Opinion
Why African Philanthropists Seek ‘Africapitalism’
Perhaps the best-loved African philanthropist is Mohamed Ibrahim, the billionaire from Sudan who made his fortune in mobile phones and who travels the continent advocating for the poor and trying to persuade political leaders not to steal from government coffers. He sponsors the Ibrahim Prize, founded in 2006, which offers US$5 million to an African leader who promotes democracy and leaves office peacefully.
Earlier this year, Ibrahim told a reporter that the main purpose of the award is “to encourage leaders to leave,” because otherwise democratically-elected leaders might attempt to change the nation’s constitution to allow them to stay in office.
He also created the Ibrahim Index of African Governance, which ranks Africa’s 54 governments according to how well their policies invest in education, attract private sector investment, and avoid corruption. Ibrahim founded Celtel, which introduced mobile phone technology to Africans. There are about 400 million mobile phones in Africa today.
Some “philanthro-capitalists” are working with governments to push for business-friendly policies that can help drive the economy by dismantling barriers that stall shipments of goods. A few are helping to train entrepreneurs. Elumelu’s African Markets Internship Programme pairs students from elite business schools abroad, such as the Wharton School of the University of Pennsylvania and the London Business School, with students from Africa to work in executive suites of businesses across Africa, a 10-week programme that serves as a pipeline for entrepreneurial talent. The programme could bring “brain gain” to economies that have traditionally seen only brain drain.
“The fate of the African economy rests on the shoulders of a new generation of entrepreneurs and corporate leaders, both of whom are represented in this internship programme,” Elumelu said.
Meanwhile, even Harvard University is getting in on the act. In August, Harvard Business School professor Michael Porter, known as the father of modern business strategy, led workshops for interns and lectured on strategy to Nigerian business and government leaders.
Africa currently has the world’s highest concentration of rapid-growth economies. Such approaches to philanthropy – practised mainly by Africans for Africans – could help rev up Africa’s economies, while touching the lives of hundreds of millions of Africans.
By Steven Barboza
