00:00Welcome to another edition of Business Africa. I'm your host, Afolake Uyloi. The top stories
00:10this week. A new report warns that economic hardships are fueling youth frustration and
00:16weakening Africa's democracies. In Cairo's al-Wakala market, leftover meals from luxury
00:24hotels are offering low-income families a lifeline amid Egypt's deepening economic
00:30crisis. Nigeria is emerging as a remote work hub as experts call for stronger laws and better
00:40infrastructure. A new report has raised concerns that Africa's fragile democracies face mountain
00:50threats. Economic hardship, widespread youth protests and military coups are exposing the
00:56limits of political systems that many citizens see as a friendly to real choice.
01:02A new report is sounding the alarm on the state of democracy in Africa, linking a wave of coups
01:08and youth-led protests to deep-seated failures in governance. Africa is the world's youngest
01:14continent, but its youths face stark reality, so costs rampant joblessness and a lack of opportunity.
01:22The frustration is boiling over. The Kenya's Gen Z tax protests to Nigeria's NSAS movement and
01:29demonstrations in Senegal, a generation is demanding change. Simultaneously, West Africa has seen a surge in
01:37military takeovers. In Mali, Burkina Faso and Niger, many young people have welcomed soldiers who promise
01:45security and development where elected governments have failed. The study by economist Dr. Ndongo Samba
01:53Saila argues that many multi-party systems are choiceless democracies constrained by external pressure like the
02:01CFA franc currency or an equal land distribution. The report calls on a radical shift from mayor elections to
02:10substantive democracy, build on economic justice, popular participation and true sovereignty over national
02:18resources.
02:23Join us now is the report's author, Dr. Ndongo Sila. Welcome to the show. Now the report's side structure
02:31of social issues such as the franc CFA and the unequal distribution of land across the continent. How do these factors perpetuate
02:38social and economic divides?
02:40Some countries do not have control over their own policy instruments and policy resources.
02:46For example, the countries using the CFA franc, 14 of them based in Western Africa and Central Africa,
02:53their currency is still controlled by the French Treasury because they have legal agreements with the French
03:00Treasury. So they are not sovereign over their monetary policies. And when you are not sovereign over your monetary policy,
03:06that means you are not sovereign over your fiscal policies and initial policies. And that's why these countries, most of them,
03:14have not recorded any significant economic growth since let's say their independence in the 1960s. As for land distribution,
03:23there is one striking fact documented by the report is that the most established liberal democracies across the continent,
03:32like South Africa, Namibia, Botswana, happen to be the most unequal in terms of wealth inequality. And the wealth inequality basically
03:41explained by inequality in land distribution. So that means that you could be in a system of liberal democracy.
03:51But if you do not have a fair land distribution, this will create, you know, strong economic inequalities.
03:58And ultimately, this will be an handicap towards the creation of shared prosperity.
04:05You link rising youth frustration to the rise in protests and coups across the continent. Tell us more about this.
04:13To some extent, yes. Because the young people, let's say those aged between 15 and let's say 25 or 30, they constitute the
04:24bulk of our people. Africa is a young continent and the youth is the dominant trend, the dominant component. It's the demos, as we say.
04:32But this youth is generally marginalised by public policies. They are not associated and they do not see, you know,
04:41economic outcomes that would be beneficial to them. And in some contexts where you have a lot of insecurity problems,
04:48you know, you have terrorist threats. We have seen the rise of NATO regimes, such as, for example, in the silent countries in Mali,
04:55Burkina Faso and Niger. These schools were uploaded by the U.S., generally speaking, because they saw that there was some stalemate
05:04with the previous regimes of liberal democracies, because this regime did not deliver on security, did not deliver on economic outcomes.
05:11So they are expecting that with these new military regimes, maybe something could happen that could be transformative for them.
05:18So it's a hope. But we'll see whether that hope will be fulfilled with, you know, fairer economic outcomes and better results in terms of security.
05:27Dr. Silla, you advocate for substantive democracy. Tell us about this and how can this be achieved?
05:33Yes. The report introduced the concept of substantive democracy to distinguish that with liberal democracy,
05:40because liberal democracy is not necessarily conducive to economic justice, not necessarily conducive to, you know, political participation by the masses.
05:51So the idea of substantive democracy is to say that African development should be based on popular participation.
05:59We have to empower the people to be decision makers in the sense that this increased popular population about popular participation will help design policies that will be beneficial to the masses.
06:13This is the idea behind substantive democracy. The report has not said that this is feasible now, I mean, but we have to make efforts towards that,
06:23having the people involved in the political process and also designing policies that would help improve the living conditions of the people.
06:32So democracy as political participation, as decision making by the masses and economic justice, that is substantive democracy.
06:41Thank you so much for those insights. Thank you very much.
06:47In Cairo's Boston Alwakala Market, leftover meals from luxury hotels are providing struggling families with a vital source of food.
06:55A stark reminder of how Egypt's economic crisis is reshaping daily survival.
07:01Our correspondent went undercover to find out more.
07:05In downtown Cairo, Alwakala Market is among the city's busiest.
07:09Every Sunday, for just three hours, hundreds of low-income Egyptians gather here to buy second-hand goods and leftover food from upscale hotels and restaurants.
07:19Meals, once prepared for the wealthy, now sold at prices they can manage.
07:23A hotel staffer spoke to African News anonymously as the topic is very sensitive.
07:29Some hotels informally sell off their buffet leftovers to traders.
07:35This food oven goes out expired and on street corners without proper storage or packaging.
07:42And since it doesn't come through official channels, it carries no registration, no tax record and no expiration date.
07:53For nearly a decade, Egypt's economic crisis has eroded incomes, forcing many to find alternative ways to meet their most basic needs.
08:03Economic weakness has taken a heavy toll on ordinary Egyptians to stretch their limited incomes and secure basic food needs.
08:12Many have turned to these markets, despite the risks they pose to public health.
08:17This market has existed for years, but it expanded significantly after the 2016 economic reforms,
08:24when mounting financial pressure pushed more people to rely on it daily.
08:29Inflation remains the most dangerous illness facing Egypt's economy.
08:34At the start of 2024, inflation hit 37%.
08:38As prices continue to rise, Alwekala's Sunday market stands as both a lifeline and a risk,
08:43capturing the difficult choices many Egyptians face in the struggle to get by.
08:50Since the pandemic in 2020, Africa has become a frontier for digital nomads.
08:55Nigeria's tech ecosystem and young talent are driving remote work growth.
09:00But experts say stronger policies and infrastructure are needed.
09:04Kulibab's report from Abuja, Nigeria.
09:10Emmanuel Efiong works for a Canadian company without ever leaving his home in Abuja.
09:16All I need is my laptop and my internet and I'm good to go.
09:19Remote work saves me money because I do not have to commute, I do not have to go anywhere.
09:24With unemployment high, many young Nigerians are turning to remote work to earn a living
09:30and connect with global clients.
09:33According to research platform Market and Market Report,
09:36the global remote workplace market is set to nearly triple by 2027,
09:41growing from $20 to $58 billion.
09:46Analysts warn that without clear protections,
09:49remote workers risk being underpaid or exploited by the very companies that rely on their skills.
09:57Experts are calling for updated labour laws that reflect today's digital realities
10:03and safeguard the growing remote workforce.
10:06We need to upgrade our laws on employment.
10:10These laws also need to find ways of creating some kind of inspection.
10:17How do we begin to do remote inspection?
10:20So we identify those platforms that are providing jobs to Nigerians, you know, digitally,
10:26and see how can we monitor them.
10:28So far, the government has focused on taxing remote earners.
10:32For Nigerians like Emmanuel, better policies could make remote work a sustainable career path,
10:39boosting incomes and Nigeria's role in the global digital economy.
10:49That brings us to the end of this edition of Business Africa.
10:54For more stories and the latest updates, stay tuned to African News
10:57or visit us online at AfricanNews.com.
10:59I'm Afolai Ke'e Winlu Yee. See you next time.
11:01See you next time.
Comments