Stakeholders advocate financial solutions, inclusive growth for Africa
Stakeholders advocate financial solutions, inclusive growth for Africa
Some economic stakeholders have emphasised the importance of creating financial solutions and ensuring inclusive growth on the continent.
They said this on Sunday at the 2024 African Economic Conference (AEC) in Gaborone, Botswana.
The stakeholders spoke during a plenary session on the High-Level Development Dialogue: Global Economic Trends and their Impact on Africa.
Prof. Abhijit Banerjee, the Ford Foundation International Professor of Economics at the Massachusetts Institute of Technology, emphasised the need for Africa to navigate global economic trends to achieve inclusive growth.
Banerjee said that Africa should enhance resilience and chart a transformative development path, adding that addressing climate challenges by focusing on the highest producers and consumers should be paramount.
According to him, the high polluters are the rich countries in the West, but there is increasing inequality within countries, including those in Africa.
Raymond Gilpin, the chief economist and Head of Strategy, Analysis, and Research at UNDP Africa, touched on the importance of creating financing solutions for African development.
Gilpin emphasised the need to leverage African financial deposits globally, which are estimated at 1.6 trillion dollars, without affecting credit ratings.
He called on African governments to ensure that decisions and policies engender growth and development on the continent rather than being legacy-oriented.
Read Also: Taraba governor presents N429 budget to state assembly
Also, Hanan Morsy, Chief Economist and Deputy Executive Secretary, Economic Commission for Africa (ECA), urged African economies to shift their focus from vulnerability to leadership in the renewable energy sector.
Morsy said that the continent’s economies should leverage their significant potential in solar, hydro, and wind energy.
She advocated for a policy framework that attracted investors by offering a favourable business environment, clear regulations and certainty in profit repatriation.
Morsy said that the African Continental Free Trade Area (AfCFTA) would help to create a harmonised investment framework and address the continent’s energy gap.
Meanwhile, Prof. Kevin Urama, Chief Economist/Vice President for economic governance and Knowledge Management, African Development Bank (AfDB) Group, emphasised the need for economic diversification to mitigate external shocks, particularly climate change.
Urama decried the current climate finance system, noting that it fails to support vulnerable countries.
He and called for Africa to develop its adaptation strategies, including leveraging carbon markets.
