Korea, Model For Africa’s Industrialization, says Adesina

The President of the African Development Bank (AfDB), Mr. Akinwunmi Adesina, calling on African governments to create the right environment for the private sector to lead the continent’s industrial revolution.

Adesina made the call at the 53rd Annual Meetings of the bank in Busan, Korea, on Monday.

“Korea’s example is incredible. Korea was as poor as any African country in the 1960s with a low per capital income. Today, thanks to the determination of its people and its commitment to industrialization, Korea is the 11th biggest economy in the world, an example Africa should learn from,” Adesina stated at a media breakfast.

Participants also advocated for a balance between the role of the State and the private sector, with the host country presented as a good model for industrialization which African countries can learn from.

In a statement from the AfDB, it stated that discussions focused on the theme of the 2018 Annual Meetings, “Accelerating Africa’s Industrialization,” and the need to tell the great stories of Africa – the story of a resurgent continent ready to take its rightful place in the industrial world.

“If you look at countries that have industrialized – China, South Korea, Singapore and many others – the role of the State was clear. One of the things that I think we need to take out of this conversation is that the State has a great role to play in Africa’s industrial revolution, particularly in terms of industrial policy, providing direction, support for infrastructure, and directing capital to particular industries,” he stressed. “Ethiopia is a very good example.”

Adesina explained that industrialization was selected as the theme of the 2018 Annual Meetings to further showcase what Africa can learn from a country like Korea.

“There is nowhere better than Korea to address this theme. Korea’s incredible success over the last 60 years provides a perfect model to the African Development Bank to redouble its efforts towards Africa’s economic development. Africa is a tremendously blessed continent, but it needs to industrialize, create lots of jobs, and be more competitive in the global market.”

For Africa to witness true agricultural transformation, technologies need to reach farmers to enhance productivity. This was the message of the Leadership4Agriculture Forum, held on Day 1 of the meetings.

“We cannot say we have leadership when we still have 65 percent of the land in Africa uncultivated. We must develop solutions to agriculture and ensure that the sector can grow to a US $1-trillion business,” Adesina said.

Participants in Monday’s Leadership4Agriculture session included Ministers and key partners involved in the development of agricultural industrialization of the continent. They emphasized the need to enhance the competitiveness of Africa’s agriculture sector and to develop industrial value chains required to power the growth of the sector to a world-class industry.

Mima Nedelcovych, President and Chief Executive, Initiative for Global Development, said the African agriculture sector required efforts to improve its competitiveness and called for reforms to ensure that low-interest rate lending is available to the agriculture sector.

“We have to take action as well as talk. Talk is important, but we also want to take people to task,” said Jennifer Blanke, the Bank’s Vice-President for Agriculture, Human and Social Development, on moving past discussing agricultural challenges to executing solutions for them.