Friday, 10 June 2011

Photos

To follow Tim’s pages of text, here are some nature photos that I have taken in the last few weeks:

From our garden/home:


                        A flower which lives for one day, then dies when the night comes


                   An amazingly bright pink flower adds colour to the dry, parched garden



                                                                   An insect



                                       The first pieces of okra that grew on our farm


                             Flowers growing over the wall from our neighbour's garden

       One of the hundreds of lizard poos that stick to the walls of our office and home (sorry!)



 From a recent trip to the Ghana-Togo border:

                                                          A coffee bean tree

                                                                A tree fungus

                         The hottest chilli that is grown in Ghana.  It is less than 1cm long.


                                                                  A beetle

                                                           A half eaten leaf

                                                           Another tree fungus

And finally, here are our scary guard dogs; 

                                                              Senke & Obu 

Lyd x

Friday, 27 May 2011

Why is Africa poor? - Corruption

According to the African Union, in excess of $140 billion is stolen from the African continent every year by it's leaders. This final essay will look in detail at corruption; understanding the definition, the causes and the severe consequences of this destructive practice.


What is corruption?

"Corruption, while being tied particularly to the act of bribery, is a general term covering the misuse of authority as a result of considerations of personal gain, which need not be monetary." David Bayley (1966: 720)


"Corruption is the diversion of public resources to nonpublic purposes." Herbert Werlin (1973: 73)



"Corruption is the outright theft, embezzlement of funds or other appropriation of state property, nepotism and the granting of favours to personal acquaintances, and the abuse of public authority and position to exact payments and privileges."(Harsch 1993: 33)



It is important to distinguish between political and bureaucratic corruption. While the latter involves efforts by civil servants to enrich themselves through illegal means, the former is used by political parties to win elections or take control of the state. Political corruption usually includes activities such as vote-rigging, registration of unqualified, dead, or non-existent voters, purchase and sale of votes, and the falsification of election results (Goodman 1990). Political corruption is not defined by the opening quotes above, nor is it the focus of this essay. Instead we will focus on bureaucratic corruption.



Corruption is measured by Transparency international who produce the ‘Corruption Perceptions Index’ which attempts to measure the level of corruption in all nations across the world. The diagram below shows the extent and severity of the problem faced by the African continent.


Corruption Perceptions Index 2010 Results, http://www.transparency.org
  
    


Why is Sub-Saharian Africa so corrupt?


Alam (1989) and Bayley (1966) see corruption in developing countries as arising from the clash or conflict between traditional values and the imported norms that accompany modernization and socio-political development.



David Apter (1963) explains that African civil servants may be obliged to share the proceeds of their public offices with their kinfolk. The African extended family places significant financial pressure on the civil servant, forcing him to engage in corrupt and nepotic practices. Bureaucrats are believed to exploit their public positions to generate benefits for themselves, their families, and their ethnic or social cleavage.



Gould and Mukendi  (1989: 434) show that one potential causative factor of corruption is the "soft state" that is said to embody "a weak or diffuse sense of national interest and the absence of a commitment to public service."



Whatever the initial cause, once thoroughly embedded, corruption is almost impossible to remove. A good friend of ours has recently been approached by one of the two presidential electoral candidates for the upcoming election. He was asked to be a fundraiser for the party, focusing on his ethnic community. For a year’s work there would be no payment, just an understanding that debts would be paid should the candidate win the election. This was explained to us to mean the man’s business would be awarded overly-lucrative government contracts, and he would likely be employed somewhere within the civil service with nice salary, minimal work requirements and plenty of time of run his other affairs.



To win an election these types of promises must be made to hundreds if not thousands of people in order to run a successful campaign in the year preceding the public vote. To fail to do so would be to surrender to the opposition.  As a result, whichever party ends up taking power does so with a mountain of 'favours' owed, and an agenda for corruption even before their first day in power.


Why is corruption bad?


Corruption results in significant theft from the taxpayer.



When the minister for transport (say) has funding available for a new flyover and puts the contract out for tender the offers will come back from prospective project management firms. In this non-corrupt example the bids come in from $1 billion to $1.2 billion for the job, after which the civil service team examines the small print of each offer, weighs in the reputation of each bidder, and determines the best deal for the taxpayer.



To simplify a corrupt government, the minister lets it be known the contract will require a $200 million kickback for a bidder to be successful. The bidding firms are not going to take this hit, their profit margins have been carefully calculated, so the bids come in from $1.2 billion to $1.4 billion, and the civil servants proceed to check the bids as before. However this time there is a reasonable chance that the best project manager will not be selected, but a friend or family member of the minister will take the contract instead. As a result the final cost is higher, and the quality of the work completed lower, hurting the taxpayer twice over.



On a far smaller scale the traffic police here in Ghana are forever extracting bribes from drivers. Again this is to the detriment of the state. The police do not extract bribes from drivers obeying the law, they target un-roadworthy cars, or those breaking the speed limit. Legally a fine should be paid, however a ‘dash’ of just a few cedis and the police officer forgets about the offence and sends the driver on his way. The loser is not the driver, who gets off far more lightly than he should have. The loser, again, is the state which is deprived of funds, and consequently the taxpayer.



But theft is only one part of the problem. Corruption results in the collapse of otherwise viable businesses which cannot afford to pay off officials. It also results in the precipitation of inefficient business which survive because they have the right officials in their pocket.



Corruption encourages governments to pursue perverse economic policies, because control and enforcement of those policies results in the enrichment of those at the top.



Corruption is a killer of initiative and trust. It drives away foreign investment and undermines the development of the rule of law.



But most callously, corruption robs African children of a better future. Every penny that goes missing today is another step backwards in this desperately impoverished part of the world.


Corruption then, is the principal reason why Sub-Saharan Africa is poor. The scale of outright theft at the top defies belief. The results, at the bottom, are all too evident for anyone to see. Through the stealing of money, the perversion of the rule of law, the distortion of market forces and the suppression of creativity, the rulers of Africa today effect a severe injustice on their people’s tomorrow.



Corruption sits within a self reinforcing negative cycle, and one from which it is exceptionally difficult to escape. Only time will tell whether these fantastically vibrant and uplifting people will throw off the shackles imposed by the dishonesty of their leaders.

Friday, 6 May 2011

Why is Africa poor? - Health & Religion

This week’s essay looks at the separate areas of Health and Religion to understand their impact on the wealth of the Sub-Saharan region.

Health

The link between poverty and health is well understood from a number of Western studies. These studies have established that those with low incomes have a lower health status than those with higher incomes. The implicit implication is that low income causes lower health. However the question for this essay is the opposite: in Africa, does poor health result in less wealth.

There is no doubt that Sub-Saharan Africa shoulders more than it’s share of diseases. Malaria, HIV/AIDS, Tuberculosis and a host of childhood diseases contribute to leave the region with 25% of the global disease burden. The average life expectancy in 2006 was 46 years of age. It is estimated that AIDS alone slashes 20 years off the life expectancy of the average person.

With such a disease problem it would seem reasonable that the training of healthcare workers be a priority for the region. Unfortunately despite efforts to develop the skills of talented individuals, the high salaries on offer for healthcare workers in the west draws the majority of skilled talent out of Africa. The region shoulders 25% of the world’s disease burden with just 1.3% of it’s health workers.

So how specifically do the lower health levels impact wealth? The average number of sick days taken by a Japanese person is 5 per year, an American 6, and a Briton 10. The equivalent figures for the Sub-Saharan region are not published, but extrapolating our office records (sample of 13) the figure would be in excess of 12 days a year. This is despite staff coming to work with a 3” open wound in their leg from a fall that morning, or so sick with fever that by lunch time they are slumped in the corner and need driving home. In other words, when they stay at home they are really sick, often from Malaria. Once in your system Malaria can strike again at any time and will take you out with fever for 2-3 days. Increased sick days result in lower productivity.

The average life expectancy of 46 also has a significant impact on wealth. It is recognized that experience counts, the average age of a board member in the west is just under 60, and in theory at least these are the people adding the most value to a business. With a life expectancy so low, few individuals gain the lifetime of experience needed to make smart, strategic decisions at the top. Poor strategic decisions, made with a lack of prior experience result in inefficiencies, and lost income.

Finally the burden of care weighs heavily on the region’s people. From child birth complications and childhood diseases to the care of AIDS patients, it is rarely just the individual affected whose life is dominated by the disease. Mothers, family members and friends are all required to help, often at the expense of their employment, and their contribution to the generation of national wealth.

To conclude this section, a quote from the WHO Regional Director for Africa:

"The link between poverty and health is no longer in doubt. In the African context, the heavy burden of disease causes a significant loss of output which, in turn, accentuates the gap between the actual and potential economic growth in the region. Reducing the burden of disease, a noble goal in itself, will directly increase countries' potential to increase production and achieve the high growth rates that are so vital for poverty reduction."

Religion

For those hoping for a blazing row about the existence of a God, or which is the correct religion, you’re going to be disappointed. This section will look at the way religion in Sub-Saharan Africa impacts the lives of local people from an economic perspective.

There are three main religions in the sub-Saharan region. 45% of people are Christian, their beliefs brought here by missionaries from Europe. 40% are Islamic, a religion which arrived before Christianity from Northern Africa. 12% follow ‘traditional African beliefs’. Temporal studies of religion show Christianity and Islam rising in prevalence, with traditional beliefs phasing out. Very few people are atheist or agnostic.

Religion is the social backbone of all small communities in the region, and collates groups of likeminded people in the larger towns and cities. The extent to which attending church or the mosque is a critical part of life here cannot be underestimated; it is the social highlight of the week, aside from being a time to show thanks to God.

But it is not free. All devotees are expected to pay a monthly tithe, set at 10% of your salary. This is not optional and goes towards paying the pastors and the upkeep of buildings. Each week offerings are also requested as a collection is passed around. This is a personal gift with the amount donated left to the individual. ‘Church projects’ may also arise intermittently, raising funds for a specific cause or planned new development. In total the average earner is likely to contribute between 15 and 20% of their monthly income to Church.

This is not a trivial sum. If this average earner brings in $150 USD / month and $50 goes on accommodation, $50 on food and clothing for the individual and their dependants, then $50 remains for other items. The church will take $20-$30 of this remaining $50, half of the free money an individual has each month. But to put this into perspective, in the West we would spend half of our unallocated funds going out, seeing friends, and supporting the local community. Here it is the same, but presented differently.

Where religion does impact wealth generation is in death. Funerals here are expensive by local standards and attended by a whole community not just a few friends and family. They are also usually three days long, with guests required to attend between one and all three of the days. Acknowledging that the average couple will have somewhere between two and ten children, and that the average life expectancy is 46 this stacks up to a significant amount of time spent at funerals each year.

Following the funeral is a compulsory period of mourning. For Christians it is generally agreed that the spouse must stay away from the outside world at least until the body is buried. This may be 5 days if there is money in the family, or it may be many months if the burial duties cannot be paid. Ironically at this time the spouse is unable to work to bring an income. For the widows of Muslim men a 3 month period of mourning is required, without leaving the house. For a good friend of our NGO with three small shops this was a period of very significant stress, having just lost the father of her children she was forced to watch her business suffer without her.

Does religion impact the wealth of the region? Marginally, when compared with other factors. Whilst compulsory tithes and high funeral costs are uncomfortable for a Westerner to see, they are the basic costs of social life here, without which communities would not exist. Add to that that the locals believe these payments are a requirement for entry to paradise and they seem a very small price to pay indeed.

Friday, 22 April 2011

A small house

Last week Lydia and I decided to build a small wooden house.


Being us, and being Ghana this one has some unique design features:
  • The roof can open for easy maintenance...

  • The whole house is on stilts to keep out snakes...










  • There's a 5cm air gap around three sides of the top to allow air flow, but crucially horizontal rain can't get in. Should stay dry even in the worst of storms...

  • And the door can be locked open, locked closed, or swing both ways freely...

Someday we hope to have two big strong guard dogs living here. Until then...


(Left Senkelenke ('Thin person'), Right Obulobu (Ghaniain - 'Fat person')). 6 weeks old.

Love, Tim & Lyd

Friday, 8 April 2011

An interlude

To break up the essays, a progress update from the workshop here in Pram Pram.

Firstly, to show you around again:The beginning of a busy day  (video)

We now have 8 full time sewing staff, 3 batikers and 2 guards. True to the Global Mamas ethos of empowering women, the workers are mostly female, with just one tailor in the workshop.

Sewing is split into two teams, with the first two ladies to join, Charity and Eunice, running one each. They are well qualified for the roll, having both run a 2-4 person sewing spot in town before joining us. Their deputies, Phidelia and TT have 15 years sewing experience between them, TT is also our resident machine maintenance man, as well as being handy at fixing electrical items. Justina and Gifty are our new arrivals, filling the 'junior seamstress' rolls in each team. Both are from New Ningo rather than PramPram, the town a 5 minute drive East rather than West from us. These two turn up an hour early every day, we're not sure why but it certainly helps with productivity. The final team members Henrietta and Gladys are our 'Sewing Assistants', focusing on ironing and button making to assist the seamstresses.

              Phidelia (left) and Gladys beginning to make Pocket Wallets from our scraps
  
       Justina (left), Eunice and Henrietta (right) laying out a Sarong batik, ready for cutting
  
      Gifty just loves her new sewing machine. We now have seven with two more on the way.

  
On the batiking side, after the production of a three colour fabric named 'ornament drop' went wrong in Cape Coast, we've been handed the baton and taken over the manufacture here. It's a huge volume of work, the first request alone was for 500 yards. 

                                         Christy batiking in the shade of the trees
  
                   6 yards of 'City-Scape' sarong and 6 yards of 'Sunflowers' hangs to dry
  



On a very positive note Global Mamas has just refreshed the cost models for all production sites and, after much work, we're now the most cost efficient site for both batik and sewing that the organisation has. As a result we expect to be pushed hard over the coming months to make as much as possible at those nice new lower prices, which allow the NGO to expand significantly into the bulk wholesale market in the US. 

As for Lydia and I, Lyd is putting the finishing touches to the Access system which will manage this whole operation. It tracks all inventory, provides shopping lists for material purchasing, recommends prices and locations for purchasing, stores incoming orders and assigns work in daily or weekly buckets to our sewing and batiking teams. That's after she built the HR system, which we also use every day to keep things in order. Both are fully scalable for the large, 200 person workshop we someday hope to raise the funding to build.

                                                                  Our HR management system

I've been out and about purchasing twice a week, it's amazing how many raw materials are needed to keep a small workshop up and running. In my spare time I build cabinets and quality check the work coming from the sewing side of the operation.

                                                     The first of three cabinets...

 
All in all, the business is progressing nicely.

Tim x

Friday, 25 March 2011

Why is Africa poor? - Sub-Saharan culture

Sub-Saharan Africa is a rich mosaic of cultures, with more variety of beliefs and practices than can be seen on any other continent in the world. From the Wolof and Pulaar farmers of Senegal in the West to the traditional nomadic tribesmen of Somalia on the East, native customs have been blended with imported religions to weave a real tapestry of life across the land.


So how do these cultural beliefs influence wealth?


We begin with a look at the purpose of the culture in this region. An oxymoron perhaps, culture is not designed, but the collection of historical events, the memories of acts and deeds that grow to form a culture do not do so at random, and like evolution the ‘cultural norms’ that work best for the people practicing them become more accepted than those which do not.  A culture grows to ‘fit’ it’s community.


Cultural norms play a large part in family life in the region. Families are traditionally large, 2 children is considered unusually small (or very modern), while broods of 10 or more are not unheard of. The sharing of items and food is a given, passing a meal table while food is being served will result in the hale "you are invited" whether you are a member of the family or not. Likewise if your bicycle is not in use, and a brother or neighbor wishes to borrow it, they will, and you will think it normal.


Where sub-Saharan Africa differs notably to the west is that this sharing is extended to money. When an adult finishes a hard month’s work and has a little excess money, he will be put upon by poorer members of the extended family to share what remains. Considered ‘begging’ and somewhat shameful in the west, here it is not only normal, but the recipient of the money will not even show gratitude. Culturally the ‘funding’ of friends and family is considered an honour (although it is not optional), and the funder builds status within the community. It is therefore he, and not the recipient of the money who should be grateful.


Historically this cultural norm made sense, everyone in the community was provided for, wealth  travelled effectively down the poverty line, and those who could provide more sacrificed potential material gains for the respect of their peers and elders.


In modern times this cultural sharing of both assets and cash has many consequences on society. ‘Hording’ cash (read also, saving) is frowned upon, but the wary African no longer wishes to give away everything he has left over. Buying plots of land and then building, one wall at a time over a period of years is one way to get around the issue, and half built housing shells litter the countryside of Ghana. They will be completed slowly as each pay cheque comes in, or left to rot if the owner falls on hard times.


On a smaller scale our caretaker bought a battered and broken old taxi, and, despite having two children in school, spends any spare money he has repairing it so that one day he can put it on the road to earn extra income. As school fees are due, or hospital bills come in, an advance is required from us to help the situation, but crucially there is never any spare money to be shared, nor an appearance of wealth to prompt the request from peers.


How does this all affect national wealth? The inability of individuals to amass even a small amount of cash heavily stifles the creation of anything requiring investment. For a country where a quarter of the population is entrepreneurs, this is a real waste of burgeoning natural talent. On an individual level there are welders working as farm labourers for want of a welding torch and table, and seamstresses working in fish factories because they cannot save up for a sewing machine. Likewise investment in others’ businesses is very rare. A little upfront cash in a ‘Wagashi’ (delicious fried cheese) business to boost the heard, and the owner and investors would soon see returns, but as it is no one has the cash, so the food remains hard to find and sells out quickly.


Jealousy is the undesirable counterpart to the story above. Unlike in the west, where the enrichment of friends of family may be met with a little envy, but is otherwise considered praiseworthy, individual gains can be the subject of personal jealousy in sub-Saharan culture. The Fanti people of southern Ghana have accepted this cultural ‘trait’ to such an extent that they built a large statue of a crab in the centre of their capital city Cape Coast. On asking for the meaning of the crab the people will laugh and tell you ‘it represents our culture: when crabs are in a bucket they climb all over each other to get out, and when one is nearly out the others will pull him back in again’. At least they’re open about it.


Two examples from our time here back this one up. Our caretaker, who lost both parents aged five was raised by an aunt. His childhood and teenage years were spent on a farm, and having finished Junior High School aged 16, he was keen to go to agricultural college to further his understanding of farming. He was not asking for money, the school was not expensive and he would pay his way, but his aunt stopped him. He was needed at home, end of story. With no college education Teye continued to labour on the farm for many years before leaving the house, doing odd-jobs for a friend for some time, and finally becoming our caretaker. With a little more freedom early on he could have land and crops of his own by now, giving his own finances and the economy that little boost in the right direction.


The second example, also involving a jealous aunt, is about an excellent male batiker from the Accra region. Whilst receiving just 100 GHC per month (£40) this man came to be known by our director, and was offered a well paid position with Global Mamas. Again the aunt stepped in and stopped the move, which could have been the beginning of an exciting career for the young man. He continues to work for his aunt to this day.


Two final cultural areas which also impact wealth generation in the region:


The first harks back to the family, this time the huge innate respect for elders. The generations above you must be obeyed, whether it is your mother or grandfather at home, or an elderly man in the street, failure to obey will meet swift reproach. Again this is justified through evolution, the elders have more experience in life and should be obeyed instinctively. However this is a significant natural barrier to the western style ‘merit based’ staffing structure of a business. It is very difficult for a thirty five year old team leader to give a fifty year old in their team instructions, let alone hold them to account for poor performance. Our two resident elders here in PramPram refuse to do the cleaning in the morning, despite it being a shared task. The inability of a local to hire in ‘senior’ talent to her organisation without risking insubordination does not help the effectiveness of her business, and consequently reduces profit.


The second is language. While North America has one common language, and in South America Spanish is almost universally understood, in Ghana alone there are 7 ‘major’ languages, and over 100 dialects. There are 30 countries in the sub-Saharan band of Africa, each with this patchwork of tribal languages. Lack of easy communication with ones neighbours results in difficulty trading and less efficient markets, which again leads to an overall reduction in capital.


Sub-Saharan culture is exceptionally well designed for survival in a harsh and unpredictable environment. It is very fair from an income perspective, where respect is generated not by what you have, but by whom you have helped. Elders are obeyed instinctively in times of trouble, and the poor do not go hungry.


But this is a subsistence living, and in the modern world these cultural norms hamper the development of a middle class, and a healthy national economy. The culture is evolving, predictably in a western direction, and slowly, with the loss of traditional customs and beliefs, comes that much sought after commodity for which the heaviest of prices is often paid; wealth.

Friday, 11 March 2011

Why is Africa poor? - History of Ghana

With a per-capita income 50 percent less than that of the next poorest region, sub-Saharan Africa is the poorest place on earth, by some margin. But why? Over the next few weeks this blog will turn from a photo intensive look at modern Ghana to a philosophical debate about the evolution of wealth in this country, and the region as a whole.

The general consensus is that sub-Sarahan Africa is poor because it has been mis-managed, by it’s leaders, and by those providing big-money aid from abroad. We will examine these issues, but also look at how the culture of the people here impacts their wealth, as well as the impact of religion - both local beliefs and those imported from abroad.

But first, the question ‘why is Africa poor today’ can be answered very simply. Because it was poor yesterday. Change takes time, and we will open our discussions with a look at the history of Ghana and how the colonial period set it up very badly for the 20th century.

Why is Africa poor? - History of Ghana

The ancestors of today’s Ghanaian residents are said to have arrived in the 9th or 10th century, forming what we call today the medieval ‘West African Ghana Empire’. The empire was named after its then emperor, ‘the Ghana’. It is this empire which first became known to Europe and Arabia.

The Portuguese were the first Europeans to arrive in 1471. By then the area was known as the Gold coast, and the Portuguese came to trade in gold, ivory and pepper. Having held the area by force against other European nations for over a century, by 1598 the Dutch had joined the Portuguese and also begun trading in the region.

By the mid 17th century other European nations had arrived and the coastline was peppered with forts, which were regularly attacked, captured, sold and exchanged. The area developed the highest concentration of European military architecture outside of Europe. Throughout this period alliances were frequently made with local tribes, notably the Ashanti and the Fanti peoples, whom were often drawn into the battles, or attacked by rival European factions.

In the late seventeenth century the Gold Coast shifted from being a gold exporting economy to being a slave exporting economy. In exchange for guns and other imported goods, the local tribes were encouraged to make war further afield and bring back slaves to sell to the Europeans.



(The triangular slave trade. European ships laden with slaves were shipped from Africa to America, where the slaves worked to harvest the cash crops grown on the vast open plains. These crops were shipped back to Europe for consumption, and the ships then set sail for Africa with the goods required to purchase the slaves for the next run.)

Beginning in 1850, the coastal regions increasingly came under control of the governor of the British fortresses. British authorities adopted a system of indirect rule for colonial administration, wherein traditional chiefs maintained power but took instructions from their European supervisors. Indirect rule was cost-effective, minimized local opposition to European rule, and guaranteed law and order.

By the mid 20th century, as with most African countries, nationalism was on the rise and Ghana looked to be free of it’s colonial noose. The social and economic developments seen in the region throughout the  20th century were thought to be possible without British colonial masters, and on March 6, 1957 the former British colony of the Gold Coast became the independent state of Ghana, and the British withdrew.

With the formation of the National Assembly, and the beginning of self rule, our brief history of Ghana ends. What happened next will be discussed in a future piece on ‘Police, Government and Corruption’.

The past five centuries of history of sub-Saharan Africa are a tale of manipulation, exploitation, and constant warfare under the direction of Europeans. While the West went through the industrial revolution and grew rich on mass production and cheap imports, the Gold coast region was repeatedly torn apart and the pieces controlled in a giant game of ‘Risk’ by European masters.

Why is Africa poor today?  Because it was poor yesterday. But the debate does not end there, next week we will look at how culture plays a significant role on individuals’ wealth in the region.

- My thanks to the authors of the ‘History of Ghana’ page on Wikipedia, without whom this would have been a short and rather fact free blog entry.