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1. African Integration: Resetting the AU-REC Relationship – Policy Options Beyond the Kagame Reform

Author:
Raheemat Momodu
Publication Date:
09-2017
Content Type:
Working Paper
Institution:
Social Science Research Council
Abstract:
This policy brief explores the relationship between the African Union (AU) and African Regional Economic Communities (RECs), particularly the challenges of coordination, division of roles, and shared responsibilities that are important in facilitating greater synergy within this relationship for accelerated continental integration. These challenges are particularly of note given the current attempt to reform the African Union. Although the proposed reform suggests a clear division of labor between the AU and RECs, member states, and other continental institutions, more inclusive consultation and planning are required to strengthen the application of the principle of subsidiarity and shared responsibility in the project of African integration.
Topic:
Regional Cooperation, Integration, African Union, and African Regional Economic Communities
Political Geography:
Africa

2. SACU Revenue Sharing Formula: Towards a Development Agreement

Author:
Masedi Motswapong and Roman Grynberg
Publication Date:
07-2012
Content Type:
Working Paper
Institution:
Botswana Institute for Development Policy Analysis
Abstract:
The South African Customs Union (SACU) Revenue Sharing Formula (RSF) has been revised substantively twice; once in 1969 and in 1994-2002 since the creation of the customs union in 1910 and each time the changes in the treaty were a reflection of the historic changes occurring in Southern Africa. The apartheid regime created a RSF that served to increase the share of revenue of Botswana, Lesotho and Swaziland (BLS), leaving the South African share as a residual of revenues. As this made South Africa a residual claimant it was unsustainable and required reform in the post-apartheid era. The 2002 formula increased the share to the Botswana, Lesotho, Namibia and Swaziland (BNLS) and removed South Africa as a residual claimant but did not change the fundamental economic relationship between members. While the International Monetary Fund (IMF) supports orthodox fiscal adjustment imbalances this paper argues that the order of magnitude makes those adjustment implausible and a new political arrangement is needed between South Africa and Lesotho and Swaziland to create a viable way forward for Southern African Development Community (SADC). It is argued that even in the case of Botswana and Namibia a new developmental formula, based on investing SACU revenues for regional and national development projects is needed to relieve those countries that have suffered the effects of polarization.
Topic:
Development, Regional Cooperation, Regional Integration, Economic Development, Integration, and Economic Cooperation
Political Geography:
Africa, South Africa, and Botswana