AFRICAN DEVELOPMENT BANK GROUP REGIONAL INTEGRATION
AFRICAN DEVELOPMENT BANK GROUP
REGIONAL INTEGRATION
POLICY AND STRATEGY (RIPoS) 2014-2023
INTEGRATING AFRICA: CREATING THE NEXT GLOBAL MARKET
AFRICAN DEVELOPMENT BANK GROUP
REGIONAL INTEGRATION
POLICY AND STRATEGY (RIPoS) 2014-2023
INTEGRATING AFRICA: CREATING THE NEXT GLOBAL MARKET
Rights and Permissions
Copyright ? African Development Bank 2015 All rights reserved. Photos: AfDB library; Jos? Carlos Alexandre; Arne Hoel
The information in this publication may be reproduced provided the source is acknowledged. Reproduction of the publication or any part thereof for commercial purposes is forbidden. The views expressed in this paper are entirely those of the author(s) and do not necessarily represent the view of the African Development Bank, its Board of Directors, or the countries they represent.
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Acknowledgements
Preparation of the Regional Integration Policy and Strategy for 2014?2023 (RIPoS) was led by ONRI with inputs from a diverse group of experts in Bank Departments and externally. The Strategy was developed under the overall guidance of Sylvain Maliko (Director OIC, ONRI). The core team was led by Moono Mupotola (Division Manager, ONRI.2) and comprised Patrick Kanyimbo (Principal Regional Integration Officer), Dovi Amouzou (Senior Operations Coordinator) and Michael Mah'moud (Consultant).
Members of the Strategy and Operational Policies Department (COSP)--Kapil Kapoor, Diene Massamba and Alex Mubiru--reviewed the document and provided substantive contributions. Richard Schiere (ORQR) provided valuable inputs and guidance on the Results Measurement Framework. Inputs were also received from Mohamed Hassan, Mamady Souare, Bamory Traore, Callixte Kambanda and Hatem Chahbani. Janvier Litse and Alex Rugamba (former ONRI Directors), Mthuli Ncube (former Chief Economist and Vice President), Steve Mugerwa, Victor Murinde, Issa Faye, Bernadette Dia Kamgina, Ralph Olaye and Bitsat Yohannes also made important contributions. Departmental Focal Points nominated by Directors across the Bank also participated in the development of the RIPoS: Cecile Ambert (OPSM), Alemayehu Wubeshet-Zegeye (ONEC), Francis Bougaire (OWAS), Ali Aymen (OITC), Patrick Agboma (OSAN), Feng Zhao (OSHD), Abdoulaye Coulibaly (OSGE), Frederik Teufel (OSFU), Wilberforce Mariki (ORWA), Adalbert Nshimyumuremyi (ORWB), Lamin Manneh (EARC), Emmanuel Santi (ORNA), Mouna Diawara (ORCE), Ernest Addison (ORSB), Medjomo Coulibaly (ORPC), Ralf Kruger (EDRE), Narina Letsara (ESTA), Floribert Ngaruko (EADI), Eneas Gakusi (IDEV) and Uzoamaka Nwamarah (CCCC/COO).
Work on the strategy included an internal brainstorming session facilitated by Stephen Karangizi Hakim Ben Hamouda and Mateus Magala. A second brainstorming session was held with think tanks on the margins of the African Economic Conference 2013 in Johannesburg. Participants from think tanks and regional bodies included Samson Mwangi Kimenyi (Brookings Institution), Lemma Senbet (African Economic Research Consortium), Olatunji Nelson Olaniyi (African Business Roundtable), Fantu Cheru (North-South Institute), Catherine Grant Makokera (South African Institute of International Affairs), Cheikh Hadjibou Soumare (West African Economic and Monetary Commission), Thaladidia Thiombiano, John Moturi and Ibrahim Diarra. Contributions were also received from the following representatives of RECs, private sector bodies and continental integration organizations during brainstorming sessions in Abidjan, C?te d'Ivoire, and Lusaka, Zambia and a Validation Workshop held in Tunisia: Fatima Haram ACYL (AUC), Imed Ben Hadj Hamouda (UMA), S?diko Douka (ECOWAS), Augustin Ndabihore (ECCAS), Joseph Amihere (AADFI), Kara Diallo (Borderless Alliance), Abu Sufian Dafalla (COMESA), Amany Omar Omar Asfour (COMESA Business Council), Philip Wambugu (EAC), Lovemore Bingandadi (SADC), Mwathi Kungu (IGAD), Treasure Maphanga (AU), Soteri Gatera (ECA), Adama Deen (NEPAD PCA), Lynette Chen-Jules (NEPAD Business Forum), Andrew Sinyangwe (Walvis Bay Corridor Group) and Christian Diguimbaye (JSSO).
Substantive comments and suggestions on the draft Strategy were received from members of the Senior Management Coordination Committee, regional directors and sector directors who reviewed the document at various stages. Valuable contributions were also received from Kennedy Mbekeani, Sunita Pitamber, Freddie Kwesiga, Shem Simuyemba, Jacque Moulot, Jean-Guy Afrika, Emely Mutambatsere, Tilahun Temesgen, Emanuele Santi, Anne ValkoCelestino, Mtchera Johannes Chirwa and from other multilateral development banks: Barbara Ramos (Inter-American Development Bank), Jay Menon (Asian Development Bank) and Andrew Roberts (World Bank).
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Contents
1 | Introduction
Acknowledgments Acronyms and abbreviations Executive summary
Background and rationale Preparation
2 | Africa's regional integration progress, challenges and opportunities
Progress Challenges Opportunities
3 | Lessons from Bank Group
Measures to Improve Bank regional operations Key success factors
support to regional integration
4 | Regional integration policy
5 | Regional Integration Strategy, 2014?2023
Vision, goal and objectives Eligibility and priority criteria Guiding principles Implementation
Strategic position Strategic pillars and operational priorities Pillar I: Supporting regional infrastructure development
Hard and soft regional infrastructure development Regional public goods Pillar II: Enhancing industrialization and trade Industrialization, export diversification and market development Trade policy and trade facilitation Trade finance capacity Cross-cutting pillar: Strengthening regional and country mechanisms and institutional capacities Support to countries Human and institutional capacity building
6 | Implementation plan
Internal and external arrangements Incentive mechanisms for developing integration programs Resource implications Bank instruments Risks and mitigation Results framework
Expected outcomes Results matrix Monitoring and evaluation
| iii | vii | ix | 1 | 1
| 3 | 3 | 4
| 5 | 6
| 7 | 8 | 8 | 10
| 11 | 11 | 11 | 11 | 13 | 13
| 14 | 16 | 16 | 17
| 17 18
| 21 | 22 | 22 | 22 | 23 | 23 | 23 | 23 | 23
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REGIONAL INTEGRATION POLICY AND STRATEGY (RIPOS) ? 2014-2023
Annexes
References Tables, figures and boxes
Annex 1 From the Ten Year Strategy to the Regional Integration Policy and Strategy
Annex 2Schematic summary of the Bank Group's Regional Integration Strategy sector strategy
Annex 3 Results measurement framework
Annex 4 Strategies of key partner institutions and international organizations
Annex 5 How the Bank will support RMCs to address some specific "soft" issues raised in the Regional Integration Policy and Strategy
Annex 5aAddressing environmental and natural resource issues in trade development
Annex 5b Free movement of people and regional integration
Annex 5c T ackling youth unemployment through infrastructure development and trade- and industrialization-related capacity building
Annex 6 Challenges along the trade and transit chain and possible trade facilitation interventions
Annex 7 Institutional arrangements
Annex 8 Implementation instruments
Annex 9 Regional financial integration: A generic roadmap
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| 26 | 28
| 32
| 33
| 33 | 34
| 34
| 35 | 36 | 38 | 43
| 43
Tables Table 1 Bridging hard and soft infrastructure gaps Table 2 Facilitating and supporting private sector
participation in regional integration activities Figures Figure 1 How trade facilitation can contribute to
inclusive growth Boxes Box 1 Eligibility and ineligibility for RO incentive
mechanisms Box 2 Key regional initiatives supported by the Bank
| 12 | 19
| 16 | 9 | 15
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Acronyms and abbreviations
AfDB
African Development Bank Group
ADERAnnual Development Effectiveness Review
ADF
African Development Fund
AMU
Arab Maghreb Union
ARIA
Assessing Regional Integration in Africa
AU
African Union
AUC
African Union Commission
AU MIP
African Union Minimum Integration Program
BIAT
Boosting Intra-African Trade
CAADPComprehensive African Agricultural Development Program
CEMACCentral African Economic and Monetary Community
CEN-SAD Community of Sahel-Saharan States
CERDCommunications and External Relations Department (AfDB)
CFTA
Continental Free Trade Area
COMESACommon Market for Eastern and Southern Africa
COSPStrategy and Operational Policies Department (AfDB)
CSP
Country Strategy Paper
CU
Customs Union
DAADakar Agenda for Action (on financing Africa's Infrastructure)
DFIs
Development Finance Institutions
EAC
East African Community
ECCASEconomic Community of Central African States
ECONOffice of the Chief Economist, Vice Presidency (AfDB)
ECOWASEconomic Community of West African States
EDREDevelopment Research Department (AfDB)
ESTA
Statistics Department (AfDB)
EU
European Union
FDI
Foreign Direct Investment
FRMBResource Mobilization & External Finance Department (AfDB)
GDP
Gross Domestic Product
GVC
Global Value Chain
G8
Group of 8 major economies
G20
Group of 20 major economies
HSG
Heads of State and Government
IAISInternational Association of Insurance Supervisors
ICA
Infrastructure Consortium Africa
ICTInformation and Communication Technology
IDEVIndependent Development Evaluation Department (AfDB, previously OPEV)
IFC
International Finance Corporation
IFRSInternational Financial Reporting Standards
IGADInter-Governmental Authority on Development
IGOs
Inter-Governmental Organizations
IMF
International Monetary Fund
IPPFNEPAD Infrastructure Project Preparation Facility
JSSO
Joint Secretariat Support Office
LPI
Logistics Performance Index
MDBs
Multilateral Development Banks
MIC
Middle Income Country
MRU
Mano River Union
MTR
Midterm Review
MW
Megawatt
NEPAD
New Partnership for Africa's Development
NPCANEPAD Planning and Coordination Agency
NGO
Non-Governmental Organization
NTM
Non-Tariff Measure
ODA
Official Development Assistance
OECDOrganisation for Economic Co-operation and Development
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