March 10, 2005
Africa Commission should focus on good governance and microcredit
In advance of the Africa Commission's report, the Globalisation Institute, an independent development think tank, called for good governance and microcredit to be at the head of the agenda.
"Africa has already received the equivalent of six Marshall Plans in foreign aid. But we know from experience that aid only works when combined with good governance in the receiving country," said the Globalisation Institute's president Alex Singleton.
The Institute also called on the government to put microcredit on the agenda. Two years ago Chancellor Gordon Brown said: "Microcredit is incredibly important, especially in African and Asian countries, if we are going to develop the economic base essential for a permanent reduction of poverty. I have talked to the president of the World Bank about exactly that issue. I held a meeting with others in the Treasury to discuss a number of proposals about microcredit and how we can promote it."
But, says the Globalisation Institute's Alex Singleton, the government has failed to promote it: "This year is the UN International Year of Microcredit but so far British government has been silent. Microcredit is helping millions of the poorest pull themselves out of poverty by giving them small loans to set up new businesses. Considering its success around the world, it should be a central part of the Commission report."