Manzini Swaziland - Public-private sector partnership is indispensable in the process of economic transformation says the Economic Commission for Africa (ECA).
Speaking at the opening of the inaugural Southern Africa Economic Forum in Manzini, Swaziland, ECA Director for the Southern Africa Office, Said Adejumobi said, Africa's private sector needed active government support and called for the strengthening of the public-private sector. "ECA welcomes the sharpened focus on public-private sector partnership as a basis for economic growth and transformation on the continent. Our domestic private sector in Africa remains small, with little capacity and resources; it therefore needs active government support and cooperation" he said
The three-day forum, hosted by the Kingdom of Swaziland was officially opened today by the Prime Minister of the Kingdom of Swaziland, Sibusiso Dlamini. It is attended by high-level officials and delegates from around Southern Africa. The forum is a regional economic platform for knowledge exchange and discussion of development issues in Southern Africa.
Adejumobi said that Africa had learnt many lessons in the last twenty years of economic reforms such as the importance of the State to economic transformation. "It is the State that not only charts a clear vision of development, but also puts in place the necessary policy, institutional, regulatory and implementation capacity and incentives to promote development."
He said, Africa's natural resources will have to power Africa's economic diversification and transformation. The linchpin of Africa's economic survival in the 21st century depend on value addition, establishment of small scale agro-allied industries, intensive research and entrepreneurial skills development in the processing of natural resources said Adejumobi.
Other major lessons include the need for good, quality and innovative education, regional integration for expanded markets, growing the private sector and transforming economies. However Adejumobi expressed concern at the growing levels of poverty and inequality as a source of great instability which posed a threat to gains already made by Southern Africa. "Poverty and inequality may in the long run decelerate economic growth as they crowd out the majority from the economic space, reduce economic opportunities and creativity. They may also have social consequences, if not properly handled." He said.
Southern Africa has one of the highest levels of economic inequality in the World. A 2010 study by the African Development Bank (AfDB), observed that six out of the 10 most unequal countries worldwide were in Sub-Saharan Africa, specifically in Southern Africa.
