Economic growth can only lead to sustainable and equitable development if it is based on a foundation of just, inclusive, accountable, transparent, and efficient governance, and institutions administered by the capable state. Governments, along with regional and continental institutions, having increasingly understood the vital link between poor governance, fragility, and social unrest. Together, they are taking greater responsibility for strengthening institutions of accountability and the rule of law, resolving conflicts, and overcoming fragility, thus fostering economic stability and sustainable growth.
The annual global cost of conflict is estimated at $100 billion.
- Fragility in Africa is a product of dramatic social, economic, and environmental change.
- 19 of the 35 world’s fragile states are in Africa.
- These African states are home to more than 200 million people, approximately 20% of the continent’s population.
- Today almost half of fragile states are middle-income, a complete shift from a decade ago when most were low-income countries.
- Lack of economic opportunities and high unemployment are key sources of fragility.
- One in six fragile states depends on minerals or fuel for 75% or more of their exports.
- 77% of all post-Cold War international crises have involved at least one unstable or fragile state.
- On average, development assistance remains the biggest financial flow into fragile states, followed by remittances and foreign direct investment. However, ¾ of foreign direct investment goes to only 7 countries, most of which are resource-rich.
Governance and Corruption
- 91% of the countries score below 50. Botswana, with a CPI score of 64, ranks #30 across world economies, while Somalia, with a score of 8, ranks last.
- The Police and the judiciary are viewed as the most corrupt institutions.
- Almost one in two people report having paid a bribe in the last 12 months when interacting with key public institutions and services.
- Personal connections and powerful groups are perceived as corrupting the public administration.
- Over half of the people think their government is largely run by big entities acting in their own best interests instead of the public good.
- 6 in 10 people believe that personal contacts and relationships help get things done in the public sector in African countries.
- Majority of the people believe that their government is ineffective in fighting corruption and that corruption is getting worse.
- Majority of the people said they would be willing to report an incident of corruption. Only 3 out of 10 people said they would not do so.