Africa Must Focus On Boosting Private Sector From COVID-19 Impact- Mahama

Former President John Mahama has said that Africa’s recovery from the effects of the COVID-19 pandemic will be well served if the continent’s governments, leaders and its people invest more energy into boosting a number of key areas, including the private sector.

Other areas of attention, he said, should be the bridging of the digital divide, improving health delivery, improving food security, fighting climate change and full implementation of the African Continental Free Trade Area (AfCFTA), among others.

“Africa must build back by focusing on the private sector, especially the small and medium-sized enterprises who are the lifelines of the economy and largest employers of labour. This does not and must never mean the government has no business in creating jobs. The government also has that responsibility,” suggested the former President.

He suggested that this build-back must focus on women empowerment, climate change and sustainable development.

He gave the suggestions in a virtual address to the African Economic Congress (AEC) held in Nigeria.

The Congress was under the theme: “Accelerate Africa: Building Back Better” focusing on teasing out strategies that can be used to accelerate Africa’s resurgence once the COVID-19 pandemic is over.

The former President noted that the pandemic has had a devastating toll on African economies, impeding the previously steady progress towards achieving the Sustainable Development Goals (SDGs), whose target date is only eight years away.

The former President noted that the statistics, in terms of death have been favorable to Africa. However, where COVID Africa the most is in the area of the economy.

“So insidious has it been that it has literally relegated many of the challenges facing our people – challenges such as unemployment, bad governance, corruption, inadequate health facilities, poor roads, insecurity and many others,” he said.

Mr. Mahama cited a forecast by the AfDB which gives a positive outlook; projecting that Africa’s Real GDP will be around 3.4%. However, he said, this outlook is not set in stone; and is subject to unknown internal and external factors and conditions.

According to Bloomberg, as a result of the pandemic, an estimated 30 million people were pushed into extreme poverty in 2020. The report suggested that, in spite of the expected growth, another 39 million people could still be pushed into the extreme poverty bracket.