African infrastructure development lags behind other regions. The lack of rural roads, telecommunications, electrification and water services is weakening poverty reduction efforts. Poor infrastructure directly affects poverty and requires urgent attention.
A publication from the International Food Policy Research Institute (IFPRI) explores the problem of inadequate infrastructure and approaches to remedying it. African infrastructure was neglected during the colonial era, when the focus was largely on transporting natural resources for export: around 75 percent of railways were built to link mines to ports. Sparse rural populations, conflicts and large land areas have also held development back.
Investment in infrastructure is still inconsistent, with little positive effect on poverty. Poor infrastructure affects health, education, access to markets and investment. Transport costs for individual travel and for freight are far higher in Africa than in Asia, making products less competitive.
Investment in infrastructure has been characterised by:
- unequal access with poor, rural people having the least access
- low levels of investment compared with population growth and compared with other regions: investment needs are high, averaging around 5.5 percent of GDP
- a sector-specific approach that has failed to make important linkages between different infrastructures and other services
- reliance on private and user contributions that were insufficient to pay for necessary services
- low domestic and foreign investment, influenced by domestic difficulties, high costs of transport and unreliable utilities. Transport for trade is particularly problematic for landlocked countries.
Attempts at public infrastructure provision in the 1970s, and market led provision throughout the 80s and 90s have both failed. Approaches have failed to integrate sectors, donors and countries. Sectors cannot stand alone: for instance, it is not enough to build schools without ensuring transport to get there or water provision. Countries too are linked: those that are landlocked rely on roads and ports in neighbouring countries for trade.
What is needed now is an integrated approach that:
- is appropriate to existing institutions and regulations. Certain approaches only work where there are strong institutions although access can still be improved alongside institution building.
- is open to market reform. Opening up mobile telecommunications markets to competition has increased coverage at a much faster rate than for roads and utilities, which have not been opened up.
- uses public intervention alongside market reforms. If governments encourage well-functioning markets, they can use subsidies to fill gaps the market cannot reach.
- develops public-private partnerships, supported by strong institutions and legal frameworks. Public provision alone is not cost effective and private provision will not meet all needs.
- encourages demand-led, relevant development using appropriate technology and practices, for which individual communities are responsible, along with planning and decision making.
Source(s):
‘Increasing Access to Infrastructure for Africa’s Rural Poor’,
International Food Policy Research Institute (IFPRI) by Maximo Torero and
Shyamal Chowdhury, 2005 Full document.
Funded by:
International Food Policy Research Institute (IFPRI)
id21 Research Highlight: 27 July 2005
Further Information:
Maximo Torero
International Food Policy Research Institute (IFPRI)
2033 K Street, NW
Washington, DC 20006-1002
USA
Tel:
+1 202 862 5600
Fax:
+1 202 467 4439
Contact the contributor: m.torero@cgiar.org
International Food Policy Research Institute (IFPRI)
Other related links:
'Business development support to small service providers'
'Freeing up competition to finance infrastructure efficiently'
'Decentralisation: do poor people benefit from local government
expenditure decisions?'
'Achieving sustainable water supply in rural Africa'
'Reforming Infrastructure - privatization, regulation; and competition'
World Bank Policy Research Report
