[color=#004080]Sorry about the late reply to your comment. I was dealing with a blue-eyed woyane leach stealing my bandwidth on my Wi-Fi network lol.
OK... first of, Japan's economic development is attributed to the Marshall Plan which was extended to non-European countries after WW2 in order to prevent them from falling under the USSR sphere of influence. Japan was under US occupation during the post-war reconstruction period and the aid money it received from the US was not a loan and there was no repayment to be made. To its credit, Japan wisely used the money to lay down solid infrastructure vital for the manufacturing industries, transportation and agriculture, which attracted huge foreign investment.
In contrast, there was no such Marshall Plan for post colonial Africa. The war-ravaged African nations have little or no infrastructure today, and they lack manufacturing know-how and technological skills to convert their raw materials into marketable finished Products for export markets. They can't attract foreign investment under such deplorable condition, but the exploitation of their raw materials.
the economic and technological state of the world has dramatically changed since 1945, back then it was an impossible task to find start up money and technology to start even small industry. Today the world is so different, for the following reasons,
1. Technology is widespread and cheap.
2. Trained man power is widely available.
3. money is also available.
i will give you an example, if the Eritrean government was to open the doors for investment, it doesn't need any loan or any kind of start up money. There are Eritreans abroad with the money, knowledge and access to technology. So all the government has to do is invite the Eritrean investors, their part will be to supply the financing, know how and technology. Then government on the otherhand can supply the labor.
The best way for Eritrea to start is to open up labour intensive and low start up capital industries such as the ones indonesia is thriving on today. Furniture making, musical instruments, small machinery, automotive parts and fire arms. All this require little mpney to setup but they are labor intensive, which Eirtrea has plenty of. That way evenall the refugees in Israel can be gradually repatriated to work in the new factories. The factoried can be small like the ones Taiwan has, but built in large numbers the revenue is astonishingly high when you add it all up.
Another way Eritrea can do business is to offer low cost medical care like surgery for Americans and other nations without universal medical insurance. Cuba is doing brisk business by that method.
That's what the NEPAD program is all about -- to export raw materials from Africa. The developed countries are only interested in importing raw materials from Africa, because they have to provide employment for their own people. If he could have it his way, Obama would like to see all African countries be like Ghana, where illiterate, barefoot, famished Ghanaian children are producing cocoa for exports to the developed world. The poor children have never seen, let alone tasted a chocolate bar! But the Ghanaian government is hailed as a model for the rest of Africa.
that's not how it works, if Eritrea is willing to produce products that are in high demand in the west, the export business is open. Not just the west, you have the middle east and Asia too. Africa too can import products and services from Eritrea once they become available.
If Eritreans wisely chose not to repeat the mistakes other African countries made, it does not make them less diplomatic, but rather sly as an African fox. They are busy building vital infrastructure that will not only attract foreign investment and sustain long-term GDP growth, but help them get a fair market value of exported products. They're less concerned with image and more concerned with economic emancipation which could only be obtained through rigid discipline.
Eritrea doesn't need to repeat the mistakes of other African countries, what she needs is to repeat the successes of the Asian tigers, it can be done once the government becomes serious about the appropriate small scale industries.
There are some things on which a responsible head of state shouldn’t compromise, even if failing to do so makes him unpopular with the outside world. Lifting people out of poverty in Africa is neither a popularity contest, nor glamor. It's a life-and-death struggle, because every decision made will affect the lives of millions of people. China lifted more than 600 million people out of poverty over the past 20 years. If Chinese leaders' primary concern was to have a squeaky clean image, there would be 600 million more poor people in China today. Image is nothing; substance is everything.
For one, the Chinese have set very good examples in the art of diplomacy, second China pulled its people out of poverty and backwardness by cultivating the export market extensively. Alot of Asian countries have used the export market to a great advanrtage, no African nation has used taken advantage of that possibility except South Africa. i think Eritrea can do economic miracles for her people if she takes the best aspects of the Asian examples, start with small numerous and labor intesive inductries, as you build up capital you can gradute to the larger industries like steel and car manufacturing, but first start small.
The structural adjustment programs are actually the fault of the African leaders who borrow money, then they steal it later the people have to suffer to pay it back, that doesn't apply to Eritrea since she doesn't borrow money.
That's my suggestion.