Push for better terms of trade to drive growth

The curtain came down on the United Nations Conference on Trade and Development (UNCTAD) in Nairobi yesterday after rounds of negotiations and discussions on international commerce. Kenya hosted the week-long 14th session of the summit where some 7,000 delegates deliberated on issues affecting global trade. The prestige associated with hosting the conference cannot be understated given that the last time Kenya hosted a similar conference was in 1976.

However, amid the rhetoric generated at the Nairobi conference this week, Africa lost its bid to have the UNCTAD come up with tough rules to rein in multi-nationals evading or avoiding tax. African nations wanted the large corporations to be held to account for illicit financial flows under global rules, but there was strong resistance by the wealthier nations.

African governments must therefore be more vigilant to ensure the continent does not continue losing out to these corporations as their citizens wallow in poverty on account of the diminished opportunities for growth that accrue.

That is why we must make a case for increased trade among African nations in a deliberate attempt to support development initiatives on the continent —nations from the continent must expand their commodities markets and pool resources to promote intra-Africa trade.

Taking cognizance of developments such as Brexit, new trade negotiations should be considered.

And as President Uhuru Kenyatta reaffirmed at the conference, United Nations agencies must begin to engage with Africa and poor nations as partners, rather than a continent constantly in need of donor aid.

In this regard the club of rich nations must honour their pledge to fast-track the elimination of trade barriers — developing countries are losing some Sh2.3 trillion annually to corporations from rich nations that fail to comply with trade regulations.

It is not enough for the so-called Group of 20 (G20) nations to send representatives to international forums to pay lip service to trade commitments while looking out for their own interests only. There must be tangible measures taken to lift poor countries up from want. Still, Africa and other poor nations must insist on effective systems and good governance. Corruption and ill-conceived economic policies have continued to hamper efforts to curb poverty. Africa has huge untapped resources that can be harnessed by prudent and visionary leadership to drive growth.

Therefore, it must rise up to the challenge and pull millions of its citizens out of dehumanising poverty and deprivation.

It should not be for nothing that Kenya hosted this global meeting — the country must draw from the experiences of other nations, and continue to negotiate for better terms of trade to drive growth.