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81. From bear to bull? Sub-Saharan Africa and Global Capital Markets

Author:
Sam Jones
Publication Date:
01-2008
Content Type:
Policy Brief
Institution:
Danish Institute for International Studies
Abstract:
The current boom in global commodity prices and the expansion of Chinese interests in sub-Saharan Africa are part of a general warming of external investors to the region. This policy brief examines trends in commercial financial instruments such as equities, bonds and commercial bank lending and their impact on economic development. It reviews the nature and behaviour of these instruments in developing countries compared with more traditional development finance, such as foreign aid. This provides a foundation for analysing past and present trends in sub-Saharan Africa. It is argued that, like many other low income countries in the past, sub-Saharan Africa has received negligible inflows of external commercial financing. If anything, the region has been additionally excluded from these flows due to very weak levels of financial sector development even compared to other low income countries. At the same time, recent changes in global and domestic conditions mean that the situation is evolving rapidly. There is mounting evidence to show that many economies in sub-Saharan Africa are enjoying significantly expanded access to commercial external capital flows. Given good prospects that this trend will continue, the playing field for traditional donors is likely to alter significantly. The brief concludes by reflecting on how donors might respond to these emerging policy challenges.
Topic:
Development, Markets, and Non-Governmental Organization
Political Geography:
Africa and China

82. 'These young men show no respect for local customs': Globalisation, youth and Islamic revival in Zanzibar

Author:
Simon Turner
Publication Date:
03-2008
Content Type:
Working Paper
Institution:
Danish Institute for International Studies
Abstract:
In recent years there has been a revival of Islam in Zanzibar, with heated debates about the nature of Islam and its role in society (Lodhi and Westerlund 1997, Gilsaa 2006). While Islam played a central role in society until independence in 1963, it was effectively removed from the public sphere by the socialist government after independence. Since the 1980s, however, Islam has again become a central issue in the public sphere, albeit in new forms. Like elsewhere in Africa, local forms of Islam are being challenged by a number of new reformist and revivalist kinds of Islam, influenced to some degree by a global Islamic revival, but shaped by the particular, local histories and politics. This has caused some friction – especially as the regime in place seeks to manipulate these tensions for political benefit. However, as it will be argued in this paper, the kind of Islamic revival taking place in Zanzibar is far from radical or violent. In fact, Islamic revivalists often coin their critique of the state in terms of human rights and good governance and provide an alternative modernity that at once challenges and articulates with secular, liberal forms of modernity. Hence, the present paper explores how global trends in Islam – but also global discourses on Human Rights and Good Governance – influence the current modes of Islamic revival in Zanzibar.
Topic:
Civil Society, Government, Human Rights, and Islam
Political Geography:
Africa and Zanzibar

83. Sustainability standards and coffee exports from Tanzania

Author:
Freedy T. M. Kilima, Jeremiah Makindara, and Evelyne Lazaro
Publication Date:
03-2008
Content Type:
Working Paper
Institution:
Danish Institute for International Studies
Abstract:
One of the key trends characterizing agro-food trade in the last two decades has been the increas-ing complexity of public and private standards that are applied to imports into developed countries. This paper aims to identify critical areas to facilitate compliance with sustainability standards in coffee, which is the major traditional export crop for Tanzania. Coffee experienced a dramatic downward trend in world market prices that led to a decreased contribution to foreign exchange earnings in producing countries in the early 2000s. Although prices have improved over the past few years, economies that are dependent on traditional agricultural exports such as coffee need strategies to ensure stability in export earnings. One of the possible venues for increased agricultural export value is through exports to niche markets, such as coffee that is certified against one or more sustainability certifications (e.g. Fair Trade, Utz Certified, Organic, and Rainforest Alliance).
Topic:
Agriculture, Environment, and International Trade and Finance
Political Geography:
Africa and Tanzania

84. (How) does aid Work? A Literature Review of Aid Effectiveness Welfare Studies

Author:
Tina Maria Jensen
Publication Date:
12-2008
Content Type:
Working Paper
Institution:
Danish Institute for International Studies
Abstract:
Despite several decades of development aid, economists generally agree that on average, most developing countries have experienced no or only little economic growth: while a limited number of countries particularly in South East Asia have experienced a rather significant growth, most African countries have had very limited or in some cases even negative economic growth. Only two of the 47 Sub-Saharan African countries, Botswana and Equatorial Guinea – both low in population – have reached annual growth rates of 7% over the last 15 years, while only nine countries have managed a growth rate above 2%. Moreover, 21 of the African countries have experienced negative growth, while on a global scale, just five countries have reached an annual growth rate of 7 % or more over a 15 year period (1985-2000) (Clemens et al. 2004:9-10).
Topic:
Civil Society, Development, and Economics
Political Geography:
Africa and Southeast Asia

85. EU and the Comprehensive Approach

Author:
Eva Gross
Publication Date:
12-2008
Content Type:
Working Paper
Institution:
Danish Institute for International Studies
Abstract:
EU efforts at implementing a comprehensive approach – and what it has termed Civil-Military Coordination (CMCO) – must be understood in the context of both the growth of the EU as a security provider by means of civilian and military crisis operations under the European Security and Defense Policy (ESDP), and of a changing security environment in which state failure and international terrorism increasingly require both civilian and military solutions. Operational experience in the Balkans, sub-Saharan Africa and more recently Afghanistan has further demonstrated the need to combine civilian and military crisis management in order to address security challenges that include the fight against organized crime, the need to reform the police and justice sector, or the provision of military forces on a short-term basis in support of larger peace-keeping missions.
Topic:
Security and Defense Policy
Political Geography:
Afghanistan, Africa, and Europe

86. An Accounting Method-Based Cost-Benefit Analysis of Conformity to Certified Organic Standards for Spices in Tanzania

Author:
Evelyne Lazaro and Adam Akyoo
Publication Date:
12-2008
Content Type:
Working Paper
Institution:
Danish Institute for International Studies
Abstract:
Certified organic farming has emerged as a market channel providing participating African small-holders with access to high value markets in the EU. The benefits may include not only a guaranteed produce market, but also premium prices, and higher net revenues. Where training in organic farming techniques is provided there may be also benefits in terms of increased yield. The major cost challenges are those for certification, although in many cases donor support to exporters is available to cover these.
Topic:
Agriculture and Markets
Political Geography:
Africa and Tanzania

87. Between Bureaucracy and the People: A Political History of Informality

Author:
Keith Hart
Publication Date:
11-2008
Content Type:
Working Paper
Institution:
Danish Institute for International Studies
Abstract:
I explore here the dialectic of formal and informal economy in the context of 'development' discourse over the last four decades. It would not be hard, in post-colonial Africa for example, to conceive of this dialectic as a war waged by the bureaucracy on the people, allowing informal economic practices to be portrayed as a kind of democratic resistance. Yet, however much we might endorse the political value of self-organized economic activities, there are tasks of large-scale co-ordination for which bureaucracy is well-suited; and the institution's origins were closely linked to aspirations for political equality, even if historical experience has undermined that expectation. So the task is not only to find practical ways of harnessing the complementary potential of bureaucracy and informality, but also to advance thinking about their dialectical movement.
Topic:
Economics, Globalization, and Political Economy
Political Geography:
Africa

88. Localizing Private Social Standards: Standard Initiatives in Kenyan Cut Flowers

Author:
Lone Riisgaard
Publication Date:
09-2008
Content Type:
Working Paper
Institution:
Danish Institute for International Studies
Abstract:
Since the mid-1990s a range of Southern social standard initiatives have emerged, including in the African horticultural industry. In this paper I analyse two Kenyan standard initiatives in the cut flower sector – a business initiative and a multistakeholder initiative. I investigate how inter-national social standard requirements are 'localized', and how standards are played in different ways by different stakeholders in order to gain influence and to further specific goals. The analysis shows that when the standards are negotiated and performed, the power relations that exist both between local stakeholders and along the global value chain (GVC) for cut flowers are reflected and reproduced. The analysis further reveals a general tension between a focus on private social standards (PSSs) as a technical tool to achieve social compliance based on outcome standards, and a focus on PSSs as a means of enhancing the process through which workers claim their rights. This tension is clearly reflected in the fact that when the multistakeholder standard is endorsed by other local standard initiatives, it is to the exclusion of the multistakeholder institution and to the exclusion of the participatory auditing methodology – the main vehicle through which process rights are promoted. Placing the local standard initiatives in the context of GVC governance, this paper also illustrates how local standard initiatives can be seen as indirectly playing into the governance agenda of retail buyers, because local standards (particularly multistakeholder standards) offer better insurance against conflict and create necessary consensus and 'back-up' from critical voices, both locally and in buyer markets.
Political Geography:
Kenya and Africa

89. South Africa's Medical Brain Drain: Myths, Facts and What (not) to do

Author:
Jon Mortensen
Publication Date:
07-2008
Content Type:
Working Paper
Institution:
Danish Institute for International Studies
Abstract:
A global shortage of health professionals makes it relatively easy for doctors and nurses from poor countries to emigrate to rich countries. This has raised fears of a medical brain drain from poor to rich countries and has been the subject of much – impassioned – debate. This paper questions the underlying rational behind South Africa's current policies toward the medical brain drain. In doing so, it also challenges the dominating view on the medical brain drain: that out-migration of health workers from developing countries has damaging consequences and curbing that migration is pivotal in safeguarding developing countries' health systems. A view which is rooted in a perhaps intuitively convincing assumption that out-migration and low levels of health workers are tightly correlated – that outward migration causes low levels of health workers in South Africa and elsewhere.
Topic:
Health and Migration
Political Geography:
Africa and South Africa

90. Rules of Origin and the European Union's Preferential Trade Agreements, with Special Reference to the EU-ACP Economic Partnership Agreements

Author:
Peter Gibbon
Publication Date:
07-2008
Content Type:
Working Paper
Institution:
Danish Institute for International Studies
Abstract:
Economic opinion is in the process of re-interpreting low levels of uptake of non-reciprocal preferential trade agreements (PTAs) partly in terms of administrative barriers to preference utilization. Primary amongst these barriers are Rules of Origin. This paper reviews the literature on Rules of Origin as administrative barriers to the utilization of preferences accorded to African, Caribbean and Pacific (ACP) countries under the Coutonou Agreement, before going on to ex-amine current revisions of EU PTA Rules of Origin. These are embodied in a new (so-called 'Cotonou+') set of rules for the interim EU-ACP Economic Partnership Agreements (EPAs) and a second proposed set of rules for the EU's Generalised System of Preference (GSP) arrangements, including Everything But Arms. The Cotonou+ rules include some important concessions by the EU, especially for those ACP countries that do not have Least Developed Country (LDC) status, but are supposed to be re-negotiated within a fixed period in line the new EU GSP rules. However, the new GSP rules as revealed in the EU Draft Regulation of 2007 contain no real concessions for non-LDCs, and they introduce potentially trade-restrictive administrative requirements. These rules are currently (July 2008) under reconsideration by the EU, but it is clear that this exercise does not cover these elements. For this reason, harmonisation of the Cotonou+ and new GSP rules may be a source a serious discord in the negotiation of full EPAs, a process which is supposed to occur during 2008.
Topic:
International Trade and Finance
Political Geography:
Africa and Caribbean