Africa’s development agenda must fo-cus on the socio-cultural and com-

mercial interests of Africans and theupliftment of Africa’s trade and economicecosystem, said Muhammadu Sanusi II,the Emir of Kano and a former governorof Nigeria’s central bank, during his ad-dress at the 2018 Annual Meetings ofthe African Development Bank Group inBusan, Korea.

“Africa’s economic transformation will bebest achieved through fast-tracking re-

gional cooperation and the execution ofhardnosed structural reforms that focuson the development of the continent’shuman capital and material resources,”said Emir Sanusi II.

The Emir shared insight about revampingAfrican regional integration, trade andeconomic relations with Executive Direc-tors and Governors of the Bank, com-

Regional cooperation, structuralreforms key to economic transformation

African Governments and theRepublic of Korea have pled-ged to work together to ex-

plore smart technologies to boost thecontinent’s rapid industrialization andmake it a major player in the 4th In-dustrial Revolution.

The Korean Government has assuredthat it would provide support for in-novative solutions, including customi-zed drones to help African countriesdevelop faster.

The 2018 KOAFEC MinisterialRoundtable held at the Annual Mee-tings of the African DevelopmentBank in Busan, Korea, on Tuesdayunder the theme, “Africa and theFourth Industrial Revolution: Oppor-tunities for Leapfrogging?” provideda unique platform for Finance andEconomic Ministers from Africancountries and Korea to discuss po-licy suggestions and the way forwardfor the relationship between the tworegions.

Korean and African counterparts for-ged a new cooperation mechanism forthe future where both sides will benefit.

Dong Yeon Kim, Deputy Prime Ministerand Ministry of Strategy and Financeof the Republic of Korea, said the co-operation between Africa and Koreahas continued to grow over the years.

“Cooperation between us and Africa isclear and sincere,” he said, commen-ding the African Development Bank forproviding clear direction for the deve-lopment of the continent through itsHigh 5 development priorities.

He noted that Africa has made tre-mendous progress in reducing povertyand had become a growth engine.

However, though Africa has vast na-tural and human resources, food shor-tage and the absence of energy hasslowed down it development, Kimsaid, stressing innovative solutionswere needed for Africa to effectivelyindustrialize and improve the lives ofits people.

He was optimistic that KOAFEC wouldprovide the platform for greater colla-boration.

“We can jointly think outside the boxand leapfrog the development ofAfrica,” he said.

The President of the African Develop-ment Bank, Akinwumi Adesina, stres-sed that Africa’s industrialization wouldbe a win-win for the world.

“It would help raise productivity byspurring technological progress andinnovation while simultaneously crea-ting higher-skilled jobs in the formalsector in advanced economies, Ade-sina said. “Korea is a partner of choicefor the continent and for the AfricanDevelopment Bank. Together, I haveno doubt that we will help lift the conti-nent out of poverty, and in doing so,contribute in no small measure to glo-bal peace and prosperity.”

He described Africa’s partnershipwith Korea through KOAFEC as apowerful example and motor for ge-nerating co-prosperity, and for buil-ding social peace among nations ofthe world.

The Administrator of the United StatesAgency for International Development

Korea to work with African Governments on smarttechnologies for continent’s rapid industrialization

To be continued on p. 3

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@AfDB_Group#AfDBAM2018afdb.org/am

IN T

HIS

EDITIO

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AFRICAN DEVELOPMENT BANK GROUP ANNUAL MEETINGS BULLETIN - MAY 23, 2018

Korea, an inspiration forAfrica’s Green Revolutionby Vice-President JenniferBlanke p. 3

Focus: African DevelopmentBank’s Youth Advisory Groupsets path for job creation inAfrica p. 6

Tribute toBabacar Ndiaye p. 8

Africa and thefuture of work byKapil Kapoor p. 9

Making a difference:Increased accessto affordableand reliable electricityin Kenya p. 11

To be continued on p. 3

Busan Bulletin printed on recycled paper - May 23, 2018

AFRICA'S INVESTMENT MARKET PLACE

Johannesburg, South Africa

www.afdb.org / www.africainvestmentforum.com© African Development Bank Group 2018

AFRICAN DEVELOPMENT BANK GROUPGROUPE DE LA BANQUE AFRICAINE

DE DÉVELOPPEMENT

#AfricaInvestmentForum

Busan Bulletin printed on recycled paper - May 23, 20183

prising finance, budget and economic planning ministersfrom member nations.

An economist and financial risk expert, the monarch tracedAfrica’s post-colonial economic woes to the continent’sfiscal indiscipline and endemic disregard for its competitiveadvantages. For these reasons, he asserted, Africa’s de-velopment was stunted and its global trade ties lopsidedin favour of offshore trading partners.

“Nine out of every 10 countries in Africa have huge tradedeficits with China, but Asia developed mostly on domesticinvestments and resources,” he noted, underscoring theneed for African governments to invest in and promotecreativity and indigenous enterprise.

The Emir advocated a series of structural reforms, includingstrategic investments in key sectors including agriculture,infrastructure, education, and small and medium enter-prises. He called for deliberate industrial diversification no-ting that China has begun to move its mega-sized manu-facturing capabilities out of low-cost industries.

African governments also need to eradicate constitutionalprovisions and structures that increase the cost of governanceat national and sub-national levels, manage demographicgrowth, and revamp and harmonize moribund and ineffectivecustoms and excise duties that promote cross-border smug-gling and revenue losses to governments, he said.

Africa’s debt burden continues to inhibit capital investmentin industrialization, he observed, lamenting the misalloca-

tion of resources: “We need to begin to ask ourselves,‘what do we do with the available funds in our coffers?’”

“Perceptions matter. So there is an urgent need for impro-ved transparency, as this is clearly linked to good gover-nance,” he said. “We need to accept that we have a per-ception problem that we must address. We need to tacklecorruption, block leakages and create opportunities fornew jobs.”

“Private sector capital is crucial for sustained economicgrowth but so is government’s intervention in guaranteeingbusiness externalities like power, water and waste mana-gement, roads, housing and the legal and regulatory envi-ronment for innovation, commerce and industry.”

On trade, the Emir called for a regional and pan-Africanapproach to trade negotiations, a tactical model whichshould be led by the Bank.

“The African Development Bank has the intellectual re-sources and clearly is better positioned to negotiate withChina on behalf of Africa as a bloc of nations,” he said.“Europe approached global trade as a bloc so why can’tAfrican nations do the same? This is clearly another areain urgent need of the Bank’s intervention.”

President Adesina recalled the Emir’s progressive postureduring his time in public service. “As governor of the CentralBank of Nigeria, Sanusi Lamido Sanusi was pro-develop-ment. He channeled significant investments into agriculture,infrastructure and SMEs.”

(USAID), Mark Green, pledgedsupport for the collaboration bet-ween Africa and Korea.

“All of the countries here todaycan chart that same course. Andthe United States will navigate itwith you,” he said.

He stressed that the U.S. and theGovernment of Korea were on

the verge of signing an agree-ment to put substantial moneytowards further investment inAfrica.

He described the continent as aplace of incredible resources,stressing that USAID is proud tohave worked with the African De-velopment Bank on its develop-ment priorities.

“The African Development Bank– under the visionary leadershipof President Adesina – plays a lea-ding role in the continent’s deve-lopment through its High 5s fordevelopment. The United Stateslooks forward to working moreclosely with African countries, theAfrican Development Bank, andthe Government of Korea,” hesaid.

Korea inspires the AfricanGreen Revolution

By investing billions to boost Africanagriculture and agroindustry, theAfrican Development Bank seeks

to increase income and improve liveli-hoods for Africans.

The Bank’s Agriculture, Human and So-cial Development complex is working tostrengthen the foundations of Africa’s in-dustrialization by expanding agroindustry

and developing the necessary human ca-pital and capacity.

Its Technologies for African AgriculturalTransformation initiative is one example ofits work. This continent-wide initiative aimsto bring technologies from research insti-tutes to farmers at scale to fuel Africa’sGreen Revolution, which will make a hugedifference in production and productivityand serve as the basis for developing Afri-can agribusiness and agroindustry.

We are also developing an initiative forthe underutilized African savannahs. Des-pite their potential, less than 10% ofthese lands are used for agricultural pro-duction today. Converting a small percen-tage of the savannahs to agricultural usecould make them a locomotive for a highprotein value chain – maize, soybean, andlivestock production. We are also inspiredby Brazil’s experience of turning whatwas largely viewed as unusable and un-desirable land into one of the world’smost productive agricultural hubs. We

aim to adapt Brazil’s best agricultural pro-duction technologies to transform Africa’ssavannahs so that Africa can feed itselfand help feed the rest of the world.

The Agriculture, Human and Social Deve-lopment Complex is also investing in thecreation of Staple Crop Processing Zonesto bring the hard and soft infrastructureneeded for rapid transformations to ruralareas and transform them into thrivingareas of commerce. Successful zones willboost high quality businesses, job crea-tion, and family incomes.

Lastly, we need to develop the skills tounderpin these development efforts andprepare Africa for the 4th Industrial Revo-lution. The Bank is therefore eager tocreate the next generation of agripre-nuers, agricultural innovators, and entre-preneurs. Korea’s excellent educationand training systems, rapid developmentand increased agricultural productionprovide rich examples to draw upon forour efforts in Africa.

by Jennifer Blanke,Vice-President for Agriculture,Human and Social Development,African Development Bank

Edito

rial

If you think you aretoo small to make adifference, you ha-ven’t spent a nightwith a mosquito

– Nigeria

Proverb of the Day

Executive EditorDr Victor Oladokun

EditorsMina Mammeri,Jennifer Patterson,Faïza Ghozali

ProductionCoordinatorsChawki Chahed,SolangeKamuanga-Tossou

Contributors (in alpha-betical order): SeidikAbba, Kennedy Abwao,Cecilia Amaral, EmekaAnuforo, Yuna Choi,Andie Davis, DeborahGlassman, SaoriKodama, MuyiwaMoyela, Ivan Mugisha,

Olivia Ndong-Obiang,Liam Neumann, FelixNjoku, Hyun Young Ryu,Stephen Yeboah

PhotoGuy-Roland Tayoro,Thierry Gohore,Florentin Nando

Digital version Simon Adjatan,Christiane Moulo

Design and Layout Yattien-Amiguet L.,Justin Kabasele,Guy-Ange Gnabro,Phillipe MutomboLuhata, SelomDossou-Yovo

© African DevelopmentBank/PCER, May 2018

Busan B

ulletin Team

Korea continued from p. 1

Regional cooperation continued from p. 1

Soraya Mellali,Executive Directorrepresenting Algeria,Guinea Bissau andMadagascar, withAlgerian Ministerof FinanceAbderrahmaneRayoua.

Muhammadu Sanusi II, Emir of Kano and former Governor of the Central Bankof Nigeria, flanked by Bronwyn Nielsen, CNBC journalist, and Victor Oladokun,Director of Communication at the Bank.

Edith Brou, Ulrich

Van Vuuren Janse

n and Mohamed El Dahshan, thr

ee

young social media influ

encers from West, Sout

h and North Africa

.

Dong Yeon Kim, Korean Minister ofStrategy and Finance,Deputy Prime Ministerand Governor of theBank; CatherineCudré-Mauroux, Admi-nistrator for Germany,Luxembourg, Portugaland Switzerland; andRaymund Furrer, SwissMinister of Financeand Governor of theBank.

Busan Bulletin printed on recycled paper - May 23, 20184

Daily News

Young Africans were invited tosubmit an essay or creative wri-ting piece describing their hopesand dreams for the continent inthe Africa of my Dreams writingcontest, promoted by the Bankbetween February and March2018.

Recognizing the energy, creativityand innovative thinking they bringto the table, the initiative soughtto tap into the tremendous poten-tial of Africa’s youth to drive thecontinent’s development. Partici-pants were challenged to sharetheir aspirations, focusing themon the theme “AcceleratingAfrica’s Industrialization.”

More than 2,000 entries were re-ceived from students, architects,engineers, designers, artists, en-trepreneurs, agripreneurs, visio-naries, IT gurus, tech experts andmany others from all over Africaand from the diaspora. They werepessimists, realists, optimists andidealists, but all had one thing incommon: love for the continentthey are all working towards im-proving every day.

A panel of judges from the Bankreviewed the entries and selectedfour outstanding essays – two inEnglish and two in French. Thefour finalists’ contributions wereselected for addressing thetheme skillfully, and with origina-lity and creativity.

Meet the finalists!

Ayi RenaudDossavi-Alipoehis a Togolese writer(poet, essayist andnovelist) and blog-ger. Born in Loméin 1993, he gradua-ted with a Biologydegree. He’s publi-

shed five books including poetrycollec t ions Rosées Lointaine(2015) and Chants de Sable(2018) and an essay about Afri-can history, Nous et l’histoire(2018).

Geraldine Mu-kumbi is fromNgezi, Zimbabwe.She is a member ofthe African Leader-ship Academy's2011 graduatingclass. She attendedthe University of

Notre Dame as a Hesburgh-YuskoScholar and graduated with a BAin English and Africana Studies.She currently serves as a TeachingFellow at Leaf Academy in Bratis-lava. Geraldine credits her love forstories to the rebel women whoraised her.

Ramatou Ly wasraised in Abidjan,Côte d’Ivoire. Sheearned a Master’sdegree in MaterialsScience and Engi-neering in Franceand is currentlypursuing a Ph.D. in

the same field at Texas A&M Uni-versity (USA). Her research in-volves investigating effects of dif-ferent manufacturing processeson the structure, mechanical pro-perties, and integrity of metallicmaterials.

Cedric Some isfrom Burkina Faso.After graduatingfrom high schoolwith a Philosophyand Literature di-ploma from Pryta-née Militaire de Ka-diogo, the 25-yearold earned a de-

gree in International Managementin Morocco, and a degree in Hu-man Resources Management inSenegal. Since September 2016,he has been working as a HumanResources Assistant at DeloitteSenegal.

The winner and runner-up in each ca-tegory (French and English) will be an-nounced during the Africa Day Cele-bration on Friday, May 25 at 3pm inthe BEXCO Auditorium.

Find out more: https://am.afdb.org/en/the-africa-of-my-dreams-writing-contest

The Africaof my Dreams

Writing Contest

Warm reunion betweenAudu Ogbeh, Nigerian Ministerof Agriculture and RuralDevelopment, andAkinwumi A. Adesina,President of the Bankand former Nigerian Ministerof Agriculture.

Jacob Jusu Saffa, Ministerof Finance, Sierra Leone.

Participants arrive at the check-in deskfor registration and tags.

A warm welcome reception by our

Korean hosts.

After a traditional c

oncert, guests had

a blast on the dan

ce floor.

A robot generate curiosity among participants.

Wh

o’s

Wh

o

Busan Bulletin printed on recycled paper - May 23, 20185

Selfie meeting.

Korean artists, aft

er their concert.

O f the more than 13 million African youththat enter the labour market each year,only 3 million (about 33%) are in wage

employment, while the rest are underemployed orin vulnerable situations.

It is in that context that members of the AfricanDevelopment Bank’s Presidential Youth AdvisoryGroup (PYAG) met Tuesday on the sidelines of theBank’s Annual Meetings in Busan.

The Bank’s Annual Meetings are taking place fromMay 21-25, under the theme “Accelerating Africa’sIndustrialization.” PYAG members met in Busan isto discuss strategic issues that shape youth deve-lopment in the context of industrialization in Africa,including jobs for the future, investment in entre-preneurship, communications and outreach andprivate-sector partnerships. The discussions willalso focus on the operations of the group.

Launched last year by the President of theBank, Akinwumi Adesina, the PresidentialYouth Advisory Group offers expert insight andinnovative solutions for job creation for Africa’syouth, as outlined in the Bank’s Jobs for Youthin Africa Strategy (JfYA). Jobs for Youth inAfrica initiative aims to create 25 million jobsand benefit 50 million youth over the next 10years by equipping them with the right skills toget decent and meaningful jobs. It is currentlythe largest effort for youth employment in Africatoday.

“This is a huge opportunity for Africa. If we fixthe youth unemployment challenge, Africa willgain 10-20% annual growth. That meansAfrica’s GDP will grow by $500 billion per yearfor the next 30 years. Africa’s per capita incomewill rise by 55% every year to the year 2050,”Akinwumi Adesina said at the inauguration ofthe Group.

Members of the advisory group have indicatedtheir readiness to contribute to the Bank’s effortat investing in Africa’s youth.

“This is our time. Our continent is truly ready fortransformation. Our governments are realizingmore and more that the youth are not the leadersof tomorrow. They are the leaders of today. Andtruly empowering and inspiring young entrepre-neurs is the only answer to job creation in thelong run,” said Ashish Thakkar, CEO of MaraGroup and PYAG Chair. “The African Develop-ment Bank platform is phenomenal. The connec-tivity is so strong and the President’s leadershipis so amazing.”

Jeremy Johnson, co-founder of Andela and amember of the group, indicated that Africa’syouth are the single most under-leveraged re-source on the continent and also the most im-portant. “Africa needs to get it right. Youth thatare able to build companies, write codes andcontinue pushing their countries and companiesforward are the ones that will be able to send usto work. We have to support them and we haveto do it now!”

For her part, Clarisse Iribagiza, Chief ExecutiveOfficer of Hehe, a Rwanda-based company,said, “The Presidential Youth Advisory Groupis creating the right environment for the youthto thrive.”

The Presidential Youth Advisory Group com-prises nine members under the age of 40 whohave made significant contributions to the crea-tion of employment opportunities for Africanyouth.

The PYAG members are: Ashish Thakkar, CEO,Mara Group, Uganda (Chair); UzodinmaIweala, award-winning author, Nigeria; Mama-dou Touré, Founder / CEO, Africa 2.0 / UbuntuCapital, Cameroon; Vanessa Moungar, DirectorGender Women and Civil Society Department,Chad; Francine Muyumba, President, Panafri-can Youth Union, Democratic Republic ofCongo; Jeremy Johnson, Co-founder, Andela,USA; Clarisse Iribagiza, CEO, Hehe,Rwanda; Ada Osakwe, CEO, Agrolay Ventures,Nigeria; and Monica Musonda, CEO of JavaFoods, Zambia; and Yana Kakar, Global Mana-ging Partner of Dalberg, Canada.

Busan Bulletin printed on recycled paper - May 23, 20186

FOCUS

African Development Bank’sYouth Advisory Group sets pathfor job creation in Africa

Ashish Thakkar

Firstly, it is the first time sinceits inception in 2003 that thepublication African EconomicOutlook, which reviews theeconomies of 54 African countries,was released in January and not inMay. The report launch took placeon January 17, 2018 at theheadquarters of the AfricanDevelopment Bank in Abidjan.

Next, it is also the first timethat the publication, this yearunder the title African EconomicOutlook: Innovative financing forinfrastructure development, hasbeen produced by the Bank’seconomists and experts on theirown, whereas previously it hadbeen produced in collaborationwith the OECD, UNDP and UNEconomic Commission for Africa.

“African Economic Outlook is oneof the Bank’s flagship publications,highly valued by decision-makers,researchers and experts for thequality of its analysis and practicalrecommendations on how totackle crucial developmentissues,” explains Célestin Monga,Chief Economist and Vice-President, Economic Governanceand Knowledge Management. TheBank’s experts have now reviewedupwards the continent’sinfrastructure needs, which theyestimate, in the 2018 edition, atbetween $130 billion and $170billion per year, higher than the$93 billion estimated previously.

Another great first in the 2018edition: it is enriched by the fiveregional reports – North Africa,West Africa, Central Africa, EastAfrica and Southern Africa. And tohighlight this unprecedenteddimension, these specific regionalanalyses had the benefit of theirsimultaneous launch, on March 13,from the Bank’s regional offices inTunis, Abidjan, Nairobi andPretoria.

“By providing a regional approachfor the first time, we hope tobenefit from the Bank’s expertiseand give greater depth andrelevance to the analysis in thispublication,” said Monga on theoccasion of the launch.

Finally, the last unprecedentedfact: For the first time in theBank’s history, summaries ofAfrican Economic Outlook havebeen published in three languagesspoken by over 300 millionAfricans: Arabic, Hausa andSwahili.

These are just some of the majorfirsts intended to become apermanent feature of futureeditions and which cannot helpbut strengthen the relevance andsignificance of one of the Bank’sbenchmark publications.

This Wednesday, May 23, AfricanEconomic Outlook 2018 will be thesubject of a dedicated session,including presentations anddiscussions, in the Grand Ballroomof the BEXCO Centre, from2:15pm.

Find out more: www.afdb.org/aeo

African EconomicOutlook innovates in 2018

The 2018 edition of the AfricanDevelopment Bank’s flagship publication

African Economic Outlook marksseveral major firsts

Busan Bulletin printed on recycled paper - May 23, 20187

East African Banks dominatethis year’s African Banker Awards

Winners of the 2018 African Banker Awards have been announ-ced at a prestigious Gala Dinner in Busan. The Awards, heldannually on the fringes of the Annual Meetings of the AfricanDevelopment Bank, celebrate excellence in banking and financeon the African continent.

East Africa dominated the awards this year. The CEO of EquityGroup Holdings Plc in Kenya, James Mwangi, won Banker ofthe Year. His bank has seen impressive growth through a seriesof innovations and diversified investment channels away fromconsumer loans. Kenya’s Equity Group also beat off strongcompetition from four other shortlisted nominees to win the co-veted 'African Bank of the Year Award'. Tanzania’s BennoNdulu, former central bank governor who finished his secondterm last year won Central Bank Governor of the year for hiswork in pushing for financial inclusion as well as for sound ma-croeconomic management. CRDB, also from Tanzania wasnamed the 'Best Regional Bank in East Africa'.

South African banks dominated the investment banking anddeals of the year categories. Standard Bank Group swoopedthree awards, including the one for 'Investment Bank of theYear'. Standard Bank and Rand Merchant Bank in South Africatook the 'Infrastructure Deal of the Year' for the $5bn Nacalacorridor rail and port project in Mozambique and Malawi, oneof Africa’s largest private sector funded infrastructure projects.The project covers 912km of railway running from the Tete pro-vince in western Mozambique to Nacala port on the east coastthrough a section of Malawi. A deep sea port at Nacala alsofeatures in the project. Rand Merchant Bank in South Africa wasalso recognized for the listing of Steinhoff Africa Retail that tookplace last year.

2018 African Banker Award winners

African Banker of the Year James Mwangi, Equity GroupHoldings Plc, Kenya

African Bank of the Year Equity Group Holdings Plc,Kenya

Best Retail Bank in Africa Ecobank

Investment Bank of the Year Standard Bank

Award for Financial Inclusion Groupe Crédit Agricole (Mo-rocco)

Socially ResponsibleBank of the Year BMCE Bank of Africa Group(Morocco)

Innovation in Banking Ecobank

Deal of the Year – Equity Steinhof Africa Retail Listing – Rand Merchant Bank(South Africa)

Deal of the Year – Debt $300m Diaspora Bond, Nigeria Standard Bank / FBNQuestMerchant Bank (Nigeria)

Infrastructure Deal of the Year Nacala Railway and Port Corridor Standard Bank / Rand MerchantBank (South Africa)

Best Regional Bank East Africa - CRDB (Tanzania) West Africa – BDM (Mali) North Africa – CIB, Egypt Southern Africa – State BankMauritius (SBM) Central Africa – BGFI, Gabon

“Farewell to the ambassador ofAfrica’s development. May you restin peace.” With these words, AfricanDevelopment Bank President Ade-sina Akinwumi paid tribute to hispredecessor, Babacar Ndiaye, whopassed away on July 13, 2017, inDakar, Senegal.

During the Annual Meetings, a tributeto the late former Bank Presidentwill be the highlight of the thirdedition of “The Africa Road Builders– Babacar Ndiaye Trophy.”

Launched in 2016 by Acturoutes,an Ivorian platform providing infor-mation on transport and roads, theBabacar Ndiaye Trophy recognizesthe best initiatives in road and trans-port infrastructure in Africa.

Last year's prize was shared by thePresidents of Rwanda, Paul Kagame,and Senegal, Mack Sall.

“This year, the presentation of thetrophy takes on a very special cha-racter: it is the very first edition follo-wing the death of Babacar Ndiaye,"observed Barthélemy Kouamé, Com-missioner General of Africa RoadBuilders. "We thank his successorfor agreeing to sponsor this edition,and to pay homage to him.”

“Babacar Ndiaye was an icon of theAfrican Development Bank,” saidAdesina. “With his passing, Africahas lost one of its greatest sons.”

Among the first African executivesto join the institution, Ndiaye rose

through the ranks to become thefifth President of the Bank Groupin 1985, and then served a secondterm in 1990. In 1984, during histenure as Vice-President of Fi-nance, the pan-African financial ins-titution obtained its first AAA ratingin 1984.

He also spearheaded the Bank’scapital increase in 1987, which jum-ped over 300 per cent from nearlyUSD 8.7 billion to about USD 32billion.

That same year, he began the pro-cess of opening the capital of theBank to non-African States, andsuccessfully brought the Bank intothe international financial markets.

A builder of institutions

Ndiaye worked to set up large pan-African institutions such as the AfricanExport-Import Bank, Afreximbank,the African Business Round Table,and Shelter Afrique.

Although housing and living condi-tions were not yet at the top ofurban and development priorities inAfrica, he encouraged the creationof Shelter Afrique, an institution de-dicated to the financing of affordablehousing on the continent.

During a recent memorial ceremony,President Adesina announced thatthe auditorium of the Bank’s head-quarters would henceforth bear thename of Babacar Ndiaye.

Busan Bulletin printed on recycled paper - May 23, 20188

Hadizatou Rosine Sori,Burkina FasoAfrica is a continent of potential. Wehave heard a lot about theawakening of Africa in recent years.The potential is there. What weneed is support. It's as simple as

that. As a continent, we are capable of reversingnegative trends.

Tribute to Babacar Ndiaye,

fifth President of the African

Development Bank

Margaret Mwanakatwe.ZambiaWhy can’t I add value to maize andturn it into corn flakes? Why am Ibringing somebody else thatalready makes cornflakes into mycountry? I say let’s go from maize

to corn flakes. We can do it. That is agriculture andagribusiness.

Mohammed Bousaid,Morocco The industrialization of Africa is oneof the Bank’s High 5 priorities.Having industry makes it possiblefor our countries to deepen thisquest for economic diversification.

Economic diversification means economic resilience.

Felix Molousa, CentralAfrican RepublicOur country is coming out of a longperiod of acute crisis. If it is nowstarting to arise out of the ashes.This is due in part to its partnershipwith the African Development Bank.

Henry Rotich, KenyaWe know that we need about US$117 billion to finance the High 5sover the next three to four years.It is a huge resource requirement.But there are many ways, and we

have to find a way to raise this capital.

governorsspeak

Busan Bulletin printed on recycled paper - May 23, 20189

The nature of work is changing. Driverlesstrucks are transporting goods from factories

to warehouses. Vehicles are driving themselves.3-D printers are producing T-Shirts and sneakersfaster than their human counterparts can. Ro-bots are replacing humans in industrial assemblylines in food processing plants, automobile fac-tories, and aviation plants. Farms are being au-tomated; advanced robot prototypes are plantingand harvesting a range of crops. Stores are beingreplaced with online sites where we can buyclothes, book airline tickets, order pizza, and payfor everything electronically. Alexa, your virtual as-sistant developed by Amazon, can turn on thetelevision to your favorite channel and then playsoothing music to help you fall asleep. And, yes,she will also turn off the lights.

This is not the brave new world of the future, butour world today. These changes have profoundimplications for how we work and live. Welcometo the 4th Industrial Revolution (4IR), where theconfluence of artificial intelligence, robotics, 3Dprinting, the Internet of Things, biotechnology,and block chain technologies are modifying howwe have worked since the previous industrial re-volutions.

It is all about jobs. Each year, 10-12 million Afri-can youth enter a workforce where only 3 millionformal new jobs are created annually. Youth fill lessthan a quarter of all jobs created; the youth unem-ployment rate is double that of the rates for adults.

High youth unemployment has created chal-lenges. Forty percent of the young people whohave joined the ranks of rebel and terror groupscite lack of economic opportunity as their keymotivation. Many youth also migrate in search ofjobs, especially to Europe, often illegally aided bycriminal smuggling networks. In 2015, over3,500 people, many of whom were young, diedin the Mediterranean while trying to make this pe-rilous journey.

The poor jobs situation for African youth is rootedin three main factors. First, job growth in Africa’sformal sector has not matched the pace of gra-duation from secondary and tertiary institutions.Second, many youth are ill-prepared for the jobsthat are available because they have not acquiredthe skills that employers require, either becausetheir education is of poor quality or because theyare specialized in areas other than those deman-ded by employers. Third, youth lack the socialcapital, networks and experience needed tocompete in the labour market.

What implications will the 4th industrial revolutionhave on the continent’s already challenging jobssituation?

The challenges. Jobs are more likely to be au-tomated in developing countries because theytend to be more routine in industries that tend tobe more labour-intensive. As robots and artificialintelligence change the economics of manufac-turing, automation is eliminating the advantagesof cheap labour and leading to the relocation ofoperations to developed countries. Falling pricesfor robots are making them more easily availablefor manufacturing. As the cost of capital falls, in-dustries will find it more efficient to re-shore ma-nufacturing activities from Africa and elsewhere.

Recent evidence from the US suggests that thisleads to a loss of roughly 126 African jobs per re-shored company; between 2010 and 2015, ap-proximately 250,000 jobs were re-shored to theUS. The expectation of Asian manufacturing mo-ving to Africa because of rising labour costs inAsia no longer appears to be a viable long-termjob creation strategy.

The opportunities. Rapid technological pro-gress provides a unique opportunity for Africa toleapfrog and quickly reach higher levels of pro-ductivity. Technological developments in agricul-ture are particularly relevant as a large percent ofemployment in Africa is in agriculture. New de-velopments in precision agriculture, based on au-tomation and the Internet of Things, offer greatpotential for increasing productivity and speedingup structural transformation. In addition, Africa isalready the world’s second-largest mobile phonemarket, and the pool of mostly young, successfulentrepreneurs using these technologies is gro-wing. At the same time, while the estimatedcosts of operating a robot, now between USD 10and USD 30 per hour depending on its sophisti-cation, remains relatively high, these costs aredropping. Given existing wage rates in Africa, asignificant window of opportunity exists beforerobots become competitive. For example, anOverseas Development Institute study estimatesthat robots will become competitive in the furni-ture sector in Kenya only in 2032. There is, the-refore, an important opportunity to train futureworkers.

Policies matter. Creating decent jobs requirespolicies that increase productivity and enable thereallocation of labour from traditional to modernsectors. Governments, in partnership with theprivate sector and the development community,must make high-quality education and skills de-velopment a top priority. Africa cannot meet thechallenges associated with 4IR if only two per-cent of the total university-age population gra-

duates with a degree in science, technology, en-gineering or mathematics. Business and entre-preneurship skills, complex problem-solvingskills, social skills, process skills, system skillsand cognitive skills are also in high demand.There is a need for job centres that can raiseawareness about job opportunities, help job-see-kers write résumés and prepare for interviews,and match job-seekers with employers seekingemployees. Infrastructure is a key enabler of 4IRand higher Internet penetration rates can contri-bute to higher youth employment and greaterproductivity.

Jobs are a top priority for the African Deve-lopment Bank. The need to create productivejobs is well recognized, but policy-makers areless aware of 4IR technologies, their challengesand opportunities. The role of the African Deve-lopment Bank as a provider of knowledge andtechnical assistance, a catalyst for private-sectordevelopment and investment, and as a financierof strategic job-related investments is thereforecritical. The Bank’s Jobs for Youth in Africa stra-tegy seeks to help the continent create 25 millionjobs by 2025. This is an urgent priority. The futureof Africa’s youth must not be to perish in the Me-diterranean, but to transform their continent.

Africa and the Future of Work by Kapil Kapoor, Director for Strategy and Operational Policies,

African Development Bank

Industrialization

Of all the wealth and untapped po-tential of Africa, its greatest assetmay well be its youth. The youth

population, estimated today at 420 millionpeople aged 15-35 years, will nearly doubleby 2050 to 830 million. They are smart,dynamic, digitally adept, and eager to puttheir skills and talents to work.

Each year, 10 to 12 million young Africansenter a job market that adds only threemillion formal jobs annually. Women seeking

formal and informal jobs are parti-cularly affected, as they often facegreater barriers to opportunities.

The African Development Bank ini-tiative, Jobs for Youth in Africa isdesigned to create 25 million jobsand benefit 50 million young peo-ple over the next ten years, givingthem the skills they need to getdecent and sustainable jobs.

"This is a huge opportunity for Africa,”says Akinwumi Adesina, President of theAfrican Development Bank. “If we solvethe problem of youth unemployment, Africawill gain 10% to 20% in annual growth.This means that Africa's GDP will growby US$ 500 billion a year over the nextthirty years. Per capita income will increaseby 55% per year until 2050.”

Currently, 66 million young Africans earnunder US$ 2 a day, “less than the price

of a hamburger," Adesina points out. Toput that into perspective, 66 millionpeople is equivalent to eight times thepopulation of Switzerland, six times thepopulation of Belgium, and equal to thepopulation of the United Kingdom, France,or Italy.

Since the launch of the initiative in 2016,the Bank has created 1.6 million jobs invarious African countries and has sup-

ported 128,000 micro, small and me-dium-sized enterprises, including provi-ding training opportunities for 625,000youth.

“Youth are not Africa’s future, they areour present,” says Oley Dibba-Wadda,Director of Human Capital, Youth andSkills Development at the Jobs for Youthinitiative. “When youth have the chanceto succeed, economies across Africa willgrow, job opportunities will increase, andthe quality of life for the people of Africawill improve.”

Recently, the Bank hosted the 2018 AgriPitchEntrepreneurship Competition, which rewardsinnovative solutions to enhance productivityin the agriculture and agribusinesssector. The competition offers young en-trepreneurs a unique platform to connectwith other small and medium-sized enter-prises, mentors and potential investors, andto show that agriculture can be lucrativeand exciting.

The 27 participants included Ngozi, co-owner of Frotchery Farms, a fish-proces-sing business that supplies dried fish pro-ducts to hotels and supermarkets in Iba-dan, Nigeria. After a rocky start in 2017,Frotchery Farms now sells about six tonsof fish per month, and has received certi-fication to supply supermarkets.

Aboubacar Karim, from Côte d’Ivoire, stu-died agricultural engineering in Canadaand decided to return to his country toapply his knowledge to industry.

In 2017 he founded Investiv Group, whichsurveys and maps crops using dronetechnology, helping farmers quickly trou-bleshoot pests, diseases, and crop-relatedissues. The company employs a team of30 staff under 30 that it deploys to variousregions of Côte d’Ivoire.

As Ashish Thakkar, Chair of the PresidentialYouth Advisory Group advising the Jobsfor Youth initiative, puts it: “We are reallylucky to be young people today on ouramazing continent, where technology isgrowing at such a rapid pace and the di-gital transformation is taking place. Thisis our time to think creatively, to think in-novatively, and to empower, inspire, andenable each other to transform. This isour time.”

Jobs for youth initiative: Insuring Africa’sdemographic dividend

In focus

Busan Bulletin printed on recycled paper - May 23, 201810

ThE DAy

T he project received US $502.9 millionin funding support from the African De-velopment Bank and partners to pro-

vide reliable, clean, affordable electricity tothousands of households and industries.

At 400 MW, the Menengai Geothermal Projectraises power generation by 26% per cent ofthe current total installed generation capacity.Kenyan households, businesses and indus-tries, will all benefit.

The electricity that will be generated is equiva-lent to the consumption needs of nearly

500,000 households, including 70,000 in ruralhouseholds, and 300,000 small businesses. Itwill also provide 1000 GWh of energy to busi-nesses and industries. The project will also re-duce CO2 emissions by close to 2 million tonsper annum.

Greater access to clean energy is expectedto significantly improve health and educationopportunities, particularly for women and girlsin the area. The project will also ensure anemployment ratio of 30%, which is conside-rably higher than that of small towns in theregion.

Having electricity soon isgoing to make our lives easier. It iswill be easier for us to cook andlight the house. I’m really lookingforward to it, because it will helpme manage household tasksbetter. I will able to quickly makebreakfast and get my children offto school on time.

AFFORDABLE, RELIABLEELECTRICITY FOR 500,000 KENYAN

HOUSEHOLDS AND 300,000BUSINESSES

Lucy, 14-year-oldschoolgirl

If we have electricity,my brothers and I will be ableto study at night at home and inschool.

Joseph Mbugua,school teacher

Many of our schoolchildren are interested in learning,but lack of electricity is a limitingfactor. This has reduced theirschool performance, because thestudents can only study for fewhours.

Access to electricity in Kenya remains relatively limited. only half of

the population has access at costs that are much higher than in other

African economies. When the Menengai Geothermal Project is fired,

supply is expected to improve remarkably.

Anika Kariuku, NakuruDistrict resident

Making a difference

Busan Bulletin printed on recycled paper - May 23, 201811

10:00 Formal Opening Ceremony 12:00 Special Event 2: High Level Panel Dialogue14:15 African Economic Outlook Dialogue15:30 First Sitting of the Boards of Governors17:00 High Level Panel Session on Climate and Disaster Risk Financing18:00 Press Cocktail18:30 The Africa Road Builders – Trophée Babacar Ndiaye 2018

More info: https://am.afdb.org/en/programme

Busan Bulletin printed on recycled paper - May 23, 201812

AGeNdA

the day

Jagalchi Market. Start your day early at Korea’s largest seafood market where you can buy both live and dried fishincluding mackerel, see squirts, and whale meat. Enjoy fresh sashimi-style fish at Chungmu Hoetjip, or a family-friendly seafood buffet at OASE Seafood Buffet. You can also enjoy fresh fish at the historical tented street restau-rants called Pojangmacha.

After a fish-based brunch, proceed to the renowned Gukje Market (also known as the Dottegi Market), one ofKorea’s largest and most unusual flea markets created by refugees after the Korean War. It is also connected toother small markets such as Bupyeong Market and Kkangtong Market.

Join Busan residents at the lively local food markets in Seomyeon Eatery Alley, and enjoy a variety of traditionaldishes such as Topokki (stir-fried rice cake), Eomuk or Oden (fish cake), Sundae (Korean sausage), and Dwaeji-guk-bap (pork rice soup). Stalls open after 5pm.

Seo-Gu: Explore traditional Korean life

Dis

co

ver

Bu

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돌다리도 두들겨 보고건넌다

Literal Translation: Even whencrossing a stone bridge, hit it first.

Meaning: You should proceed withcaution in everything you do.

Korean Proverbof the Day