Sustainable jobs & growth: a partnership for a new era

COVID-19 has dealt a body blow to the world economy: Europe has been pushed into deep recession and, in Africa, millions risk being dragged back into poverty, at least in the short term. However, the pandemic can offer an opportunity to build back better, with a recovery focused on sustainable and inclusive growth that harnesses the power of digitalisation and the potential of youth, particularly in Africa.

That was the message from the latest ‘Debating Africa-EU’ online event held 19 November.

“The EU’s recovery package, NextGenerationEU, will provide unprecedented financial support with a focus on these green transitions,” (22:08) said Valdis Dombrovskis, European Commission Executive Vice-President for an Economy that Works for People. “It is our firmly held belief that the green and digital transitions also hold tremendous potential for Africa.”

Dombrovskis joined other commissioners and senior officials from the European Union and African Union for the latest in the series of online debates bringing in business figures, civil society representatives and other key stakeholders from both continents. Their ideas are feeding into preparations for the AU-EU summit scheduled for next year.

Albert Muchanga, African Union Commissioner for Trade and Industry, underscored the importance of the EU-AU partnership.

“Let me reaffirm the commitment of Africa to deepening our relationship with Europe. Europe is a very close neighbour and is a neighbour with whom we have had a long-standing relationship, so the task ahead is to develop those relations,” (11:50) he said in a contribution pre-recorded so that he could attend preparations for the scheduled launch in January of the African Continental Free Trade Agreement (AfCFTA).

The agreement is widely seen as a game-changer for the African economy, creating a market of 1.3bn people in 55 countries with a combined economy worth $3.4tln. By opening up trade within the continent it has the potential to lift millions out of poverty and create new opportunities for African youth.

As it moves towards implementation of the AfCFTA, Rosette Nyirinkindi Katungye, Ambassador and Senior Advisor on Regional Integration in the Bureau of the Chairperson of the AU Commission, suggested Africa could benefit from the EU’s experience in crafting a single market and its ongoing plans to accelerate digital economic.

“We need sharing of experience because Europe has achieved quite a lot in terms of integration using intra-European trade within the continent,” (15:11) she said. “We, as Africa, would like to borrow very much from that experience, especially for our youth who are looking for deliverables, so we move beyond signed papers … and in very real terms offer them the tangible benefits accruing from this free trade area.”

Jutta Urpilainen, EU Commissioner for International Partnerships, said the renewed EU-AU partnership would offer European support as Africa seeks ‘African solutions to African problems’. She emphasised that women’s empowerment and opportunities for young people who make up 60% of Africa’s population will be at the heart of that partnership.

“Without really engaging with young people, really putting them in the driving seat of development, the future of Africa won’t be bright or stable,” (1:05:08) she said. “This is a common challenge but also a common approach and we want to support you in this.”

Such international cooperation is essential for the world recovery from the pandemic, said Paolo Gentiloni, European Commissioner for the Economy, who acknowledged problems in generating concerted global action on the way forward, on issues such as helping hardest hit countries with rising debt burdens.

“This kind of unprecedented event requires stronger international cooperation. At the same time, we all know that this has happened at a time when international cooperation, what we call multilateralism, is not living its best season,” (26:20) he told the debate. “Only with a global coordinated response we can face the consequences of this crisis.”