The Lilongwe Declaration on the Industrialization and Regional Integration Agendas.
A call to SADC Heads of State to rethink prevailing neo-liberal Macro-economic Policies, increase National investment in gender Responsive Public Service Delivery, and promote social accountability in the face of Covid-19, and the Industrialization and regional integration agendas.
We, the Feminist Macro-economic Alliance (FEAM), together with SADC Gender Protocol Alliance, FEMNET, SADC Council for NGOs and all representatives and delegates drawn from gender and women’s organizations, grassroots movements, community-based organizations, faith-based organizations, labour movements, economic justice and human rights networks, convened today on 14th August, 2021, at the 41st SADC Gender event in Lilongwe, Malawi, to reflect on the SADC theme: “Bolstering productive capacities in the face of COVID-19 for sustainable industrialization and national transformation”
The convening happens at a time when COVID-19 pandemic has wreaked havoc in many communities in the SADC region, causing alarming loss of lives and livelihoods. Millions of people are losing jobs, businesses, falling further into debt and suffering in many areas.
Research by many development partners including ActionAid, Oxfam and Development Pathways shows that over 2 billion people globally have had no adequate support from their governments in this time of need. A further critical analysis shows that social protection support to those who are unemployed, especially young women, the elderly, those with disabilities and others with intersecting risks provided in low and middle-income countries, has not been adequate to meet basic needs.
Corruption in public spending is and has been a significant global governance challenge before the crisis, but the COVID-19 pandemic has increased opportunities for abuse and misappropriation of Covid-19 public funds due to the quick nature of disbursements and the loosening of oversight regulations to meet urgent needs. All this is happening in the context of the desire to pursue the collective Pan-Africanist vision on regional integration and industrialization.
The African Continental Free Trade Area (AfCFTA) proposes a free trade area initially requiring members to remove tariffs from 90% of goods, it would allow free access to commodities, goods, and services (UNECA, 2018). The SADC region is also implementing the Industrialization Strategy and Roadmap 2015–2063 adopted by SADC Heads of States and Governments at an extra-Ordinary Summit held on 29 April 2015, in Harare, Zimbabwe. The Industrialization Strategy and Action Plan was developed against the background that there are deep structural fault-lines in the economies of SADC countries characterized by resource dependence, low value-addition and low levels of exports of knowledge-intensive products.
Feminist Macro- Economic Alliance recognizes the importance of transforming the lives of the majority of the people in the SADC region and the role that industrialization plays in transforming lives and livelihoods. However, the existing socio-economic context of the SADC region needs to be taken into consideration when one endeavors to bolster its productive capacities based on neo-liberal macro-economic principles.
Human rights principles, including labor rights, guide our recommendations for social protection systems, public services, and sustainable infrastructure that benefit all women and men, including those who reside or do business in countries where they are not citizens.
Bearing these principles in mind, we contend that it is the state’s responsibility within its maximum available resources to ensure universal coverage and access to social protection, essential public services, and fundamental infrastructure, noting that universal coverage is not possible without having removed all barriers, be they economic or social.
As SADC invigorates industrialization and regional integration agenda in this Covid-19 era, there is need to consider the fact that most countries have weak economies that are failing to cope with the pandemic. While the wealthy G20 countries have injected over $9.8 trillion into their economies, including significant measures to support the vulnerable and the general population, the majority of low — and middle-income countries have not been able to deploy the same ‘whatever it takes approach’ to protecting their people and economies. In total, countries around the world have raised $11.7trillion in additional spending this year in order to cope with the fallout of COVID-19. Of this amount, 83% has been mobilized by 36 rich countries against just $42billion (0.4%) in 39 lower-income ones. This means poorer nations are not equipped to provide the social protection and public services that are very crucial in the fight to survive Covid-19. In view of this context, it is important to understand structural issues on why poor countries have these weak social protection and public service delivery systems.
For decades, most African countries have pursued a failed model on public services and social protection. They have found themselves in this predicament because they have been very obedient patients of international Financial Institutions, in particular, the Bretton Woods institutions (Mangani 2021).
The failed model of social protection and public services has often been with the support and advice of the IMF and World Bank. According to an Oxfam report, instead of learning from the history of now rich countries which rebuilt their societies after World War II with universal benefits, African countries have pursued a path more similar to Europe in the 19th century.
The April 2021 Global Austerity Alert report documents how austerity cuts are expected in 154 countries in 2021 and shows how public sector wage constraints are one of the central policies with the most negative social outcomes. This powerful report refers extensively to ActionAid’s Who Cares report from 2020 which showed how the IMF had offered coercive policy advice to governments over the previous three years to cut or freeze public sector wages in 78% of countries where data was available.
In normal times, public services including universal gender responsive social protection play a vital role in making societies fairer and more equal. It reduces the gap between rich and poor people. Even IMF, World Bank and OECD have now all warned that unless something is done, the pandemic will lead to a sharp increase in inequality in almost every country. While the richest will bounce back from this crisis rapidly without help, ordinary families will take years to get back on their feet.
Read the full declaration here.
