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Equipping Today’ African Leaders for Tomorrow’s Challenges Equipping Today’s African Leaders for Tomorrow’s Challenges Enhancing Productive Capacities & the Improvement of Industrial Performance in Africa Presentation By Prof. David N. Abdulai President & CEO African Graduate School of Mgmt. & Leadership [email protected]

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Page 1: Equipping Today’ African Leaders for Tomorrow’s Challenges Equipping Today’s African Leaders for Tomorrow’s Challenges Enhancing Productive Capacities

Equipping Today’ African Leaders for Tomorrow’s Challenges

Equipping Today’s African Leaders for Tomorrow’s Challenges

Enhancing Productive Capacities & the Improvement of Industrial Performance in Africa

PresentationBy

Prof. David N. AbdulaiPresident & CEO

African Graduate School of Mgmt. & Leadership

[email protected]

Page 2: Equipping Today’ African Leaders for Tomorrow’s Challenges Equipping Today’s African Leaders for Tomorrow’s Challenges Enhancing Productive Capacities

Equipping Today’ African Leaders for Tomorrow’s Challenges

Equipping Today’s African Leaders for Tomorrow’s Challenges

Enhancing Productive Capacities & the Improvement of Industrial Performance in Africa

Page 3: Equipping Today’ African Leaders for Tomorrow’s Challenges Equipping Today’s African Leaders for Tomorrow’s Challenges Enhancing Productive Capacities

Equipping Today’ African Leaders for Tomorrow’s Challenges

Equipping Today’s African Leaders for Tomorrow’s Challenges

Enhancing Productive Capacities & the Improvement of Industrial Performance in Africa

Page 4: Equipping Today’ African Leaders for Tomorrow’s Challenges Equipping Today’s African Leaders for Tomorrow’s Challenges Enhancing Productive Capacities

Equipping Today’ African Leaders for Tomorrow’s Challenges

Equipping Today’s African Leaders for Tomorrow’s Challenges

Enhancing Productive Capacities & the Improvement of Industrial Performance in Africa

OVERVIEW OF PAPER Introduction

Statement of the problem Overview of Africa’s Industrial Performance

Lessons Learned Pertaining to Africa’s Industrial Performance

Enhancing Africa’s Productive Capacities to contribute to IP

Analysis, Observations & Suggestions Conclusion

Page 5: Equipping Today’ African Leaders for Tomorrow’s Challenges Equipping Today’s African Leaders for Tomorrow’s Challenges Enhancing Productive Capacities

Equipping Today’ African Leaders for Tomorrow’s Challenges

Equipping Today’s African Leaders for Tomorrow’s Challenges

Enhancing Productive Capacities & the Improvement of Industrial Performance in Africa

INTRODUCTION• Africa’s remarkable econ. Growth in the last

decade• Have 10 fastest growing countries in the world• 8 out 10 past yrs. Africa has grown faster than

East Asia• Growth due to increase dd of its commodities• Macroeconomic Mgmt. & Good Governance

• Increase Capital inflows & aid

Page 6: Equipping Today’ African Leaders for Tomorrow’s Challenges Equipping Today’s African Leaders for Tomorrow’s Challenges Enhancing Productive Capacities

Equipping Today’ African Leaders for Tomorrow’s Challenges

Equipping Today’s African Leaders for Tomorrow’s Challenges

Enhancing Productive Capacities & the Improvement of Industrial Performance in Africa

STATEMENT OF THE PROBLEM• Achieving any significant level of econ. growth &

dev’t. is linked to the industrialisation of the economy.

• Africa’s industrial sector remains small & underdeveloped.

• It is the least developed manufacturing region in the world

• Africa need to improve industrial sector & its performance

• This will be impossible without the enhancing of its productive capacities.

Page 7: Equipping Today’ African Leaders for Tomorrow’s Challenges Equipping Today’s African Leaders for Tomorrow’s Challenges Enhancing Productive Capacities

Equipping Today’ African Leaders for Tomorrow’s Challenges

Equipping Today’s African Leaders for Tomorrow’s Challenges

Enhancing Productive Capacities & the Improvement of Industrial Performance in Africa

OVERVIEW OF AFRICA’s INDUSTRIAL PERFORMANCE

• Africa’s MVA decreased from 3.6% to 2.9% in 1998

• Africa’s MVA declined to 0.2% from 1980-88(UNIDO, 1991)

• Africa’s MVA in GDP fell from 12.8 % in 2000 to 10.5% in 2008

• There has been a decline in the importance of manufacturing in Africa’s exports.

• Africa continues to be marginalised in global manufacturing.

(UNCTAD, 2011)

Page 8: Equipping Today’ African Leaders for Tomorrow’s Challenges Equipping Today’s African Leaders for Tomorrow’s Challenges Enhancing Productive Capacities

Equipping Today’ African Leaders for Tomorrow’s Challenges

Equipping Today’s African Leaders for Tomorrow’s Challenges

Enhancing Productive Capacities & the Improvement of Industrial Performance in Africa

MAJOR CAUSES• Domestic policy failures (design &

implementation)

• Lack of policy space to implement alternative policies

• Structural constraints

Page 9: Equipping Today’ African Leaders for Tomorrow’s Challenges Equipping Today’s African Leaders for Tomorrow’s Challenges Enhancing Productive Capacities

Equipping Today’ African Leaders for Tomorrow’s Challenges

Equipping Today’s African Leaders for Tomorrow’s Challenges

Enhancing Productive Capacities & the Improvement of Industrial Performance in Africa

LESSONS LEARNED – INDUST. PERFORMANCE IN AFRICA

• The kinds of domestic policies developed & their implementation matter

• Structural factors • Ownership of the development process is important• Inward-looking industrialisation strategies & impact on

Africa’s indust.• Development of technological capabilities of domestic firms• Agriculture-Industry linkages are extremely important• Private sector should be included in industrialisation

process• Political Stability• Sust.

Page 10: Equipping Today’ African Leaders for Tomorrow’s Challenges Equipping Today’s African Leaders for Tomorrow’s Challenges Enhancing Productive Capacities

Equipping Today’ African Leaders for Tomorrow’s Challenges

Equipping Today’s African Leaders for Tomorrow’s Challenges

Enhancing Productive Capacities & the Improvement of Industrial Performance in Africa

ENHANCING AFRICA’S PRODUCTIVE CAPACITIES TO CONTRIBUTE TO INDUSTRIAL

PERFORMANCE• Capital accumulation• Technological progress• Structural change

• Institutional frameworks• Investment & credit challenges• Human capital development

• Technology & R&D Information coordn. & Prod. linkages

Page 11: Equipping Today’ African Leaders for Tomorrow’s Challenges Equipping Today’s African Leaders for Tomorrow’s Challenges Enhancing Productive Capacities

Equipping Today’ African Leaders for Tomorrow’s Challenges

Equipping Today’s African Leaders for Tomorrow’s Challenges

Enhancing Productive Capacities & the Improvement of Industrial Performance in Africa

ASKING QUESTIONS, SEEKING ANSWERS• Now that we know what we know now. What

should be done?• What are Africa’s priority actions in achieving this

goal?• How do we overcome the implementation &

monitoring Challenge?• How do we marshal the political will to achieve

these goals?• How do we turn our inspirations & aspirations

into reality through perspiration?• How do we move from NATO to MATO?

Page 12: Equipping Today’ African Leaders for Tomorrow’s Challenges Equipping Today’s African Leaders for Tomorrow’s Challenges Enhancing Productive Capacities

Equipping Today’ African Leaders for Tomorrow’s Challenges

Equipping Today’s African Leaders for Tomorrow’s Challenges

Enhancing Productive Capacities & the Improvement of Industrial Performance in Africa

THANK YOU