| | Note from the Chairman  | | | | Welcome to the third edition of the MIF Newsletter. This first issue of 2014 focuses on the Sustainable Economic Opportunity (SEO) category of the Ibrahim Index of African Governance (IIAG). In this category, corruption and transparency are as important to the business environment as to the political landscape. In 2014 MIF will continue to champion debates and engagements in Africa around matters of governance and leadership, based on concrete facts and figures, and not on long outdated perceptions and myths. To that end, I would like to share with you some of the points I raised at the Chatham House conference ‘Combating Global Corruption: Shared Standards and Common Practice?’ which took place on 3rd February 2014. I highlighted some key factors that always come into play in the fight against corruption, whether it is focused on Africa, Europe or in a global context. For instance, Africa has a bad reputation in the area of corruption which is only partly justified because the picture is multi-faceted. The 2013 IIAG shows that between 2000 and 2012, the Accountability sub-category improved across the continent over the last 13 years. Whilst this is good news, it is not enough. Transparency International (TI) shows that 90% of Sub-Saharan Africa scores below 50, which is indeed a low score. However, in this Corruption Perceptions Index some African countries score much better than Russia, Turkey, Mexico and Indonesia. The World Economic Forum (WEF) Competitiveness Index found that 18 African countries ranked above India and 25 ranked above Russia in the area of irregular payments and bribery. Half of the African countries actually performed better than Russia in that area and some African countries performed better than Belgium, France, Austria and the United States. Therefore the picture is clear – corruption is a global issue. Afro-realism – Perception versus Reality
Firstly, I believe the perception of Africa is a little distorted. We have our problems but we have not monopolised the market on corruption. Secondly, it is only very recently that we have started to take corruption seriously. Not only was it previously legal in places such as Europe, it was tax-exempt, classified in the accountants’ books as business costs. Thirdly, there is the issue of non-disclosure and transparency. This is about governments opening up their books. Through the Open Government Partnership, established in 2011, 60 countries have signed up to disclose their data. In 2013 the G8 included transparency and tax on their agenda for the first time and the European Union issued its transparency directive. These are very important steps. Lastly, corruption is a crime which has many partners. It is not only a problem with public officials and civil servants - it also involves business. If corruption was just about bribery, it would be easier to solve. Actually the foremost issues are tax evasion and the corrupt practices around business resulting in money loss. Multinational companies don’t pay taxes in Africa, we all know that. What we really need is for countries to unite and say: Let us stop this ‘race to the bottom’. Let’s have a clean and proper way to deal with taxation, because business has gone global and governments need to react to that. We need to have global agreements on how we are going to deal with multinationals. Taxes should be paid where profit does arise and we should avoid mispricing. According to Global Financial Integrity, Africa loses some $38.4 billion on average due to mispricing. What is certain is that passing legislation is not sufficient and implementation remains key. | | | |  | | | | |  | | Mo Ibrahim, Chairman of MIF, was honoured for opening up communications across Africa with the 2013 See it. Film it. Change it. Award by Peter Gabriel and WITNESS in New York – full story | | | |  | | Hadeel Ibrahim, founding Executive Director of MIF, has been recognised on Forbes magazine's list of The 20 African Young Women Leaders of 2013 – full story | | | |  | | Aïcha Bah Diallo, member of the Ibrahim Prize Committee, received the Outstanding Women Leadership Award at the World Women Leadership Congress & Awards ceremony in Mauritius during the third Africa-India Partnership Summit on the 27th November 2013 – full story | | | | |  | | Established in 2007, the IIAG is the most comprehensive collection of quantitative data on governance in Africa. Compiled in partnership with experts from a number of the continent's institutions, it provides an annual assessment of governance in every African country. The IIAG provides a framework for citizens, governments, institutions and business to assess the delivery of public goods and services, and policy outcomes across Africa. | | | Spotlight | 2013 IIAG: Sustainable Economic Opportunity category | | |  | | | The Sustainable Economic Opportunity category captures the degree to which governments provide a framework that facilitates the creation of wealth and opportunity – through the provision of an enabling environment in which economic actors, including the private sector, can function and flourish. The Sustainable Economic Opportunity category is comprised of four underlying sub-categories - Public Management, Business Environment, Infrastructure and Rural Sector. These sub-categories are populated by 30 indicators, data for which are provided by 11 sources, notably the African Development Bank, the African Union, the World Economic Forum, and the United Nations Economic Commission for Africa. Since 2000, 45 (out of 52) countries have shown an improvement in Sustainable Economic Opportunity, with an average continental improvement of +5.6. Whilst the overall results of the 2013 IIAG Sustainable Economic Opportunity category show evidence of progress at the continental level, they also present a complex and diverse picture with regards to performance at the country level. In light of the popular ‘Africa rising’ commentary that has dominated discussions around the continent’s future, such nuances, captured by the divergent trends within the Sustainable Economic Opportunity category and sub-categories, are critically important in helping provide a more realistic and accurate assessment of the economic outlook for the African Continent. | | | |  | | | | | | |  | | | | | | |  | | | | | | |  | | Established in 2007, the Ibrahim Prize celebrates excellence in African leadership. It is awarded to a former Executive Head of State or Government by an independent Prize Committee composed of eminent figures, including two Nobel Laureates. | | | 2008 Ibrahim Laureate, Former President Festus G. Mogae of Botswana speaks to the need to engage Africa’s youth in the key discussions across the continent. |  | | | Positive youth engagement is an imperative for African leaders because youth and young adults are a majority in Africa. This youthful nature of the African population is both an asset and a challenge. Young people in Africa are more educated, more techno-savvy and more aware of what is happening in the world than their parents were at their age and even at the present. Young people by their nature are impatient and self-confident and therefore less tolerant of policies and practices with which they disagree. It is therefore necessary to engage them in dialogue regarding policy directions and what needs to be done. It is not necessarily the case that they are right in what they advocate. On the contrary they may be opposed to what is happening without necessarily having answers to the issues in dispute. They have capacity to cause disruptions, revolts or revolutions without unanimity as to the way forward. In any case revolutions not only by young people but also of other groups are often stolen by more tightly knit groups who did not organise them. Leaders of the Future
African leaders have endeavoured to include young people in national policy formulations in the past, through political party youth wings. Unfortunately, more often than not, these efforts deteriorated into attempts by leaders to use the youth against the leaders' political opponents. In the worst examples, party youth leaders were trained or converted into thugs in favour of the rulers and against everybody else. Admittedly, African governments did reduce the voting age from 21 to 18 which was the right thing to do. The youth themselves have not always exercised their voting power to influence policy. They often don't register because they don't like the regime but the only constitutional way of throwing out bad leaders is by voting them out. If young people in African countries registered in large numbers and voted, cognisance of their wishes would be taken. Politicians would endeavor to win their approval. African young people, important as they are, must nevertheless realise, that the world owes nobody a living. All have to work for their interests. In the current situation of unacceptably high unemployment situations, for example, the youth can make themselves heard not only by protests and demonstration but also by making use of available opportunities for influencing policy actions through their vote. Click here for the 2012 Ibrahim Forum Facts & Figures African Youth: Fulfilling The Potential | | | |  | | The fourth annual Ibrahim Forum was convened in Addis at the African Union Headquarters on 11th November 2013 and brought together over 200 participants from the media, government, private sector and civil society. Discussions focused on the major opportunities and challenges the continent will face over the next 50 years and were organised around each of the four categories of the IIAG: Safety & Rule of Law, Participation & Human Rights, Sustainable Economic Opportunity and Human Development. Speakers on the Sustainable Economic Opportunity panel were:
Donald Kaberuka (President, African Development Bank)
Daniel Kaufmann (President, Revenue Watch Institute)
Patrice Motsepe (Founder and Executive Chairman, African Rainbow Minerals)
Maria Ramos (Chief Executive, Barclays Africa Group Limited)
Vera Songwe (Country Director, Africa, World Bank). They underlined the importance of investment in infrastructure, mobility of people, effective and transparent management of natural resources and technological innovation. _________________________________________________________________________________________ What they said… “The key issues will be infrastructure, integration and addressing issues of inequalities.” Donald Kaberuka “There is still a lot of work to be done… We are competing with other continents for investment.” Patrice Motsepe “The most valuable thing we have on this continent is our people… It is the only thing we have that if we invest in appropriately will continue to pay dividends inter-generationally, and we have to do it.” Maria Ramos “The name of the game is going to be domestic resource mobilisation and how this is governed.” Daniel Kaufmann “The private sector being rated by the external institutions and domestic institutions can really help us to propel this growth.” Vera Songwe _________________________________________________________________________________________ | | | Did you know... |  | | _________________________________________________________________________________________ | | My Experience at the World Trade Organization (WTO)
Maureen Were - 2013 Ibrahim Fellow | |  | | | | Time seems to have past so fast since I first landed in Geneva for my attachment at the World Trade Organization (WTO) under the Ibrahim Leadership Fellowship in mid-March 2013. Although the thought of having competitively won the Fellowship out of the numerous applicants was exciting, being a mother, it was not an easy decision to be away from my family. When I look back however, I can confidently say that was one of the best decisions I made in my life. My experience at WTO has been unique in several ways. For instance, being directly attached to the Office of the Director General (ODG), I witnessed the transition in the top management of WTO and was privileged to work under the leadership of two different Director Generals (DGs). My attachment also coincided with key WTO events such as the Aid for Trade conference and the final trade negotiations that led to the historic adoption of what became famously known as the "Bali Package", when for the first time in the history of WTO, members managed to forge an agreement during the 9th WTO Ministerial Conference in Bali. I closely followed the process in Geneva as delegates negotiated fiercely to safeguard or accommodate the interests of their member countries. Never before had I witnessed such fierce and intense negotiations, which during the last days before Bali, extended into the night. Some countries negotiated harder and were more active than others. But more importantly, every country regardless of its size or level of development had the right to voice its concerns and be heard, in accordance with the WTO principles of transparency and inclusiveness. Leadership at Work
I witnessed leadership at work, as the DG cleverly shepherded the last stages of the negotiations, which involved the delicate work of striking a balance between the varying interests and proposals of members, while at the same time being able to forge consensus. The discussions were interesting and I learnt a lot, including the challenges that Least Developed Countries (LDCs) and African countries face in their bid to effectively participate in international negotiations, e.g. limited manpower. That notwithstanding, they remained united in the negotiations. It is unfortunate that some of our governments do not sufficiently give trade negotiations and trade-related issues the seriousness they deserve, given the fundamental role of trade and its implications on livelihoods and socioeconomic development of countries. By its very nature and mandate, WTO is a unique organisation – it is the only international multilateral institution where negotiation of multilateral trade agreements and settlement of trade disputes among members take place and above all, it is a member-driven organisation. At its heart are the WTO agreements, which cover goods, services and intellectual property. The agreements are lengthy and complex, covering a wide range of issues. Members who fully appreciate and understand what global trade means to their countries make use of their best negotiators and experts in the various areas including international trade law. Africa as a continent still accounts for a very small share of global trade. WTO provides a forum where LDCs and developing countries that form the majority of the WTO membership can influence the ways and rules that govern the multilateral trading system and hence their proactive participation is crucial. Working in the ODG has exposed me to different responsibilities and different areas of work at the WTO. I have also enriched my knowledge about the global dynamics and the multilateral trading system. Moreover, I also had a chance to enrol for French classes at the UN Headquarters in Geneva and have hence learnt some French. Additionally, my network of friends and professional contacts has expanded. Overall, it was a great experience. Any challenges encountered only enriched the experience. I am more informed and better equipped to take on higher responsibilities in the society. I am grateful to MIF for the leadership mentorship programme and feel proud to be associated with the Foundation. | | My Time at the Mo Ibrahim Foundation
Francisca Darfour - 2012 Ibrahim Scholar | |  | | | | It is exciting to be called a scholar of some sort as an aspiring academic. For me, being the first scholar of the prestigious Mo Ibrahim Foundation scholarship at the University of Birmingham is thrilling and humbling even today. For aside from the uniqueness of the degree in itself and its relevance to Africa’s development issues, the scholarship comes with a six month internship with the Foundation at the office in London. For a young Ghanaian graduate, this was the dream. It didn’t take much time however, for reality to be tinted with self-imposed pressure and fear to set in, especially when I came to terms with some of the phrases used in describing who a Mo Ibrahim scholar is supposed to be…‘an exceptional African national’, ‘future African leader’ etc. While I constantly questioned myself about whether I had what it takes to live up to those phrases, I settled very quickly on what I believed to be the expectation of such a scholar: to give my best in everything, make the most of all opportunities and be prepared to give back to the continent…thus epitomising Mo and his passion for the continent. Navigating the IIAG
Making the most of all opportunities has been my guide post over the past five months as an intern with the dynamic team of the Foundation who are dedicated to improving and raising awareness about governance in Africa. My time with the Foundation has given me the opportunity to learn and understand hands-on about the intricacies involved in the research, calculation and publication of a governance measurement tool such as the IIAG. More importantly, the process has helped me find a balance between my previous theoretical knowledge and understandings of governance in Africa and the Foundation’s comprehensive quantitative data and analysis on the subject. My exposure to events like the launching of the Ibrahim Index of African Governance as well as the planning and successful implementation of the 2013 Ibrahim Forum has taught me more practically the dynamism of team work and the diplomacy involved in organising such high level events. The internship provided me a platform to use and improve upon my skills and an opportunity to work with and learn from a multicultural team. The tragic thing about Africa’s youth I believe is that the majority do not possess the required qualifications, skills and experience to successfully negotiate their place in this competitive age. The invaluable skills gained from the internship has not only given me a unique experience but has prepared me to thrive in any working environment. | | | |  | | Highlights from recent research papers, a calendar of upcoming elections and news from other institutions and partners. | |  | | - 17th February to 18th April
Egypt
House of Representatives elections (postponed from 27th April 2013)
Shura Council elections (postponed from second half of 2013)
- 13th April
Guinea-Bissau
Presidential, Parliamentary, National Assembly and Senate elections -
17th April
Algeria
Presidential elections - 7th May
South Africa
National Assembly and provincial legislatures elections -
20th May
Malawi
Presidential, National Assembly and local government elections | | | |  | | Brookings Institution has released its new Foresight Africa report, a collection of short briefs on the major issues for Africa in 2014. It is compiled by the Brookings Africa Growth Initiative. Human Rights Watch has released its World Report 2014. The report includes a warning about data protection. Freedom House released its Freedom in the World 2014 report in January. Along with its annual survey it has also posted a summary and a 2014 Map of Freedom illustrating the ranking, as well as an overview fact sheet and an explanation of its methodology. Bertelsmann Stiftung released the 2014 Bertelsmann Transformation Index (BTI). It found that a better-networked and more self-confident civil society is increasing its resistance to mismanagement, autocratic trends and corruption. The 2014 Reporters Without Borders World Press Freedom Index spotlights major declines in media freedom in the Central African Republic and Mali while highlighting marked improvements in some countries including South Africa. | | | |  | | In an open letter written for The Africa Report, former President of Mozambique and 2007 Ibrahim Laureate Joaquim Chissano called for African leaders to unite to agree on a common position on the post-2015 MDG development agenda. Former President of Ghana, John Kufuor, has been appointed a United Nations "Special Envoy on Climate Change". The African Development Bank has announced that it will increase credit access to African countries. MIF partner Afrobarometer published its last survey of the continent’s public opinion covering 34 countries. The survey found that most Africans say their governments are failing in the fight against corruption. | | | Coming Events - The annual Africa CEO Forum, co-hosted by the Groupe Jeune Afrique and the AfDB, will take place in Geneva, Switzerland from the 17-19th March.
- The African Union - Economic Commission for Africa Joint Annual Meetings will take place in Abuja, Nigeria, from the 27 March-1 April.
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The 4th Africa-European Union Summit takes place in Brussels from 3-4 April. - The LSE Africa Summit will take place from 4-5th April.
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The World Bank - International Monetary Fund Spring Meetings take place in Washington, USA, from the 11-14 April. - The World Economic Forum takes place in Abuja, Nigeria, from 8-11 May.
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The African Development Bank's 49th annual meetings will take place in Kigali, Rwanda from 19-23th May. MIF's Global Engagement This map highlights all the countries and continents which MIF has visited since December 2013. | | | | |
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