Africa is home to some of the fastest growing economies in the world while juggling an expanding interest from especially China and India to invest in the continent. Financial investments from these actors are have already turned into new roads and train tracks along with job openings and previously unseen opportunities in Africa. The question is if the surging capital flow is benefiting Africans, or only a handful of investors and policy makers? The returning local event Debate in Lund wanted to take a closer look and organised a live-streamed debate discussing who are the winners and losers in the scramble for Africa’s resources.
Journalist Andreas Ekström moderated the evening’s panel consisting of Margaret C Lee, leading Africa researcher and author of “The 21st Century Scramble for Africa”, Nnimmo Bassey, awarded the Right Livelihood Award in 2010 for his humanitarian work in Nigera and Erik Esbjörnsson, Africa correspondent for the Swedish newspaper Dagens Nyheter.
Ellen Hillbom, Africa Researcher at Lund University kicked off the debate by highlighting the importance to acknowledge the diverse economies and social contexts on the continent and the many different mechanisms that drive economic growth. This new financial trend points to a diversification of activities, Ellen mentioned, as it moves beyond just extracting minerals and resources, which has been the usual business in Africa, to direct investments in for example infrastructure. Ellen added that she thinks there are examples of both looting, particularly land grabbing, as well as legitimate foreign investments that help bring in technology and knowledge. There is no one side to this topic, she said, which she hoped the panellists would testify to and give examples of during their discussion.
The panellists brought forward a few positive examples from the financial spurt, such as new jobs and changing the perspective of Africa as a no-go zone for investments, but both Margaret Lee and Nnimmo Bassey raised their concerns of the growing involvement from foreign investors. Margaret saw it as a continuation of colonization, and the century long Western exploitation of Africa’s resources, only this time it involves new actors.
Although a new consumer-class is visible in some countries the truth is, said Margaret C Lee, this group is still quite small and much of the capital never reach people outside the immediate financial agreements. In addition, leaders are not taking responsibility to ensure that resources are managed sustainably, and that the income trickles down to the people in need of new houses, education and health care. Panellists argued that the countries need to start demanding more from their leaders to aim for sustainable economic development in favour of economic growth as that won’t change the majority of African’s lives for the better.
Margaret C Lee also highlighted ways Lund University can help support a positive development through its new initiative that aims to further strengthen collaborations with African universities. Through collaborating with African universities who are serious about training and educating tomorrow’s leaders and supporting people who are already trying to change the course of action, Lund University can make a great difference.
Watch video: The new scramble for Africa’s resources – looting or development?
Follow @Lunduniversity for more #DebateinLund updates.
Next Debate in Lund:
Topic: The challenge of migration - will it make us or break us?
When & Where: Thursday, 19 November at 20.00 in Café Athen, Lund, Sweden, or online at Sydsvenskan.se