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Topic Discussion I
Politics of Hard Choices
Political Transition and Economic Restructuring
Room 3
(2 of 13 pages)
Chair: Very interesting and diverse group so I'm looking forward to a good
discussion. The topic today is the Politics of Hard Choices, Political Transition and Economic Restructuring. I
assume that we are talking about the difficulty of moving in tandem in economic and political reform.
We heard a lot of presentations this morning showing the importance of developing democracy and the requirements
of a good education, initiative, freedom, things that come from economic development. On the other end, to get
economic development it helps to have an accountable public sector which can only come through democracy, voice
and participation of the people, the ability to change leadership when they don't do well and feedback from the
people on the quality of public services. I think the idea here is almost what we call the chicken and the egg
problem. How do you get political development and economic development to go hand in hand? This is one question
I hope we can address. I am very much drawing on your experiences in your countries, if you found things that work,
if you have advice to give, etc. I'd like to keep the conversation very practical.
We also have the question of economic reform, which often requires very hard choices. Certainly we work in this
all the time at the World Bank. Things like rationalizing the civil service, perhaps privatizing some of the government
services including changes in public expenditures, getting the budget in order, things that can be very difficult.
It can be particularly difficult for particular groups of people who may have political power and the ability to
block change. That's one way to look at it but I think that the problem is how do you move forward some of the
hard choices while you're also trying to develop a democracy. I'm sure everyone here understands the dilemma and
has participated in different ways in this kind of debate. Certainly it doesn't end with emerging democracies,
it continues on with all democracies in the world. So I'm looking forward to having a discussion.
What I suggest is that we start we a very brief presentation and then we spend most of the time on short interventions,
very practical interventions, and as I say if possible advice and examples and things that you have seen on the
ground that may work that we can share with each other. The rules for the press are that you are welcome to take
notes however there should not be any quotes by name or even by country without explicit permission of the participant.
So with that why don't we start with Deputy Minister of Trade and Industry from Namibia.
Hon. Esau Berrardt : Let me thank the Republic for the relevant initiatives to address the question of how
to substantially address the economic aspirations of the national electorate in American democracies and to simultaneously
successfully meet the demand of the international political economy.
Indeed the complexity of this question which is inherently full of dilemma is well kept in the topic. That is the
topic of hard choices, political transition and economical restructuring that we are addressing at present. Hopefully
through our interaction and sharing of experiences to conceptionalize the issue we can identify appropriate strategies
and act on them if relevant to our situation.
Madame Chairperson, as you are aware no single state is completely sealed off from the happenings on the international
currency market because of globalization that has opened up domestic markets to international trade at the press
of a button. We also know that many developing countries and their government who failed to strike the right balance
between the cries of their people on the one hand and the demands of structural adjustment programs on the other,
today will find themselves on the ferry of the production systems. We feel, particularly in Africa, that the inability
to provide the basic needs such as housing, food, health, education and employment, can be sources of internal
strife.
Also as witnessed in Indonesia and elsewhere, the consequences of currency trading and especially harsh posterity
measures from the present institutions on the world can be great when implemented without the human face. Namibia
has been fortunate that due to its prudent fiscal and monetary policies to have made the trip of structural adjustment
programs. But it's currency did not escape the effects of the Asian currency crush however economic restructuring
from within became essential when our ruling party Swapo assumed power in March 21, 1990.
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