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121. Crisis and Opportunity in South Sudan

Author:
Princeton N. Lyman, Jon Temin, and Susan Stigant
Publication Date:
01-2014
Content Type:
Policy Brief
Institution:
United States Institute of Peace
Abstract:
Ongoing negotiations to end the South Sudan crisis cannot simply return the country to the previous status quo. For lasting peace, the negotiating parties and mediators will need to reach beyond national political elites and those bearing arms and invite active involvement of the international community. South Sudan needs to build national cohesion and address fundamental issues of governance, democracy, and human rights. Restarting the stalled constitution-making process presents an opportunity to achieve these objectives. Following negotiations, a broad-based, inclusive, interim government that includes a degree of joint South Sudanese-international community administration and management should govern and ensure preparations for new elections.
Topic:
Democratization, Development, Poverty, Power Politics, and Fragile/Failed State
Political Geography:
Africa and Sudan

122. Development as Diffusion: Manufacturing Productivity and Sub-Saharan Africa's Missing Middle

Author:
Vijaya Ramachandran, Alan Gelb, and Christian J. Meyer
Publication Date:
02-2014
Content Type:
Working Paper
Institution:
Center for Global Development
Abstract:
We consider economic development of Sub-Saharan Africa from the perspective of slow convergence of productivity, both across sectors and across firms within sectors. Why have "productivity enclaves", islands of high productivity in a sea of smaller low-productivity firms, not diffused more rapidly? We summarize and analyze three sets of factors: First, the poor business climate, which constrains the allocation of production factors between sectors and firms. Second, the complex political economy of business-government relations in Africa's small economies. Third, the distribution of firm capabilities. The roots of these factors lie in Africa's geography and its distinctive history, including the legacy of its colonial period on state formation and market structure.
Topic:
Development, Economics, Industrial Policy, and Markets
Political Geography:
Africa

123. Foreign investments in Uganda's oil sector: linkages and issues for the local economy

Author:
Anne Mette Kjær
Publication Date:
03-2014
Content Type:
Working Paper
Institution:
Danish Institute for International Studies
Abstract:
The Ugandan economy resembles many other economies in sub-Saharan Africa in that it has a large subsistence sector, relies on a few primary commodities for export and depends on aid to finance its public services. Oil and minerals have so far not been important to the economy. However, this might change as an estimated 3.5 billion barrel oil reservoir has been discovered in Uganda's Western and Northwestern Albertine Graben. Minerals have also been found and are being sold off as concessions. If oil revenues start to be mobilized as currently planned (2016-17), significant changes in not only government finance but also in the governments' relationships with donors and in state–society relations are likely to occur. The consequences for local communities and the environment are also likely to be significant.
Topic:
Development, Economics, Oil, Natural Resources, Foreign Aid, Fragile/Failed State, and Foreign Direct Investment
Political Geography:
Uganda and Africa

124. More Inclusive Decision-making Processes in Foreign Land Leasing: Policy Insights from Kenya

Author:
DAVID JAKINDA OTIENO
Publication Date:
02-2014
Content Type:
Policy Brief
Institution:
Centre for International Governance Innovation
Abstract:
Foreign land leases could help developing countries to acquire foreign direct investments (FDIs), including technical expertise and income necessary for economic transformation. A lack of local stakeholder consultation and involvement in the design of land leases leads to the rejection or disruption of such leases by local communities and wastes investors' resources due to disruptions. Local public stakeholders in Kenya are willing to accept and participate in leases, provided they include certain provisions: that leases do not exceed 15 years; are renewable subject to mutual negotiations; offer formal employment to landowners' household members; and provide adequate monetary compensation for the leased land. Effective and transparent management of land leases requires the formation of management committees comprising local stakeholders such as youth, women and land experts. To enhance lease transparency, regular consultative meetings should be held, negotiation records must be shared with local community members and landowners should receive direct payment, rather than being paid through intermediaries.
Topic:
Security, Agriculture, Development, Economics, Poverty, and Food
Political Geography:
Kenya and Africa

125. From enclave to linkage economies? A review of the literature on linkages between extractive multinational corporations and local industry in Africa

Author:
Michael W. Hansen
Publication Date:
02-2014
Content Type:
Working Paper
Institution:
Danish Institute for International Studies
Abstract:
If African developing countries are to benefit fully from the current boom in foreign direct investment (FDI) in extractives (i.e. mining and oil/gas), it is essential that the foreign investors foster linkages to the local economy. Traditionally, extractive FDI in Africa has been seen as the enclave economy par excellence, moving in with fully integrated value chains, extracting resources and exporting them as commodities having virtually no linkages to the local economy. However, new opportunities for promoting linkages are offered by changing business strategies of local African enterprises as well as foreign multinational corporations (MNCs). MNCs in extractives are increasingly seeking local linkages as part of their efficiency, risk, and asset-seeking strategies, and linkage programmes are becoming integral elements in many MNCs' corporate social responsibility (CSR) activities. At the same time, local African enterprises are eager to, and increasingly capable of, linking up to the foreign investors in order to expand their activities and acquire technology, skills and market access. The changing strategies of MNCs and the improving capabilities of African enterprises offer new opportunities for governments and donors to mobilize extractive FDI for development goals. This paper seeks to take stock of what we know about the state of and driving forces of linkage formation in South Sahel Africa extractives based on a review of the extant literature. The paper argues that while MNCs and local enterprises by themselves will indeed produce linkages, the scope, depth and development impacts of linkages eventually depend on government intervention. Resource-rich African countries' governments are aware of this and linkage promotion is increasingly becoming a key element in their industrialization strategies. A main point of the paper is that the choice between different linkage policies and approaches should be informed by a firm understanding of the workings of the private sector as well as the political and institutional capacity of host governments to adopt and implement linkage policies and approaches.
Topic:
Development, Economics, Markets, Foreign Aid, and Foreign Direct Investment
Political Geography:
Africa

126. The Development of Natural Resource Linkages in Mozambique: The Ruling Elite Capture of New Economic Opportunities

Author:
Lars Buur
Publication Date:
03-2014
Content Type:
Working Paper
Institution:
Danish Institute for International Studies
Abstract:
This paper explores linkage creation in Mozambique related to mega-projects in natural resource extraction and development from a political economy perspective. It explores through a focus on linkage development related to extractive industries in Mozambique the 'best practice' attempts between commodity producers and local content providers. The paper argues that a relatively elaborate state organizational and institutional setup based on policies, strategies and units with funding tools has emerged over time in order to begin to reap the benefits of large-scale investments in the extractive sectors. However, despite the formal acknowledgement, very little has been achieved with regard to forward and backward linkages, state institutions are often despite the official government rhetoric of importance simply bypassed not only by foreign investors, but also by the political leadership.
Topic:
Development, Economics, International Trade and Finance, Political Economy, Natural Resources, and Foreign Direct Investment
Political Geography:
Africa

127. Promoting Inclusive Growth in Arab Countries: Rural and Regional Development and Inequality in Tunisia

Author:
Mongi Boughzala and Mohamed Tlili Hamdi
Publication Date:
02-2014
Content Type:
Working Paper
Institution:
The Brookings Institution
Abstract:
Regional disparities and inequality between the rural and the urban areas in Tunisia have been persistently large and perceived as a big injustice. The main regions that did not receive an equitable share from the country's economic growth, as compared to the coastal regions that are highly urbanized, are the predominantly rural western regions. Their youth often have to migrate to the cities to look for work and most of them end up with low-paying and frustrating jobs in the informal sector. The more educated among them face a very uncertain outlook and the highest rate of unemployment. This bias is strongest for female workers and university graduates living in the poor rural regions. The purpose of this paper is to study the underlying causes and factors of these disparities and to discuss policies and measures that may allow these regions to benefit from faster and more inclusive growth.
Topic:
Democratization, Development, Poverty, and Social Stratification
Political Geography:
Africa, Arabia, and Tunisia

128. Improving Regional and Rural Development for Inclusive Growth in Egypt

Author:
Hafez Ghanem
Publication Date:
01-2014
Content Type:
Working Paper
Institution:
The Brookings Institution
Abstract:
This paper examines how economic growth in Egypt can be made more inclusive through a focus on rural development and reducing regional disparities. Nearly all of the extremely poor in Egypt live in rural areas and 83 percent of them live in Upper Egypt. The youth in those rural areas feel particularly excluded.
Topic:
Agriculture, Development, Economics, and Poverty
Political Geography:
Africa and Arabia

129. What Next for Mali? Four priorities for better governance in Mali

Author:
Nicolas Vercken and Surendrini Wijeyaratne
Publication Date:
02-2014
Content Type:
Policy Brief
Institution:
Oxfam Publishing
Abstract:
The 2013 elections helped to restore constitutional order in Mali and marked the start of a period of hope for peace, stability and development. The challenge is now to respond to the Malian people's desire for improved governance.
Topic:
Civil Society, Development, Diplomacy, Gender Issues, and Governance
Political Geography:
Africa

130. Curbing Violence in Nigeria (II): The Boko Haram Insurgency

Publication Date:
04-2014
Content Type:
Working Paper
Institution:
International Crisis Group
Abstract:
Boko Haram's four-year-old insurgency has pitted neighbour against neighbour, cost more than 4,000 lives, displaced close to half a million, destroyed hundreds of schools and government buildings and devastated an already ravaged economy in the North East, one of Nigeria's poorest regions. It overstretches federal security services, with no end in sight, spills over to other parts of the north and risks reaching Niger and Cameroon, weak countries poorly equipped to combat a radical Islamist armed group tapping into real governance, corruption, impunity and underdevelopment grievances shared by most people in the region. Boko Haram is both a serious challenge and manifestation of more profound threats to Nigeria's security. Unless the federal and state governments, and the region, develop and implement comprehensive plans to tackle not only insecurity but also the injustices that drive much of the troubles, Boko Haram, or groups like it, will continue to destabilise large parts of the country. Yet, the government's response is largely military, and political will to do more than that appears entirely lacking.
Topic:
Development, Economics, Islam, Armed Struggle, Insurgency, and Infrastructure
Political Geography:
Africa and Nigeria