But it seems to have displaced the established African Economic Community (AEC) program. Agenda 2063 is the blueprint and master plan for transforming Africa into the global powerhouse of the future. More fundamentally, different modalities and rates of integration would also have to be adopted in view of the very unequal levels of economic development between the small and/or poorer least developed countries (LDCs) and other larger and/or relatively stronger 'developing' countries in Africa. These programmes reflect member states’ priorities because it is their money, so, for example, if we have a programme in renewable energy in East Africa, it must be a priority in that region. Regional integration is fundamentally based on solidarity, and we know that solidarity is not only moral. These can be summed up as politically-led and democratically negotiated, people-based and equitable developmental cooperation and integration towards more self-sustaining and sustainable development. Dr. Mayaki: AUDA has a broader mandate. The objectives of the agreement could range from economic to political to environmental, although it has typically taken the form of a political economy initiative where commercial interests are the focus for achieving broader socio-political and security objectives, as defined by national governments. cal means of popular containment or control. The unification of Africa is also to be advanced economically through six regional or sub-regional "building blocks". The more buy-in you have in the design of a project, the less resistance you have during implementation. 2.4.2 Specific Obstacles to Regional Integration in East Africa..... 45 . Also, our budget is approved by AU member states. There is a pre-existing and specifically trade grouping, the Southern African Customs Union located within SADC, consisting of South Africa and the much smaller BLNS states (Botswana, Lesotho, Namibia and Swaziland). The Strategic Aims of Developmental Regionalism. For example, countries that share a free trade area allow for the free flow of goods, services, capital and labor. The Treaty establishing the East African Community then names as subsequent stages of EAC integration the establishment of a Common Market, then a Monetary Union and ultimately a Political Federation. therefore fills a gap in the Africa Regional Integration Index, which could not forecast the implementation of an integration programme with reference to the objectives, deadlines and implementation action plans fixed. An Economic Commission for Africa (ECA) report released in July 2004 says Africa is laying the groundwork for the establishment of an African Economic Community, which, like the European Union, could increase … In this context, the internationally promoted principle of common but differentiated responsibilities according to differing capacities would be expressed, for example, in the greater financial contribution required of South Africa to regional development funds and to other compensatory measures and redistributive mechanisms designed to redress the regional geographical and social imbalances and inequities. Contrary to the dominant neo-liberal ideas today, the earlier regional and continental plans and programs were based on a totally different paradigm - that is a different set of principles, policies and programs, processes and participations. The main objectives for achieving this are: (i) the creation of a fully functional and effective customs union, (ii) the establishment of a robust system of macroeconomic … African social movement analysts and activists hear constant references by their governments to the importance of African unity and cooperation. This study was triggered by an observation that many regional integration institutions (RIIs) in Africa have fallen short of effectively delivering on their mandates. It has an economic dimension that benefits everyone. What should be done about that? How do you ensure that national governments implement AU projects? At one level, nationalism has been deliberately fostered by the ruling elites as part of their ideological and politi So, all the infrastructure projects, except in countries and places where colonizers were thinking of settling in a definitive manner, all other infrastructure projects were geared toward extraction, extraction, extraction! And the various sectoral agreements, even if not immediately providing exactly equal gains to all participants at all points, have to reflect a high degree of finely-tuned cross-sectoral trade-offs and overall, longer-term mutual benefits. development of a common market. But, to be really useful to relatively small producers and exporters within the region, such market access would also entail South Africa opening up more favourably to its regional partners than to international producers and exporters into its market. While the objectives of the East African Community are broader and cover almost all spheres of life, the main objective of the Customs Union is formation of a single customs territory. The best way to solve the energy problem is to have decentralized energy services at the local community level, managed by local communities. This is very important in order to track implementation of agreements reached with these partners. It could even entail practical cross-border sub-subgroupings of 'real' local economies or natural geo-economic zones between adjoining areas in member states. These would be public-public partnerships, that is between governmental and parastatal enterprises and institutions and public trusts, and cooperatives, worker/ employee collectives, community-based, mutual aid, and other forms of popular collective self-organisation and joint endeavours. The overall strategic objective of re-grouping African countries and (re)integrating the continent was, from the start, a fundamental response to the effects of colonialism, and intrinsic to African struggles against colonialism and against neo-colonialism after 'independence'. Regional trading blocs are seen as the building pillars of a stronger Africa as the continent seeks to become a viable trading partner in the global economy. Similarly, with a large number of differing countries interacting in a comprehensive many-sided integration program, it is not always feasible - or necessarily desirable - to simply incorporate them all, in all sectors, at the same rate and to the same degree within uniform regional arrangements. Journal of Common Market Studies, 32: 45- 69 Mcdonald A.S.K., (2005). AUDA will also focus on resource mobilisation and the connections between sectors to avoid a siloed approach, which as you know is a key aspect of the Sustainable Development Goals (SDGs). The Africa Renewal information programme provides up-to-date information and analysis of the major economic and development challenges facing Africa today. Trade is not the sole or primary 'engine of growth' as depicted in neo-liberal theory, but it can support production and development if appropriately designed. The aim is to move rapidly towards an integrated trade area with a common external tariff applied by about twenty member countries stretching from Mauritius in the south, through east and central Africa and as far as Egypt in north Africa. This was an internally focused, state-led integration and development plan to be implemented through six phases, each of variable duration, within the regional 'building blocks' over a period of twenty five years, and aimed above all to reduce Africa's external dependencies. The African Union is the most recent practical expression of these declared aims. Overlying all of these programs are the more recent proposals in the New Partnership for Africa's Development (NEPAD) for a comprehensive program for the whole continent. "Regional economic integration refers to agreements between countries in a geographic region to reduce, and eventually remove, tariff and non-tariff barriers to the free flow of goods, services, and factors of production between each other" (Hill, 2004). When several regions share a common market, there are no restrictions on immigration and cross-border investment. It is within this context that internal tariffs and non-tariff barriers that could hinder trade between the Partner States have to be eliminated, in order to facilitate formation of one large single market and investment area. challenges to regional integration in africa: the case of the revived east africa community 2000-2012 gichohi marvin muhammad r50/69883/2011 a thesis submitted in partial fulfillment for the degree of master of arts in international studies.institute of diplomacy and international studies, university of nairobi august 2015 We see national governments push for regional development strategies. But such greater levels of responsibility would also rest on all of the stronger member governments to ensure that 'their' companies do not reinforce or aggravate the existing economic imbalances through aggressive or predatory business tactics in other countries within the community. Similarly, policies relating to trade between the Partner States and o… This chapter considers the experience of regional integration schemes in sub-Saharan Africa (SSA). Ibrahim Mayaki, chief executive officer of the the New Partnership for Africa’s Development (NEPAD), which is currently transforming into the African Union Development Agency (AUDA)—the implementing arm of the AU. In the current global uncertainty, we need to increase trading within our regional markets; otherwise we won’t tackle our development challenges. Regional integration is a process in which countries enter into a regional agreement in order to enhance regional cooperation through regional structure and rules. Assessing Regional Integration in Africa (ARIA I, ARIA II, and ARIA III). They can, for a start, be eroded through the greater freedom of movement of African people. Such practices would all contribute towards higher levels, more evenly spread and equitable development across the region. Your question is fundamental because regional integration will only progress if national governments—which manage regional bodies—implement regional decisions. It is expected to address implementation challenges regarding decisions made by the African Union. The AU has really made great strides, particularly in the continental free trade area. The money we get from the African Union is rarely used for projects in Egypt, South Africa or Nigeria. Such joint programs would not only build on the existing 'comparative advantages' of specific member states (that is, what they already have or can do) but be expressly designed to qualitatively shift and share out the 'competitive advantages' of the already more developed countries in the region; that is to raise up all the respectiv(capacities and levels of development. of our rural population in Africa has no access to electricity. However, we want to harness best practices regarding SME creation, incubation centres, protection of intellectual property, financing of SMEs by national development banks, conducive environment, incentives, and others. For example, you know that access to electricity in Africa is very low—more than 60% of our rural population has no access to electricity. But agricultural productivity will not increase if the energy issue is not addressed. After independence regional integration became a pillar of Africa’s developmental strategy. For example, we are now the African Union’s technical focal point with development partners such as China, India, the United States, the G20, the Tokyo International Conference on African Development (TICAD). There is now a division of labour between the AU Commission, the Regional Economic Communities and AUDA in implementing the AU’s strategic frameworks at the national and regional levels. The African Union and the Challenges of Regional Integration in Africa. But the now-hegemonic or dominant view at different levels of power and spheres of influence, in Africa and internationally, is that 'Regional Integration is A Good Thing'. National policies as well as regional agreements are required to ensure that private companies - but also national parastatal agencies - and internation investors operate across the region according to agreed development principles and performance criteria. You can have the big strategy, but in terms of implementation, in terms of innovation, it must come from the bottom. Similarly, programs to specifically encourage greater intea-regional commercial relations would have to be based not on simple liberalised trade, internal or external, but on preferential and variable trade arrangements. They said we should have a quantifiable objective so that we are accountable. In Southern Africa, the regional integration grouping is the thirteen-nation Southern African Development Community (SADC). But to be appropriate, effective and 'owned' by all the participating governments and their populations, such arrangements can only be achieved through processes of giveand-take in democratic and accommodating negotiations. According to the perspective of the Yearbook Monitoring Regional Integration in Southern Africa (Volume 8, 2008) Regional integration has been considered an important and successful tool of economic growth and development. Clearly also, the public sector and public investment will lead the way in such developmental processes, although questions remain as to how, on what bases - or whether - the skills and/or resources of national or regional private enterprise could be marshaled towards such aims in joint public-private projects. Integrate Africa and the RISF are ambitious initiatives aimed at accelerating the free flow of goods, services, people and capital in Africa. This is why 'S&D' treatment is being demanded by developing countries at the global level as well. Regional integration is seen as a rational response to the difficulties faced by a continent with many small national markets and landlocked countries. These are excerpts: Africa Renewal: What are the main differences between AUDA and NEPAD? The ambitious and transformative aims outlined above clearly require public planning and regulation. We need to make sure that there is coherence between regional strategies and national plans. Until June this year, Nigeria and Benin were holding out. Such negative effects are very evident throughout the world today from the application of uniform prescriptions and liberalisation policies in the global 'level playing field' supposedly being created through neo-liberal agreements and institutions. They include many that are also small in territory and/or population and partly or totally landlocked, physically located within other countries. This would entail the democratic negotiation and creation, the co-existence and coordination of varying but overlapping sub-groupings of countries, where demanded, in different sectors and spheres of cooperation and within differing frameworks and timetables. Pan-Africanism, an ideology which emphasises continental unity and strong identification with ongoing anti-colonial struggles, was the leitmotif of Africa’s developmental framework. The ideas and ideals of African unity have, for decades, been articulated and promoted across the continent by researchers and writers, peoples organisations and political parties, and have even been officially endorsed by all African governments, starting with the continental Lagos Plan of Action in 1980. The Economic Community of West African States (ECOWAS) meets regularly on a common strategy on energy. creation of a customs union. The Transnational Institute (TNI) is an international research and advocacy institute committed to building a just, democratic and sustainable planet. the regional economic communities in Africa, having received the highest score among those communities on the regional Integration Index of the United Nations Economic Commission for Africa (UNECA). Its creation was one result of the AU reforms championed by Rwanda’s president, Paul Kagame, former chairperson of the AU. You have reiterated that regional bodies play a bigger role in Africa’s development. A degree of political cooperation is taking place at inter-governmental level through the creation of continental political bodies, and security and other agreements. The objective of the study, therefore, was to generate a deeper understanding of some of the key factors that determine the organisational effectiveness of RIIs. That’s where our role becomes important. The money we get from the African Union is rarely used for projects in Egypt, South Africa or Nigeria. At one level, this is based on political and moral issues of equity and justice. In pursuance of the objectives of regional integration and rapid socio-economic development of Africa, the OAU Summit of Heads of State and Government adopted the Lagos Plan of Action in 1980. achieving an economic union. The Strategic Aims of Regional Cooperation and Integration in AfricaDot KeetAlternative Information and Development Centre AIDC Regional Briefing 1/2004. These would create larger markets, be more encouraging to foreign investors and more favourable to the operations of global corporations, as well as being "stepping stones" for such regions to fit into and reinforce the integration of the globalising capitalist economy [see AIDC Regional Briefing 2. If the consensus is strong...we can have strong agreements and start thinking about an implementation roadmap. In the case of Southern Africa this relates also to the human and economic costs incurred by neighbouring countries in the struggles against colonialism and especially against apartheid. And the functional significance of such borders can be reduced through the expansion, deepening and increasing significance of cross-border programs and activities. It took time to be designed and to get everybody on board. The economies structured by colonial interests were internally distorted (socially and economically) and disarticulated (lacking internal linkages and dynamics) and excessively extroverted (turned outwards). co-operation in sub-Saharan Africa given the severity of food insecurity in that region and its ambitious objectives for regional integration. 'Above all, it would require variable tariff structures and self-selected rates of tariff reduction /retention by participating countries, taking into account their different commercial, production and other capacities and economic, social and other vulnerabilities. Africa’s new free trade area, for example, is a continental initiative. A number of the countries in both these groupings are also members of the Common Market of Eastern and Southern Africa (COMESA). Developmental trade integration would include trade-promoting infrastructural means but also targeted policy measures. It also makes economic sense to regroup the large number of these arbitrarily created countries in Africa which are frequently economically non-viable and environmentally unsustainable. — Ibrahim Mayaki, chief executive officer of the the New Partnership for Africa’s Development (NEPAD), which is currently transforming into the African Union Development Agency (AUDA)—the implementing arm of the AU. Rather, in order to accommodate national political and economic particularities in certain sectors, and even local social and cultural specificities, regional integration might have to reflect a degree of 'variable geometry' with regard to participation in certain agreements. There are, however, many overlapping 'regional integration' groupings in Africa pursuing differing and even competing programs, particularly in the trade sphere. In the Southern African Development Community (SADC) for example, agriculture ministers meet regularly to discuss agricultural transformation in their region. Inter-governmental cooperation is the fundamental means for creating multi-national entities and processes. In Southern Africa in particular, with its comparatively small economies, r egional integration was meant to play a Implemented today, such an alternative model of integration would not only be a practical living example of different means and paths to successful development but could also be, or become, part of a broader challenge to the globalised, liberalised, corporate-serving and market-driven paradigm (or model) now dominating the world. It is a direct result of this that regional integration is required in Africa, as this will help with upgrading economic development (Saku, 2016:2-3). This means that, on the grounds of the greater weight and actual/potential impact of the much larger industrialised South African economy (which is about 70% of the combined economies of the whole of SADC), the regional giant would have to open up its markets to its neighbours' exports much more rapidly and generously that it could expect from them in return. In the interests of social and political harmony, unity and cooperation, such artificial colonial lines must be challenged. The artificial lines drawn across the continent by the colonial powers randomly cut across societies, 'ethnic' groups, clans and even families. Such broader public engagement and active popular participation apply equally to the political processes and inter-governmental negotiations and agreements that will create the legal, organisational, operational and financial means for all the combined or coordinated cross-border dimensions of regional development. Extraction of minerals, extraction of agricultural produce, and so on. Although based on encouraging market forces and foreign investment, this has a considerable role for governments and includes some seemingly positive economic, security and 'governance' elements. “Colonialism was a system of illicit financial flows,” you said recently at an event at the UN headquarters. However, despite their internal weaknesses and fragilities, many African countries have, especially since independence, developed their own national identities. For the next three years, Africa needs to create 60 million jobs, but we can only target 1 million jobs for now. If it was a road, it was one linking a mine to a port. But other types of 'combined' efforts and agencies would be even more important for deeper and more inclusive, more pervasive and multi-layered development. What is being ignored or deliberately submerged in this belated flow of political endorsements and practical 'integration' programs are the earlier and very different ideas and aims for the internallydriven integration of Africa, continentally and/or regionally. Thesis Presented to the Faculty of Arts of the University of Zurich for the Degree of Doctor of Philosophy Olubomehin D. and Kawonishe D. (2008). On the other hand, there are also real political, social and cultural commonalities and shared experiences amongst the people within the new African nations. As it demonstrates the importance of regional economic integration, this study will examine how regional economic integration can help to overcome some of the problems experienced by Africa. What do you mean by that? 2.4.2.1. Regional integration has been organi Informing all the above is the conviction that more balanced and equitable development has to be consciously promoted within and through all regional agreements and arrangements. Therefore, trade is at the core of the Customs Union. Implementation will not be easy because of the high-levels of financing needed as well as the need to harmonize policies between states, but we are on the right path. For example, when we deliver in agriculture, we also look at water, energy, land, etc. No, it cannot be top-down, because none of the frameworks will work if you do not empower the local communities. What is the current state of integration? 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