Issue Paper: Implementation of African Action Plan

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ISSUE PAPER: Towards the Implementation of the Africa Action Plan on Development
Effectiveness (AAP)
1. Background
Africa’s development infrastructure consists of three elements: development priorities, strategic
partnerships and modes of monitoring development. In accordance with the African Union’s Agenda
2063 and the Common African Position of the Post-2015 Development Agenda (CAP), and with the
support of the Global Partnership, Africa is taking responsibility for setting its own development
priorities and determining the partnerships that will be the most beneficial for its development. The
modes of monitoring development progress in Africa is to a large extent determined by the processes of
the Global Partnership for Effective Development Cooperation in which representatives from Africa is
determined to advocate for the interests of the people of Africa.
In February 2014 African representatives from politics, the private sector, CSOs and academia convened
under the auspices of AU-NEPAD in Abidjan, Côte d’Ivoire, and reached consensus on specific priorities
for the first African Action Plan on Development Effectiveness (AAP). Within the ambit of the NEPAD
Agenda, Agenda 2063 and CAP, the AAP outlines concrete steps for how Africa should take
responsibility for its own development. The AAP expresses selected African development priorities,
which are to be complemented with member state-specific development priorities. In November 2014,
again under the auspices of AU-NEPAD, a regional meeting was held in Kinshasa, Democratic Republic of
the Congo, to flesh out the implementation of the AAP.
2. Problem Statement
Delegates at the regional meeting held in Kinshasa were tasked, among other things, to provide
concrete recommendations on the following question: How should the AAP be implemented? In this
Issue Paper a synthesis of the recommendations in Kinshasa is presented. The synthesis is done in terms
of the four thematic focus areas of the AAP.
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3. Key Recommendations for Implementing the AAP
3.1 Mobilization of African resources for the development of Africa
Recommendation
Quantify potential tax resources per country.
Further clarification
This should include estimations of
illicit financial flows.
Quantify, mobilize and incentivize potential tax contribution of the Special attention should be given
informal sector.
to the care economy.
Review tax legislation, with special focus on existing tax exemptions The ITIE process in DRC, Chad and
and tax holidays.
other countries is an example of
sector-specific reforms.
Improve tax collection.
A best practice can be found at the
South African Revenue Service.
Exchange relevant tax information between countries.
This should ideally be done by
means of a secure IT system.
Create observatories to monitor the extractive industry.
Special attention should be given
to
their
tax
contributions,
environmental impact, and health
and safety standards.
Enable and support innovative uses of microcredit to support SMEs. One possibility is the creation of an
Industrial Support Fund.
Improve the business environment, specifically by reducing Concrete examples of simplified
bureaucratic procedures of acquiring licences and approvals.
and streamlined business SME
registration can be found in
Burkina Faso, Mauritania and the
DRC.
Develop mechanisms to support SMEs.
One possibility is the creation of a
development bank or fund that
finance SMEs that meet certain
criteria.
Utilize innovative domestic financing instruments.
Stock Exchanges, National and
Regional Infrastructure Bonds,
Diaspora Bonds and PPPs etc.
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3.2 SSC, TC and regional integration for development
Recommendation
Support regional development projects, focussing on infrastructure.
Strengthen the role of RECs in regional development projects.
Enable and support the removal of barriers to free movement.
Build SSC, TC and RI capacity in public and private sectors.
Establish units or structures dedicated to SSC, TC and RI.
Expand knowledge of potential development partners in the South.
Further clarification
The construction of roads, railway
lines and pipelines to allow
Uganda, Ethiopia, South Sudan and
Rwanda access to the Mombasa
port is an important example in
this regard.
Planning,
Implementation
(coordination between countries)
and Monitoring & Evaluation
The adoption of protocols on free
trade and movement of people
across and within regions is one
such possibility.
Existing programmes and centres
need to be supported, such as the
PAN Institute for Development or
MEFMI, and new programmes
should be created.
South Sudan, for example, has
created a SSC unit within the
Ministry of Finance’s Department
of International Cooperation.
Asian and Latin American Studies
at African universities should be
strengthened and expanded.
3.3 Preparation for and support of “middle-income” status
Recommendation
Further clarification
Develop and support an appropriate and comprehensive measure The use of only GNI per capita is
of MIC status.
inadequate and misrepresents the
status of many countries.
Develop African models of MICs addressing inequality and social A viable option is an Annual report
exclusion.
on the status of inequality in MICs
in Africa.
Disseminate regional and country-specific development information The
Africa
Platform
for
on the transition from LIC to MIC.
Development
Effectiveness
(APDev) is the premier African
instrument that can be used to
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facilitate this process.
Disseminate African experience on the transition from LIC to MIC Organize an annual forum for MIC
and the particular challenges of MICs in Africa.
and establish exchange programs,
study tours and benchmarking
visits.
Enable and support the collection of reliable data and statistics at Enhance and develop national &
national level.
regional statistical institutions for
timely and reliable data to plan
development projects
Incentivize African research institutions to make research related to This can also be done by means of
the transition from LIC to MIC and the particular challenges of MICs APDev.
in Africa publicly available.
Establish national mechanisms that link government ministries and Strengthened
inter-ministerial
agencies that address inequality and social exclusion.
coordination
committees
for
collective
planning,
implementation and M&E
Promote and create income generating initiatives for the poor, An important African example is
marginalised communities, women and youth.
the UWEZU Fund in Kenya for
Women, Youth and Disabled
individuals that give funding at low
interest
rates
and without
collateral. 30% of Government
tenders have been reserved for
Women Youth and Disabled
groups.
Monitor and support sustainable and decent employment.
Ensure stronger role of private
sector in development particularly
with
regards
to
youth
empowerment and opportunities.
Develop and support PPP programmes.
Set-up strong institutions to ensure
project preparation is
appropriately carried out for more
bankable public projects to attract
the private sector.3.4 Towards creating a representative and inclusive global development infrastructure
Recommendation
Further clarification
Ensure the adequate representation of the African region in global This should include processes
governance structures.
aimed at establishing an Advisory
Committee
for
the
Global
Partnership
for
Effective
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Development Cooperation and
finalising the post-2015 Agenda.
4. Implementation
The key recommendations that emerged from the regional meeting are to be implemented in terms of
the following principles:
 The recommendations are African priorities and should direct development cooperation in
Africa.
 Implementation of the AAP priorities should be complemented with member state-specific
development priorities.
 Implementation should be rolling, with continuous exchange of experience and feedback. Key
countries for the initial implementation of the AAP should be identified as soon as possible.
 The AAP should be implemented according to concrete timelines and allocation of resources. It
is recommended that its implementation should commence in the first half 2015.
 The AAP is to be implemented by governments, RECs and continental bodies in close cooperation with the private sector and CSOs, and with the support of partners in the South and
development partners.
5. Resource Implications
It is recommended, in the spirit of the Global Partnership for Effective Development Cooperation’s
emerging vision and indicators, that development cooperation should make resources available to
support the African priorities outlined in the AAP.
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