infrastructures development in rural areas and
the development of formal and informal micro-, small- and medium-scale
enterprises.
83. To improve living conditions and the quality of the environment,
technical support projects and clean water distribution and
environmental sanitation programmes have been carried out. With
regard to environmental protection, programmes were designed to set up
environment friendly production units and to promote the utilization
of biomass energy. Programmes also focused on desertification control
and soil degradation as well as the protection and regeneration of
flora and forest cover.
84. In order to avoid the deterioration of the prevailing
socio-economic situation, actions were undertaken to promote peace,
support emergency relief, protect the environment and sensitize the
international community to the African situation. Due attention was
paid by the World Food Programme (WFP) and the Office of the United
Nations High Commissioner for Refugees (UNHCR) to emergency relief
programmes. These programmes focused on food aid to the victims of
natural disasters or armed conflicts and on the rehabilitation of
displaced persons and returnees. Several actions also focused on the
provision of medical kits and on the rehabilitation and rapid
reconstruction of educational systems.
85. Actions undertaken were designed to consolidate and speed up
economic growth in Africa through the development of economic reform
policies, promoting good governance, diversifying production systems,
and promoting financial resources mobilization and economic
integration. With regard to the implementation of economic reform
policies, policy advice was provided by both the World Bank and IMF in
the formulation of economic reform policies. Projects were set up to
increase the ability of Governments to manage socio-economic policies
as well as to support the promotion of good governance.
86. Activities related to aid co-sponsoring and coordination with the
view to promoting capital flows to Africa have been carried out. The
Special Assistance Programme of Sub-Saharan Africa has been able to
mobilize over $12 billion for the period 1991-1996. Since 1991,
financial loans for development projects stand at over $3.5 billion
per year, 45 per cent being soft loans.
87. The New Agenda is consistent with the spirit of the special
programme for Africa established by the World Bank in 1989 with the
contribution of the major donor countries to support adjustments and
reforms in Africa. The New Agenda sets out priority issues that have
been forcefully promoted by the Global Coalition for Africa
established in 1991 with the support of the World Bank, and following
the Maastricht Conference of October 1990. As a major international
initiative of the early 1990s, the Global Coalition for Africa has
been conducting, at a high political level, a policy dialogue between
Africa and its development partners on a wide range of issues,
especially political and economic reforms.
88. The World Bank also established the Debt Reduction Facility with
original capital of $100 million in 1989, which was replenished by
$100 million in 1993. More recently, the World Bank has taken a lead
role in working out the possibilities of radically treating
multilateral debt owed to the international financial institutions.
89. In addition to its continued response to Africa's adjustment needs
through the Extended Fund Facility, the Structural Adjustment Facility
and the Enhanced Structural Adjustment Facility, IMF has expanded the
scope of its emergency assistance procedure, which now gives a special
consideration to post-conflict situations. The Fund, jointly with the
World Bank recently proposed a strategy to resolve the external debt
of a number of heavily indebted low-income countries, including some
in Africa.
90. A strategic approach to food and agriculture development has been
adopted, thus underscoring the need to restore the path of development
while responding to growing emergency needs. Efforts were intensified
in early warning systems for food-related disasters, with a view to
enhancing production, rehabilitating rural infrastructures, supporting
women producers, integrating food processing, trading and
distribution, and promoting horizontal and vertical diversification.
91. In support of the improvement of food security, FAO has devised
clearly focused programmes to serve the development of agriculture,
forestry, fisheries and nutrition, including the special programme on
food production in support of food security in low-income food deficit
countries and the Emergency Prevention System for Transboundary Animal
and Plant Pests and Diseases.
C. Non-governmental organizations
92. An impressive network of indigenous and international grass-roots
non-governmental organizations have supported a wide range of
developmental actions in Africa, especially in the major areas of
fostering community participation, promoting self-help employment
among rural women and the youth, uplifting the poor and protecting the
right of consumers. Across Africa, indigenous and international non-
governmental organizations have striven to empower the people by
providing credit and business inputs, improving food security,
protecting the environment, launching local credit schemes and
promoting family planning and welfare.
93. Persistent conflicts and an increased number of refugees and
displaced people have broad