Article contents
Economic Integration in Africa: Enhancing Prospects for Success
Published online by Cambridge University Press: 11 November 2008
Extract
After two decades of poor economic performance in most of the countries of the region, and with the recent political and prospective economic changes in Eastern Europe, as well as the European Community's forthcoming ‘single market’ in 1992, debates in African circles have intensified on political democracy, structural adjustment, and economic integration. The last of these topics is the concern of this article, which discusses the major factors behind the slow progress, and sometimes failure, of integration attempts in Africa, and then, inter alia, proposes ways in which the chances of success can be enhanced, and progress towards regional integration thereby accelerated.
- Type
- Articles
- Information
- Copyright
- Copyright © Cambridge University Press 1991
References
1 For an introduction to the general economic analysis involved, see Balassa, Bela, The Theory of Economic Integration (Homewood, Illinois, 1961);Google ScholarCooper, C. A. and Massell, B. F., ‘Toward a General Theory of Customs Unions for Developing Countries’, in Journal of Political Economy (Chicago), 74, 10 1965, pp. 461–76;CrossRefGoogle Scholar Scott R. Pearson and Williams D. Ingram, ‘Economies of Scale, Domestic Divergencies, and Potential Gains from Economic Integration in Ghana and Ivory Coast’, in ibid. 88, October 1980; Harrison, G. W., Rutherford, T. F., and Wooton, I., ‘The Economic Impact of the European Community’, in American Economic Review (Nashville), 79, 05 1989, pp. 288–94;Google Scholar and Parai, A. K. and Yu, E. S. H., ‘Factor Mobility and Customs Union Theory’, in Southern Economic Journal (Chapel Hill, N.C.), 55, 04 1989, pp. 842–52.Google Scholar In the context of Africa, see Nkrumah, Kwame, Africa Must Unite (London, 1963);Google ScholarNyerere, Julius K., Ujamaa–Essays on Socialism (Oxford, 1968);Google ScholarGreen, Reginald H. and Seidman, Ann, Unity or Poverty? The Economics of Pan-Africanism (Harmondsworth, 1968);Google ScholarNowzad, Bahram, ‘Economic Integration in Central and West Africa’, I.M.F. Staff Papers (Washington, D.C.), 16, 02 1969, pp. 103–32;Google ScholarWalker, Franklin V., ‘Regional Integration in Africa’, in Uppal, J. S. and Salkever, Louis R. (eds.), Africa: problems of economic development (New York, 1972), pp. 340–53;Google ScholarLeys, Roger and Tostensen, Arne, ‘Regional Cooperation in Southern Africa: the Southern African Development Co-ordination Conference’, in Review of African Political Economy (Sheffield), 23, 01–04 1982, pp. 52–71;Google ScholarRobson, Peter, Integration, Development and Equity: economic integration in West Africa (London, 1983);Google ScholarU.N. Economic Commission for Africa, Proposals for Strengthening Economic Integration in West Africa (Addis Ababa, 1984);Google ScholarRobson, Peter, ‘Regional Integration and the Crisis in Sub-Saharan Africa’, in The Journal of Modern African Studies (Cambridge), 23, 4, 12 1985, pp. 603–22;CrossRefGoogle ScholarSinger, Hans W., ‘Collective Self-Reliance in the Service of Africa's Employment and Basic Needs’, in I.L.O., The Challenge of Employment and Basic Needs in Africa (Nairobi, 1986), pp. 60–8;Google ScholarRavenhill, John, ‘Collective Self-Reliance or Collective Self-Delusion: is the Lagos Plan a viable alternative?’, in Ravenhill, (ed.), Africa in Economic Crisis (Basingstoke, London, and New York, 1986), pp. 85–107;CrossRefGoogle ScholarOjo, Oladeji O., ‘Money and Other Financial Obstacles to Intra-Africa Trade: a case study of the Economic Community of West African States’, African Development Bank, Abidjan, May 1987, Economic Research Paper No. 8; and Laszlo E. Lukács, ‘Stepping Stones and Stumbling Stones on the Path Towards Economic Integration: the not very special case of West Africa’, Institute of Development Studies, Brighton, Sussex, September 1987, Discussion Paper No. 235.Google Scholar
2 See Ecowas, , Treaty of the Economic Community of West African States (Lagos, 1975); Leys and Tostensen, loc. cit.;Google Scholar and Browne, Robert S. and Cummings, Robert J., The Lagos Plan of Action us. the Berg Report (Washington, D.C., 1984).Google ScholarCarl, Beverly May, Economic Integration Among Developing Nations: law and policy (New York, 1986), gives details of the E.C.A.-inspired treaties of the Economic Community of Central African States, the Preferential Trade Area for Eastern and Southern African States, and the Economic Community of West African States, as well as the protocols and other major decisions taken up to the time of her study.Google Scholar
3 See Nowzad, loc. cit.; Renninger, John P., Multilateral Cooperation for Development in West Africa (New York, 1978); Robson, Integration, Development and Equity;Google ScholarNdegwa, Philip, ‘Cooperation Among Sub-Saharan African Countries: an engine of growth?’, in Journal of Development Planning (New York), 15, 1985, pp. 137–61; and Ravenhill, loc. cit.Google Scholar
4 Treaty of the Economic Community of West African States, p. 2.Google Scholar
5 Cf. Mundell, Robert, ‘A Theory of Optimum Currency Areas’, in American Economic Review, 51, 1961, pp. 657–65,Google Scholar and ‘Uncommon Arguments for Common Currencies’, in Johnson, H. G., and Swoboda, A. K. (eds.), The Economics of Common Currencies (Cambridge, Mass., 1973), pp. 114–32;Google ScholarIshiyama, Yoshide, ‘The Theory of Optimum Currency Areas: a survey’, I.M.F. Staff Papers, 22, 1975, pp. 344–83;CrossRefGoogle Scholar and Tower, Edward and Willett, Thomas D., ‘The Theory of Optimum Currency Areas and Exchange-Rate Flexibility’, Special Papers in International Economics, Princeton, 11, 05 1976.Google Scholar
6 The next few paragraphs lean heavily on Omotunde Johnson, E. G., ‘Monetary and Payments Problems in Economic Integration of Developing Countries’, Colloquium on West African Economic Integration, Lomé, 01 1984.Google Scholar
7 Myrdal, Gunnar, Economic Theory and Underdeveloped Regions (New York, 1957).Google Scholar
8 For more detailed discussion of this important historical example, see Eken, Sena, ‘Breakup of the East African Community’, in Finance and Development (Washington, D.C.), 16, 12 1979, pp. 36–40Google Scholar, and Hazlewood, Arthur, ‘The End of the East African Community: what are the lessons for regional integration schemes?’, in Journal of Common Market Studies (London), 18, 09 1979, pp. 40–58.Google Scholar
9 See Djah, Kouacou, ‘Coûts et avantages de la taxe de coopération régionale dans la communauté économique de l'Afrique de l'ouest’, in African Development Review (Abidjan), 2, 06 1990, pp. 31–51.Google Scholar
10 During 1976 to 1986, for example, it has been calculated that Côte d'Ivoire and Senegal contributed 60·7 and 38·8 per cent, respectively, to the F.C.D. — ibid. p. 36. It is noteworthy that, at least once (1980) during that period, both Governments had to call for a postponement of their contributions in the face of serious financial difficulties — see Bach, Daniel C., ‘The Politics of West African Economic Co-operation: C.E.A.O. and E.C.O.W.A.S.’, in The Journal of Modern African Studies, 21, 4, 12 1983, p. 621.CrossRefGoogle Scholar
11 Pearson and Ingram, loc. cit.Google Scholar
12 But see, for example, Ariff, Mohammed and Hill, Hal, Export-Oriented Industrialization: the ASEAN experience (Sydney, London, and Boston, 1985)Google Scholar, and Krueger, Anne O., Foreign Trade Regimes and Economic Development: liberalization attempts and consequences (Cambridge, Mass., 1978) for some problems with the import-substitution rationale.Google Scholar
13 See Bach, loc. cit., and M. O. A. Adejugbe, ‘Cooperation, Conflicts, and Contradictions in West African Economic Integration Schemes’, African Studies Center, Boston University, Discussion Paper No. 3, 1984.
14 Tordoff, William, Government and Politics in Africa (Basingstoke, London, and Bloomington, 1984), pp. 233–4.CrossRefGoogle Scholar
15 The evidence is that this is one area where the member-states of Ecowas have had difficulties. In this regard, the action taken by Nigeria in 1983 to expel certain aliens is especially noteworthy – see Brown, M. Leann, ‘Nigeria and the Ecowas Protocol on Free Movement and Residence’, in The Journal of Modern African Studies, 27, 2, 06 1989, pp. 251–73.CrossRefGoogle Scholar
16 See, for example, Johnson, Omotunde E. G., ‘Trade Tax and Exchange Rate Coordination in the Context of Border Trading: a theoretical analysis’, I.M.F. Staff Papers, 34, 09 1987, pp. 548–64.CrossRefGoogle Scholar
17 Ibid.
18 See, for example, Eken, loc. cit.; Bach, loc. cit.; Adejugbe, op. cit.; and Lukács, op. cit.Google Scholar
19 Indeed, the executive secretaries of Ecowas have repeatedly spoken of the need for greater political will. See Ajulo, Sunday Babalola, ‘The Economic Community of West African States and International Law’, in The Journal of Modern African Studies, 27, 2, 06 1989, pp. 233–50.CrossRefGoogle Scholar
20 See, for example, Prebisch, Raul, ‘The Economic Development of Latin America and its Principal Problems’, in Economic Bulletin for Latin America (New York), 7, 02 1962, pp. 1–22Google Scholar, and Macbean, A., Export Instability and Economic Development (London, 1966).Google Scholar
21 See Viner, J., Studies in the Theory of International Trade (New York, 1937),Google Scholar and Thirlwall, A. P., Growth and Development with Special Reference to Developing Countries (London, 1978), p. 350.Google Scholar
22 See also Bond, Marian E. and Milne, Elizabeth, ‘Export Diversification in Developing Countries: recent trends and policy’, in International Monetary Fund, Staff Studies for the World Economic Outlook (Washington, D.C., 08 1986).Google Scholar
23 See, for example, Biersteker, Thomas J., ‘Self-Reliance in Theory and Practice in Tanzanian Trade Relations’, in Ravenhill, (ed.), op. cit. pp. 213–53.Google Scholar
24 See Steven Langdon, ‘Industrial Dependence and Export Manufacturing in Kenya’, in ibid. pp. 181–212.
25 Lukács, op. cit.
26 Adejugbe, op. cit.
27 Bach, loc. cit.
- 7
- Cited by