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globalization will bring access to markets, aid, investment flows and debt relief, all
of which are deemed necessary for the continent’s recovery (Taylor, 2005).
This overall paradigm has secured a foothold in most of Africa’s main regional
cooperation and integration schemes, such as COMESA, ECOWAS, SADC and
UEMOA. The paradigmatic shift of SADC is significant, and quite similar to the
change of thinking within OAU/AU. SADC’s predecessor, the Southern African
Development Coordination Conference (SADCC) (1980–92), was deliberately
designed in order to avoid trade and market integration, and favoured a strategy of
dirigist import substitution industrialization coupled with the equitable distribution
of costs and benefits. Although there is still some rhetorical association to
‘development integration’ within SADC, the new venture (launched in 1992) has
officially embraced a conventional market-orientation dominated by a commitment
to market liberalization and to some extent also to ‘open regionalism’. This is in
line with the liberal argument that any regional trading bloc in Africa is too small
in itself to generate economic development, resulting in the overall intention being
to ensure a closer integration of the region (and continent) into the global economy.
As two influential economists emphasize: ‘regional integration should not be
perceived as an alternative to more general trade liberalization, which is crucial
if African economies are to grow, but rather as one step in a process of greater
integration into international markets’ (Jenkins and Thomas, 2001: 168).
There is a simultaneous and perhaps even stronger emphasis on neoliberal
policies on the micro-regional level, at least in Southern Africa. Both South
Africa and the Southern African region are currently being reconfigured by the
implementation of a large number of spatial development initiatives (SDIs) and
development corridors (www.africansdi.com; Söderbaum & Taylor, 2003).
These are targeted, short-term interventions with the official purpose to crowd-
in private investment in order to unlock economic potential, to enhance regional
economic integration, and to become integrated into the global economy. The
SDIs are governance mechanisms designed to quickly change legislation, change
the role of public governance, broaden the ownership base of the economy, and
enhance market competition. SDIs are built on the implementation of private and
commercial investment projects of assorted kinds and size. In all cases it is an
outspoken neoliberal market paradigm that rules investment decisions: ‘In order to
be selected for inclusion in the SDI process, a project must offer a commercially
viable return on investment, ie it must be a bankable project – a project which a
commercial financial institution would be willing to back’ (Jourdan, 1998: 20).
According to this line of thinking, there is only a need for minimal public and
formal institutions since these are basically seen as bureaucratic obstacles of a
functioning market economy. The result is a narrow and exclusivist micro-regional
governance mechanism, geared primarily towards enhancing privatization, private
investment projects and public-private partnerships (PPPs). In fact, all SDIs and
development corridors in Southern Africa are surrounded by a rhetoric of people-
centred development. In reality, however, the role of public institutions is limited
to implementing trade and investment liberalization or to boosting new bankable
and commercially viable investment projects, often of gigantic proportions, such as
Saldanha Steel, the Mozambique aluminium smelter (Mozal), the Maputo iron and