“Without transforming the agriculture sector and investing in it, Rapid and Inclusive growth in Africa will remain a tall order,” were the words spoken by Dr. Agnes Kalibata, President for the Alliance for a Green Revolution in Africa, at the Africa Forum on Inclusive Economies in Nairobi, Kenya.
The forum is an initiative of the Rockefeller Foundation, the African Development Bank and the United Nations Economic Commission for Africa that started from 8th-9th December 2014 and was being held at the Nairobi’s Windsor Golf Hotel and Country Club.
Africa Forum on Inclusive Economies brings together key thought leaders and policy makers to interrogate and push the agenda of advancing Inclusive Economies in Africa. This forum is organized at a time when Africa is witnessing momentous transformation and positive economic trends.
However, African economies are still largely based on primary agriculture and extractive industries with minimal shift towards increased manufacturing or labor-intensive job creation.
Speaking in a plenary dubbed, “The Great Debate: Inclusivity or Rapid Growth”, Dr. Kalibata challenged the forum participants to rethink on how to have effective and supportive policies that will steer inclusive and rapid growth in Africa. She said that both the private sector and governments have a key role to play in policy formulation and regulation needed for effective growth.
“Growth in Agriculture is equivalent to 3-4 times growth in any sector in world. Agriculture contributes more than 30% of Gross Domestic Product (GDP) for most countries in Africa and therefore remains the key to bringing rapid and inclusive growth to most of the economies,” added Dr. Kalibata.
Despite the steady growth in Africa within the last decade that has seen Africa’s GDP averaging at 6%, over 40% of African household still existing below the poverty lines. This happens in the context of inequality in access to education, health services and jobs.
“7 of the world’s fastest growing economies are African, yet inclusivity and rapid growth still remains a challenge,” said Dr. Mamadou Biteye, Managing Director Africa Regional Office at the Rockefeller Foundation.
The need to invest in smallholder farmers was also eminent as the debate progressed and accessibility to quality inputs, market for produce, good soils and soil management techniques, innovative finance tools and other resources needed for sustained agricultural production.
African farmers were found to be using non-modern techniques in their production process and this limits their productivity. “If a farmer cannot be able to produce at least 3 tons of maize per hectare, how will this farmer be sure of accessing the needed inputs?” asked Dr. Kalibata. She also advocated for access to the cash economies for Africa farmers. “80% of Africa’s farming population is still locked outside the cash economy,” remarked Dr. Kalibata.
ICT tools and the wider telephony network in Africa were also seen as some of the opportunities that should be tapped into so that Agriculture growth is increased to a least the optimal level. “If we don’t take advantage of ICTs in Africa in whatever sector, we would be wrong,” she posed.
Inclusive and rapid growth seemed to be possible but needed participation from all the stakeholders. Moreover, this needs investment in the right sectors of the economy those will help Africa spring out of the still visible poverty levels. There is need for capacity in terms of human resource personnel who can be working in the identified sectors that will spur Africa into and inclusive and rapid growth.
Inclusivity should be across board involving private and public sectors, the disabled, men and women and should happen at the point of creation of wealth not only at the point of wealth distribution. Africa is indeed rising and opportunities are there to make it succeed in becoming a rich economy.
While officially opening the conference, H.E Mr. Uhuru Kenyatta, the President of the Republic of Kenya noted, “I share the conviction that we can develop a common understanding of the opportunities and agenda for inclusive economies in Africa, and that we can encourage new practices of inclusion and equality on the continent.”
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