Talking Notes of the ICA Africa Regional Director at the Africa Ministerial Panel,

Cape Town, South Africa 5th, and November 2013.

ICA President, Dame Pauline Green,

ICA Director General, Charles Gould,

The Chair, ICA Africa Ministerial Co-operative Conference, Hon. Francois Kanimba,

Honourable Minister of Trade and Industry, Republic of South Africa,

Honourable Minister of Agriculture, Federal Republic of Nigeria, the Keynote Speaker,

Honourable Ministers for Co-operatives from across Africa,

Regional Board Members,

Fellow Co-operators,

Ladies and Gentlemen,

LET ME TAKE THIS OPPORTUNITY to thank The Government

of the Republic of South Africa

and African Ministers present, for this wonderful and exciting

session that we are about to start.

According to World Bank Data, 2012), we have

1.09 billion people, living in 54 countries of the African

continent, making it the 2nd most populated continent,

•Africa has great potentials. The Economist, 2011 described

Africa as ‘The hopeful continent’ following in the footstep of Asia

•The economy is described by IMF as the fastest - growing

economy of the world, with about 5.8% growths GDP for 2012.

•There is growth in agriculture, trade, industry and human

resources . The youth constitutes 65% of total employment in

agriculture

• The continent has a fast growing middle class with improved skills

• There is improvement in technology and infrastructure

• Africa has increasing foreign investment, from China alone in 2012, Africa got 160 billion dollars investments

•GDP at Purchaser’s Price from the world Bank

data is $2.02 trillion

•Africa productivity is growing at 3% per annum

compared to 2.3% in America.

• Africa is beginning to develop manufacturing and service

economies

• The continent has a fast growing middle class with improved skills

• There is improvement in technology and infrastructure • Africa has increasing foreign investment, from China alone in

2012, Africa got 160 billion dollars investments

• Definitely , we are doing good but you will also agree with me that we can do better.

In Sub-Saharan Africa

• Many Africans are still poor; and there is great disparity in the distribution of wealth and access to opportunities in the continent.

• African Development Indicators show that

• GDP of South Saharan Africa is $744 billion. This is equivalent of 28% of China’s GDP Youth unemployment in Africa is 59.5%.This is higher than the world’s average of 43.7% (CIA World Fact book, 2012)

•African Development Indicators show that

• According to the World Bank 2011, Africa Development Indicators: Factoids 2011:

• Main sub-sector in Africa is agriculture but only 4.7% of the arable land is irrigated and the commodity value- chain is much under-developed.

• Africa is saddled by environmental challenges of drought, pest, erosion; security and related issues.

• Literacy rate for female (ages 15-24 ) stands at 64.8%

• 90% of malaria deaths are in Africa and 68% of HIV cases are in Sub-Saharan Africa

• 547million people in sub -Saharan are without electricity

• This is the image of Africa that we are not proud of and we wish to change it. We are proposing the change through the Co-operative enterprise model.

• The report of the best 300 global Cooperatives reveals the prospects and the resilience of Cooperatives even in recession.

• With a statistics of one billion members, securing the livelihood of three billion people (about half of the world’s population), employing one hundred million people, and with a turnover of a trillion dollars, the Cooperative Model of Enterprise has a positive role in the socio- economic growth of Africa.

• More than 40% percentage of the population of Africa, according to the report, is affected directly or indirectly by the Cooperative business?

• The contribution of Cooperatives to the agricultural sector in Africa is huge. Cooperative Finance is supporting many Small and Medium Enterprises and households in Africa.70% of African cannot access the formal bank loans.

• Cooperatives are developing other sub sectors of the economy especially in finance and industry and commerce.

• In Nigeria, Ghana, Uganda, Tanzania, Cameroon, Kenya and many other African countries Cooperatives have played a major role in advancing the agricultural sub-sector; in the provision of affordable Housing and in financing small Scale Enterprises.

• According to Kenya Ministry of Industrialisation and Enterprise Development, 2013, In Kenya, 45% of the GDP is from Cooperatives and Cooperatives account for over 30% national savings and deposits. 63% of Kenyan population derives their livelihood through Cooperative based activities

• However, More still can be done.• The Cooperative Movement can be a key player

in:• agriculture, ensuring food sufficiency• redirecting the economy from primary

commodity export to commodity based industrialisation

• expand the finance sub- sector through the Africa Co-operative Bank

• Change the game of commerce sub sector by focusing on more gain for more people.

• Claim a challenger position in the insurance industry as it is already the case we CIC in Kenya

• and ensure the availability of the much needed green energy supply throughout the continent.

• The call has been made. We need to take action now and this gathering is the right one to champion change.

• Thank you all for responding to the call, especially Ministers who are participants in this Africa Ministerial Panel of discussants;

• Wishing all a fruitful session.