NORDIC TRUST FUND FOR GOVERNANCE北欧国家治理信托基金.pptVIP

Partnerships Cooperation Unit (ORRU) Partnerships Cooperation Unit (ORRU) Partnerships Cooperation Unit (ORRU) INCLUSIVE GROWTHChallenge of a Generation? Steve Kayizzi-Mugerwa,Director, Research Department (EDRE) AfDB Partnership Forum April 2012 Inclusive Growth Background (I)—the challenge of a generation? A response to recent expressions of people/youth power, including the Arab spring, occupy Wall Street movement, etc. Conditions that ignited the “Arab Spring” can be found in many other places in Africa. Is inclusive growth “the challenge” of our generation? If seen as a mere recycling of past initiatives we would have failed to harness the power of the moment. * Inclusive Growth Background II—What is New? 50 years ago, newly independent African Governments believed strongly in “inclusive growth”. Much later still, emphasis was put on policies, markets, and politics (Poverty Reduction Strategy Papers etc.) In plotting the way forward, what have we learnt from past successes and failures? The risk of repeating past mistakes is real. * Inclusive Growth Background III—Stability and Growth Africa has witnessed among the highest growth rates since independence in the 1960s. Countries such as Cote d’Ivoire, DRC etc. have returned to growth. Africa, least affected by recent global crisis (mainly because demand for its resources remained high). The African middle class is expanding, as are its consumer markets. 4 Inclusive Growth Background IV—Growth Benefits Uneven The impact of recent high growth on poverty has been uneven/patchy. Structure of growth—from resource extraction and services, capital intensive and “enclave” like (vs BRICs—labor-intensive manufacturing. Africa’s has high level of inequality—only second to Latin America (blunts the impact of growth on poverty reduction) Burden of unemployment falls on the youth 5 Inclusive Growth Looking Ahead I: To Do List Need to renew emphasis on economic and political governance Make Regional Membe