Africa and its International Environment: Taking up the Challenges of Aid Quality and Competitiveness
Aid flows need to increase, but aid also
needs to be more effective!
High expectations surround the G8 summit in July this year,
where significant action is expected to be taken to provide
further debt relief, underpin pro-poor trade liberalisation and
generate more aid. Yet the aid system remains highly
fragmented. Over the past two years, new initiatives to simplify
procedures and practices, to focus on delivery of development
results, and to adopt common arrangements for sector-wide
approaches and budget support which allow for greater
reliance on national systems and improved donor co-ordination
have made uneven progress. Projects remain the dominant
mode of delivering aid, often channelled through donormanaged
parallel structures. Historical ties and strategic
interests continue to determine aid allocation, turning some
recipients into “donor darlings” or “donor orphans”.
Aid flows should also be made more predictable and thus
contribute to effectiveness. Only a minority of bilateral
donors now provide future aid commitments. Volatility in
aid flows deeply compromises the ability of African
governments to plan future public expenditures – and to
undertake the strategic incremental investments required
to meet long-term development objectives.
In parallel, local ownership of the reform program needs
to be fostered, taking into account recipient-country
diversity, including their capacity to absorb aid, ability to
raise internal or external resources, and special
circumstances such as shocks or conflicts.
African competitiveness needs to be enhanced
The Doha round of multilateral trade talks started in 2001
with the promise of reducing agricultural subsidies in
developed countries and tearing down the trade barriers
that hinder market access for African goods. Progress so
far has been very limited, especially on agricultural
liberalisation. Despite the impressive efforts to reform the
cotton sector undertaken by Benin, Burkina Faso, Chad and
Mali the persistence of cotton subsidies elsewhere has
depressed world prices and damaged their cotton industry.
From January-July 2004 a new agreed framework emerged,
which calls for the elimination of export subsidies, in particular in the cotton sector, and the reduction of tradedistorting
domestic support and substantial tariff reduction.
A specific timetable for the implementation of these
measures, however, has yet to be decided.
The lifting of quota restrictions on trade in textiles and
clothing from the beginning of 2005 is likely to pose a
problem for textile-exporting countries in Africa. These
– North African countries, Mauritius, Madagascar and
Lesotho – will face competition from Asian countries, in
particular China. African exports are specifically vulnerable
since they are concentrated in the US and EU markets and
in formerly quota-restrained products where competition
is set to intensify following the removal of textile quotas.
Preferential treatment of African textiles on US and EU
markets might not make a big difference any more. The
elimination of textile quotas on a global scale will make
preferential treatment of African textiles by the US (AGOA,
Africa Growth and Opportunity Act) and the EU (EBA,
Everything but Arms) far less supportive of African
competitiveness and the attractiveness of African countries
for foreign direct investors in the textile sector should be
dented as a result.
Increased competition from Asian countries in the textile
sector is an illustration of the broader competitiveness
challenge to be taken up by African countries if they are to
gain manufacturing global market shares.
African Economic Performance in 2004:
A Promise of Things to Come?
by Nicolas Pinaud and Lucia Wegner
Policy Insights No. 6 is derived from the African Economic Outlook 2004/2005, a joint publication
of the African Development Bank and the OECD Development Centre
Africa and its International Environment Taking up the Challenges of Aid Quality and Competitiveness - To learn more about this author, visit OECD Development Centre's Website.
Like this article? Share it with your friends
![]() | |
| |
No article feedback found. |
| |
Leave Your Feedback |
|
| |
| |||
Anne BarrAnne Barr has over 26 years experience in sales and marketing, six years as a franchisee. She has assisted over 367 business owners and purchasers to achieve their goals in career change, transition and exit strategy. She holds the designation of Certified Franchise Executive from the International Franchise Association, Certified Business Intermediary from the International Business Brokers Association and Board Certified Broker from the Texas Association of Business Brokers. Anne is active in professional organizations, networking groups and volunteers for non-profit entities. As owner/operator of four successful businesses, Anne has proven people skills and enjoys helping clients find the right "fit" in business ownership. Visit www.FranchiseOpportunitySpecialist.com for more information about me and my company. - Visit Anne Barr's Website |
|||
Cheryl MatthynssensCheryl is a life skills coach, licensed Chemical Dependency Counselor and a 20 year entrepreneur. Cheryl's dedication to achieving a life of balance led to her expanding her teaching from the simple managing of life's daily challenges to adding financial well being as well. A direct marketer with DrinkACT, she is gaining ground in the online community with her concepts of making sure business owners, entreprenuers and employees have well rounded life styles. She opened up a small affiliate site - The Balance Guide- to help others find resources for mental and emotional well being. Visit Cheryl's blog to see more of the diversity beyond business she has began offering online at www.thebalanceguide.blogspot.com - Visit Cheryl Matthynssens's Website |
|||
David BarrDavid Barr is the President of Venture Opportunities, Inc. David has been a professional business broker/intermediary since 1980 focusing on General Business Brokerage and Mergers and Acquisitions representing client transaction value from $400,000 to $20,000,000. Mr. Barr has handled the sale of over four hundred and fifty companies. David earned a university degree from the State University of New York majoring in economics and business. David holds the Mergers and Acquisition Master Intermediary and the Certified Business Intermediary designations from the International Business Brokers Association. He is also a Senior Business Analyst and a Texas licensed Real Estate Agent. For more information about David and Venture Opportunities, visit www.bizdealmaker.com. - Visit David Barr's Website |
|||
George LudwigGeorge Ludwig is a recognized authority on sales strategy and peak performance psychology. An international speaker, trainer, and corporate consultant, he helps clients like Johnson & Johnson, Abbott Laboratories, Northwestern Mutual, CIGNA, and numerous others improve sales force effectiveness and performance. Though it's George's strategies and processes that help corporations increase productivity and performance, it's his tremendous energy and dynamism that spark the transformation. Again and again, clients remark on his amazing ability to unleash human capacity and inspire men and women to break out of their comfort zones. The result is a whole new type of salesperson. His customized presentations teach achievers to make stunning advances in their lives. From helping salespeople realize cherished dreams to helping corporations exponentially accelerate revenue streams, George Ludwig leaves audiences and individuals empowered, emboldened, and clamoring for more. George is the best-selling author of Power Selling: Seven Strategies for Cracking the Sales Code and Wise Moves: 60 Quick Tips to Improve Your Position in Life & Business. - Visit George Ludwig's Website |
|||
Jay Kubassek(Jay's Full Bio: EvanCarmichael.com/jaykubassek) In five years, Canadian-born entrepreneur Jay Kubassek went from selling mufflers at a Midas franchise to revolutionizing Internet marketing with the 2004 launch of CarbonCopyPRO, a online marketing education company, now worth over $20 million with customers in over 160 countries.
As an independent film producer, his upstart film fund Aliquot Films is currently producing a films with Spike Lee and Abel Fererra (starring Ethan Hawke and Dennis Hopper.)
Jay's entrepreneurial spirit is irrepressible. He’s the owner of five companies, a professional speaker and trainer, international real estate developer/investor, extreme sport enthusiast and emerging philanthropist. Jay resides in NYC with his wife Jamie, son Milo and dog Cooper. Visit Jay's official website: www.JayKubassek.com - Visit Jay Kubassek's Website |
|||
|
To learn more about the Evan Elite Author Program please contact us. | |||
![]() | |
![]()
| |
![]() | |
|
| |
![]() | |
|
| |
![]() | |||||||
|
![]() | ||
|
| ||
![]() |
| Have you written articles that would be of value to entrepreneurs? Become an expert on our site by publishing them! Expose yourself to a wide audience, drive more traffic to your website and get more sales! Click Here for details. |
|
|
![]() |
| Modeling the Masters: Learn the true secrets behind Walt Disney's business success factors & grow your company! Video produced by Phanta Media |
|
|
![]() |
"Learn straight from Evan how you can Make a Full Time Income (And More) from a Website"
Click Here To Learn More |
|
|
|
|
Get advice & tips from famous business owners, new articles by entrepreneur experts, my latest website updates, & special sneak peaks at what's to come!
|
![]() |
|
|
![]() | ||
|
The Top 10 Guy Kawasaki Posts
Best Posts for Entrepreneurs | ||
|
Top 50 Business Plans
Top Business Plan Blogs | ||
![]() | ||
![]() | ||||
| ||||
| ||||
| ||||
|
|
|
|
|
||||||||||||
|
|
|
|
|










Subscribe to OECD's articles











