Thursday, December 11, 2008

Global Perspectives on what the financial crisis means for the poor

The December 2008 issue of the magazine 'Global Perspectives' looks at the consequences of the global financial crisis for the poor.

Prof Zhang Zhongxiang's analysis shows three main effects of the financial crisis in Africa. Obviously, the crisis will have a negative effect on the direct foreign investment rate in African countries. Secondly, Prof. Zhang expects a decrease in raw material exports and low revenue in the tourism sector. Last but not least the remittances from the African diaspora, sometimes as important in quantity as donor development assistance, will be lower.

Nonetheless the author points at the positive action of the African Regional Blocks and the African Union to deal with the financial crisis which would lead to deeper regional integration and, by consequence, strengthen Africa's economic position in the world.

This issue of the magazine contains also several articles that give regional perspectives on the finanical crisis from Asian and African countries.

Another report deals with the impact of the crisis on big NGOs. A mixed picture is presented with more dramatic losses in fundraising by the US NGO sector and a so far unpredictable situation in Europe.

Furthermore in this issue an editorial by Ramesh Jaura who sheds a critical light on the involvement of the European Investment Bank in Africa.

An essay by Daisaku Ikeda (Soka Gakkai International) pleading for a stronger role of the world youth in the UN institutional framework.

Global Perspectives is a bi-lingual (English/German) publication by IPS Europe. It releases monthly editions on various themes of international cooperation and development and is dowloadable for free.

See also the Euforic newsfeed on IPS Europe.

by Martin Behrens