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To achieve these objectives, the EU must take into account the different political, economic, social and environmental trends in Africa (Chapter 1) and the basic principles which should govern the relationship between the EU and Africa (Chapter 2). On this basis, the EU should pursue a three-pronged strategy (i) to strengthen EU support in priority areas, (ii) to increase EU financing for Africa and (iii) to develop and implement a more effective EU approach (Chapter 3).
There are many paths to growth. Recent evidence points to the sustainable exploitation of natural resources and agricultural development, and the investment in human resources combined with the creation of a sound investment climate as central drivers of growth.
Africa has several resource-rich countries , mainly concentrated in Northern and Southern Africa and the south of the Great Lakes region and around the Gulf of Guinea. The growth performance of these individual countries has been rather uneven. In the southern belt, some countries have been able to turn these resources into a sustainable source of income and growth. Experience in Botswana and South Africa, for example, shows that, when the right set of policies is in place, mineral extraction can lead to sustained growth. The recent and rapid increase in oil prices has also brought about exceptional performances in other parts of Africa, including the economies of the Gulf of Guinea. In 2004, for example, real GDP growth per capita in Equatorial Guinea was 31.5%. The resulting influx of foreign capital has brought opportunities as well as political and economic responsibilities to convert the new wealth into sustainable development. The results of the exploitation of resources other than oil and gas differ. The Democratic Republic of Congo (DRC) has the third highest average potential hydropower output in the world after China and Russia, but only two percent has yet been developed. By contrast, Mozambique has gradually become a major exporter of electricity.
Agricultural commodity-dependent African economies often rely on a very narrow range of exports. This leaves them highly vulnerable to long-term price decline and to fluctuations in the world prices of such commodities. From 1980 to 2000 the real price of sugar fell by 77 percent, cocoa by 71 percent, coffee by 64 percent and cotton by 47 percent. Unlocking agricultural growth will involve both increasing output and addressing the overall vulnerability and volatility of the sector. The improvement of the yields in cassava and rice production in west Africa is a good example of the first option. In eastern African countries like Kenya, Uganda and Ethiopia diversification into non-traditional agricultural exports is being pursued with some success and in Kenya horticulture has become the fastest growing sub-sector in agriculture. Rapid expansion of fish and fish products exports in Senegal, Tanzania, Kenya and Uganda, when sustainably developed, contributed to a successful diversification of production.. There is also scope for more regional trade. Even a landlocked country , such as Mali, could become a major rice exporter in the west African region through enhanced trade and regional integration.
Just as with peace and stability and with trade and growth, the picture in Africa is extremely varied when it comes to human development. A line of poverty cuts across the entire continent. However, different socio-political contexts and different government policies mean that development outcomes still vary considerably between countries and regions. This is, for example, reflected in indicators for inequality, education and health, although similar patterns of regional diversity can also be found in the areas of gender (in)equality, access to basic services and environmental sustainability.
While several African countries have managed to record impressive economic growth, a highly unequal distribution of income often prevents this growth from having a positive impact on poverty levels. There is therefore not necessarily any link between the overall prosperity of a country and its performance in terms of sustainable development, decent work opportunities and poverty reduction. The category of strikingly unequal societies includes many poor countries, such as Sierra Leone and the Central African Republic, but also wealthier countries like Lesotho, Botswana and South Africa. The most extreme case is Namibia, which has one of the highest levels of inequality in the world. Relatively even distributions of income are found in countries like Ghana and Uganda, where growth also has been more strongly linked to sustainable poverty reduction.
Not least against the background of continuously strong population increases, employment creation remains one of the major challenges for social development and poverty reduction. However, the employment situation remains worrisome in most African countries. The vast majority of all new jobs for young labour market entrants in Africa are in the informal economy, with low productivity and income, poor working conditions, lack of career prospects and with little or no social protection. Women and ethnic minorities in particular continue to face disproportional difficulties on the labour market. At the same time, child labour remains a frequent phenomenon in many countries and constitutes an important income base for many families. In Sub-Saharan Africa alone the number of young people looking for work is expected to increase by 28% in the next 15 years, equivalent to 30 million people.[iii]
Gradually, literacy rates are improving in Africa. Progress in primary education has been recorded in some of the poorest countries such as Burkina Faso, Benin and Eritrea, with overall numbers of children in primary school in Sub-Saharan Africa increasing by 48 percent between 1990 and 2001. Broadly speaking, enrolment rates in primary education show that southern and eastern Africa lag somewhat behind the rest of Africa. However, when it comes to secondary education, the Sahel countries Niger and Chad fare particularly badly, with enrolment rates well below 10%. Within those countries, rural areas tend to fare worse and certain groups, such as girls, disabled children and orphans, remain particularly marginalised.
Communicable diseases have placed a heavy burden on many countries and regions across Africa. The HIV/AIDS pandemic has hit southern and eastern Africa hardest: there is also a more limited, but growing, epidemic in west Africa and it is only the countries of north Africa that have so far escaped any large-scale impact. Adult prevalence rates range from under one percent of the population in Senegal and Mauritania to over 25 percent in Swaziland, Botswana and Lesotho, where the pandemic has wiped out decades of development efforts and considerably decreased the average life expectancy. However, despite these devastating diseases, Africa continues to record rapid demographic growth, ranging from 2.2 percent to 2.8 percent per year. If this rate of growth were to be sustained, Africa would be home to not less than 2 billion people within 40 years
The perception remains in some quarters that environmental protection is something of a luxury in Africa. Yet, evidence shows that environmental degradation often contributes to poverty and when forests disappear and water is exhausted or polluted, it is often the poor of Africa, especially children and women, who suffer most. Promoting sustainable natural resource management is thus a politically, socially and economically sound development strategy for Africa.
Soil erosion reduces the productivity of land, requiring farmers to apply more and more fertilizers and other chemicals that help check falling productivity. Land degradation is intricately linked to poverty and addressing this problem requires the participation of the resource users and, where appropriate, providing them with alternative livelihood options. A recent study estimated that desertification processes affect 46 per cent of the African continent and a total of almost 500 million people: the worst affected areas are along desert margins (see map).
The Lom I Agreement, signed in 1975, was the first framework agreement with the countries of Sub-Saharan Africa , as part of the ACP group of states. This pioneering agreement already included principles such as partnership, the contractual nature of the relationship and the long-term predictability of financing. Following a number of subsequent Lom Agreements, in 2000 the EC and its Member States concluded the Cotonou Agreement for twenty years with the 48 countries of Sub-Saharan Africa. The Cotonou Agreement, revised in 2005, combines a political dimension with trade and development issues in a single comprehensive framework. South Africa , while a signatory of the Cotonou Agreement, concluded a separate parallel ambitious Trade, Development and Cooperation Agreement (TDCA).[v]
Equality. The emergence of the AU and the RECs on the one hand and the consolidation of European integration on the other have created a new and more symmetrical institutional framework for relations between Europe and Africa, between the EU and the regional and continental institutions. Equality implies mutual recognition, mutual respect and the definition of mutual collective interests.
Partnership. This more balanced relationship has implications for the notion of partnership. First, between the EU and Africa. The EU is not only a donor of development aid, but also a political and commercial partner. Its relations with Africa therefore not only encompass development issues, but also include broad, concrete and constructive political dialogue. The EU can offer Africa lessons learned from its experience of continental integration, regional and social cohesion, institution-building and policy development. This partnership must also be based on mutual responsibility and accountability, which includes the mutual respect for human rights and fundamental freedoms. Second, with the rest of the world. As the EU and Africa share basic values and objectives, such as a more multilateral world order, fairer global development and the promotion of diversity, they must be strategic partners in the international community.
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