By Yvonne Gitu and Josephat Okemwa
This blog is based on highlights and discussions held during the ‘Multi-layer challenges to building local innovation capabilities in Africa: a quest for our roles’ webinar – AfricaLics Webinar Series No.6, held on 10th August 2023. The keynote speaker of the webinar was Dr. Abdi Yuya, assistant professor at Adama Science and Technology University (ASTU), School of Humanities and Social Sciences, Department of Technology and Innovation Management, Ethiopia. The webinar was moderated by Ann Numi, African Centre for Technology Studies (ACTS), Kenya.
The webinar attracted over 60 participants from within and outside Africa. It was designed to be interactive and engaging such that the participants freely expressed opinions about the topic of discussion. This was achieved through plenary presentations, as well as the use of the chat function.
Key messages
- Technological capabilities play a pivotal role in overcoming challenges and improving socio-economic and environmental sustainability.
- Research and development, global value chains, and foreign direct investment all contribute to a nation’s ability to build local capabilities.
- Africa’s ability to navigate these challenges requires a re-evaluation of the assumed benefits of globalization.
- Effective policy formulation and implementation require striking a balance between economic growth, innovation, and social inclusivity.
- Regional collaboration emerges as a key strategy for progress toward self-reliance and must transcend borders, egos, and disciplines.
Introduction
In the face of the increasing climate risks and growing uncertainties in global economic order the changes in the geopolitical situations and the COVID-19 disruptions, Africa has more steeply ways ahead in building its local innovation capabilities and hence productive capacity. Consequently, the problems of macroeconomic instability, debt unsustainability, inflation, food shortage, and poverty, among others, have become more challenging than ever. Moreover, the mismanagement of public resources, corruption, and the increasing competition for political power have exacerbated the matters. The question is how will it be possible for African countries to continue supporting development initiatives, implement industrial strategies, implement rural development policies, and create of conducive environment for innovation and investment be possible? It is known that all these require significantly high resources and political commitment from the leaders of each nation. These conditions would entail a different techno-economic paradigm for African countries based on specific local conditions. The role of the African Union and regional economic blocs in tackling the complex challenges countries are facing is undeniably high.
In a world marked by rapid technological advancements, economic globalization, and interconnectedness, the journey toward building local innovation capabilities remains a complex endeavor, in Africa. The continent’s progress in critical areas like food, health, and energy has been influenced by a blend of personal insights and expertise in sustainable development technologies. This narrative navigates through the progress made and the setbacks faced before the emergence of multiple disruptive events such as the COVID-19 pandemic, climate shocks, and geopolitical shifts, that have hindered the momentum that countries like Ethiopia had built.
Perceiving Local and Global Dynamics: Impact on Technological Capability Building
The first part of the webinar focused on the perceived influence of local and global dynamics on technological capability building. Dr. Ahmad noted that the influence of local and global factors on technological capability progress cannot be understated. From food security to health access, technological capabilities play a pivotal role in overcoming challenges and improving socio-economic and environmental sustainability. Dr. Ahmad further indicated that research and development, global value chains, and foreign direct investment all contribute to a nation’s ability to build local capabilities. Changes in global dynamics, including reduced foreign direct investment flows, and disrupted global supply chains can impact a country’s capacity to develop and innovate. The shift towards self-sufficiency has gained momentum as vulnerabilities associated with geopolitical groupings and disruptions become apparent. Africa’s ability to navigate these challenges requires a re-evaluation of the assumed benefits of globalization.
Confluence of Challenges: Global, National, and Continental
The multi-layered challenges witnessed now cut across international, national, and continental levels. Nevertheless, Dr. Ahmad indicated that Africa faces unique challenges that include food security, health access, and product complexity. With an ever-increasing population and intense demand for essential goods, self-sufficiency is paramount, and Africa has intensified to build its capabilities. Realizing progress in technological capabilities can be burdensome, especially for countries entering the game later. Challenges within the National Innovation System, such as poor coordination, over-dependence on foreign knowledge, and reliance on imports, hinder progress. Addressing these multi-layered challenges demands holistic strategies.
Climate Change and Conflict: Intertwined Challenges
Climate change poses significant threats to Africa’s vulnerabilities. Agricultural productivity fails, impacting food security, while conflict disrupts vital sectors like education and healthcare. Africa’s growing population amplifies these challenges and highlights the need for innovative solutions to ensure food security.
Policy Dilemmas: Navigating the Road Ahead
In this complex landscape, policy interventions pose a dual challenge. The conflict between private sector profitability and societal benefits skews policy outcomes. Dr. Ahmad noted that effective policy formulation and implementation require striking a balance between economic growth, innovation, and social inclusivity.
Rethinking Strategies: Leveraging Regional Collaboration
Dr. Ahmad indicated that whilst national efforts are paramount, regional collaboration emerges as a key strategy. The African Union’s role in regional economic integration and initiatives like the African Continental Free Trade Area (AfCFTA) demonstrate progress towards self-reliance. Moreover, professional networks and knowledge sharing hold the potential to amplify Africa’s innovation ecosystem.
Towards a United Africa: A Call for Collective Action
The path forward demands a united front. Collaboration must transcend borders, egos, and disciplines. Harnessing the potential of networks, research, and shared expertise will catalyze transformative change. In this journey, motivation, commitment, and dynamic collaboration remain our most potent allies.
Conclusion
Africa is facing many difficulties as it tries to improve its technological abilities. Africa needs to get better at creating innovative solutions. To overcome these multi-layered challenges, Dr Ahmad indicated that Africa needs to work together, come up with new ideas, and adjust to changes. By working together regionally, inclusive policy approaches, and staying determined, Africa can lay the foundation for sustainable progress and resilience in an ever-evolving global landscape.
About Speaker
Dr. Abdi Y. Ahmad is an assistant professor at Adama Science and Technology University (ASTU), School of Humanities and Social Sciences, Department of Technology and Innovation Management, Ethiopia. He obtained his Ph.D. in 2017 in Innovation Economics from Aalborg University, in collaboration with ASTU through Africalics’s fellowship program. He studied Master of Science in Economic Policy Analysis at Addis Ababa University, Department of Economics. His research interests are in the areas of innovation and Development including firm-level learning and innovation, local value chain and industrial capability, and the political economy of natural resource and industrialization in Africa. He is a postdoctoral fellow at Aalborg University, Denmark, and a certified European Investment Bank-Global Development Network fellow in Applied Development Finance.