Global focus to blame for uprisings in Africa?

Trade liberalisation policies, which have focused on opening countries up to international trade while ignoring socio-economic needs at home, are partly to blame for the wave of popular uprising sweeping parts of Africa, according to the United Nations Conference on Trade and Development (Unctad). In its policy brief for February, Unctad warns that the effects will be felt by companies doing business in Africa. The first could be a reintroduction of protectionism in one or other form. “The downside of rapid and poorly sequenced liberalisation, sweeping privatisation programmes, restrictive macroeconomic policies, and export-led growth strategies has manifested itself vividly in the first weeks of the second decade of this third millennium. “The push for political change has been mirrored by equally vocal calls for alleviation of poverty, more and better jobs, better wages and social security, access to basic commodities at affordable prices and equitable distribution of national income. Vulnerable countries in North Africa and West Asia – especially non-oil exporters – face “significant social and political pressures,” it warns. The brief also sheds light on the job creation challenges facing South Africa and other developing countries. “Having pursued exportgrowth strategies to their limits, at best many developing countries have witnessed jobless growth episodes whereby workers laid off in the formal sector in bad times often tend to move into the informal economy because of the lack of social safety nets,” it warns. Unctad is urging governments to institute policies and regulations that make business focus on their home markets first. This would reverse some of the globalisation trends, and encourage manufacturers to establish factories in Africa rather than just use the continent’s raw materials. By protecting local manufacturing, governments would secure jobs – which would, in turn, increase domestic demand, creating more job opportunities.