Author: Libby Smith, Acting CEO

As Britain sets out on a new and independent path, one of our first priorities should be to work out how the UK can maintain its global reputation as a force for good. Following the recent reshuffle, the new Minister for Africa, James Duddridge, will have a vital role to play in this. The successful UK-Africa investment summit in January saw Britain commit to invest £2.3bn in Africa over the next two years. It’s a pledge which is fantastic news for our country and our African partners - and a bold statement of our intent to remain global in our outlook post-Brexit. With the continent’s GDP set to reach $3.2 trillion in the next five years, I believe firmly that investing in the power of this youthful population will be key to achieving a truly Global Britain. 

The UK Africa Investment Summit in January 2020.

As a trading nation, our destiny is intertwined with that of our international partners, meaning a thriving African economy and workforce is great news for Brits and Africans alike. The world’s oldest continent, today Africa is also its youngest, with 60% of its population under the age of 25. Its huge potential for growth is underscored by the fact that Africa is currently home to a staggering eight of the 15 fastest growing economies. As the continent grows and develops, international partnerships and investment will be key to unlocking a brighter future for all those young people. Crucially, with our track record as a leading source of private investment, this represents a huge opportunity for Britain too. 

This is because innovation and investment from UK industries is helping to raise living standards and support families across the world. Through trade and investment, businesses are helping to provide 90% of jobs in developing countries. Yet, as the ninth United Nations Sustainable Development Goal highlights, basic infrastructure like roads, information and communication technologies, sanitation, electrical power and water remain scarce in a number of developing nations. For many African countries, particularly those with a low-income, constraints relating to infrastructure are affecting productivity by as much as 40%. Britain will need to supercharge the commitment and support of our businesses to confront these challenges head on. 

“Aid and trade should be understood as two sides of the same coin. Confronting the challenge of global poverty starts with bringing security and stability to those in need - for that is the foundation for economic prosperity.”

- Libby Smith, Acting CEO of the Coalition for Global Prosperity

But we cannot rely on trade alone - Africa is still the poorest continent in the world and rising wealth has also deepened inequality. Take the example of Nigeria, where the economy is booming and yet 87 million Nigerians live on less than £1.90 a day. UK aid, working in conjunction with trade, has a vital role to play in cases like this, where there is a need to create the kind of sustainable conditions communities need to succeed in the long-term. In 2018, I visited the Bidi Bidi refugee camp in northern Uganda and witnessed this first hand. Bidi Bidi is on the border with South Sudan and was at the time home to 270,000 men, women and children fleeing a devastating conflict. It filled me with pride to see how British investment and expertise in aid was helping to build shelter and cook warm meals for families, vaccinate children on arrival, and provide essential sanitation. Today, brilliant UK aid supported initiatives like Botlab are supporting women in Uganda, Kenya and Ghana into IT and data science. What this shows is that aid and trade should be understood as two sides of the same coin. Confronting the challenge of global poverty starts with bringing security and stability to those in need - for that is the foundation for economic prosperity.

As the Trade Out of Poverty All-Party Parliamentary Group report– Our Shared Prosperous Future - argued, ‘‘the most sustainable way to lift millions out of poverty...is through boosting trade and investment, leveraging the [Commonwealth’s] natural strengths and assets”. Not only is there a clear moral imperative for this, but Britain also succeeds when we serve as a global engine for growth. This is not without evidence - in fact some of our key trading partners today were once recipients of targeted UK aid and investment. Take the example of South Korea - a former recipient of UK aid. Today, it is a high-income country, and an invaluable source of jobs, investment and trade for the UK. In 2017 alone, the UK traded £7.2bn worth of goods and services with South Korea, making the country one of our top trading partners in East Asia.

As we redefine our international role, there is a golden opportunity for Global Britain to lead on effecting change which will benefit generations to come, and Africa will be central to this. Britain is ‘great’ when we use the brilliant tools at our disposal - of trade, aid and diplomacy – to champion our values at home and abroad. So at this pivotal moment in our history, let us choose to be open and collaborative, working with our partners far and wide to raise living standards, create jobs and eradicate poverty worldwide.