Africa’s Fast Growth

Take Tanzania for example, it didn’t have a clear productive economic strategy in the 70s and 80s. The economy floundered for over 10 years. Nord and company wrote about the lack of progress: “In 1985, Tanzania was in severe economic distress, plagued by widespread shortages and high inflation. Agricultural production, the mainstay of the economy, had been declining steadily since the 1970s.” It is clear that the decade before devaluation and conflict reduction. Countries in Africa were not progressing. The accumulation of foreign exchange was not embraced with vigor. They were not able to purchase the raw material and equipment to produce for growth. Even though, many of the African countries did not devalue their currency. This understanding of monetary instruments was key. It was used to provide the incentive to produce and was the lesson from those that did devalue.

The International Monetary Fund has a mandate to assist in the resolution of the balance of payment between nations. If a country does not have the funds to make payments to another country, they lend money to the country, to make payments. Now, it is focusing more on development and poverty alleviation. It seems that it wants to now resolve, the issue of these countries. Providing economic expertise and leave these countries alone to develop as they see fit. It looks like that a sense of urgency has overtaken them to help develop these countries. But, the issue of developing rests with the governments. The governments have to get their act together and make it happen.

The struggle of these governments is with nature itself. They need to learn to transform nature. The need to acquire information regarding nature is essential, its Earth science on a global scale. The information about nature and products that can be produced from nature, abound in Universities and books. Just as the Europeans acquired information from African libraries regarding the world map, before they went out to discover and conquer. It is the same way many countries are developing today (not that they are going out and conquering). The countries in Africa, even after tremendous progress, needs to acquire greater information about nature and its own recent successes and build on those successes.

The need to research, gather information, study it and apply it, in these countries, is essential to development. Sometimes it’s not the lack of information but, the lack of will and commitment to make the investment in human capital with the ideas. This also applies to projects, when it is doable and sound. Providing incentives for those with ideas has to be part of the package of development. Many will not provide their ideas just to provide them or that they are needed. Many African governments want those in the Diaspora, to contribute, to the development of projects for the countries. Yet will not provide them with any realistic incentives for their ideas. But, these same governments will give tax breaks to foreign companies. The tax incentives seem to work for the companies. The governments need to find out what will work for those in the Diaspora. To provide ideas and concepts that will work. It cannot just be lip-service as it has been in the past. Those in the Diaspora can bring information and ideas that can affect the entire country. This depends on their field of study. Those that only have middle school and high school are very unlikely to contribute except in remittances.

How do these governments and people transform their countries to produce from resources that are considered neutral-stuff? To transform that country into areas that are man-made and women shaped. That is the contest that these countries face; with time itself due to population growth. It requires good goals and the right strategy to achieve those goals. Education is a key priority of the governments. The increase in children that attend elementary schools has steadily increased since the 90s. Education will play a large role in development of the continent. Without it there is not going to be much development. The process started in great force in the first part of the decade and is ongoing. It should be possible to expand education as time goes on.

The goal of education and jobs for most people is desired but there is no strategy that has been developed to attain the most in this area. The desire for jobs and education is there but the resources are not. In some cases it is poor policy that is a constraint. In others it is the lack of funds. With a clear well thought out strategy it is not difficult to develop Africa, due to the tremendous physical and human resources that exist on the continent. Singh and others (2009) cites the fact that Accounting is very important in banking and business income statements: “Better accounting and auditing would therefore be a key requirement. In many SSA countries, however, the accounting profession is not well regulated, and the quality of accounts vary widely, hampering transparency” (p. 4). This shows that one can point to any field and there is room for improvement. When goals are set, there is not enough resources, to attain them in all areas. Building of universities and colleges will help, once the basic education is addressed. Africa is looking at another 10 years, before large numbers are better educated. In Equatorial Guinea for the first time the Universidad Nacional de Guinea Ecuatorial are graduating medical Doctors. This was done with help of Cuba. This was not possible in the 90s. But the process is starting.


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