Post-2015 Development Agenda: How to create opportunities for decent jobs and ensure inclusive growth which reduces pov

1. Post-2015 Development Agenda: How to create opportunities for decent jobs and ensure inclusive growth which reduces poverty and inequality Presentation at the International Parliamentary Conference on 26-28 November 2013 in the Houses of Parliament, London by Samuel Wangwe Executive Director REPOA swangwe@repoa.or.tz

2. Outline • Background and context of MDGs . • Beyond MDGs. • The African experience and Employment challenge. • How to create opportunities for good and decent jobs and secure livelihoods, so as to make growth inclusive and ensure that it reduces poverty and inequality. • What types of jobs might deliver greater benefits for the broader economy and society. • How to move primary industries to value added products and more diverse manufacturing and services. • How policies and institutions can help ensure that governments establish promising conditions for job creation.

3. Background and Context of MDGs • MDGs came from the experience with SAPs as an attempt to bring into the agenda social dimensions. • Concerns over implementation of SAPs :33 • UNICEF’s adjustment with a human face 1987. • Adding the social dimension onto SAPs in 1989. • Copenhagen Social Summit in 1995. • Comprehensive framework for Development in 1999 recognized social policy as an integral part. • Millennium Challenge in 2000.

4. Beyond MDGs • The importance to development of good governance and institutions that guarantee the rule of law, free speech and open and accountable government was not included, nor the need for inclusive growth to provide jobs. • Integrating the economic, social, and environmental aspects of sustainable development and addressing the need to promote sustainable patterns of consumption and production (esp. deforestation, water scarcity, food waste, and high carbon emissions). • Development agenda: a universal, people-centred and planet-sensitive development agenda achieved with the shared commitment and accountability of all. • Transformation of our economies and societies to blend social progress, equitable growth and environmental management.

5. Beyond MDGs-2 • The post-2015 agenda is a universal agenda to be driven by five big, transformative shifts: • From reducing to ending extreme poverty, in all its forms: inclusive (human rights basic economic opportunities). • Put sustainable development at the core: integrate the social, economic, and environmental dimensions of sustainability. • Transform economies for jobs and inclusive growth. • Build peace and effective, open and accountable institutions for all. • Forge a new global partnership: towards a new spirit of solidarity, cooperation, and mutual accountability.

6. Beyond MDGs-3 • The post-2015 agenda is a universal agenda to be driven by five big, transformative shifts: • from reducing to ending extreme poverty, in all its forms: inclusive (human rights basic economic opportunities). • Put sustainable development at the core: integrate the social, economic, and environmental dimensions of sustainability. • Transform economies for jobs and inclusive growth. • Build peace and effective, open and accountable institutions for all. • Forge a new global partnership: towards a new spirit of solidarity, cooperation, and mutual accountability. • From vision to action: • The five shifts to be translated into specific priorities and actions and targets which must be monitored.

7. The African Experience and Employment Challenge • Growth has recovered and is reasonably high at 5-6% in most countries but employment has lagged behind. Growth-jobs-poverty nexus: the key channel to poverty reduction is employment and productivity. • The employment challenge in Africa is the large number of largely self-employed working poor in agriculture and the non-agricultural sector mainly in the informal sector (MSMEs). • The employment challenge is essentially a productivity and vulnerability challenge. Raising labour productivity lies at the heart of the reduction of decent work deficits and is intrinsically relate to overall development. • The economy has remained untransformed stuck in low value and low productivity activities- case for socioeconomic transformation for poverty eradication.

8. How to create opportunities for good and decent jobs and secure livelihoods, so as to make growth inclusive and ensure that it reduces poverty and inequality • Promote economic opportunities and a profound economic transformation to end extreme poverty and improve livelihoods.

9. How to create opportunities for good and decent jobs and secure livelihoods, so as to make growth inclusive and ensure that it reduces poverty and inequality-2 • Improve the composition of outputs: • Potential for agricultural and rural transformation. • Enterprise especially MSME transformation. • Increasing agricultural productivity as well as productivity in rural non-farm activities. • Investing in capabilities for farms and firms to be competitive. • To create employment in the competitive environment.

10. How to create opportunities for good and decent jobs and secure livelihoods, so as to make growth inclusive and ensure that it reduces poverty and inequality-3 • Transforming enterprises including those in the informal economy to: • Do more to take advantage of rapid urbanisation: cities are the world’s engines for business and innovation for jobs, hope and growth, while building sustainability. • Create opportunities for good and decent jobs and secure livelihoods: provide gainful and decent work through productivity increase. • Enable access to key resources: • finance (domestic tax, local financial markets, quality of aid), • quality human resources (education, training and skills), • business premises. • Lowering transaction costs (reducing cost of doing business) and reducing uncertainty- legal and regulatory framework to be friendly to small businesses.

11. What types of jobs might deliver greater benefits for the broader economy and society • Expanding productive employment opportunities - in non-agricultural activities as well as within agriculture. • Employment in the modern industry and services and high productivity agriculture. • Self employment in the MSMEs with increasing productivity. • more productive employment in agriculture. • More productive employment in MSMEs.

12. How to move primary industries to value added products and more diverse manufacturing and services • Strive to add value and raise productivity: • infrastructure and other investments. • skills development. • supportive policies towards micro, small and medium sized enterprises. • capacity to innovate and absorb new technologies, and produce higher quality and a greater range of products • moving up the value chain. • management of natural resources to transform the economy to achieve inclusive development whereby the majority of the citizens benefit now and in future.

13. How to move primary industries to value added products and more diverse manufacturing and services-2 • Understanding growth processes that : • Effectively address improved quality of life in an inclusive manner. • Engage broader participation of significant sections of society in the growth process. • Cope with realities of increasing shift from agriculture seeking jobs in non-agricultural sectors and increasing urbanisation. • In the African context MSMEs occupy a specially important position in creating jobs outside agriculture.

14. How policies and institutions can help ensure that governments establish promising conditions for job creation • Better government policies, fair and accountable public institutions, and inclusive and sustainable business practices. • Developing productive capacities is a process that needs to be understood better: • capital accumulation (investment, savings and exports), • technological capability building and upgrading to build the capacity for competitiveness: • shift to sustainable patterns of consumption and production--harnessing innovation, technology. • new goods and services ( towards dynamic products). • new or improved methods, equipment or skills to produce goods and services. • new and improved forms of organizing production through innovation.

15. How policies and institutions can help ensure that governments establish promising conditions for job creation-2 • Local authorities form a vital bridge between national governments, communities and citizens and will have a critical role in a new global partnership. • recognising that targets might be pursued differently at the sub-national level addressing the locale specific approaches to inclusive growth, transformation for inclusive growth and poverty eradication.

16. Conclusion • Key channel to poverty eradication is employment and productivity. • Transformation challenge to cope with realities of increasing shift from agriculture seeking jobs in non-agricultural sectors and increasing urbanisation. • Centrality of role of national and local governments in addressing transformation for inclusive growth and poverty eradication.

17. Conclusion-2 • Facilitate access to key resources: • finance (domestic tax, local financial markets, quality of aid). • quality human resources: education, training and skills including entrepreneurial skills. • business premises. • Reduction of uncertainty and risk management to encourage investment in productive capacities.