Opinion
Africa: Why Addis Still Matters More Than Davos
Analysis by Liesl Louw-Vaudran
Last week, the world’s rich and influential once again gathered in Davos, Switzerland, for the annual meeting of the World Economic Forum (WEF) – an event ‘committed to improving the state of the world,’ as the WEF slogan goes.
Discussions covered everything from youth unemployment, new technology and banking to the environment and politics. Among the high-profile speeches that hit the headlines were those by President Hassan Rouhani from Iran and Israeli Prime Minister Benjamin Netanyahu. But it is essentially a business-driven event; quite rightly so, one could argue, since the CEOs of the huge global corporations who met in Davos more or less rule the world.
On the eve of the summit, a report by Oxfam stating that the planet’s 85 richest people have as much wealth as a staggering 3,5 billion of its poorest, cast something of a shadow over the event at the Swiss ski resort. Inequality is often talked about but easily forgotten in such a setting, reported Christopher Dicky, one of the moderators at Davos in a blog that was published on the US-based news site, The Daily Beast.
Africa wasn’t absent from the summit. The WEF organisers are increasingly conscious of not portraying the gathering as a ‘talk-shop’ event for the rich – especially after violent protests from anti-globalisation groups pretty much ruined its image these last few years. Though representing only a fraction of world GDP, Africa was certainly invited; and not only because Liberian President Ellen Johnson-Sirleaf’s and Nigerian Finance Minister Ngozi Okonjo-Iweala’s colourful outfits provided a respite in a gathering dominated by suits and ties.
During his speech, Nigerian businessman Aliko Dangote urged investors not to shy away from the continent and ‘not to wait until the next election’ because many of Africa’s perceived risks are not ‘real’. South African billionaire Patrice Motsepe was also at the forum, where he announced a $10 million donation to fighting HIV/Aids on the continent.
Unfortunately for Africa, however, inasmuch as business is booming and its growth rates are of the highest in the world, politics and conflict still pose a major obstacle to ensuring everyone on the continent prospers. Business people are not (yet) running the show.
In 2013, after a year of high drama in Mali, with French troops driving Al-Qaeda militants out of the northern desert-region of the country, the simmering conflict in the Central African Republic (CAR) exploded into a full-scale civil war with devastating consequences. In South Sudan, the friction between the country’s president, Salva Kiir, and his erstwhile deputy, Riek Machar, has now plunged the country into a conflict that has reversed almost all of the development gains that the fledgling state has made since independence in July 2011. Even though these can be seen as isolated crises, they cause huge damage to Africa’s image amongst investors.
