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  • Author: Anne Mette Kjær
  • Publication Date: 03-2014
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: The Ugandan economy resembles many other economies in sub-Saharan Africa in that it has a large subsistence sector, relies on a few primary commodities for export and depends on aid to finance its public services. Oil and minerals have so far not been important to the economy. However, this might change as an estimated 3.5 billion barrel oil reservoir has been discovered in Uganda's Western and Northwestern Albertine Graben. Minerals have also been found and are being sold off as concessions. If oil revenues start to be mobilized as currently planned (2016-17), significant changes in not only government finance but also in the governments' relationships with donors and in state–society relations are likely to occur. The consequences for local communities and the environment are also likely to be significant.
  • Topic: Development, Economics, Oil, Natural Resources, Foreign Aid, Fragile/Failed State, Foreign Direct Investment
  • Political Geography: Uganda, Africa
  • Author: Michael W. Hansen
  • Publication Date: 02-2014
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: If African developing countries are to benefit fully from the current boom in foreign direct investment (FDI) in extractives (i.e. mining and oil/gas), it is essential that the foreign investors foster linkages to the local economy. Traditionally, extractive FDI in Africa has been seen as the enclave economy par excellence, moving in with fully integrated value chains, extracting resources and exporting them as commodities having virtually no linkages to the local economy. However, new opportunities for promoting linkages are offered by changing business strategies of local African enterprises as well as foreign multinational corporations (MNCs). MNCs in extractives are increasingly seeking local linkages as part of their efficiency, risk, and asset-seeking strategies, and linkage programmes are becoming integral elements in many MNCs' corporate social responsibility (CSR) activities. At the same time, local African enterprises are eager to, and increasingly capable of, linking up to the foreign investors in order to expand their activities and acquire technology, skills and market access. The changing strategies of MNCs and the improving capabilities of African enterprises offer new opportunities for governments and donors to mobilize extractive FDI for development goals. This paper seeks to take stock of what we know about the state of and driving forces of linkage formation in South Sahel Africa extractives based on a review of the extant literature. The paper argues that while MNCs and local enterprises by themselves will indeed produce linkages, the scope, depth and development impacts of linkages eventually depend on government intervention. Resource-rich African countries' governments are aware of this and linkage promotion is increasingly becoming a key element in their industrialization strategies. A main point of the paper is that the choice between different linkage policies and approaches should be informed by a firm understanding of the workings of the private sector as well as the political and institutional capacity of host governments to adopt and implement linkage policies and approaches.
  • Topic: Development, Economics, Markets, Foreign Aid, Foreign Direct Investment
  • Political Geography: Africa
  • Author: Lars Buur
  • Publication Date: 03-2014
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: This paper explores linkage creation in Mozambique related to mega-projects in natural resource extraction and development from a political economy perspective. It explores through a focus on linkage development related to extractive industries in Mozambique the 'best practice' attempts between commodity producers and local content providers. The paper argues that a relatively elaborate state organizational and institutional setup based on policies, strategies and units with funding tools has emerged over time in order to begin to reap the benefits of large-scale investments in the extractive sectors. However, despite the formal acknowledgement, very little has been achieved with regard to forward and backward linkages, state institutions are often despite the official government rhetoric of importance simply bypassed not only by foreign investors, but also by the political leadership.
  • Topic: Development, Economics, International Trade and Finance, Political Economy, Natural Resources, Foreign Direct Investment
  • Political Geography: Africa
  • Publication Date: 11-2014
  • Content Type: Policy Brief
  • Institution: Danish Institute for International Studies
  • Abstract: It is necessary to rethink the assumptions and theory of change of Disarmament, Demobilization and Reintegration (DDR) programs in current situations of armed violence.
  • Topic: Conflict Resolution, Security, Political Violence, Arms Control and Proliferation, Development, War, Armed Struggle
  • Author: Esbern Friis-Hansen
  • Publication Date: 01-2014
  • Content Type: Policy Brief
  • Institution: Danish Institute for International Studies
  • Abstract: Social accountability as a tool for development planning is gaining foothold in international donor circles. It is concerned with the responsibility and responsiveness of state authorities, as well as the ability of citizens to make claims and hold those who exercise power to account for their actions.
  • Topic: Development, Economics, Foreign Aid, Foreign Direct Investment
  • Political Geography: Africa
  • Author: Christel Vincentz Rasmussen
  • Publication Date: 08-2013
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: The EU is currently working at defining a comprehensive approach linking development and other instruments in external action. The Lisbon Treaty has contributed to a reorganisation of the institutions in Brussels, affecting crisis management structures and the organisation of external relations. Comprehensive approaches are not new in the EU system, in particular an integrated approach for conflict prevention and a concept for civil–military coordination were developed in the 2000s. However, a forthcoming communication on a comprehensive approach in external action constitutes an occasion to clarify and operationalise the approach in a new, post-Lisbon, institutional setting as well as consolidating the formal EU commitment to working comprehensively.
  • Topic: Conflict Resolution, Conflict Prevention, Security, Foreign Policy, Development, Human Rights, Humanitarian Aid, Foreign Aid
  • Political Geography: Europe, Brussels
  • Author: Birgitte Lind Petersen
  • Publication Date: 11-2013
  • Content Type: Policy Brief
  • Institution: Danish Institute for International Studies
  • Abstract: The need to support central state institutions in fragile situations by prioritising capacity development has recently been elevated to a shared global concern as a result of the New Deal developed through the forum of the International Dialogue for Peacebuilding and Statebuilding. Peacebuilding and statebuilding are perceived as the most important aims of aid, and capacity development is central to achieving these. The emphasis on a country-led process indicates the need to develop capacities to lead such processes. Also, the commitment to joint development of a plan, support to political dialogue and leadership, transparency, risk sharing, strengthening of country systems along with the strengthening of capacities, all depend on or encompass strong elements of capacity development. This policy brief elaborates some major issues to be considered by donors supporting capacity development of central state institutions in fragile situations.
  • Topic: Conflict Resolution, Security, Democratization, Development, Fragile/Failed State
  • Author: Ole Therkildsen, Lars Buur, Anne Mette Kjær, Michael W. Hansen
  • Publication Date: 12-2013
  • Content Type: Policy Brief
  • Institution: Danish Institute for International Studies
  • Abstract: This brief explores the opportunities offered by the new boom in natural resource extraction, and focuses on how foreign direct investment (FDI) by extractive multinational corporations (MNCs) can be harnessed for industrial development purposes. The brief argues that industrial policies are needed in order to unleash the development potentials provided by FDI in extractives.
  • Topic: Development, Industrial Policy, Natural Resources, Foreign Aid
  • Author: Jakob Vestergaard, Robert Hunter Wade
  • Publication Date: 12-2013
  • Content Type: Policy Brief
  • Institution: Danish Institute for International Studies
  • Abstract: More than three years after the International Monetary Fund (IMF)'s governing body agreed to reform the organization's governance so as to better reflect the increasing economic weight of dynamic emerging market economies in the world economy, only microscopic changes have been made. Emerging market and developing countries (EMDCs) have become increasingly frustrated with Western states for clinging to their inherited power, in the IMF and other important international economic governance organizations. The emerging cooperation among the BRICS (Brazil, Russia, India, China, South Africa) – as seen in the advanced-stage negotiations to establish a Development Bank and a Contingent Reserve Arrangement – sends a “wake up and smell the coffee” call to the West, and the latter will carry a heavy responsibility for eroding global multilateral governance if it continues to drag its heels on the needed adjustments.
  • Topic: Development, Economics, Emerging Markets, International Monetary Fund, Governance, Reform
  • Political Geography: Russia, China, India, South Africa, Brazil
  • Author: Fred Muhumuza, Anne Mette Kjær, Mesharch Katusiimeh, Tom Mwebaze
  • Publication Date: 02-2012
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: This paper explains the differences in ruling elite support for the fisheries and dairy sectors in Uganda. Although production in Uganda has not generally been promoted in any sustained way, ruling elites have to varying degrees supported the dairy and fisheries sectors. The paper shows that the ruling elite initially supported the fishing industry because of industry pressure. They have failed to enforce fisheries management because there are big political costs associated with such enforcement. The dairy sector in the southwestern milk region was initially supported because the ruling elite wanted to build a coalition of support in this region. Coming from the region himself, the president had a keen interest in dairy cattle. The sector was subsequently regulated because the biggest processor put pressure on the ruling elite to do so. Even when the ruling coalition is fragmented, promoting production is possible if there is strong industry pressure and when the initiatives to promote the sector are also seen to help build or maintain the ruling coalition.
  • Topic: Development, Economics, Industrial Policy, Poverty, Social Stratification
  • Political Geography: Uganda, Africa
  • Author: Fred Muhumuza, Anne Mette Kjær, Mesharch Katusiimeh, Tom Mwebaze
  • Publication Date: 02-2012
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: This paper sets out to explain policies, implementation arrangements and results (PIRs) in Uganda's fisheries sector. Industry actors wanted to be able to keep up with European standards in order to survive in the chilled and frozen fillet export industry. They put pressure on ruling elites to support the establishment of effective hygiene and testing procedures. This helped the fishing industry succeed to an extent that helped create interests in the status quo. Fishermen, their dependents, and the fish processors all wanted to maintain a high level of fish catches. It was politically costly for ruling elites to enforce fisheries management because strict enforcement was unpopular with fishermen, as well as with many fishermen and security agents who benefitted from illegal fishing. Therefore, the success was not maintained: a pocket of efficiency was established with regard to hygiene and testing, but not with regard to enforcing fisheries management. Overfishing and the near collapse of the fishing sector were the results.
  • Topic: Development, Economics, Government, Industrial Policy, International Trade and Finance, Poverty, Social Stratification
  • Political Geography: Uganda, Africa, Europe
  • Author: Fred Muhumuza, Anne Mette Kjær, Tom Mwebaze
  • Publication Date: 02-2012
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: The dairy sector is one of the only agricultural sectors in Uganda that has enjoyed sustained high growth since the late 1980s. Milk and the cold dairy chain developed especially in the south-western part of the country. This paper explains why this is so by the sector's relation to the ruling coalition. We argue that the dairy sector was relatively successful because the south-western based ruling elite wanted to build a support base in its home area. In addition, the elite had a special interest in dairy since key elite members owned dairy cattle themselves. As milk production grew, the ruling elite wanted to regulate the sector as this would help the big processor, the state owned and later privatized Dairy Corporation. Regulation was relatively successful and a pocket of bureaucratic efficiency was established in an agency called the Dairy Development Authority. The reason why regulation was enforced to a considerable extent was the organization of dairy farmers and traders and the bargaining and compromise with the Dairy Development Authority this organization of industry actors enabled.
  • Topic: Agriculture, Development, Economics, Government, Infrastructure
  • Political Geography: Uganda, Africa
  • Author: Lindsay Whitfield, Niels Fold
  • Publication Date: 02-2012
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: This paper explores what can be learned about the development of a productive sector and the factors that affect the process of upgrading and innovation, through a comparative assessment of the experiences of Malaysia and Ghana in the palm oil sector. The purpose is not to carry out a direct comparison of the trajectories of the sectors in the two countries, which would serve only to emphasize the failures in the 'construction' of the palm industry in Ghana. Rather, the role of context must be acknowledged, such that learning starts with understanding key points in the industries' trajectories that either break or accelerate path dependency. Thus, the paper focuses on the differing contextual factors and initial conditions, and how they shaped early divergent paths and industry structures, as well as the presence or absence of factors supporting expansion and diversification within each country's trajectory.
  • Topic: Agriculture, Development, Economics, Industrial Policy
  • Political Geography: Africa, Malaysia
  • Author: Signe Marie Cold-Ravnkilde, Mikkel Funder, Ida Peters Ginsborg
  • Publication Date: 03-2012
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: The report presents the main findings of a desk study of experiences with conflict prevention and resolution in natural resource management, and how these can be applied in development cooperation in relation to climate change.
  • Topic: Conflict Resolution, Conflict Prevention, Climate Change, Development, Natural Resources
  • Political Geography: Africa
  • Author: Anne Mette Kjær, Mesharch Katusiimeh
  • Publication Date: 03-2012
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: When the National Resistance Movement (NRM) and its leader, Yoweri Museveni, came to power, they had an explicit agenda of industrializing the economy (Kjær and Muhumuza, 2009). Improved infrastructure and increased production and productivity were the focus. Indeed, Uganda enjoyed a period of sustained economic growth of about 7 percent annually between 1990 and 2006 (Piron and Norton, 2004; Kjær and Muhumuza, 2009), made possible by a stable ruling coalition, macro-economic stability, low inflation (until recently), and relative peace. Poverty declined from 56 percent in 1991 to 25 percent in 20101 However, there has been limited structural transformation in terms of a shift from agriculture to industry. A number of explanations for this could be put forward, whether institutional, policy-oriented or geographical (Selassie, 2008; van de Walle, 2001). None of them, however, explains fully how Uganda, in spite of an initially highly dedicated ruling elite, did not succeed in transforming its economy. For example, Uganda is a landlocked country, but so is Zimbabwe, which is far more industrialized. Similarly, while Uganda certainly has weak institutions, so did other countries that have succeeded in industrializing (Selassie, 2008).
  • Topic: Agriculture, Development, Economics, Industrial Policy, Post Colonialism
  • Political Geography: Uganda, Africa, Zimbabwe
  • Author: Ole Therkildsen, France Bourgouin
  • Publication Date: 06-2012
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: This paper presents analyses of the current composition of Tanzania's ruling coalition, comprised mainly of the ruling party (the CCM), the bureaucracy and the military, of how it has changed over time and of how its funding has evolved. Specifically, it discusses how historical legacies, structural changes in the economy and specific crises have influenced the composition of the ruling coalition, the holding power of its factions and the strategic use of resources to maintain its power. The paper concludes that Tanzania's ruling coalition is presently characterised by conflicts and bargaining among strong factional elites within the ruling coalition and by the increasing power of its lower level factions. Opposition parties are largely excluded from influence and remain weak. Economic entrepreneurs in the formal productive sectors are few and poorly organised. Their relations with the ruling coalition are ambiguous and largely informal, although exchanges of money and rents are of increasing importance in the relationship. Moreover, informal sector entrepreneurs and smallholders in agriculture are largely excluded from the ruling coalition. There is little evidence that the ruling coalition – despite decades of political stability – has used its position to build and strengthen the productive capacity of domestic entrepreneurs.
  • Topic: Corruption, Democratization, Development, Political Economy
  • Political Geography: Africa, Tanzania
  • Author: Nauja Kleist, Ida Vammen
  • Publication Date: 07-2012
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: Migrants send remittances three times worth official development aid to developing countries, reaching an estimated 325 USD Billion in 2012. Transnational migrant and diaspora organizations support social service, infrastructural and reconstruction projects – such as schools and hospitals – in their erstwhile home regions. Finally diaspora professionals contribute to reconstruction and development processes through temporary or long-term return. How can donors partner with them and support their contributions?
  • Topic: Development, Migration, Foreign Aid, Immigration, Infrastructure, Fragile/Failed State
  • Political Geography: Europe
  • Author: Mikkel Funder, Ian Christoplos, Ida Peters, Adam Pain, Esbern Friis-Hansen
  • Publication Date: 09-2012
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: This literature review summarises selected theories of institutional change, with a particular emphasis on issues relevant to the Climate Change and Rural Institutions (CCRI) research programme. The review focuses on concepts that can be applied in understanding how and why meso level institutions operating at district and provincial levels respond or fail to respond when faced with climate change related upheavals. The review examines the concepts of path dependency, gradual institutional change and institutional bricolage, and how these tools might be used to understand processes of change in meso level institutions when faced by catastrophic environmental change.
  • Topic: Climate Change, Development, Energy Policy, Governance
  • Author: José Jaime Macuane
  • Publication Date: 09-2012
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: Discussion of development strategies in Mozambique reveals three main perspectives on the role of elites in the policy process: donor dominance, political dominance over technocracy, and the emergence of non-state (economic and civil society) actors as players in the policy process, although still with a marginal role. These analyses tend to see the identity of these actors as monolithic and clearly identifiable. The identities condition the involvement of these actors in a set of dichotomous relations, such as politicians versus technocrats, donors versus internal actors, and state versus non-state actors. Based on this understanding, this paper analyses the role of elites in policy processes, focusing on elite formation and power relations in Mozambique in a context of an economically dependent country undergoing democratization. The paper shows that the dominant analyses of the role of the elites in the policy process in Mozambique overlook the process of elite formation, which contributes to the existence of multiple and overlapping elite identities in the policy process. In this regard, the paper concludes that, despite the emergence of new elites (economic, societal and bureaucratic) resulting from economic and political liberalization and as an aspect of pro-poor policies, the differentiation between these elitesis more apparent than real because of the strategies they have adopted to maintain their dominance in a context of the increasing importance of electoral politics. Further, the paper concludes that the political elite still dominates the process, even with donor dependence, but that nonetheless this dominance is being challenged by an erosion of legitimacy caused by the low effectiveness of the development strategies, reflected in increasing public contestation over government policies, which opens up a space for changes in the current pattern of elite relations.
  • Topic: Civil Society, Development, Economics, Politics
  • Political Geography: Africa
  • Author: Michael Kidoido, Rasmus Hundsbæk Pedersen, Rachel Spichiger, Sarah Alobo
  • Publication Date: 11-2012
  • Content Type: Working Paper
  • Institution: Danish Institute for International Studies
  • Abstract: Land is an important asset for people's livelihoods and for economic development in Uganda, where the majority of people live in rural areas. This working paper reviews the literature on Uganda's tenure systems and their relationship with economic activities, focusing primarily on rural agricultural land. The review illustrates that these relationships are complex and context-dependent.
  • Topic: Development, Economics, Gender Issues, Poverty, Law
  • Political Geography: Uganda, Africa