Grenada, the financial crisis and tourism

During this time of financial crisis smaller states need to work hard to find new ways of attracting foreign capital. CBC recently hosted a lunch for the PM of Grenada, Hon. Tillman Thomas; I was interested to hear how he plans to tackle this problem in his own county.

With the reduced numbers of people travelling for the traditional holiday, countries that rely on tourism for a large percentage of their income need to broaden there appeal and try to attract different visitors in addition to the traditional holiday maker. The Prime Minister described how his country was diversifying into, Eco Tourism and Health Tourism. He also talked of making the country self sufficient in terms of Agriculture – he wants the majority of what tourists consume to be produced locally, there should much fewer agricultural products imported for tourists.

I was also glad to hear the Prime Minister talk so passionately about a home grown chocolate bar that has now found a market in Europe.

Mr Sanusi appointed Nigerian Central Bank Governor

Last week I was in Nigeria to attend a Business Breakfast organised by Mr Pascal Dozie, one of CBC’s Board members, and was pleased to catch the Senate Confirmation Hearings of Mr Sanusi Lamido Sansui as the Governor of the Nigerian Central Bank on TV.

I was glad to see Mr Sanusi, former CEO of First Bank, a CBC Member, appointed as the Governor of the Nigerian Central Bank though a true governance process; the senate questioned him in detail on topics of great importance to the banking system and the Nigerian Economy as a whole, including Regulation and Recovery. Coincidently, Mr Sanusi is the Second Central Bank Governor of the same name to move from CEO of First Bank to the Governorship.

In General the impression I got from the Business men and women I met in Lagos was extremely upbeat; there are tremendous opportunities for investors in Nigeria, especially within the Infrastructure sectors. Government and Infrastructure Companies are actively and determinedly seeking outside investors to help develop the infrastructure base, in Lagos and other regions.

Indian Elections

I would like to congratulate Manmohan Singh on his election as India’s Prime Minister, the workings of the world’s largest democracy are an impressive sight nearly 1 billion people have chosen their representatives.

This election marks a particular change in India’s politics; the congress party now has a working majority and can no longer be held to ransom by the smaller parties that were previously able to prevent governments from taking action. With the ruling party now longer beholden to minority interest progress can now be made on the Doha round as both the US and UK want and expect, leading to further economic reforms in the labour, legal and financial spheres.

Equally India has a major role to play in the response to the financial crisis; European and especially UK Business are looking to India as partners for ventures there and abroad with a high expectation of success. Finally with India looking to be one of the big winners in the proposed IMF reforms in terms of voting rights, India role in the global economy and the Institutions that govern it can only grow.

Dealing with Cuba the Commonwealth Way

I am extremely pleased to see the approach the new US President has taken towards Cuba during his first 100 days in office. Moves to lift some of the travel and trade restrictions could open a dialogue between the 2 countries that has been closed since President Kennedy isolated the Island in the 60s.

Engaging the countries that were previously given pariah status is a good step forward, talk that leads to understanding is always preferable to conflict. President Obama is using strategies similar to those we use in the Commonwealth in his dealings with Cuba, by lessening the restriction on Cuba a white house press spokesman reported that the president hopes “that creating independence, creating space for the Cuban people to operate freely from the regime is the kind of space they need to start the process toward a more democratic Cuba”

By engaging in direct dialogue change can be encouraged in good governance, human rights and economic development, this is the approach the Commonwealth has taken and now we are a community of 53 democracies.

South Africa's Elections

I would like to congratulate Jacob Zuma on his recent election as South Africa’s President, and wish him luck with all the challenges that await him, both economic and political. However, while South Africa celebrates his election, it is important not to forget the efforts of his predecessor, Thabo Mbeki.

While President Mbeki’s stance on Aids and Zimbabwe may have been regrettable, his impact on the South African economy cannot be overstated. South Africa’s sustained level of economic growth is the success the Mbeki’s presidency should be remembered for.

Consequently, I was delighted to read over the weekend that Trevor Manual, the South African Minister of Finance closely related to the Countries economic success, looks set to play major role in the Zuma Government. This should allay fears that the new government is not focused closely enough on the Economic side of rule.

Steady Eddie and the Commonwealth Education Fund

I was Saddened to learn that Edward George former Governor of the Bank of England whom I had the pleasure of briefly knowing had passed away.

Most people will know him as ‘Steady Eddie’ from his time at the Bank of England, but I came to know him better through his work at with the Commonwealth Education Fund (CEF). The Fund was set up by Prime Minister, Gordon Brown during his time as Chancellor to help the lower income countries of the Commonwealth achieve the ambitious education targets set out in 2000 in the Millennium Development Goals.

Eddie George Chaired the fund from its inception till its close in 2008 and was a passionate about ensuring children across the commonwealth had the best possible start in life. The CEF’s approach was innovative, by bringing together many different groups the fund aimed to make education a top political priority and matter of open public debate in each country in which it operated.

The CEF had a significant impact in the countries in which it worked, and Eddie will be missed by many in the UK and across the commonwealth.

Agriculture and Insurance in Africa

I am pleased to see that most African countries are moving agriculture to the top of their agenda. Through my interactions with the Heads of Governments in recent months, I have recognised a renewed interest in making Africa the food basket of the world.

This is the right time to take action on agriculture, if governments, the private sector and NGO’s work together a real impact can be made on the lives of those who merely ‘subsist’ across the whole African continent.

The CBC is contributing to this effort, connecting businesses and governments to form the right partnerships for swift progress to be made. In a recent programme report co-authored by Swiss Re (a CBC member) we highlighted an element of agricultural development that’s importance is too often forgotten; insurance. The programme makes suggestions as to how PPPs can be used to enhance agricultural production, and investment in agriculture, buy reducing against volatility assuring more stable returns. To read the report please visit cbcglobal.org