Resource rich nations face unique challenges when attempting to move from low to high value added activities.
Resource sectors (such as mining and oil) tend to be highly capital intensive and offer limited employment opportunities to accommodate workers exiting from other sectors with lower average productivity, such as agriculture and informal services.
Natural resources management, particularly in the extractives industry, can make a meaningful contribution to a country’s economic growth when it leads to linkages to the broader economy. To maximize the economic benefits of extractives, the sector needs to broaden its use of non-mining goods and services and policymakers need to ensure that the sectors infrastructure needs are closely aligned with those of the country’s development plans.
In Africa, especially, mining and other companies that handle natural resources traditionally provide their own power, railways, roads, and services to run their operations. This “enclave” approach to infrastructure development is not always aligned with national infrastructure development plans.
"Rarely can the future be predicted by simply extending current trajectories."
- Stephen Cave, author of the internationally acclaimed book, Immortality: The Quest to Live Forever and How It Drives Civilization. He also writes essays, features and reviews on many philosophical, ethical and scientific subjects, from human nature to robot warriors and animal rights. He is regularly published in the Financial Times and sporadically in The New York Times, the Guardian, Wired and others.
For generations, coastal communities in West Africa have lived off the land and sea, depending on the region’s abundant natural resources for their nutrition, health and economic activity. Coastal habitats such as mangroves and coral reefs, both important breeding grounds for fish, as well as hydrocarbon and mineral deposits, have helped foster thriving cities, trade, commerce and economic development in the region’s coastal zones, the source of 56% of West Africa’s gross domestic product (GDP.)
Examples of this organic knowledge-sharing, born of individuals’ first-hand positive experiences with PPPs, can be found among thought leaders across a range of fields. Editors of Handshake, the World Bank Group’s PPP journal, have interviewed many of these experts about their experience with PPPs and have compiled some of their perspectives here.
Edward Glaeser, urban economist and Professor of Economics, Harvard University (Cities issue, p. 30, “Triumph of the PPP”), on the need for oversight of PPPs: “There is a lot to be gained in the marriage of public and private, but there are also enormous risks. There are cases where either the government has mistreated the private partner, or companies have figured out a way to mistreat the government. PPPs always require firm oversight. They are enormously valuable as a way to solve a financing problem, and the people who are fighting to solve this problem are doing one of the most important jobs in the world.”
Francesco Bandarin, UNESCO’s Assistant Director-General for Culture (Tourism issue, p. 26), on PPPs as a solution for World Heritage Sites: “Over the past 10 years we’ve had an increased level of attention to World Heritage Sites, and there’s been a subsequent expansion in the number of sites as a result. When you have an expansion of your core business the first question you ask yourself is 'How do I keep delivering the same quality of services?' For us, this includes monitoring services, support to member states, tracking and responding to trends, and trying to use tourism as a resources instead of just a force of destruction. We want to deal with tourism in a way that’s constructive. PPPs can help us do that.”
Luck has struck the region of East Africa: for a couple of years now, new announcements of natural resource discoveries are being made every few months. Mozambique has found some of the largest natural gas deposits in the world, while Tanzania, Uganda, and Kenya have also discovered gas and oil. Exploration is still ongoing, so even more discoveries could be forthcoming. Luck has definitely struck the region, but the main question is: how will the people in these countries benefit from this?
In my lifetime, I have seen waters that were teeming with multi-colored fish, turn dead like an empty aquarium. I have seen the streets of Bogota, my home town, lose thousands of trees in a matter of years.
It’s tempting to feel demoralized. But as the world’s protected area specialists, conservationists and decision makers gather in Sydney, Australia, this week for the World Parks Congress, there is also much to hope for.
- water access
- natural resources
- food security
- Sustainable Development
- protected areas
- natural capital
- World Parks Congress
- Agriculture and Rural Development
- Climate Change
- Latin America & Caribbean
- East Asia and Pacific
- South Africa
Every MPA is not created the same; some allow fishing and some do not, some are small and some are large, some are connected and some stand alone. When they are well planned and well executed, MPAs can help feed communities, protect jobs and boost biodiversity in the ocean. Here are the top five reasons why MPAs can be GREAT!
1. Spill Over Effects
The benefits of an MPA extend far beyond the boundaries of protection. When well planned, MPAs act as the home base for migratory species. These species use the protected area to reproduce, feed or congregate. But they do not stick around for long. This is called the “spill over effect” and it is hugely beneficial to local fishing communities. Even if fishing is restricted inside the MPA, just outside the border the fish are more numerous and far larger. For example, in Indonesia, community income increased 21 percent in 258 villages near a network of six protected areas.
By 2050, the world's population will have risen to 9 billion people. Consumption of fish as a percentage of protein in diets around the world is growing too, especially in the last five years as noted in a recent United Nations Report. Fish makes up over 16 percent of the world's animal protein food supply, and food fish supply, including aquaculture, has increased at an average annual rate of 3.2 percent, which means it’s growing at an even faster clip than the world's population. But the supply of wild-caught commercial fish species, such as tuna, is not infinite. Realistic, well-defined and long-term focused management strategies need to be in place now so that despite an unwavering growth in population and consumption, wild fish stocks can thrive well into the future.
Consumption of fish will continue to increase. In both the developing and developed world, more consumers want access to more fish. In less developed, food-deficit countries -- specifically coastal ones -- fish like tuna provide an affordable source of nutrient rich food.