/ 5 July 2005

Africa’s private sector has ‘critical role’

British Prime Minister Tony Blair has recognised the critical role to be played by the private sector in combating poverty in Africa, while pledging to push for the “best possible package” for the continent during the summit of the Group of Eight (G8) leading industrialised countries in Gleneagles, Scotland, set to begin on Wednesday.

Speaking in his recorded opening address to the Business Action for Africa summit in London on Tuesday, in the run-up to the G8 meeting, Blair told participants: “You too have a critical role. The private sector is the engine for growth in Africa. Growth and development can only happen when governments and business work together.

“Business Action for Africa is already fostering the vigorous private-sector engagement needed to create wealth, jobs and the momentum for growth. Your investment, expertise and practical ideas are essential to helping Africa share in the benefits of the global economy.”

The Business Action for Africa summit is being attended by African leaders and international business leaders, including Nigerian President Olusegun Obasanjo, President Levy Mwanawasa of Zambia, South African Finance Minister Trevor Manuel and United Kingdom International Development Secretary Hilary Benn, as well as business leaders from across Africa and the G8.

The event is focusing on the actions that the business community will take to support poverty reduction in Africa while helping to create a positive climate for business and investment in African countries.

The summit will send clear messages from business to G8 leaders assembling in Gleneagles and to African leaders on the actions they need to take to promote Africa’s development.

During the gathering, business leaders are expected to launch an international business coalition committed to ending poverty in Africa.

The conclusions from the summit will be delivered to Blair as the current chairperson of the G8.

South African President Thabo Mbeki will be one of the African leaders attending the G8 summit.

Meanwhile, Business Day quoted Manuel as saying that Africa will be looking for more clarity at the G8 summit on debt-relief measures outlined at a meeting last month by developed-country finance ministers.

Official development assistance and the phasing-out of trade subsidies, particularly agricultural subsidies, are other issues the New Partnership for Africa’s Development wants addressed.

“We must get a timetable to unshackle the world from trade-distorting subsidies,” the newspaper quoted Manuel as saying.

“We want to leave the trade ministers with fewer places to hide when they go to [the next round of World Trade Organisation negotiations in] Hong Kong,” he added. — I-Net Bridge