Germany has announced its intentions to forge a new relationship with the continent of Africa, as it hopes to cash in on aiding innovation and industrial development of its growing labour force and to meet out the nearly 20 million new jobs needed every year.
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Nearly half of the world's fastest-growing economies are based in Africa, and by 2035, it is expected it will also be home to the world's largest labour force - with its population expected to double by 2050, accounting for 20% of the global population - creating a large, young workforce in need of employment.
On day one of the 2020 Global Manufacturing and Industrialisation Summit (GMIS), many public sector leaders discussed the factors needed to promote industrialisation on the continent through initiatives like the Marshall Plan.
The Marshall Plan is the German government's agenda to push for the development of African nations, with the claim that "by 2063, Africa will be a prosperous continent with the means and resources to drive its own development, and with a sustainable and long-term responsibility for its resources."
The German Federal Ministry for Economic Cooperation and Development (FDZ), which is heading the project, lay out the Marshall Plan as a "new kind of cooperation," describing it as a "political partnership of equals which offers Africa's own agenda. Africa requires African solutions."
FDZ head and Minister for Economic and Development, Gerd Müller described the plan as a "paradigm shift."
He added: "We have to realise that Africa is not the continent of cheap commodities but rather that the people of Africa need infrastructure and a future.
“It has 89% of the world’s copper, cobalt, and rare earth reserves. Africa is the continent of the future. Germany has set up the Development Investment Fund, a support package of one billion euros for German and European companies that want to get involved in Africa, and for African companies seeking financial resources.
"Germany is supporting African efforts to strengthen inner-African trade and the diversification of exports by promoting the African continental free trade zone.”
Angolan president, João Manuel Gonçalves Lourenço stressed for the need for strong government, adequate oversight and flexibility in implementing the Marshall Plan.
He said: “It should focus the goals of the 2063 African Union agenda, whereby the EU and Africa should cooperate on a political, economic, social and cultural level in order to ensure the progress of our continent. On our side, we commit to forwarding the assistance that we'll be receiving to the right areas in order to ensure better monitoring in the implementation of different programs. Weak leadership in projects is a waste of resources, and that is what we need to prevent.”
Other speakers at the summit urged unity between the various sectors to ensure the result they are hoping for.
Albert M. Muchanga, the Commissioner for Trade and Industry for the African Union emphasised the importance of private-public partnerships to help Africa develop new and sustainable opportunities for young people.
He said: “For us to ensure that we dynamise the process of industrialisation and also try to leverage the opportunities offered by the fourth industrial revolution, we need to develop a partnership among the governments, academia, and the private sector.
"We need governments to provide the policy framework and to provide public resources. And we need the private sector and academia to embark on vigorous training programmes as well as rigorous research and development programmes.”
Ebrahim Patel, Minister for Trade and Industry for South Africa called similarly called for the African nations to realise their true potential on the world stage by increasing its GDP and employment opportunities.
He added: “African countries are learning the hard lesson that we cannot remain simply exporters of raw materials and importers of finished goods like medical supplies and processed food products.
“We must confront uncomfortable facts and deal with Africa’s position in the global economy. Africa has 17% of the world’s population, yet only 3% of the world’s GDP, 2% of the global manufacturing output and 1% of global steel production.”
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