Last Friday, Bob Geldof’s face gazed pensively from the front page of the FT’s business section over a story that he was seeking to raise a billion dollars for a venture capital fund for Africa.
The front page of the main paper, meanwhile, told of violence on the streets of Mozambique’s capital, Maputo, where more than 20 people died in food riots after the price of bread went up by 25 percent.
Same day, same paper, same continent. But for me, the two stories were linked in another way. Let me explain.
Geldof’s transition from advocate for aid to fund manager, seeking to capitalize on resurgent economic growth, is not as surprising as it may sound.
Africa can certainly use more investment in agri-business, financial services and telecommunications that will be the focus of the new fund.
And these investments, if capably managed, should contribute to creating economic growth and opportunity.
But the scenes of violence in Maputo show that economic growth is not enough to ensure a peaceful future in a society that has known or is prone to violence. Rather, they indicate that even the most enduring transitions away from conflict and fragility can experience a violent tipping point.