INTER-AFRICAN DEVELOPMENT & DEVELOPMENT FUND (IADF)
By Vuka
()
About this ebook
Inter African Development is workable if only Africans can:
•Start regional conflicts through regional peacekeeping forces and by making concerted regional efforts to prevent armed involvement and material support of rebels by neighboring countries.
•Increase transportation and communication links to stimulate trade and competition a
Vuka
Studied political economy at Georgetown University. He worked for NGOs such as ICRC in some African countries and has traveled extensively in some of those African countries. He has done quite good research in those countries he traveled to. Through services for the NGOs, he acquired substantial knowledge about patterns of African social, economic, and political climates.
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INTER-AFRICAN DEVELOPMENT & DEVELOPMENT FUND (IADF) - Vuka
Primix Publishing
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© 2023, 2024 Isaac Vuka. All rights reserved.
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Published by Primix Publishing: 07/02/2023
ISBN: 979-8-89194-271-4(sc)
ISBN: 979-8-89194-272-1(e)
Library of Congress Control Number: 2022922741
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Contents
Foreword
Acknowledgments
Acronyms
Preface
Introduction
Land Use and Management In Africa
The History of Grabbing Fertile Lands
Democracy and Economics
Development Towards Sustainability
IADF Strategies for Regional Economic Development
Development Modalities
Economy Without Democracy And Security
Sustainable Development with Single Currency
Benefits of Single Currency
Printing Single Currency
Assets for Banking System through IADF
Trade Establishing Free Trade
Harmonization of Continental Trade Indices
Modalities for Harmonizing Trade Indices
How World Trade Affects Poor Nations’ Economy
Trade Imbalances Defined by Unfair Trade?
Trade-Related Intellectual Property Rights (TRIPS)
INTER-AFRICAN DEVELOPMENT & DEVELOPMENT FUND (IADF)
WITH ALTERNATIVE STRATEGIES TOWARD SUSTAINABLE ECONOMIC DEVELOPMENT FOR
AFRICA
The above statement is pregnant…. you don’t know what it will give birth to…
Jimmy Gombu
What Africans must strive for the betterment of their nations and the posterity to come?
The questions to ask are whether or not Africans are willing to become: inventors, innovators, thinkers, achievers, practical in working towards sustainable development, believers in themselves, and manufacturers of consumer goods, etc., or choose to live as survivors of continued manufactured calamities?
All rights reserved. No part of this book may be transmitted in any form by any means, electronic or mechanical, including photocopying and recording, or by any information storage or retrieval system without written permission of the author, except for brief passages quoted in a review.
The author will grant permission for translations of this book into other regional languages if consulted by the regionally spoken language groups. This book can be translated into Arabic, French, Kiswahili, Portuguese and Spanish.
Related issues in this book are:
Business and International Trade
Communication (Telecommunications, businesses, etc.)
Economics and economic policy
General Social Sciences
Globalization and Sustainable development
Philosophy
Political Science (i.e., for Comparative Politics and Political Economy)
Science (agriculture, water management, land management and issues, environmental engineering, and Technologies)
Copyright©2009 By Idro I. Isaac.
Foreword
In order to apprehend the forces of globalization, Africa and other third-world countries must realize that history has taught us enough about why there are categories of human development. The first, second, and third worlds are categorized from the point of view that their economies or civilization are not equal in rank. This has resulted in the monopolization of resources. The vast majority of the world’s resources are monopolized by a few that are from wealthy nations. To not only break the chains of such monopolization, which is a must, but crucial to maximizing the efficiency of an economy in a region by a bloc of nations could alleviate the standards of those that are economically marginalized in the global arena. The key to monopolization is exclusive titles to nature’s wealth. Forced structural adjustments are enforced privatizations upon weak economies that are extensions of those exclusive titles to nature’s wealth. There are many alternative strategies to break those bonds of monopolization within internal economies and in world trade.
The Key to weak nations breaking those bonds of monopolization is trading alliances forming into federations. Only by allying together can weak nations exercise the prerogatives of ownership of their natural wealth. What they are negotiating for is nothing less than a fair price for their resources and labour and access to technology and markets. Anything less and they are just talking heads.
If the undeveloped world understands its potential, all alone it has the power to break the powerful nations’ fascist control of the world.
The wealthy nations are hidebound by the many forms of monopolies within their economies. Not only they cannot change, but also their economies are subject to collapse as change is forced upon them. If the developing world understands all this and avoids monopolization through Wi-Fi wiring their regions, they can `quickly educate their citizenry, quickly develop, and it is they who will then be in the driver’s seat. The key is allying together to negotiate with the wealthy world. A collective agreement through a written constitution that can be enforced effectively is the key to the ethos of the economic bloc. The purpose of the foreign military (i.e., from wealthy nations) presence in a country (i.es,.) or all over the world is to prevent developing countries from gaining their freedom. The bottom line of their purpose is to enforce their system of laws upon those developing countries, which means the monopolies of the wealthy nations are to control developing countries as well as their own countries.
The key is allying together to negotiate with the wealthy world. A trading alliance is a first step to the federation. A fully federated region with a written constitution is effectively a powerful nation. Only such a federation can gain the negotiating power to offset the military power of powerful nations enforcing their system of monopoly law, and thus their monopoly control, upon the developing world.
Dr. J.W. Smith
Dr. J.W. Smith is an author and founder of: The Institute for Economic Democracy
(http://www.ied.info/)
Dr. Smith authored the following books:
Economic Democracy: The Political Struggle of the Twenty-First Century
Cooperative Capitalism: A Blueprint for Global Peace and Prosperity
Why? A Deeper History Behind the September 11th Terrorist Attack on America Two editions
The World’s Wasted Wealth 2
The World’s Wasted Wealth
Acknowledgments
Many thanks are due for the wisdom, truth, honesty, and brilliance of individuals or organizations whose works were great assets for the development of knowledge in this book. They are what I call the ambassadors of peace.
I am indebted to many of these categories of people; reporters, organizations, and researchers whose writings could help shape or change the world for the better. I owe special respect to Dr. J.W. Smith (Ph.D., Political Economist), Institute for Economic Democracy (www.ied.org) for permitting me to quote extensively from his three books. Dr. J.W. Smith’s writings that have bluntly transpired the secrets of all the geopolitical and economic forces of history between the developed and developing worlds. Dr. Funda Z. Omago Dominic (Ph.D., Political Science and Public Relations) that helped in regrouping this book’s chapters.
Anup Shah’s important, but honest research at (www.Globalissues.org) and also for kindly permitting me to quote extensively from his website, Bry Lynas, (http://tiki.oneworld.net/), for permitting me to use a cartoon describing climate change and human behavior. The Associated Press (AP) for their photos, Ms. Michelle Miller (Rights and Permissions Bureau of Publications International Labour Office), and IMF Staff (Public Affairs Division, External Relations Department, Washington, DC) for providing me with several working papers and publications, Professor Tapera Knox Chitiyo’s writing about the land issues of Zimbabwe, Baffour Ankomah (Editor, New African), Jerry Isaacs (editor World Socialist Web Site www.wsws.org), John Pike of the Global Security organization (www.GlobalSecurity.org), Courtesy of Lindy Davies, Program Director: Henry George Institute (HGI: www. henrygeorge.org) for his generosity for providing me with their organization’s pictures that depict an array of economic philosophies, Dr. Paul Kennedy (African Capitalism, The Struggle for Ascendency), Dr. John Young and Dr. Tadesse Abadi, (Ph.D., Economists) Post War Ethiopian and Eritrean Futures
1999.
Professor Robert Blain (whose research on financial exchange rates are very outstanding and gives the impression as to how the weak world currencies suffer against the hard currency, the US dollar), Peter N. Pembleton’s highlights on sustainable development. The Act Up groups, whose campaign against politicians and the pharmaceutical industries paved the way for South Africa to resolve disputes between the South African government and the pharmaceutical industries namely: (the Pharmaceutical Research and Manufacturers of America (PhRMA), companies such as Bristol-Myers Squibb, Glaxo-Wellcome, and Pfizer, which make the most widely used AIDS drugs,). ACT UP is a diverse, non-partisan group of individuals united in anger and committed to direct action to end the AIDS crisis. [http://www.actupny.org/] Dr. Ali Mazuri’s comments are also taken seriously into account; by John Bellamy Foster and M. Mamdani. Kicking the Habit; Finding a lasting solution to addictive lending and borrowing – and its corrupting side-effects International. Joseph Hanlon and Ann Pettifor, Jubilee Research, (See also, http://www.jubileeplus.org/analysis/reports/habitfull.htm). Courtesy of Ben Liu for permitting me to use the pictures he took from Ethiopia. Thanks to the krypton group (http://www.krypton.mankato.msus.edu) for their insights on comparative development models for developing countries.
Thanks to the Wikipedia: the GNU Free Documentation License. Many thanks are due to the several sources that were integral parts of this book that are not mentioned here, but are within the book.
Above all, I thank the gift of the Spirit of God for this assignment that He chose me to accomplish and for giving me a creative mind in creating this book.
Acronyms
Preface
This book draws about a deconstruction of knowledge based upon an inventive or innovative philosophy, which postulates theories, and questions several authorities with concerns about the need for enhancement of sustainable development in Africa through several alternative strategies. The ideas that have led to the creations in this book were developed through a variety of research. Although it was a simple idea, some tough questions evolved in my mind with regard to seeking some alternative strategies and solutions to the crises in Africa or reflective of other developing countries by scrutinizing the causes of those crises in retrospections of their perpetuated socio-economic and political status quo. In addition, the philosophy in this book attempts to postulate a number of approaches for enhancing development in Africa from several points of views: social, economic, political, the need to enhance science and technology across the continent.
My motivation in writing this book arose from my experience as a survivor of war and famine. I lived in Uganda, the Sudan, and Kenya; and travelled extensively to Eritrea and Ethiopia. Some of these war-ravaged countries at the certain time periods of their history (with Kenya as an exception with regard to post-colonial political stability, but anything may happen, as democracies in Africa are now termed as fragile democracies
) and others that are poverty-stricken have tremendous potentials for development with reference to their natural resources including sectors in agricultural development. However, the modalities used for one country may as well be applicable to other African countries.
The most profound motivation of my writing this book is the mind-boggling questions such as the following: who or what created poverty? Why have the frenzy of self-evident stigmas of hunger, wars, disease, and poverty been passionately romanticized on the populations in Africa or other developing countries around the globe? Thus, do we have to argue that populations in those geographical regions are dearly loved or it is just exercising double standards? If there were any genuine democratic and industrial development packages for African countries from industrialised countries, then industrialised countries must stop covert policies towards African governments or exploiting their natural resources through plunder. However, there is need for developed countries to implement policies that provide industrial packages to locations of natural resources in Africa so that African governments can own those appropriate industries in order to become self-sufficient in manufacturing goods from the wealth that is available.
Furthermore, has poverty been politicized by the rich to oppress the weak and the poor in developed or developing countries? Do some African governments use poverty or images of poverty such as advocating squalors of slums or huge population of beggars in their cities to attract foreign aid? When we talk about human rights, has it been the human rights of those who use poverty as weapons to oppress the poor? On the other hand, did the poor peoples of the world choose their human rights of being poor? Have the industrialised nations with the good boys (i.e., puppetized African politicians) repented of their Sins of plunder by trade, greedy attitudes, power-thirst, manipulation (through collusion) and dominance over the economically weak developing countries?
The question is whether or not; have these so-called poor people in those geographical regions been given opportunities to develop themselves, determine their destinies rather than destinies being determined for them by external economically powerful nations, and in alleviating those self-evident stigmas? Why have several cartel groups, the western governments, and mass media propaganda focused on issues of poverty in Africa or the third world rather than implement monolithic approaches to tackle those issues once and for all? Whereas the aforementioned stigma resounds as axiomatic, however, they could have been alleviated if industrialized nations agree to open up markets by eliminating trade barriers and share their technologies with those impoverished nations. However, is there something of peculiarity when the people in industrialized countries point fingers at the developing countries as repositories of abject poverty while poverty also exists in the industrialized nations? If the preceding questions hold to these negative connotations or anomalies (i.e., hunger, wars, disease and poverty), must there be an understanding or analysis of the offshoots of those anomalies from their vague perspectives?
The sensitive feelings for these vague perspectives have led to my thinking of seeking alternatives to put an end to the vices of war, famine, poverty and their root causes at once. If the preceding anomalies are alleviated, Africa may become a utopian continent where all her people will live in harmony. Also, I have had many questions in mind as to: why don’t Africans create an economic and monetary institution or at least a financial infrastructure that can redress the continent’s economic shambles and relinquish dependency on foreign aid?
Why don’t African governments embark on establishing heavy industries, but remain dependent on industry-intensive laboured goods from industrialized nations rather than manufacture those goods within their borders or continent? Why do some African leaders embezzle government funds that are meant to service infrastructural development in their countries and bank the funds into western banks? Why are the stolen funds not used for servicing social welfare or infrastructure development, but African governments leave such services to the management of foreign Non-Governmental Organizations (NGOs)?
Why do oil-producing countries such as Nigeria, Angola, Sudan, Chad, etc., may still want to continue receiving loans from the World Bank? Has the World Bank become a new economic colonial power? Why don’t industrialized countries want to share their technologies with Africa or other economically marginalized developing countries, but keep them dependent? Why are billions of dollars spent on space exploration programs or waging wars in developing countries to change governments in those countries while the majority of people in Africa and other developing world lack essential basic needs? After the Second World War, why have wars been transferred to third-world countries or are now being fought in developing countries? Are those wars fought to promote businesses of the industrialised countries or they are fought in order for those who live in peace and harmony to write books about the miseries that result from such wars? Why do industrialized countries live in peace and harmony while the third world countries oftentimes engage in anarchy? Why have millions or billions of dollars been pronounced for African countries’ development without ever solving the continent’s crises or have never seen economic sustainability of the regions? Why, while people in the industrialized nations go dieting for weight loss, the people of Africa or other developing countries are impoverished and starving to death? Has food become foreign policy of the industrialized countries towards third world countries? Why has democracy, governance or trade not been fair in Africa and internationally?
Why does Africa lag behind in every aspect of economic development i.e., trade and competition in the international market arena? Whether or not, are Africans and the other third world countries part of the problems and solution to their problems? Why have African governments been problems to themselves and not part of solution to their problems? Why do African politicians want foreign governments solve their problems? Why arms sale is encouraged for the destruction of civilization and human lives? Is it the human rights of those industrialized countries that manufacture arms for sale to developing countries their motifs to gauge for the destruction of civilization and lives so that those countries remain underdeveloped? Moreover, are these wars and destruction in developing countries, excuse for industrialised countries for taking advantage of the misery of those nations that suffer the brunt of the manufactured instabilities? Why don’t some African political leaders act responsibly and oftentimes want to hold on to power for many years? Are they self-imposed imperialists or agents of foreign cartel groups and secret agents? Why have the supporters of economic growth or economic promoters
, the World Bank and IMF failed than promote sustainable development in most developing countries?
In addition to all questions I have asked, I have had to research and share some thoughts about aspects of the continued economic grievances of the third world countries that oftentimes stems from marginalization at the national (self-inflicted actions that lead to continued status quo) or international levels. The research investigates with emphasis on trade, why African trade with international partners has not been prosperous, but resulted in stalled developments in various sectors. Whether or not the social, economic and political syncretism should be the school of thought to reconcile the minds of corrupt practices of the various African countries’ political leaders or to shield from those who corrupt them in the event of striving for a unified sustainable economic development across Africa?
The ordeals of writing this book had its impetus from the constructive criticism made by some friends and colleagues whose criticism helped mold the creation of this book. Nevertheless, having received some valuable advises and assistance from Dr. Tadesse Abadi Woldo, (Ph.D., Economics), it was my commitment that led to the success of this book. I’m especially thankful to Professor J.W. Smith of the Institute for Economic Democracy, whose willingness to provide me with extensive quotes from his three books, gave a boost to the development of this book. The three books written by J.W. Smith have transpired the deep-seated loopholes set by the developed nations through foreign policies, the multilateral financial groups, and other imperial centres. Professor Smith’s economic bibles (books) have shed light on to the retrospections of the geopolitical and economic problems that have captured the philosophies employed by many of the manipulative policies imposed upon developing countries by the developed countries.
I give credit to His Excellency Nelson Mandela for having presented a copy of the first draft of the manuscript of this book to the various African intellectuals and presidents. The draft, which I sent to HE Nelson Mandela, was then developed into the New Economic Partnership for African Development (NEPAD). Therefore, NEPAD is required to be expedited in order to achieve broader socio- economic and political developments in/among African countries. I do believe that some of the ideas in this book will give insight to citizens in countries that are willing to envisage development by revolutionizing every sector of industries or are at the verge of reforming social, economic, and political issues. I have also looked into some Spiritual aspects of the socio-economic and political developments in Africa through the rebirth of knowledge. For it is written in the Holy Scriptures, Joel 2:28, 29: …I will pour out my Spirit upon all of you! Your sons and daughters will prophesy; your old men will dream dreams, and your young men see visions. And I will pour out my Spirit even on your slaves, men and women alike.
Also, about knowledge and wisdom, in Isaiah 45:3, I will give you treasures from dark, secret places; then you will know that I am the Lord
Last, but not least, I dedicate this book to Dr. J.W. Smith, Anup Shah, and Dr. Tadesse Woldo for their honest material support for my research work. Furthermore, my dedication goes to my parents (late Lavinia Keri and Paito Drajoa; late Severino Adalla Idra and Widow Thereza Tipili), and relatives who gave me the opportunity to go to school by paying for my education. In addition, my dedication goes to my siblings and kins: Mario Tundax Keri with family, Simako Simba Kunga Tongu Keri with family, Augustine Modi with family, Masmo Issa with family, Julius Besexbay Iggu, late Martin Iwa, Thereza Drasa with family, Simon Lodu Keri with family, Edward Mawadri with family, Sylvestre Ojja, Charles Tani, Janet Kareo with family, etc. who are survivors of war and famine. Also, my heart goes to survivors and victims of African wars and famine. I hope this book will be helpful, as a sourcebook for modern Africans or other third-world countries in rediscovering their strengths and potentials within their weaknesses or mindset. It is a development tool, that millionaires or billionaires can use for developing and protecting an empire.
Ontario, Canada
© 2009 by Idro. I. Isaac
Introduction
The rediscovery of politics or economic independence are not invariably intact of the social vices of the past decades of colonial and postcolonial periods in Africa. In fact, the first independence of African nations was the liberation based upon political victory over external colonial powers. The second liberation attempted to curtail the influence of economic colonialism (i.e., external imperial centers), which is defined by globalization and the internal self-inflicted oppressive forces that have led to inadequacies in domestic forces resulting in the declining national economies of many African countries. The third elements that can be addressed are the need for reforms in economic policies with regard to issues of liberalization, democratization and sustainable economic development programs, which in a long run may result in an emergency of solid capitalist African economies of the regions.
Blocs of nations can envision solidarity economics; implement political union and economic independence through economic democratization, as there are some economic blocs that already exist. The regional economic blocs of nations such as the Asian and Pacific Economic Cooperation (APEC), Association of South East Asian Nations (ASEAN), European Union (EU) and the North American Free Trade Agreement (NAFTA) have all leaned towards integration of their economies. The economic apparatus of such integration as the EU and NAFTA for example, have benefited the members in partnership trade agreements.
Should African nations deserve the opportunity or support of the international sympathizers in helping those willing nations solve their persistent problems in areas of socio-economic and political platforms through economic integration or by revolutionizing every sector of industries? Then should imposing monetary programs alone, which have interest orientation towards multilateral monetary systems as well as Multinational Economic Corporations that are by virtue economic sympathizers
, be adequate solutions to the axiomatic or looming problems of African economic framework or disintegration? Should African countries remain defendant on foreign aid only and continue with Structural Adjustment Programs, which some analysts criticize as being sources of impoverishment to Third World countries? Structural Adjustment Program (SAP) is an economic policy imposed on a country so that the country in question may qualify to receive financial assistance from international financial agencies such as the International Monetary Fund (IMF) and the World Bank. However, SAP has become a recipe for an economic shamble on recipient countries. How has Structural Adjustment program affected the economies of countries in Africa and what could an economic institution such as the Inter-African Development Fund do? Also, what would Inter-African Development mean to African countries?
Furthermore, we know that: ‘Forced structural adjustments are enforced privatizations upon weak economies are extensions of those exclusive titles to nature’s wealth’ (J.W. Smith). Another argument to consider is whether or not has the history of extractive western industries sympathized with Africa’s economic framework or aggravated it through plunder of their natural resources and by trade? What would sustain economic development mean for Africa or any other Third World countries? Chapter (1) addresses the history and land issues in Africa. Chapter 18 addresses the theory behind the Inter-African Development Fund (IADF).
Theory: African states may have a conceivable institution such as the Inter-African Development Fund (IADF*), which should function as a framework for an economic and monetary union. Its agenda should be working hand in hand with the New Partnership for African Development, African Development Bank and the regional economic communities. It should operate as an African capital backbone, a developmental fund, which should strengthen regional capitalism with broader spectrum of documents. Moreover, other strategies are to project strategic economic development programs and agreements that may foster governments in counterbalancing the possible risks of globalization on the continent.
These postulates for launching alternative strategies can be workable in enhancing African development in wider spectrum, if the preceding questions highlighting African problems can be answered. The illumination of the postulate aims to bid for negotiations with multilateral financial institutions and trade organizations in areas of financing (should now be in kind, for example providing wealth processing mechanisms such as factories), debt forgiveness, lowering or scraping off trade barriers, scraping off dependency on foreign aid and in relocating funding in kind (e.g., machinery or technologies) for industrialization or for development of corporate culture. Also, there is need for inter- regional economic communities to encourage African governments the practice of good governance. Nevertheless, what can the role of governance play in the various areas of economic development within economic bloc of nations? These in turn will give rise to the prudential acts by the various governments in monitoring their economic, social and political development anomalies.
In order to enforce rule of law that will govern finances, a formulation of an African economic infrastructure or establishment of monetary institution that should monitor regulating financial programs through Banking, harmonization of consumer price index, stock markets, harmonization of manufacturing sectors, and harmonization of corporate taxes across the continent will have some promising impacts towards sustainable economic development. The formulation of an autonomous African economic and monetary institution will enable the creation of a strong single currency for Africa, which will have potentials in redressing public or private sector confidence in performing business within national and international firms.
This economic and monetary program (i.e., IADF) could emulate programs such as those established by the European Union or the NAFTA economic policies, as there are greater tendencies of globalization threats towards weaker economies around the globe. One of the principal strategies of IADF is to establish single African currency, which should stem from economic viability of all the countries in the event economic integration programs are suitably good to implement.
Single currency with strong buying power and economic strength will also be a precaution against vulnerability to pegging of African nations’ currency to any currencies with known economic strength, as this will increase purchasing power of the single currency considerably. Pegging process in most African countries with exception of some has had profound advantages and disadvantages. First the advantages to countries that have pegged currencies to the US dollars or Euro for example, gain strength when those currencies gain strength resulting in high purchase in goods and services. Secondly, the same countries with pegged currencies are at disadvantage when the US dollar losses strength, resulting in higher expenditure in purchase of goods and services.
The establishment of a