To reduce inequality Angola needs to diversify its oil/diamond-dependent economy, save & invest for the future

This Article focuses on problems that face many African states with regards to integrating economic growth with social equality and becoming less dependent on natural recourses through the process of diversification. The article gives insight on the measures Angola could take to bring about equitable society that stresses the importance of good governance, sound policies and diversification. Therefore attracting investors to all sectors and not just the diamonds and oil.

Currently, the World Bank’s “Ease of Doing Business” report ranks Angola 179 out of 189 countries – See more at: http://www.un.org/africarenewal/magazine/august-2014/inequality-clouds-growing-economy#sthash.LDQqbvNp.dpuf. To reduce inequality Angola needs to diversify its oil/diamond-dependent economy, save & invest for the future

Exposing the great ‘poverty reduction’ lie

Hi guys

I found the following article from al Jazeera quite interesting, given recent debates on the impact of Aid organisations in developing countries.

in the article by Stefan Schirm, entitled ‘Ideas and interests in global financial governance: comparing German and US preference formation’, the author explores the domestic factors that influence the policy preferences of States on the international level, and in particular the different positions of the US and Germany with regard to the IMF quota reforms. what I found interesting, however is the idea that there is significant resistance from certain powerful States to expanding the mandate of the IMF to deal with broader issues of development such as Poverty Reduction.

The IMF, however is after all an International Financial Institution (IFI) and should therefore not be held responsible for development deficits outside the purview of its area of expertise.

During our class, there was debate regarding examples of initiatives by International Organisations that have transcended the traditional money-centered approaches of traditional IFI’s i.e. the Millennium Development Goals (MDG’s)

 in the featured article, Jason Hickel dispels the notion that poverty will disappear as a reality of international life any time. According to Hickel the dominant narrative that the target to reduce global poverty by half by 2015 has been one of the resounding successes of the MDGs is not correct. in an interesting demonstration of the IPE of statistics, policymakers effectively reduced the original target of 836 million to only 345 million. furthermore by adopting the higher International Poverty Line (IPL) of $1.25 a day, instead of the original $1 a day, the World Bank was able to argue that market reforms implemented in developing countries had effectively reversed a 200 year trend of increasing poverty.

I found the article interesting, since it raises the question as to the sincerity of  global initiatives such as the MDG’s to address the real impact of globalisation over the last few decades, and the real extent of global poverty and inequality. this seems to suggest to the global development discourse remains fundamentally oriented towards a money-centered and economic development approach to development, rather than a people-centered and human development approach. behind the rhetoric of global poverty reduction lies hidden the rue face of globalisation today, widening poverty and inequality gaps.  

 

Mauritius’ Bramer Bank in talks to merge with major African bank

Mauritian financial services major Bramer Bank is currently holding discussions with a major African bank for a possible merger.

The management stated that Bramer Bank has ambitious expansion plans for Africa and such a partnership would give it a major advantage in accessing new markets on the continent which are yet under-penetrated.

“The opportunity to work with a large African bank would give us direct access to a huge market where there is a growing demand for financial products and services,” says Ashraf Esmael, CEO, Bramer Bank.

Given the probable merger, Bramer Bank has warned investors to take due precautions while trading in its shares, in a cautionary announcement on the Stock Exchange of Mauritius website yesterday.

The scope of activities of Bramer Bank has grown considerably in recent years. The number of bank customers now exceed 60,000 and the bank has strengthened its position in the segments of Business Banking, Private Banking and International Banking.

http://africamoney.info/mauritius-bramer-bank-in-talks-to-merge-with-major-african-bank/

http://africamoney.info/mauritius-bramer-bank-in-talks-to-merge-with-major-african-bank/

People, Development and IFI’s

in an article published by Diane Elson in the Review of International Political in 1994 she discusses the concept of people centered development vs. money centered development and the extent to which money centered approaches have infiltrated the ruling institutions of global governance. The objective should be to place “money at the service of people, rather than people at the service of money” and to “put sand into the wheels of markets”. that sounds to me like a compelling framework for a new system of global governance.