OPINION
A Big Bond for Africa
By Nancy Birdsall and Ngozi Okonjo-Iweala
Sustained economic growth is essential to maintain progress on reducing poverty , infant mortality , disease and malnutrition .
The Big Bond approach represents a much-needed update to the ODA framework – one that supports higher and more sustainable growth in recipient countries , while lowering the burden on donor countries .
The countries of Sub-Saharan Africa have reached a critical juncture . Strained by a collapse in commodity prices and China ’ s economic slowdown , the region ’ s growth slipped to 3.4 % in 2015 – nearly 50 % lower than the average rate over the previous 15 years . The estimated growth rate for 2016 is lower than the population growth rate of about 2 %, implying a per capita contraction in GDP .
Sustained economic growth is essential to maintain progress on reducing poverty , infant mortality , disease , and malnutrition . It is also the only way to create sufficient good jobs for Africa ’ s burgeoning youth population – the fastest growing in the world . As Gerd Müller , Germany ’ s development minister , noted at a recent press conference , “ If the youth of Africa can ’ t find work or a future in their own countries , it won ’ t be hundreds of thousands , but millions that make their way to Europe .”
One way to sustain growth and create jobs would be to collaborate on planning and implementing a
16 Business Times Africa | 2017