Ethiopian Review

African Ministers call for action to tackle economic downturn

The current global economic crisis, which is affecting every economic sector of most nations, is going to dominate this year’s annual United Nations Development Programme (UNDP) regional conference that will be held in Addis Ababa from June 16 to 19.

Last Monday, UNDP officials disclosed that the theme for this year’s conference is “Addressing the impact of the current global financial and economic recession on Africa’s development.”

The event is expected to gather around 43 UNDP resident representatives from Sub-Saharan Africa region as well as selected representatives of African Governments, African regional institutions and development partners.

Although Benin’s President Yayi Boni (PhD) cancelled his attendance for personal reasons, Prime Minister Meles Zenawi, newly appointed UNDP Administrator Helen Clark, and Executive Secretary of the Economic Commission for Africa (ECA) Abdoulie Janneh, are among the panellists.

Asked by Capital what implication the crisis had had on UNDP’s activities so far, Fidele Sarassoro, Country Representative of UNDP, said the organisation has not been yet affected by it, but there are expectations that it will have adverse effects next year if current trends continue.

“The International Monetary Fund’s (IMF) prediction is that the crisis will decrease in the middle of next year,” he explains, adding that the conference will try to find ways to mitigate its impact on African countries.

In a related development, African ministers of finance and economy stressed that the continent must take bold and swift action in order to cushion the impact of the financial and economic crisis.

The call came in a ministerial statement issued at the end of a conference of the ministers and the United Nations Economic Commission for Africa (ECA) Conference of African Ministers of Finance, Planning and Economic Development, which was held from 6 to 7 June in Cairo, Egypt.

The African Union Commissioner for Economic Affairs, Maxwell Mkwezalamba, said Africa needs to engage with the G20 and international financial institutions to determine how much extra resources should be disbursed to the continent following agreements reached at the London G20 Summit.
Abdoulie Janneh, said the economic crisis is a setback, but also an opportunity for innovation, self reliance, and practical solutions.

- By Elias Meseret | Capital Ethiopia