‘Extractives industry in Africa; Thinking through COVID-19 responses for resource rich African countries’ 4 May 2020

The spread of Covid-19 in Africa still pales in comparison to places like New York alone, but the estimated socio-economic impact of the pandemic on the continent is staggering. The cases are still low at 44,873 infections, 1,807 deaths, and 15,179 recoveries (as of 4th May 2020). Yet oil exporting nations are estimated to lose US$65 billion in revenues as crude oil prices tumble dramatically, according to a recent report by the Economic Commission of Africa (ECA). The soft underbellies of the African state are now being exposed as the continent grapples with the unfolding health and economic crisis. It is time to rethink the design of African states and their development models.

…The post-Covid-19 African state should be seized with promoting sustained and inclusive development, achieving steady and high rates of economic growth. The states should be bold enough to make structural changes to the economy, both domestic production systems and their relationship to the international economy. The structural changes should increase the capacities of the state – i.e. institutional, technical, administrative and political – to implement economic policies sagaciously.