Mr. David Cameron     Photo courtesy

I want to talk about how, together; we make the most of the opportunities available and really make this the African moment. There are three things we need to do.

First, we in the West must not just deliver on our aid commitments, but make sure that aid is used in the right way. There can be no development, economic or otherwise, unless we deal with the disease and war in Africa. The second thing we must do is together unleash economic growth through private enterprise and trade. This is what has lifted hundreds of thousands out of poverty in Brazil, China and Indonesia and it can do the same in Africa. It’s right that we give the poorest countries the most open access to European markets. It’s right to work for a world trade deal that helps countries develop.

At the moment, just twelve per cent of African trade is with other African nations. In Europe, it’s over two-thirds. An African Free Trade Area could increase GDP across the continent by as much as $62 billion a year. That’s nearly $20 billion more than the world gives Sub-Saharan Africa in aid. We need change in Britain too, because, frankly, we’re not doing enough. Today, Britain accounts for less than four percent of Africa’s exports. That’s almost three times less than China.

The third thing that must happen is long-term political reform. One of the best guarantees of economic progress is to put in place the building blocks of democracy: the rule of law, property rights, legal redress, an independent judiciary and more open transparent and accountable government. This is a time for the whole of Africa to meet the aspirations of its people. A time when aid, trade and democracy can come together to offer a new future for Africa and its people.

Proving the Skeptics Wrong

Aid-sceptics

There are some people back at home who don’t like Britain’s aid commitment. They see us make painful cuts to budgets at home and wonder why we are increasing our spending abroad. They look at where some of our aid money has gone in recent years… …on the wrong priorities and into the wrong hands… …and think: this is all being wasted.

They have a point – some of our money has been wasted. But that’s not an argument to stop aid – it’s an argument to change the way aid is delivered. We’re introducing real transparency and accountability into how aid money is spent. For the first time ever, we are making sure everyone who receives British aid… …both NGOs and ultimately governments themselves… …must be fully transparent about how they are spending our money. This means people all over the world can see exactly where the money goes and can hold governments, NGOs and yes, British Ministers, to account.

When money isn’t reaching the people who need it – we need to stop it. That’s why we’ve cut the money we give to Malawi’s government because we cannot trust those in power to spend the money well. We’re also going to increase our use of direct aid transfers.

Today, mobile banking systems mean we can cut out middlemen and make a direct impact on the lives of small farmers who can produce more food, feed their families, sell more food at the market and in turn buy more seed. Real aid should move people from dependence to independence. Without being hard-hearted, we will also be hard-headed, and make sure our aid money is directed at those things which are quantifiable and measureable.

There is another point to make to the aid sceptics: when states are broken, conflicts rife, it’s not just the people of those countries that suffer – we suffer back at home from a surge in illegal immigration, asylum seeking and even terrorism. That’s why by 2015 we’ll be putting nearly a third of all our aid into conflict states. So the aid-sceptics are wrong. Aid is essential. It can work – and we’re making it work.

Trade-sceptics

What about the trade sceptics? They argue that trade makes Africans poorer as their resources are exploited by foreigners. They seem to think that trade has to be some sort of zero sum game. They talk about it quite literally as if one country’s success is another country’s failure. The whole point about trade is that everyone can benefit from it.

I’m proud that British firms are among those showing that trade can lead to huge advances for Africa. Companies like Unilever, Diageo, Waitrose, GSK and Vodafone. Creating millions of jobs all over Africa and all along the supply chain. Adding both economic and social value.

For example, Unilever selling margarine with added vitamins to address vitamin deficiency, and special washing powder to avoid polluting the rivers. In many African countries, GSK reinvest a fifth of their profits back into the country where they work, helping to build healthcare infrastructure and deliver primary healthcare to hard to reach communities.

Coca-Cola working with TechnoServe, and the Bill & Melinda Gates Foundation to enable over 50,000 mango and passion fruit farmers to participate in the Company’s supply chain for the first time, aiming to double their incomes by 2014. And some of the markets being developed aren’t just creating jobs, they are revolutionising African business too.

Not just big businesses – small ones too. Just look at the incredible array of African technology entrepreneurs showcased in Wired Magazine, who are creating jobs and wealth across the continent. Look at the development of the mobile phone.

Fifteen years ago a trader in Kano market would have no way of communicating directly with an importer at the docks in Lagos. There was no reliable phone connection, no reliable railway, the journey by road was too far and plane too expensive. So he would need middlemen adding layer upon layer of cost. Today all it takes is a few calls to get the best deal.

But of course, when it comes to trade, we must always guard against exploitation – we must make sure it is fair as well as free. It is not enough to import labour, extract Africa’s resources and move on. It’s vital that when foreign companies invest in a country, the benefits of that investment reach the African people, so they can become less reliant on aid.

With a new generation of political and business leaders not just in Africa but around the world, we have a real opportunity to make that happen. In March this year Nigeria secured the global standard for transparency in oil, gas and mining. It means companies publish what they pay and governments publish what they receive. This is a vital step in making the oil, gas and mining sectors accountable and transparent and ensuring that Nigerians secure the full benefit of their mineral wealth.

Alongside this the US has gone a step further, introducing legally binding measures to require oil, gas and mining companies to publish key financial information for each country and project they work on. I’m calling on Europe to do the same. We want to disclose the payments our companies make to your governments so you can hold your governments to account for the money they receive.

That’s why we’ve brought in a new Bribery Act to put beyond doubt that bribery is unacceptable while not imposing unnecessary cost and uncertainty on legitimate business and trade. And it’s why we are making sure that complaints about the activities of British citizens and British companies are investigated. So I say to the trade sceptics, yes we have to do trade right… …but if we do, trade has the power to transform lives in African like nothing before it.

Democracy-sceptics

Finally there are the sceptics of political reform. Their argument is two-fold. One: Africa doesn’t need democracy. Countries like China and Russia point to a different route to prosperity, where free and open markets are combined with closed political systems. Two: even if it did need democracy, Africa couldn’t do it anyway. Both these views are wrong. The model of authoritarian capitalism we are seeing will fall short in the long term. When people get economically richer they make legitimate demands for political freedoms to match their economic freedoms. This model is unable to respond.

Neither can it offer the confidence and stability needed for investment. If you are going to set up in business, you need to know that you can go to a court confident that a contract will be enforced objectively – including against the government. You need to know that your assets won’t suddenly be seized by the government. Free societies can provide this stability and confidence.

I passionately believe in liberal democracy… …and I believe Africa can do it too. Let me be clear: this isn’t about imposing Western beliefs on Africa or neo-colonialism. This is about what will work for Africa – and what we are seeing work.

African leaders must serve their people. They must overcome factional conflicts. They must insist on the effective, meritocratic and transparent public institutions which enable people to flourish.

The future of Africa is yours to determine. The responsibility is for you to stand up and hold your governments to account. Across Africa we can already see the powerful things that happen when the African people rise up and decide to shape their own future. From tackling election abuse in Zimbabwe to the political violence in Kenya, it’s not just about donors, governments, NGOS and the private sector. It’s about you. What you do.

Conclusion

You can hold your government to account. You can insist on a bigger say in how your country is run. You can stand up and say, in this generation my child should be vaccinated and go to school. And you can demand more participation in the economy – or simply a job.

These are the demands the people have made in Egypt, Tunisia and Libya. These are the demands that have propelled the Arab Spring. And these are the demands, which supported by a revolution in trade and enterprise mean Africa can seize its own moment of opportunity. At stake is quite simply the chance to change millions of lives across the continent. The future of Africa is yours. But you have to seize it.”

By Mr. David Cameron
UK Prime Minister (Excerpts)