Capital is a Cowardly Bird

Franklin Cudjoe writes "...Globalization can hardly be blamed for the fact that only 10 percent of Africa’s trade takes place among African countries themselves. With 750 million people living on the continent, the potential for the expansion of trade must be enormous. Very little trade has been allowed in this poorest of continents where tariffs are almost as high as 50 percent and where highway robbers dressed as customs officials block free exchange...Capital is a cowardly bird. It flies to safer places where it expects to earn better returns. 40 percent of Africa’s private investment takes place outside of the continent, while only 3 percent of Asia’s investment takes place overseas...If there is to be any hope for long term prosperity in Africa, Africans must be given the predictability that comes with the rule of law, the protection of private property and free markets, and decentralized management of resources. This will harness local knowledge along with the creativity, diligence, and thrift that is natural to Africans..."
Via PsdBlog