Poverty it is in Africa, the continent less industrialized is Africa. The worst is that it is also the continent where there are less investments however logically, with the assets which the nature of this continent offers, it should be a profusion of investment in this blessed continent of the gods.

This blog, each week will publish various articles that will make it possible, to analyze these facts according to the outlines and who knows, can be found resulting with these problems.

Topic : Africa’s damned continent but a potential investment

1. Introduction

2. Possible explanation

3. Four possibles future

4. Africa’s potential investment

5. Reviving investment in Africa

6. Conclusion ( summary)

http://www.unctad.org/infocomm/francais/countries/pays.htm#carte

http://planetevivante.wordpress.com/2008/06/04/nombre-impressionnant-de-tornades-aux-etats-unis/

http://www.rfi.fr/actufr/articles/061/article_32913.asp

http://www.wwf.be/fr/juniors/doc/dossiers/dossier_forets-tropicales.htm

Four possibles futures

www.nigeria2025scenaros.com

http://www.alinstitute.org/project_Background/nigeriaOverview.aspx

http://www.trustafrica.org/

Africa’s potential investment

http://www.un.org/ecosocdev/geninfo/afrec/vol12no1/annan01.htm

Reviving investment in Africa

http://www.uneca.org/cfm/21/ecamin_i.htm

The Asia part got very poor ground. No oil, no minerals, besides of that there were so many natural disasters like earthquake, flooding.

Face to those issues, the asian needed first of all, to survive after, findind ways to overcome those states of fact. That’s why, they are so intelligent today despite the disfavour they got. Japan is number one in technology and China perhaps in the close future will replace USA in the head of the world.

Europeans with the bad weather needed to find way to avoid death and also to overcome naturals issues. Nowadays we can see where they are.

American also don’t have chance. They often undergo the damages of hurricane with as result many death. But that doesn’t avoid them to be on top of the whole world.

Africa is the single part after division of the big ground, blessed by god. Africans got all nobody can hope. Fertile ground, Profusion of ressources, The best weather in whole world which allows the renewal of that ressources. Forest,

rivers, many various animals,

and fruits.

Africans didn’t need to walk far or work hard to find something to eat. But look at us todays. It’s disapointing.

I think this is simple to explain. It’s like children. When you get a child and give him all he want without showing him how to get it by hiself, he will never learn how to get it. He’s gonna always stay and thinks that everythings will come from the sky. That’s why, i think Africa is ever behind those who learn to survive. May be Africans need to face to worst situation before change thier mind, i don’t know. I always ask myself the question. don’t think i’m pessimistic. No, i always try to fing a real explanation and effective solution.

You know if we want to change our seemingly bad fate, we have to change this mind we get today and, be fair and interdependant with our brothers. We must stop to care on our own interest, stop to want to do things in the black, i mean more transparency in actions we do. Stop corruption, stop to be lax towards rules, stop to hate our brothers from different ethnic group. We need to instill those values in our mind. We’re new generation, Africa of tomorrow will be what we want it to be.

I attended on Thursday, may 15th to a presentation of a movie done by africa Leadership Institute in collaboration with Leap Africa. The projection was in the buildings of TrustAfrica, an NGO based in Senegal. The purpose of that video is to, show what can be the Nigeria tomorrrow if its populations keep continuing behave like they are doing now. Bear in mind that, Nigeria is one of country in africa getting many ressources and it is currently the second country more corrupted of the world.

The video suggest four differents future for Nigeria which are:

• Parambulator

• Shine your eye

• Jaga Jaga republic

• We don win

Parambulator

A wise man once said that ‘insanity is doing the same thing over and over again and expecting a different result!’

In 2007, mass complaints and a civil strike followed the contentious elections. But government moves to legitimize itself and focused on 3 key areas:

The Niger-Delta issue, Electoral and Judicial Reforms and a social programme; HEEPS

Nigerians are charmed by the resulting infrastructural upgrades …and a new song is heard across the land:

‘Nigeria Na We Own O! We Go Make Am Beta O!’ But, on the political front, a dark specter looms…

The President with financial support from the private sector wins the 2011 election by a narrow margin.

Government implements some basic improvements …but broader economic and social reforms are deadlocked in the National Assembly

Despite that, government continues with its liberalization of the economy removing subsidies on petroleum products and education.

Tax evaders are jailed as tax payments become closely monitored. As a result available public utilities and commodities become unaffordable.

Angry workers who lost their jobs in the reforms turn against the Government. The opposition candidate seizing the opportunity promises to bring back “enjoyment”, heavenon earth… and ‘chicken in every pot’. He wins the 2015 elections

Heavy spending and corruption empty the treasury, the economy declines, unemployment soars and many skilled workers leave the country.

In 2020, as an unprepared government looks on, Nigeria is hit by an outbreak of polio and drug-resistant TB.

As the 2023 elections approach, donor funds are diverted to finance the elections. Nigerians see no point in voting. Many sell their votes. The ruling party candidate wins. More talk and less action continues.

Benefits of past reforms vanish. Inflation soars, and Jobs disappear.

By 2025, Nigeria is the 8th most populous country in the world. Three-quarters are poor, living on less than $1 a day, while 90% of the wealth is held by less than 2% of the population.

For 18 years, Nigeria has gone round in circles, doing the same thing and expecting a different

Result. Nigeria progressed, regressed, re-progressed and re-regressed.

This is how we go round in circles, from where we are to where we are.

Shine your eye

Whoever said salvation was free has not visited Nigeria in 2025!

In 2007 Constant power supply was a distant memory… Nigerians were caught between ignorance & malnutrition on one side…and brutal crime and destruction on the other… There was little to show from decades of official schemes, initiatives and programmes.

Desperate, Nigerians searched for relief from the misery of their daily existence. “Salvation” was delivered. But at a price…

In early 2008, concerned that the escalating Delta Crisis could spread insurgency all over, the President created the high level Internal Security Estimate Committee to deal decisively with the Crisis.

He proclaimed a State of Emergency across the Federal Republic. ISEC’s influence grew as insurgency was crushed and the Niger Delta secured within weeks with overwhelming force and foreign support. Dissidents and activists were detained or simply ‘disappeared.’ A massive military presence remained to maintain stability and secure vital oil installations.

Bold actions continued. In a first for the African continent, the ministerial and Directors- General positions for the restructured Ministries were advertised domestically and internationally, producing competent and energetic cabinet.

A core set of strategic reforms were initiated at the heart of which was the War against Ignorance & Indiscipline, known as (WAII). The arrest, trial, conviction and execution of a senior Director-General for corruption, by a WAII Tribunal demonstrated the administration’s uncompromising attitude towards corruption.

Free healthcare to nursing mothers and children under five was guaranteed under “the Nigerian Child Programme of 2009 “ resulting in noticeable reduction in infant and maternal mortality rates by 2011. The Lagos-Benin Expressway and other high ways were rehabilitated.

Electricity supply improved significantly with proper investments in power plants

However, these gains were marred by an erosion of Nigerians’ freedoms. A new digital National ID card became compulsory for access to any government service. Citizens reported corruption to security forces In time, all transactions were monitored via the central database.

While, WAII Tribunals dispensed swift, harsh justice, Nigerians rejoiced for lower corruption, better infrastructure and social services consequently returning the incumbent to power in the 2011 election that was carefully managed by ISEC.

Nigeria’s manufacturing sector received special attention and financial support in the

Manufacturing; Rehabilitation; Retooling and Re-skilling Programme

The administration proceeded to expand its powers, Introducing two constitutional amendments to provide for greater Federal control over State and Local Government finances and to remove term limits of office. A huge propaganda campaign and political intimidation ensured that the proposed amendments passed.

Years of stable oil & gas revenues enhanced Nigeria’s credit-rating. FDI continued to grow and the economy enjoyed a consistent 10% annual growth.

By 2019, Nigeria’s per capita GDP reached $1,700, tripling the figure of 2005. Over the next decade, schools were completely reinvented, while ICT-enabled Expert-Centers provided relevant education.

A new employable generation of youth emerged with entrepreneurial skills In 2020, as government’s ability to deliver the social services was challenged, a new Family Size Limitation Act was introduced which limited the number of children per couple to two and withdrew al sservices from families who chose to have more.

Angered by the State’s invasion of their bedrooms & rallying around a strong faith-based opposition movement called CARD Nigerians opposed the Act as unGodly, unNigerian and unAfrican..

Government in response banned all unlicensed public expressions of Religion. But inspired by CARD & yearning for true freedom, young hackers launched sabotage attacks and crippled the surveillance system.

For almost two decades, Nigerians traded their personal freedom for a strong and stable economy, a halving of poverty levels and greatly improved social services.

Salvation appears to have come to Nigeria in 2025; But is it worth the price?

Jaga jaga republic

In 2025, Nigeria, the Heart of Africa, lies battered, bleeding and shattered. Nigerians are scattered as refugees and strangers in foreign lands, Following contentious elections in 2007, the administration took numerous steps to improve its credibility, while Nigerians adopted a ‘siddon look’ attitude.

The engagement with the Niger Delta which began with some hope, quickly turned into an unending round of consultations with no concrete resolutions. Promised improvements in utilities were forever “in the pipeline”. The administration seemed to have been captured by other interests. Nigerians disappointed, resigned themselves to the familiar “god-dey” culture.

Cynicism, apathy and helplessness set in.

The god-fathers, financiers and influence-peddlers stepped in to consolidate their stranglehold on the country. Nigeria’s riches were sold off and concessioned behind closed doors to a tiny but powerful cabal of Nigerian businessmen and their foreign collaborators who became obscenely reach with high global commodity prices.

Schools, hospitals, housing and sanitation deteriorated. Malaria continued to be Nigeria’s deadliest child killer and HIV proliferated unchecked. Unemployment worsened, as few jobs were created. The gap between rich and poor grew.

In the Niger Delta, a special privately-financed ‘Delta force’ was created to protect oil installations and rich families as the crisis escalated and attempts at resolution crumbled.

But, the 2011 elections returned the ruling party to power. Voters lost interest in the process as cross-carpeting decimated the opposition. Cronyism and corruption continued unchecked.

Suffocating under the weight of horrible social conditions, Nigerians turned to their religious and ethnic leaders. Strong sectarian sentiments were fuelled and communities began killing each other in a bitter struggle for resources with impunity. Children were not spared.

Under an atmosphere of violence and intimidation, the 2015 elections with the lowest voter turnout ever, was won by the incumbent.

The Niger Delta exploded and top politicians were targeted by the militia Foreign oil installations were attacked, with their workers kidnapped and killed. Oil companies pulled out of Nigeria.

Anarchy spread across the federation, and Nigeria became ungovernable. The bloody military coup of 2019 succeeded only in controlling the Federal Capital under the name of Military Government of Nigeria. As the Federal Republic collapsed warlords renamed their territories:

Republic of Arewa, Biafra, Oduduwa, Niger Delta and so on…

Aid organizations were overwhelmed by the sheer scale of the humanitarian disaster as regional countries shut their borders to stop the millions of fleeing Nigerians.

It’s 2025 and Nigeria is Jaga Jaga: a country only in name, shattered and broken!

We don win

The year is 2025 Nigerians are now living the declaration on their coat of Arms – “Unity & Faith, Peace & Progress”.

The road has been rough and strewn with formidable barriers, but Nigerians have learnt there is no gain without pain.

In the President’s first months in office, his tough stance on corruption and cronyism posed a serious threat to the “big men” who had expected ‘business as usual’. They attempted to remove him. But, for the first time in Nigeria’s history, men, women, boys and girls came out in droves to challenge the attempt to remove a government that at last appeared to be working for the people.

The big men retreated. Nigerians celebrated the success of their ‘people power.’ It was the dawn of a new era.

Emboldened government shifted into higher gear with a series of Quick Strike Actions…

1) A Systemic programme to eradicate corruption under which political and financial crimes were quickly prosecuted as a result of which many former governors, senior officials & collaborators were imprisoned.

2) Strengthening of institutions, starting with the police force. Community trust in the police began to grow as discipline grew in the force.

3) Overhaul of the education system starting with a “Feed and Read” Programme for primary children by 2010. School attendance figures showed a dramatic improvement, especially for girls.

Government spearheaded a national moral and values reorientation programme. While Spiritual and Community leaders drafted a Peace Compact for a Moral Nigeria. The code was reinforced by government through the re-introduction of civic education in the national curriculum.

Encouraged by an aggressive campaign to stamp out the militants and prosecute their sponsors, leaders in the Niger Delta, formed a Peace, Security & Prosperity Movement which collaborated with government to form a joint force to patrol creeks and villages to fish out criminal gangs.

The Niger Delta became safer for the construction and rehabilitation of utilities. Investments began to return. Taking full advantage of the stability in the oil sector and strong global oil prices, investment in infrastructure was accelerated, expanding the job market.

In late 2010, Nigeria celebrated one month of uninterrupted power supply. It was the brightest Ramadan and Christmas in decades.

In 2011, the ruling party campaigned on the strength of its track record and the quality of its candidates. The elections were hotly contested. Millions of Nigerians braved the hot sun and pouring rain to vote.

The ruling party candidate won with a slim margin, in what was judged a free and fair election. INEC’s independence was respected.

The Government placed economic diversification at the top of its agenda. Regional growth strategies created enabling environments for: solid minerals and cooperative agriculture in the North; oil and downstream derivatives in the South; Science, technology and manufacturing in the East; tourism in South; and the service hub of West Africa in the West.

In support of the economic and political reforms, university staff and students took up the baton of public accountability, launching a TV expose titled – ‘I Spy’ – aimed at uncovering corruption at all levels.

The education reforms and moral reorientation yielded results. By 2015, all social indicators had changed for the better and poverty levels had declined. Unemployment reduced, Cooperative agricultural initiatives increased food production. Women empowerment schemes improved women’s status in society

As the country’s progress attracted a flood of economic migrants from neighboring countries who put a strain on the nation’s social services; There were cries that “Foreigners Must Go!” In the run up to the elections, social issues, immigration and regional integration divided the parties. The opposition won on the back of what appeared a better solution for the immigration issues in a credible, free and fair election.

On the strength of its regional growth strategies, the non-oil sector became the greater contributor to revenue earnings. Nigeria became the manufacturing hub for West Africa; and the financial services centre for Africa. Nigerians’ entrepreneurial energy was unleashed.

The 2018 massive flooding in coastal areas which led to diarrhea and cholera outbreaks killed over 200,000 people in a matter of months. Without the health reforms, the death toll would have been much greater.

As the nation united in shared sorrow, the Government focused on further institutional reforms to improve disaster response and address inequality. The incumbent won a fiercely contested 2019 election, securing victory only after the second round of voting.

Spurred on by strong leadership and a unifying national identity, with great pride, Nigeria won the World Cup in 2022 – the first nation outside Europe and South America to do so.

In 2023, Nigeria secured a permanent seat in the UN Security Council, serving as the true voice of Africa. It is leading the process of African integration through the AU.

In 2025 Nigeria is a model for African democracy with a diversified economy and a vibrant productive population who are proud to be Nigerians. It is admired globally for the remarkable progress achieved in just two decades.A new day has begun in Nigeria!

The African Giant has risen! Our agenda for change

Adopting and implementing zero tolerance for corruption across all levels of our society. Becoming Nigerians first rather than primarily a member of a tribe, religion or State. Re-entrenching strong positive values in our society.

Establishing and defending strong Institutions to eliminate the “big man” mentality, godfatherism and patronage. Demanding bold, accountable and visionary leadership.

Resolving the Niger Delta crisis quickly, equitably and permanently.

Replacing a debilitating ‘God-dey’ attitude with active and constructive participation in the affairs of our country.

Accelerating the diversification of our economy.

Investing in Nigerians through radical reforms in health, education and social safety nets.

Creating a friendly and secure environment for investment whilst always keeping our country’s interests in focus.

Rebuilding our physical infrastructure – power, roads, rail, water and communications.

www.nigeria2025scenaros.com

This movie focus on nigeria but is only an illustration of what afrca is. We need to change our mind, our ways of behaving if we wand to move forward and stop to be the followers of rest of the world.

]]> http://ulyssefotso.wordpress.com/2008/05/24/four-possible-futures/feed/ 0 ulyssefotso http://ulyssefotso.wordpress.com/2008/05/12/reviving-investment-in-africa/ http://ulyssefotso.wordpress.com/2008/05/12/reviving-investment-in-africa/#comments Mon, 12 May 2008 14:53:30 +0000 ulyssefotso http://ulyssefotso.wordpress.com/?p=10 ]]> Since 1980, extensive efforts have been directed at generating economic recovery in Africa. However, little attention has been given to the need to promote investment, although investment is essential in any country in order to: (a) increase employment; (b) reduce poverty; and (c) enhance economic growth. Furthermore, in order to feed and provide its growing population with productive jobs, African countries must raise the levels of domestic savings and investment. Unfortunately, policy makers do not tend to give much practical attention to such a link between investment and socio- economic progress. Policies currently being implemented or considered, no matter how genuine, cannot revive the continent’s ailing economies unless they accord investment the attention it deserves.

Although there are several explanations for the continent’s poor economic performance since 1980, the low levels of domestic investment is a major causal factor. Gross fixed capital formation has declined in Africa, from a total of $76.3 billion in 1980 to $58.9 billion in 1989.

A major cause of the poor state of investment is the very low level of foreign direct investment (FDI), which is the main form of foreign private capital inflows to Africa. These inflows averaged only $2 billion annually between 1981-1985 and $3 billion between 1986-1990, accounting for only 3 and 2 per cent, respectively, in the total inflow to developing countries. The average annual growth rate for the second half of the decade is only half that of the first (table 1).

African countries have failed to substitute the declining trend of FDI with increasing local investment because of a number of factors, such as the low level of domestic savings as shown in table 2. The African savings ratio in the 1980s was about 63 per cent that of the Asian average. For the empirical evidence on most of these, see Abebe Adera, The Financial Sector and Economic Development: Reflections on Africa, Finafrica – Cassa di Risparmio delle Provincie Lombarde (CARIPLO), Milan, 1994; and the Global Coalition for Africa, African Social and Economic Trends, December 1993, pp. 25-26. Aggregate savings are low because of low per capita incomes, low exports/GDP ratios, high and variable inflation rates, low interest rates, poor financial intermediation, relatively high aid flows, which are negatively correlated with domestic savings in some countries, and high birth rates which increase the proportion of the population under 15.
There is also a strong influence of negative net transfers on national savings. ECA, “Revitalization of investment for Africa’s development: Prospects in the 1990s and beyond”, background paper for the Ad hoc Expert Group Meeting, 29 November – 1 December 1993. Net transfers were not only negative throughout the 1980s, but their share in gross domestic savings rose from 14 per cent in 1980 to 25 per cent in 1990.

Indeed there are many efforts that are made in order to overcome this problem of investment in Africa. There are also many institutions established in Africa that focus their energies on reviving investments as we ca notice by this article above from http://www.uneca.org/cfm/21/ecamin_i.htm

Things that constitute a brake of those efforts are ways to behave.

“Africa’s profitability is one of the best kept secrets in today’s world economy,” UN Secretary-General Kofi Annan declared a week later, on 12 July in Algeria, at the annual summit meeting of the Organization of African Unity. he noted that Africa also has experienced impressive economic growth rates in recent years, despite the effects of ongoing conflicts, the Asian crisis and depressed commodity prices. Nevertheless, he said, “most chief executives of multinational companies never look in detail at the prospect of any African country. They know Africa only from a few headlines or the odd minute of television news, which show a continent disfigured by conflict.”

While a “gross distortion” for Africa as a whole, negative image has a basis in reality in the wars and economic difficulties that continue to afflict some countries. African leaders therefore “have an obligation to help change that reality,” he affirmed, while at the same time highlighting the investment opportunities that currently exist.

This article above is only a support, to show that Africa is a kind of unknown goldmine. There are many ressources and oppurtunities here, but little investment. Some institutions that are awared on that, use only ressources of the continent without trying to replace or without trying to develop the ground. But is it means that nothings are done against this situation ? That’s what we are going to see in the next part dealing with : reviving investment in Africa.