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The Case for Sharing Africa’s New Minerals Wealth With All Africans

Makhtar Diop's picture

In country after country in Sub-Saharan Africa, new discoveries of oil, natural gas and mineral deposits have been making headlines every other week it seems. When Ghana’s Jubilee oil field hits peak production in 2013, it will produce 120,000 barrels a day. Uganda’s Lake Albert Rift Basin fields could potentially produce even greater quantities. Billions of dollars a year could flow into Mozambique and Tanzania thanks to natural gas findings. And in Sierra Leone, mining iron ore in Tonkolili could boost GDP by a remarkable 25 percent in 2012.

My strong hope is that all the people living in these resource-rich African countries also get to share in this new oil and mineral wealth. So far, with one of few exceptions being Botswana, natural resources haven’t always improved the lives of people and their families. From what I see on my constant travels to the continent, economic growth in most resource-rich countries is not automatically translating into better health, education, and other key services for poor people.

Many resource-rich countries tend to gravitate towards the bottom of the global Human Development Index, which is a composite measure of life expectancy, education and income. 

One strikingly effective way to make sure that all people, especially the poorest, share in the new minerals prosperity is through safety nets and social protection programs. These are designed to protect vulnerable families and promote job opportunities among poor people who are able to work. This in turn makes communities stronger and more secure, while reducing painful inequalities between people.

Social protection programs are already central to poverty-fighting, higher growth national strategies across Africa, and have played a significant role reducing chronic poverty and helping families become more resilient in the face of setbacks such as unemployment, sudden illness, or natural disasters such as droughts or floods. These programs have also allowed families to invest in more livestock or grow more food, and increase their earnings. 

Football helps to heal the scars of war

Chantal Rigaud's picture
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Young men from four formerly war-torn African countries put years of conflict and hardship behind them last weekend as they played each other in the finals of the Great Lakes Peace Cup.

I did not expect Burundi to win, but they did! And what a beautiful victory it was. The team came from Bubanza, a small town about an hour north of Burundi’s capital Bujumbura. The players had journeyed more than 18 hours by bus, including about three hours to cross the border into Uganda.

The Great Lakes Peace Cup

Ian Bannon's picture
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Football players from across East and Central Africa will gather in the Ugandan capital of Kampala on September 21 and 22 to take part in the finals of the Great Lakes Peace Cup, a tournament organized to help former combatants – many of them abducted child soldiers – become part of their communities through the healing power of sport.
The Great Lakes Peace Cup is being organised by the World Bank’s Transitional Development and Reintegration Program (TDRP), and the government amnesty and reintegration commissions of the four competing countries.

Your views on the impacts of an upcoming project on infrastructure in Uganda

Stuart Solomon's picture

The World Bank is preparing a new project in partnership with the Government of Uganda to support infrastructure development in 14 of the country’s Municipal Councils. The Uganda Support for Municipal Infrastructure Development (USMID) project will be one of the first in the world to pilot a new way of distributing World Bank funds to governments. The new pay-out process will link the disbursement of funds directly to project results. For instance, unless the Municipal Council completes the infrastructure they plan to build, no more money will be given to the government. That’s just an example. This process, called Program for Results, is important because it places a more direct emphasis on development results.