Table of contents

Epigraph

Dedication

Acknowledgment

PART ONE

0. Introduction

feudalism.

1.Genesis of capitalism.

agrarianism

mercantilism

capitalism and international trade

2. Waves of capitalism across the globe

Waves of capitalism outside Europe

Atlantic slavery

Abolition of slavery

Colonialism

3. Great depression and the emergence of American power under capitalism.

Keynesian theory and US federal employment programs

4. Bretton woods consensus

America takes the reins

5. Communism and capitalism

one kingdom, two kings

evolution of communism

capitalism and its security

Globalization and neoliberalism

6.Modernization theory

Neocolonialism of Africa

PART TWO

1.Position of Africa in the global economic system

Remain but act wisely

Africa! What to do?

2. Oligopoly theory through familism: the lights in the middle of the African darkness

Familism

Center of management/entrepreneurship

Center of technology

Privatization of land

Creation of companies
School of technique

From economic growth to economic development

Resources Reserve Banks

Roles of government

Companies and security

Design of foreign policy

Roles of intelligence services

Environmental considerations

Infrastructure development
Epigraph

“To make the world a better place is a process which doesn’t exclusively limit in developed

countries, it a process that requires lightening even in the darkest places for the world to be

fully made a better place; and it is possible to live in world of peace where all human beings

share common interests, we can do it, yes, all we need is a good and well-structured system

that will bind humankind together”

The author
Dedication

I dedicate this book to the African Union, class of international relations and diplomatic

studies of 2017 at Cavendish university Uganda, to all who are interested in developing

African economy, I also dedicate this work to my family, the Mutundas, to Toussaint

O’Onowale, Eloge Lula Lumbila, Herman Mushombe, Philippe Ntumba, Charles Waziri and

all the friends from Kampala, Nairobi and Thabiti.

Acknowledgments

It is privilege for me to far most thank my lecturer of international political economy for

inculpating me with much knowledge and interests on this topic, I also thank family and

friends for their moral and financial support throughout the journey of writing this book.

Overall description

Mostly based on historical materialism; this book examines different stages through which

developed countries went to reach their current level of development. It also examines the

genesis of that development, its golden ages, challenges and strategies used in the struggle to

achieve economic power; and despite the negative impacts of all these ideologies from

western countries. this book makes an analogy of their stages and strategies used in Europe

while trying to make a scheme of how they can be applied in new forms in Africa to reach

economic development.

And just like Africa, Throughout European history, modes of production/economic ideologies

such as mercantilism, capitalism, socialism/communism, fascism, Nazism didn’t just come to

exist for their own sake but they were influenced by historical materialism through which

developed states faced several challenges before and after industrial revolution, therefore the

book tries to examine and figure out which economic ideologies could fit for the African
continent; following the events since industrial revolution in the nineteenth century, first and

Second World Wars, the Cold war and post-Cold war.

And since capitalism has proved relevant and strong vis a vis the challenges encountered, for

instance during the Great depression of 1930s and the use of Keynesian theory of

employment, and later was sustained by the Breton Wood's institutions and globalization, all

these strategies and policies helped the capitalist states to recover from different crisis; finally,

this book opts for capitalism for Africa and points out capitalism as “a necessary evil"; though

it has impacted negatively on the economies of different nations, but there are so many other

positive outcomes that can be emulated from capitalism in a certain period of time.

Outline

This book unfolds in a chronological order, in the first part, it starts with how Europe shifted

from feudalism, Mercantilism to capitalism, as modes of production, it examines the stages

and forms which capitalism took in Europe and outside Europe and how they extended

worldwide especially in the USA, its challenges and success as well. Part two of this book

analyzes how Africa has been affected by different economic ideologies or events of

capitalism. Finally, it provides strategies from analysis of these economic ideologies in order

to solve different economic problems in Africa.

Part one (capitalism and the world).

Chapter one, talks about the change from Mercantilism to capitalism and the economic factors

that helped that to happen, it describes its primitive form in England and the way it impacted

the economy of England in comparison to other states in Europe.

Chapter two, talks about the forms or waves which capitalism took outside England especially

in America and Africa, and describes also what motivated Europeans during capitalism to do

explorations and set colonies across the world in comparison to colonies they set in Europe

during the Greek city states and Roman Empire.

Chapter three talks about the economic boom of capitalist states and the rise of the United

States in the roaring twenties as well as the Great depression that hit the industrialized states,

it also provides certain strategies that were used to recover from the economic crisis. Not only

that it also mentions different ideologies that arose during that period, notabl y

socialism/communism, Nazism and fascism as threats to capitalism.

Chapter four, talks how capitalism dealt with the above ideologies in order to secure its future

through a multilateral consensus at the conference in Bretton woods (the U.S.A) in the midst

of the second world war, in 1944, it also provides the policies and terms through which the

world economy could be managed after the war and this not, anymore under British Empire’s

lead but by the USA and the international institutions, it also outlines their roles of

international institutions in supporting the new world economic order.

Chapter five, talks about an historical rivalry of capitalism and Communism, coined by Karl

Marx, the latter shook the world economic order of capitalism that was established during

second world war, and subsequently caused the Cold war, these two ideologies sparked

regional and global alliances, each ideology wanted to dominate or influence the whole

World, and it finally describes which security mechanisms were used by capitalists or

communists to maintain their geopolitical influence in the same purpose of securing their

properties.
Chapter six, talks about neocolonialism through modernization theory and third world

countries, (specifically Africa), it talks how western world especially the USA tried to step

and maintain its feet in Africa.

Part two (Africa and capitalism)

Chapter one outlines the effects of capitalism and all the ideologies mentioned early in part

one, how their actual impacts left Africa underdeveloped because of continuous dependency,

it also demonstrates how Africa is influenced through the loans and grants of the international

financial institutions that are backed by the superpowers.

Chapter two says that Africa should not contempt or rely on loans and debts but to consider

the stages and strategies capitalism used to attain development and apply them as well, it

provides an analysis of options, should Africa remain in the current system of capitalism or

delink from any economic partnership or trade agreements with developed countries? it

suggests that Africa should not quit the current system of globalization/neo-liberalism or

capitalism, but must remain and act wisely,

Chapter three finally provides the stages and strategies to improve important economic sectors

by creating African corporations/bourgeoisie in analogy with those undertaken by the

capitalist states to develop as well as supplements new strategies suitable for Africa.
 PART ONE

CAPITALISM AND THE WORLD

 0

INTRODUCTION

L
ike Africa today, developed countries (OECD) faced multiple economic

challenges in medieval and modern era, but there are multiple events or stages

that current developed states underwent to achieve that development, these

events were fueled with different ideologies such as the batter trade, feudalism, the earliest

forms of capitalism (agrarianism and mercantilism) and capitalism characterized by

international free trade. The evolution of these ideologies was influenced by the discoveries of

new lands known as colonies and advancement in science and innovation. The discoveries of

metals led to new forms of civilization in the Middle East and Europe and the introduction of

new machines to transform raw materials into commodities led to the first Industrial

revolution in 18th century. It’s therefore clear to see how historical materialism was an

ultimate game changer of societal organization at every stage these states went through. It’s

therefore crucial for me to focus on relevant ideologies in order to summon some economic

policies and strategies that are pragmatic in order to alleviate poverty in Africa.

Feudalism
First cited in the Wealth of Nations by Adam Smith in 1776, this mode of production started

in the 9th century and flourished in 11th century in France. It was also known as “feudal

revolution” which later expanded across Europe. This mode of production was characterized

by decentralized power of kingdoms, the Lord had ownership of land, vassals were his

appointees and owed him fidelity, this land in which the vassals controlled was called “fief”

and it was used for military training but for economic purposes, this land was used by

peasants for farming. In medieval era, in Western Europe, Lords owned lands and had

subjects and vassals, the vassals served as banners of the Lord also called Suzerain, this

organization of society was named feudalism, in which a Lord had duty to protect his subjects

from invaders especially Vikings and its subjects had to pay back to lords either by nature or

in kind in non-military fiefs. most of the subjects/ peasant farmed for their subsistence. It’s

known that in this mode of production, the Lords used the wealth only for their personal

luxuries not for the kingdom’s development and the economy was centered to enrich the

aristocrat. As time passed, this organization was not effective and many kingdoms starved.

Therefore; in the early 16th century, many kingdoms started abolishing this mode of

production due to multiple exploitation of the aristocrat, in England for instance, the English

civil wars confronting the Royalists and the parliamentarians broke in the 17th century which

ended with the parliamentarians’ victory hence; putting an end to feudalism and exploitation

by the Aristocrat. In comparison to feudalism and Africa today, through a deep analysis of

patterns such as centralization power by the government, low respect for human rights, lack of

rule of law and economic stagnation show that there are several similarities with feudalism

and the political system (aristocracy) as well as the society organization in Africa. In

feudalism, no industrialization was enhanced and farming was done for family’s subsistence,

and on top of that, the subjects/ peasants had to pay a tax to the Lord despite their harvests.

liberty of subjects/peasants was restrained by the lord, the Lord and the church served as
judicial, legislative and executive branch (all decisions were taken by the Lord and mostly

influenced by the church). In most of African states since independence, realistically the

concept of separation of power to its fullest has eroded, all the two branches (legislature and

judiciary) are also “subjects” to the executive branch (power separation is weak) which

practically leave the president and his administration” above the law”. This shamble was

much present during Cold War. African leaders therefore; constitute a big class of aristocrats

who take decisions that don’t enhance economic growth of their states because they always

think about the next terms or to win elections. industries are weak and cannot even be

compared to the early 19th century industrialization in Europe, African people are let to

survive on subsistence farming. Currently, with climate change, in rural areas, even

subsistence farming becomes difficult leading hence to extreme poverty and Hunger. on top

of that, population is required to pay high tax rates without tax holidays sometimes, security

in parts of some states is not assured, the government utilizes the public treasury for political

ambitions; corrupt government officials embezzle for personal luxury without being

prosecuted. Just as in Feudal Europe, the Wealth accumulated by the Lords was used for

personal interests and not for the improvement of core sectors of economy to enhance

industrialization. But there came a time when feudalism passed and Europe embraced a new

mode of production that ensured economic growth and that mode of production was “modern

Capitalism” The shift from Feudalism to modern capitalism was followed by different forms

of capitalism which are to be analyzed carefully in order to be summoned for Africa’s

development.
 1

GENESIS OF CAPITALISM

Agrarianism

B
ack in the 1500s, a new mode of production started to develop in Europe, it put

to an end of exploitation of the Lords towards peasants who suffered

exploitation and brought a new form of organizing society that has ever changed

the economic status of England and industrialized countries. But this new mode of production

took different stages to shape western development. Following the end of feudalism in early

16th century, agrarianism immediately emerged, it was designed to use total land for

economic purposes, land became used by individuals for farming but it was all characterized

by private means of production by agricultural communities which actually opposed

aristocracy. Agrarianism was hence, committed to make societies in agricultural sector

indispensable and honorable rather than industrial ones and this mode of production was

deemed to increase freedom of people (Inge, 1969); but it did not last longer because of

certain state’s ambitions, there was a need to bring industrialization in Europe.

Following the end of feudalism, the landlords, together with tenants formed a new economic

system in which prices of products were influenced by the rent given by the landlords. This

mode of production didn’t increase state’s economy but the pockets of landlords who kept

squeezing their tenants and due to enlightenment for freedom, it became crucial to shift to a

new mode of production.

Economy and politics are bond, they interrelate but in most of European empires or

kingdoms, economic motives paved politics and politics were done to achieve economic

ambitions by all means i.e., historical materialism was always the game changer in Europe. In

Africa, Au contraire, economy is used to achieve political ambitions within the state itself i.e.,

ruling parties allocate more funds in political issues such as the next campaigns, hence most

Africans join politics to enrich themselves and their families rather than building a strong

economy that can promote the living standards of population as it was made by European

crowns by shifting agrarianism to mercantilism.

Mercantilism

Mostly described as the earliest form of modern capitalism, this mode of production consisted

of accumulating capitals by certain monopolized companies in partnership with the states in

order to increase the state economy in other states detriment. it flourished in the early modern

era to the early of 19th century, it was characterized by protectionism policy and states

rivalry, the discoveries of new land or colonies brought this mode of production to its peak.

For instance, in England, there was a navigation act that prohibited the colonies to trade with

other foreign ships rather than the metropolis, if trade could happen, it was only limited to

processed good that have added their values while the colonies had to provide raw materials

to metropolis and this was referred as “Common Wealth” by England. This part is more

developed in chapter two but briefly, state regulated trade policies in order to achieve state

economic power hereby accumulating Gold and silver and trade was done with these pieces of
metals within a particular European empire. It is said that this mode of production increased

economy of major public industrialized economies notably England and France. The private

companies enjoyed monopolies granted by the European crowns and the states enjoyed high

tariffs imposed on these companies, state’s economic power’s accumulation was motivating

politics in Europe during this time. Though its relevance to economic power of European

states, this constituted another exploitation not anymore by lords or landlords but by the state

or crown and the monopolized companies, therefore America pushed its independence from

England in 1774, few years later in 1789, the French revolution erupted in France chasing

Louis XVI and a new form of governance was established, hence put an end to mercantilism

though England continued to exploit other colonies across the Globe. In the aftermath,

common citizens became independent from crowns or state’s regulations on economy and it

was characterized by free trade , free markets among nations, that is why industrial capitalism

is linked to political freedom in which the government only assures property rights of firms

while prices being determined by supply and demand principles, but it’s crucial to signal how

this concept became traditional as it couldn’t provide solutions to the Great Depression.

capitalism and international trade

Capitalism, being a socio-economic system based on the private ownership of properties and

means of production, by common individuals (bourgeoisie) through the operation of a market

unregulated by the state, was a new mode of production that tried to reduce respectively the

power of the Lords, landlords and states or crowns. the bourgeoisie in respect to the power of

the Crowns paid rent/ bought for the land entitlement, the tax went to the sovereign, cause a

new form of society organization was introduced i.e. Republic or parliamentary monarchy, the

sovereign received tax with the primary task to build a standing army to ensure total security

of citizens with all needed performance in order to have a standing and professionalized army

rather than conscription of men few days before war in order to ensure protection of property.
This constituted not only a form of society organization but also a new mode of production

that was characterized by mass production and when the production surpassed the consumer

(market saturation) there was a need to trade at international scale, and this is when

mercantilism was criticized by Adam smith in Wealth of Nations (book by A. Smith).

Therefore; Adam Smith and David Ricardo advocated for international trade among states

while categorically rejecting mercantilism. Capitalism, in which division of labor was one of

pillars the of this mode of production, it (division of Labor) was not only sensitive in the

economic sector/ industrial sector but also in every structure of the society, every institution

had to carry its own responsibilities and execute tasks just as in industry. This mode of

production became effective for England and of the rest of Europe because of industries that

sustained actually this mode of production and society organization. it was also accompanied

with liberty of entrepreneurship and freedom in politics, the power of the sovereign was

shared through public branches which fulfilled their duties towards the population. in

England, the parliament was divided into two houses, that of commons and that of the Lords,

the house of the Commons which is responsible of enacting new policies and laws but

concerning financial matters, the house of the Lords is responsible in implementing laws and

policies. Capitalism created a society structure: the poor; the middle; and the bourgeoisie, the

class that owned industries are the bourgeoisie and the rest are the labor reserves, though

these social layers being formed, Capitalism created employment and earned a wage for lower

classes. In the first chapter, I will focus on capitalism and forms in which it took in England

and across Europe.

Capitalism in Europe

New form of Capitalism was first coined by a British economist Adam Smith in the book

wealth of nations in 1776 in which he emphasizes on the division of labor at all levels,

starting from the state up to a lower social level. He believed in human capabilities(labor) to
increase the economy of a nation. His purpose was not to eradicate poverty completely but to

raise the living standards of Scottish people who were living under the line of poverty. He

talks about a mode of production that changed the state system of Britain during that period,

hence shifting from feudalism, mercantilism to the capitalism and international trade. After

the achievement of the division of labor in a society, this will create market but the market

must be sustained by a medium of exchange, a currency and this favored international trade.

Hence, he argued that no exchange can happen between two men who don’t share interests at

a same time, for instance a butcher who has a lot of meat than he can consume wants to

exchange with the winemaker, if the butcher man wants to exchange meat with wine, he will

have to abide to the terms of trade of the winemaker and that only when the winemaker needs

the meats, and what if the winemaker doesn’t need meat? No exchange will occur. It only

occurs when all of them need each one’s commodity. This meant, if someone wants to

exchange a commodity and doesn’t find a person who needs this commodity, he/she will have

to travel several miles to find the person.

That’s why during mercantilism, the medium of exchange was in terms of weight of gold and

silver, with this new mode of production and trade, the need to reduce a lot transportation of

medium of exchange was the suggestion of Adam. hence, a currency came into effect; the

weight of gold was marked on the money meaning that if something values 100 kg of gold,

then it will cost the same amount of money marked on the currency. (Smith & S. M Soares,

1776); in simple terms, in order to promote international trade among these empires that have

been fighting each other over wealth, mostly based on the accumulation of gold and silver, it

was good to make a currency with same values of gold or silver. Smith thought this could

work and it did actually work, it was in their interests to accumulate as much Gold and silver

and have each other a currency and the reference will be gold or silver to promote trade

among them. This was a masterpiece that paved a way to Bretton Woods consensus on
leveling the currencies in the post-World War Two. The core effect of capitalism was (Smith,

2007) the commodification of useful thing that could possibly contribute to the expansion of

economy i.e., everything gained value in the capitalist system. The steps to the

commodification included: The primitive accumulation of capitals: during feudalism, the

suzerain was the chief of the total land in Europe in a particular region he occupied, there

were fiefs governed by the vassals, these vassals were landlords and had the task to collect the

tax from peasants who worked in their farms for personal consumption but the ownership of

the land was of the suzerain and Many of the British economists of that period affirmed that

the landlords used their wealth from rent to luxuries rather than investing in the state

development. They contributed to the British economic stagnation; Therefore, capitalism

started first to accumulate the land from the landlords who did not use those lands to gain

profits from them. this constitutes the commodification of the land; the land became a

commodity hereby privatizing it a class of people who could use for profit gaining. the land

becomes a commodity because it will have value and this was the primary capital to acquire

by the capitalists in Europe. The peasants/farmers were also accumulated in this process

because all lands got distributed to the capitalists to use them, the farmers and other people

create hence a big reserve of labor to the capitalists for a minimum of wage. This is the

second part of commodification, an individual became a commodity through his/ her labor,

division of labor results in creation of class of experts who get a certain value for their

capabilities rather than the ones who didn’t acquire such skills. With capitalism, everything

hence on which time and labor was spent on, became valued. With many competitions of the

industries (capitalists) in England, and the saturation of market in England, liberalization was

one of the primacies of the capitalist concepts (meant free trade among states).

The industrial revolution is already booming in England but not in the rest Europe, this means

that the goods from England were manufactured and had value addition or higher value rather
than those in Portugal, Spain, Holland etc. and this meant that the English products had

greater value in Gold and Silver, but the medium of exchange are no longer silver and gold

but currencies; other European states with their currencies had to purchase these goods with a

lot of money (their currencies) while the English could buy their products at cheaper price

since their level of industrialization was lower compared to England and this backboned the

economy of England. The British currency therefore remained more powerful than others.

And due to economic competition, England was unwilling to share the technology of the

industrial machinery to other European countries. In 1765 for instance, England put a law that

prohibited the export of machinery and emigration of skilled mechanics. This exploitation

continued until European countries and the United States realized that they were exploited by

the industrial capitalists in England, they wished to acquire the same level of industrialization

but England couldn’t allow them to have the knowledge and the schemes to make mills and

other machinery.

Quickly, other European countries such as Portugal, Belgium, Germany, France and United

States acquired industries, David Ricardo condemned the protectionism policy and the corn

laws (tariffs on the agricultural products). They advocated for the comparative advantages,

because it was so difficult to gain advantages as all the countries produced same products,

competition was intense and devaluation of products was common, in some countries such as

Portugal, labor for the production of commodities was cheaper compared to that in England

i.e., the price of their goods was also lower as their labor was. This made capitalists to rethink

about what strategies to be used to change the paradigm. Therefore, in order to gain profits for

both sides, David Ricardo proposed that each country should specialize on particular

commodities. During trade between country A and B, if a country A is specialized in making

X at cheap labor and a country B is specialized in producing Y at cheap labor. their mass

production trade should focus on the two commodities, A will export X to B and B will export
Y to A (completely a win-win situation). The cycle doesn’t limit itself there, but goes far

beyond when A wants to trade with C. This mode of production exponentially grew in Europe

because the change was sensitive at every level but it expanded throughout the world under

different and horrific forms such as slaved labor, forced labor and European colonialism in the

late 19th to the mid-20th century in Africa.

 2

WAVES OF CAPITALISM ACROSS THE GLOBE

I
n medieval times, the Sub-Saharan Africa; the Americas and parts of Asia were

unknown to Europeans in the pre-exploration periods, but many civilizations

preexisted in those continents. Ghana Empire, Monomotapa Kingdom, Kongo Empire,

Buganda Kingdom, Dahomey kingdom, Incas and Aztec empires are among the glorious that

existed. The Europeans knew mostly the northern Africa but materialistic interests led them to

explore the sub-Saharan region. During mercantile system, the demand of gold and indigo

(spices) spiked in Europe. The competition among European empires motivated most to

explore further lands outside Europe. In order to outdo other European states, Europeans got

interested in the exploration of the unknown areas of the globe. Therefore, Portugal with

Henry the Navigator became the first country to send its navigators in Africa through the

Atlantic Ocean rather than using Indian route in the quest of favorable climatic regions for

indigos and the gold. Navigators such as Diego Cao looking for another route to the Indies,

arrived at the mouth of the Congo River where he met Africans living there. Explorers were

sent by different crowns from Europe with a contingent of scholars, priests and each one had a

specific role but the ultimate goal was accumulation of resources. The religious crew had to

spread the catholic beliefs to convert the natives; Scholars were assigned to study the milieu

and the social relations of communities in the explored lands, they wrote the issues that

industries could face, they gave solutions and they sent them to Europe. during this period,

they mostly focused on exploring gold and silver and other precious minerals. The religious

leaders had another mission, that of settling the culture of the native communities, to convert

the people into Christians while acquiring land and resources for Rome and religion had to
create a peaceful society hereby accommodating them into a new culture, a European

culture... until now the Holy Sea possess land across the globe.

“Religion is the sigh of the oppressed creatures, the heart of a heartless world, just as it is the

spirit of spiritless conditions. It is the opium of the people.”- Karl Marx,

most people misinterpret this quote, Karl Marx only accuses religious leaders (Christians) as

agents of states in which they play a role of instilling solace to working classes who are

exploited by states or the bourgeoisie by using religion as a distraction or recomfort for the

working class. This was therefore a move of capitalism across the globe, the ideology was to

set up new ports, colonies in order to exploit the lands, people and minerals that were in

Africa, America and Asia constituting thus a primitive accumulation while destroying the

power of kingdoms, their cultural bound hereby introducing a new religion to them. Thus,

many kingdoms of Africa declined, mostly influenced by the Europeans, who first divided,

mounted one kingdom with another by providing the guns to foe kingdoms, to dismantle of all

kingdoms was way to pave Capitalism in Africa, America and Asia.

WAVES OF CAPITALISM OUTSIDE EUROPE

Atlantic slavery

In the early 17th century, Europeans settled colonies in the new world which is America

today, Great Britain established its first colony in Virginia and expanded later in the whole

USA. Spanish, British, French and Dutch discovered minerals and the land that was so

favorable for various plantations such as sugarcane, tobacco, cotton, coffee but they didn’t

have human capital or labor to maintain plantations and mines. At the first glance, they relied

on Indian American labor but they were inapt due to their physical abilities could not allow

them to execute such works in the plantations and mines. Spanish therefore; became the first

traders to bring African slaves in the new world to test if they could do plantations’ corves.
 African stamina was undeniably significant for the work and this therefore turned into a

lucrative business that changed the economic status of European empires during mercantile

era. Africans were caught or given by the African kings as prisoners of war to Europeans in

exchange to some commodities. Hence, we see here that a human being became a commodity

and this was primitive accumulation in Africa. Capitalism in Europe transformed peasants

into laborers turning them into commodities but the commodification of African people has

turned them from free people to slaved laborers. As in Europe the peasants were alienated

from their lands in which they used to farm for personal subsistence and became commodities

of capitalists. This process is the same, however; forms of primitive accumulation are

different, for African slaves, they were alienated from their land violently and became

commodities with a “wage” of food and clothes which was quietly injustice and a shame in

the all-human history; in Europe, wage was given though how minimal it was.

abolition of slavery

Historical materialism also explains why slavery did not end because of the moral awakening

of slave masters or the papal efforts to put an end to human immorality, but it came to an end

because the African slave increased his/her value due to the bad conditions in which he/ she

was shipped in improbable chance of arriving alive in the new world. meanwhile the demand

of cotton was high in Europe for textile industries (at that time, a major economic backbone)

thereafter its production therefore increased. many plantations’ owners produced in mass that

affected negatively its demand and thus decreasing its value, so there was not enough profit

from slavery anymore. Due to the increase of the price of a slave, Europeans decided to bring

“civilization” to Africans hereby settling their colonies in Africa but here again the historical

materialism of human beings justifies their interests.

 colonialism

The market’s saturation in Europe and the high cost of labor pushed European states to settle

colonies in Africa in early 20th century. Deportations of African slaves have earlier started in

the late 19th and the construction of new infrastructures, churches, schools were enhanced, the

convulsion of morality to abolish slavery and the historical materialism became of the

dilemma to understand and justify the “civilization of Africa” and liberty brought by the

colonies in Africa since a European still perceived, an African man as a slave even after

abolishing slavery. thus, a European could use force to make the African man to intricately

believe in his education and religion without questioning. As they were converting to

Christian churches, the tie with their kings were cut off, the power of the kings reduced and

dominations of western culture was settled. Some of the kings were threatened to be

overthrown by the use of force if they couldn’t cooperate to release their subjects to work for

the colonial administration. Wherever resistance was found, they used force to establish

themselves in the region. This explains the foreign policy of the Nazi Germany during

colonial era, it was opting for the war with less powerful country and for peace with a

powerful country. The Namibian genocide by the Germans and The British battle with Zulu

Empire explain Clearly the use of force by Europeans in the quest to establish their colonies

across Africa. The Mussolini’s Italy deployed troops in Ethiopia and used chemical weapons

during the war against the Ethiopians because they found resistance. Their needs to settle

European colonies in Africa were driven not by altruism to bringing civilizations to native

Africans but was driven by economic interest or materialism. For capitalist expansion across

world, the end justifies the means!

As Thucydides says “the strong do what they have to do and the weak accept what they have

to accept”, It became a new normal during that period, the scramble for Africa was followed

by what could be labeled today as “crimes against humanity”. African were forced to work in
the plantations in the new world but in Africa they deemed to participate in the construction

of railways, dams, industries and homes set to smooth European economic operations. The

Berlin Conference clearly demonstrates that, the division of Africa into units was meant to

avoid conflicts of economic interests among Europeans. For instance, the King Leopold the

Second of Belgium and the Portuguese who settled in Angola started to fight over Moanda

(site of oil exploitation) due its resources and access to the Atlantic Ocean. Therefore even,

the partition of Africa was based on economic interests and historical materialism tries always

to explain the motivations of human beings.

So far, the historical materialism has demonstrated how a human being has switched to

different ideologies, sometimes resort to his animalistic instinct to achieve his economic

interests and to attain these interests, political and military power was necessary. It’s also

important to retain all the process that the Europeans went through and the ingredients that led

to the change of one approach to the other to explain the strategies in the second part of this

book that Africans should follow to achieve economic development. Though the historical

materialism of human beings, it’s also ethical to stretch on the atrocities this historical

materialism has inflicted the world especially Africa. Therefore; it’s also right to signal that a

considerable number of African perished during this period due to their animalistic behaviors

of Europeans. The evil inclination of King Léopold resulted in the killings of more than a

million in the Congo. Some modern era scholars such as Adam smith in the wealth of nations

approved that colonies were set across the globe for economic purposes, they were set for the

survival of industries in Europe. He explains different motives of the setting of colonies since

the ancient Greek times to European colonies. He says that in the Greeks colonies, this

happened when the population grew in a particular city, then colonies were sent out and the

mother city wouldn’t claim any authority on the new city from the former colonies. In the

Roman colonies, they were sent out to satisfy the demand for lands and establish fortress in
the occupied territories. In The Roman empire, there were people who possessed lands and

others who didn’t, so it was clear that the rich didn’t will to give any portion of their lands to

the poor, so in order to get rid of this class struggle, colonies were sent out to establish new

lands for plantations by the poor, and those colonies were entirely subject to the mother city

under the jurisdiction of Rome. In the European colonies during mercantile era, it was

different enough, following an argument by Adam smith in the Wealth of Nations, he

theorizes how colonies evolved during the Greek city states and during Roman Empire

dominion. He argues that colonies exponentially increased their surplus value during this

period, he goes ahead to say that colonies didn’t have tax to pay to the landlords as in Europe,

the rent was free for them, the land was free and abundant for their possession, so this

occasioned the highest labor in the industry because the master could easily produce more

products than he could produce in Europe in which he had paid tax, sometimes rent or any

share to the landlords. In this manner the first established industries granted laborers high

wages to completely liberate from their masters and later establish their own industries. This

encouraged marriage because the children could be taken care of and grown up in the good

health which constituted also a high wage later. In the same manner the children will do as

their fathers did for them and this permitted to grow faster and industrialized. But in the

ancient Greek times, and Roman Empire, colonies were neglected by their mother land but the

European colonies drew too much attention. However, only the English colonies progressed

rapidly than any other European colony across the globe because of their massive progress in

the northern America which resulted to the British Empire. The system used by the British

was much different from other colonies and the ultimate game changer was the surplus

products in the British colonies, though colonies only traded with metropolis, their product

surplus was used in the colonies. It’s absolutely relevant to analyze the argument of Adam

Smith on Colonies, some of his arguments can be very important towards the formation of
new system that may bring economic development in Africa especially when he talks about

the surplus products in the colonies as well as the availability of land and the manner which

industries evolved in the colonies. It’s even incredible to see how the historical materialism

influenced the common daily lives of the colonialists who increased the rate of marriages due

to the availability of resources to sustain children. However, in the European late 19th to mid-

20th century’s colonies, raw materials were extracted by the Africans then exported to

Europe. From Europe the raw materials were processed into manufactured goods, then

imported back to Africa in forms of third products while premium quality of goods was sold

in Europe, America and other part of Asia. Africa therefore, became only a mine where raw

materials were to be extracted, and in some colonies the extraction was done violently which

also contributed to the reduction of the lifespan of the African people. For instance, in the

Belgian Congo, the King Léopold 2, ruled the entity without any sense of humanism and

ended up with a half a population without hands. Education was set to turn an African labor

valuable because, an African could be cheaper than a skilled European. they did classes of

hundreds of pupils in small room while making education hard and only the smartest pupils

could be summoned for high education. Africans couldn’t take decisions on their economic

policy; capitalism was taking up space and the profit maximization has taken an upper hand

on morality. In French colonies, the assimilation ideology seemed to be more lenient than the

Belgian and British ideologies since in the French colonies, they treated Africans as “small

French” I.e., with at least some dignity but the historical materialism was the motivation of

this political ideology. Even after independence waves, France has never completely freed its

former colonies economically. We all know the story of the FCFA and the struggle of the

Anglophone world to cut a French hand in Africa. we have seen therefore, that the expansion

of Capitalism has brought more harm than good to anywhere that it has reached, from slavery
to an independent Africa. It was characterized by bloodshed and economic interests over

morality.

However, capitalism doesn’t remain the same, it evolves and in the following chapter, we will

analyze one of the important bulwarks in the history of capitalism.

THE GREAT DEPRESSION

and

the Emergence of American power under capitalism

In the late 18th century, the British colonies grew exponentially due to the surplus value of

laborers in their colonies. in Northern America particularly, economic activities increased,

though industrial sector remained stagnant. The navigation acts of the British during

mercantilism totally prohibited British colonies to trade with any other European empire, also

the taxation law to the British crown became absolutely unbearable to American capitalists

and subsequently pushed to the American revolution resulting to the revolutionary war. one

factor to notice is the historical materialism of human beings, the causes of wars, the

organizational society and relations among human beings are determined by economic factors

or interests. Africans should learn from this perspective as a nation not as different people to

center their governmental structure and organization of society and their social relations to

achieve economic interests of the whole nation and end the malicious patronizing politics of a

certain class of individuals. We clearly see that American struggle for freedom against the
British was meant to achieve their economic independence and the only way to fulfill that,

was to have political power, in this sense, the political arm was designed to achieve economic

interests of the American people, very different with the African struggle for independence

(Iʼm not denying the efforts of all those who fought for the independent Africa) that was

meant to achieve an independent Africa based only on political decisions and freedom from

physical labor. However, political economy’s decisions were designed by an external party,

the colonial masters and this couldn’t contribute to economic freedom of Africans. Kwame

Nkrumah became obsessed with the idea of neocolonialism and therefore, he warned the

world about the African fate of being under control, for him, though African states were

granted independence, it wasn’t “real freedom”.

Let’s analyze well the American push to economic freedom and their struggle to achieve that,

was the mighty America’s creation still explained by or through historical materialism? In the

United States of America, shortly after the revolutionary war in 1765, in the next twenty-two

years, America was led by the continental congress and the federal government funds were

absent to enforce its rules in a new a capitalist state, rivalries and conflict of interests arose

among the companies of different states. Therefore; James Madison stood in Philadelphia and

enacted a constitution to strengthen the power of the federal government and supreme court to

avoid conflicts among companies of different states as well as to achieve and smooth

economic interests abroad. in other words, Americans fought and struggled for their political

decisions to serve their economic interests leading us back to historical materialism of

humankind. By the time America experienced heavy industrialization in the late 19th century,

its economic muscles grew exponentially too, especially the steel corporations and the

railroad companies became the backbone of economic advancement in America. It is

important to stretch out to the relevance of canals in the economic expansion of the United

States. For instance, the digging of U.S canals eased the transportation of goods within
different regions, the Urie Canal was one of the economic backbones of New York State

economy. In the same compass, Americans created a significant stock exchange in history of

capitalism, the early 20th century is considered to be that of economic boom, golden age of

capitalism in America due the highest yield of agricultural products such as corn, and

consumer expenditures climbed as well. However, the end of the decade of roaring 20s was

disastrous, The Great Depression occurred, this economic crisis was not only sensitive in

America but also in another industrialized world, it lasted for one decade. Starting with the

stock market crash of Wall Street in 1929, the whole next decade was characterized by the

rise of unemployment, consumer’s expenditures decline, bank failures, low investments,

unemployment rose making a statistic of 15 million of Americans unemployed in 1933.

What really Caused the Great Depression?

After creating a stock exchange in the Wall Street based in New York, it quickly became a

stock market where investors could buy or sell a share in particular companies, this

speculation in the stock exchange became uncontrolled and led to the stock crash of wall

street. By that time, production deteriorated and employment had failed, however the stock

prices in Wall Street continue to increase than their actual value of production. Moreover,

pays decreased, debts of consumers were flourishing, the primary sector of agriculture fraught

due to rain calamities and dropping food prices, unsold goods, and banks had large loans that

could not be paid. This was a real moment of distress in the capitalist system. During this

period, just after the end of the First World War, in the 1930s, economic crisis arose in

Europe too, it quickly affected most of the countries economically that were involved in the

war, one decade after the war, the industrialized countries in Europe had struggled to recover

from the war and Britain and its colonies were the common fate of the Great Depression;

Germany and France were also hit, many capitalist countries were also hit. The Soviet Union

was not much affected, because it had few trade partners because of its communist
orientation. In Europe too, production stagnated in countries in which they relied on heavy

industries, the level of unemployment was high reaching a percentage of more than 600% in

United States, the industrial production declined to a very low level. This clearly showed how

the capitalist system could fall as any other ideology but as any other setback to capitalism,

capitalism rose and overcame this challenge and that’s the most important point because this

Great Depression gave a way to many radical movements to raise from their feet and oppose

the existing capitalist system, movement such as Nazism in Germany by Adolf Hitler and

Fascism in Italy by Mussolini. But in the middle of shadow, a British economist known as

John Maryland Keynes with the Keynesian theory of employment, addressed the issue of

economic depression and propose how the industrialized countries could get out of the

shadow of economic crisis. Keynes tried to link the intervention of the government in a free

market, investment and labor and how they can change an industrialized society in the middle

shadow of unemployment and economic crisis. He conceptualizes a government’s

intervention to increase its expenditure to a level of 1% and above, saying that in order to

decrease the unemployment, national projects should be enhanced and this will grant the

population employments they need.

Keynesian theory of employment and US Federal government’s solutions in the great

depression.

John Maryland Keynes was a British Economist who advocated for government’s

intervention in economy in order to alleviate unemployment risen in Britain and other

industrial countries during the great depression, during this time of a deepest distress, as seen

earlier, unemployment rose and the industrial outputs were low, he argues that consumer

became wary in this situation and will not spend, leading to economic stagnation, for

Keynes’s Hypothesis, spending during economic crisis could alleviate the situation, therefore

to boost consumer’s spending is to create employment of the consumer, he therefore,

encouraged government to intervene in stabilizing economy by creating employments through

different national projects. Additionally, he advocated for investments to create employments

hereby increasing expenditures, in order to encourage investments, provision of loans with

low interests’ rate must be approached and enhanced, by providing these loans to investors,

the latter will pay labor, tax, bills and when this will occur, consumer’s expenditures could

increase, hence output of industrial sectors would grow and employment, together

investments and government’s projects became central to economic recovery in US. In the

investment sector, Keynes stretches on the macro factors for investments which I narrowly

break down as follow:

Political situation: the stability in politics is significant because no one would sink his capital

in a state where decision-makings are unpredictable. for an investor to sink his money, certain

policies on investment must assure his investment security. this calls for the government to

stabilize politics for the sake of economic development thus, emphasizing on historical

materialism is a relevant masterpiece to achieve peace in a state.

Investment regime: in a failed state or a state with poor investment regime or tax regime, great

investment always tends to be lower therefore; the intervention of the government in economy

becomes crucial for investment and employment as well.

Development of infrastructure: for economic sake, the country must possess multiple dams

for the operations of industries across a country, the telecommunication must be efficient and

technology must be incorporated in this quest, and since the these programs are relevant to the

economy of a country and since it’s government’s duties to make it happen why not create

serial projects in the country and give employment to people and the people will later spend

and will once more smoothen the economy? This will therefore lead to the increase of the

disposal income that is described as power to purchase a commodity by a consumer which is

also necessary for the survival of a particular investment.

Access to the natural resources: the access to natural resources in the private sector makes

possible the enhancement of the private sector, and once privatization occurs, investment such

as the mining companies will sink their money where policies on mineral access are fair

enough to the investor.

Financial access: the government should grant loans (credits) and bonds to the citizens in

order to create new firms that will increase employment’s rate in the country.

Stability of financial market: government should enforce a clear monetary policy for a

currency circulation in order to maintain a low rate of inflation for the investors to trade with

assurance.

Keynes emphasizes that as long as there is flow of investment in the country, the employment

to the citizens will be guaranteed. “If an investor possessing a capital, purchases a capital

asset, he then purchases the right to the services of prospective returns. I.e., that he will use

the asset during its full lifetime” Dr. Joseph Kasule. if a firm produces commodities or

services to a particular group of people, this will give the revenue to the investor, in which he

has to subtract the operating costs and labor (creation of employment) resulting hence the

marginal efficiency of capital (profits) to be added back to the capital goods in order for the

investment to grow considering the depreciation or appreciation of the capital. This therefore;

was the suggestion of John Keynes to deal with the crisis of the Great Depression but his

theory about the government intervention in the free market drew much criticism from the

traditional economists, particularly in the UK.

However, The United States of America put much consideration in the writings of John

Keynes and when Franklin D. Roosevelt took the oval office, some favorable policies to

promote investment were implemented, such as the construction of the dams and

hydroelectric plants in the Tennessee state which employed 8.5 million people from 1935 to
1943, the international trade in the pacific was promoted. In the 1930s, the government of US.

Provided loans to its citizens in order to increase labor and overcome the depression before

the beginning of the Second World War. Hence, the corn production, the mechanical

advancement, mass production of commodities recovered as it was in the “roaring twenties”

in US compared to many European states though they had several colonies in Africa and Asia.

In Europe, while Germany was trying to recover from the Great depression, Adolf Hitler was

mobilizing his nasty Nazi movement that will later change course of economic history in the

20th century. when Hitler took over power in 1934, his major concern was militarization

which caused many tensions between the signatories (France, Britain) of the early Versailles

treaty signed in 1919, the United States was recovering from the Great Depression and it was

intolerable for them to wage a war though it was part of the signature. When the war broke

out, Hitler invaded Poland and left Europe in ruins; production, and manufacture of

commodities stopped, economic crisis together with the effects of the great depression

declined the livelihoods of the people. the situation continued to be worse in Europe. Back to

the United States, it took this war as a sort of “an advantage” hereby becoming a major supply

from the military equipment (arms), foods; clothes and medicines. Most things were imported

from the United States through the Atlantic, because Europe couldnʼt produce anything, the

United States amassed a lot of money that will give it the privilege and opportunity to become

the world leading economy in the world. Capitalism was almost collapsing in Europe and

there was a need to something about it. So, what next? After the capitalist systems failure in

Europe caused by one of the deadliest wars in the history of humankind?

 4

THE BRETTON WOODS CONSENSUS

America takes the reins

T
he Bretton Woods consensus was a multilateral conference that was held in the

United States from 1st to 9th July 1944, comprising all European countries to

regulate the monetary policy and develop a financial order across the globe.

What the Bretton woods consensus was it about? For almost 5 years after the breaking of the

Second World War, The USA did not engage in war in Europe, instead it stood as the supply

of different commodities to the countries involved in war. The army of United States was

protecting its ships in the pacific that used to trade with China, Great Britain and Soviet Union

against the Japanese and the Germans because Roosevelt has already declared the neutrality in

a speech before the outbreak of the war. On the other hand, Hitler together with Mussolini the

fascist and imperialist Japanese rule are taking the lead of the war, especially when they

captured 3⁄4 of France’s territory and De Gaulle fled to North Africa to get refuge. Britain as

an economic superpower during that period collapsed because of the war, its longtime rule

was coming to its end and the United States took this opportunity to see how the economic

regulation can be shifted from England to America. It was time for the US to take the lead to

defend capitalism. States that met at Bretton woods not to end the war but to shape the future

of capitalism in the cacophony brought by fascism, Nazism and Communism. This constituted

the shift to have economic control by a state over another under institutions that were

supposed to be created out of the Bretton Woods consensus and these institutions could

regulate the international financial flows. At the conference, 44 countries represented by

delegates attended the conference in order to agree and sign the economic mechanism to be

put into effect after the war. The outcome of this consensus was the creation of the financial
institutions, such the creation of IBRD for the construction of infrastructure in the countries

ruined by the bombings of the war. The International monetary funds (IMF) for financial

flows (capital flows) and a World Bank. Such a unity that came to improve on the

international trade, a new interesting principle was enacted to regulate the conducts of politics

through economic interests. Therefore, this seems to be tricky but the relevance of historical

materialism as opposed to the way it made capitalists to lean to their animal instincts is

bringing positivity to the world politics. It’s important to point out how this Bretton Woods

consensus occurred, there was first a hidden agreement between big boys in the club notably

the U.S and Britain. Both have had previous agreements in 1941, under Atlantic conference to

have equal terms of trade and raw materials access under lend-lease assistance, Great Britain

agreed on lowering trade barriers among its many colonies. So one could explicitly interprets

that the conference at the Bretton Woods aimed at fostering previous common interests of

both the countries since the Bretton woods conference was privately discussed and approved

by the two countries in private and other states’ approval came only in the last two days of the

conference, however, it’s clear that this was a consensus and it really changed the World

economic status, especially with the creation of GATTs in 1948 which marked the new

management of economics in the post war era. These institutions were set up to control the

entire globe’s economy and constituted the new form of capitalism, the international trade

was promoted and liberalism became the only great diplomacy states relate with one another,

Protectionism policy on foreign commodities was cancelled and hence become the end of

economic nationalism, foreign direct investment was promoted in order to help capitalism to

get rebirth in Europe. with Europe in ruins, there wouldn’t be market for American investors

and this could lead to the end of capitalism in Europe due to the communist expansion i.e., the

international market must be accessed by investors who have capacity to invest in a country

however much competition this results to. Therefore, an emerging industrial economy with
infant industries couldn’t have a significant capacity to compete with these big boys and

consequently are susceptible to their collapse. This one of challenges that the Foreign Direct

investment has brought especially in the African states but this continues to make the

bourgeoisie richer and the laborers poorer. I describe this as peaceful primitive accumulation

of capitalism, which consists of flowing capitals from developed countries to developing

countries through institutions such World Bank, IMF and WTO under legal terms with the

government of developing countries. these institutions enact new policies that abide any

member that adhere to the institutions, after which, the first step forward will be accumulation

of national capitals through privatization i.e., the government of developing countries who are

bound to policies enacted by financial institutions to privatize national assets to investors.

Therefore, a peaceful primitive accumulation of capitals occurs when privatization of national

assets to foreign investors is willingly granted by the government. The alienation of land also

occurs when land owners are expelled from their land (probably potentially accumulating

tremendous resources), in most cases they privatize an asset having much value or if it’s

suitable for agricultural investments. Therefore, voluntarily or not, people are forced to sell

their lands to the government or investors and subsequently later on, these same people will

be in the labor reserve or tenants of the investors). the same form capitalism took in England

continues to spread across the globe. However; my point is not in this book, to show how

Marx exposes capitalism’s gains through surplus value of the laborers but to question how

such states like France, Japan or even Germany survived and built through capitalism strong

economies after such economic decline faced seven decades ago? How did Washington

become the leading economy of the world? How did the world turn under the auspices of

Washington behind the curtains of institutions? First the membership in the IBRD was given

only if you adhere to the IMF, prior to reconstruct their infrastructure, Europeans badly

needed the assistance of IBRD. The establishment of International Monetary Funds started
providing capitals to the members that signed to this membership. it is a new form of

alienation of American capitalism taking advantage over Europeans in a desperate period,

European states were ruined by the Second World War and needed holy salvation from the

unholy trinity (WB, IMF and GATTS), therefore, it provided loans to the governments in

order to repair infrastructures and this made European government to lean on the rules and

regulation of the IMF, WB and WTO. Firstly, the foreign aids (literally debts) of the Bretton

woods institutions were meant to ease foreign direct investment, through structural adjustment

programs. Secondly the reconstruction of infrastructures will allow the foreign investors to

invest and gain profits over the national investments which guarantee them a new market

abroad until the economy of the country recovers and become able to compete with foreign

companies, and if they don’t become able to compete with this foreign power, well this will

be perpetual. Through these institutions, it became totally easier to influence other state’s

policies to adjust to the interests of Washington. Another outcome of the Bretton Woods

consensus was the introduction of the American dollar at the global stage. The idea was to

make the currency stronger through multiple transactions this currency could have in the

international business, this made it indirectly a substitute to gold I.e., it came a reference

currency rather than gold and the American dollar was referenced to Gold. if there was to be a

merge of economies, therefore, there was a need to have a fixed exchange rate that wouldn’t

fluctuate the world economy value and the dollar was a perfect balance since America

possessed much wealth at that time to maintain such a system, and foreign aid to some extent,

was designed to protect this system from collapsing when one state’s economy isn’t doing

well. For that reason, at the eve of the Bretton woods conference, the members pledged for an

exchange rate regulation for the trade cooperation among themselves within the new

economic order, this was given more fourteen years to be approved by IMF in 1958 after the

currencies of all the members were settled in order to not fluctuate the American dollar.
 OUTCOMES OF BRETTON WOODS CONFERENCE

T
he Bretton Woods conference created an economic power based on

capitalism, there was a need to base economy on individualism rather the

state centered economy that is mostly motivated by state ambition to

acquire natural resources of other states (under realism theory), with such continuous

conquests and wars, this couldn’t have favored a regime sought to foster foreign direct

investments for its bourgeoisie across the world, wars would have hindered business of

Americans that is why it became a concern of Washington to intervene and fight Nazi, fascist

and Japanese imperialists and it’s clear that a peaceful world was more beneficial than

detrimental to Washington. It was clear that Bretton Woods’s purpose was the abolition of

economic nationalism and make it privatized and liberalized by states to foreign investors,

liberalizing trade in that context was beneficial only to the countries that possessed enough

capitals and experienced and competent bourgeoisie, Washington wasn’t almost hit by

economic crisis due to its nonsignificant implication in the war. Therefore, the ownership of

essential resources such as oil wells went to American companies or shareholders from Wall

Street, and when extracted, the customer to purchase such commodity will buy in dollar.

Having access to crude oil was essential for the American economy because of its monopoly

at the international business and its homemade industries. Having much access to crude oil

means monopoly in that essential commodity for industries. Also, after refining the oil,

customers across the world will need the product but before purchasing either crude or refined

product, customers need to convert the currency in dollar on which there will be a fee of

exchange rate and hence making the US currency in the international transactions stronger.

Truly, American independence was absolutely and literally authentic! Such economic

interests explain the presence of oil American companies across the Middle East and the

British companies follow the lead. Any country possessing oil reserves and oppose to the new
world order, therefore continued to suffer repercussions and due to American economic

muscles (since it eventually has big market outreach); America will impose sanctions on the

“rogue state” and this sanctions always come collectively. Hence, oil and currency of that

state depreciate since the supply will be higher and demand lower and this will preserve the

international economic status quo. John Mearsheimer explains offensive realism theory on

emerging powers, he argues that powerful states will never tolerate any other country to

become powerful, therefore to preserve peace, it is necessary to maintain the status quo, the

powerful should remain stronger and feeble states alike. With the same ambition to preserve

the economic status quo, Washington, has waged wars against any challenging states, there

are several cases in which the US has engaged in war claiming that its military intervention in

different countries had an objective of spreading democracy and getting rid of all dictators

and tyrants but it is actually to maintain the Bretton Woods’s economic order.

Case study

The Gulf War in which Washington deployed troops in Kuwait in 1991 ; justifying the war on

imperialism of Saddam Hussein that was unbearable but the actual interests of the US was

the oil partners it had in the Middle East, the Bush administration worried about its oil

partners that could have been wiped away by Iraq, imagine Iraq taking over Kuwait, meaning

that the “former Babylonian empire” could have been established and the motives of Saddam

Hussein were to get rid of American influence in its backyard. Being a previous ally of the

USA, Saddam had been supplied with all military needs in the Iran-Iraq War, due to the

taking over of Iran by the Ayatollahs and the threats of terror attacks in the 80s, it became

unbearable for Washington to tolerate such events to occur, simply another oil ally (Kuwait)
couldn’t fall into such a “Rogue regime”. In order to deter such scenarios from happening, a

war was a solution for the United States. “We can see that you have deployed massive

numbers of troops in the south. Normally that would be none of our business, but when this

happens in the context of your threats against Kuwait, and then it would be reasonable for us

to be concerned. For this reason, I have received an instruction to ask you, in the spirit of

friendship — not confrontation — regarding your intentions: Why are your troops massed so

very close to Kuwait's borders? US ambassador to IRAQ Glassier in less than two weeks, on

2nd August after the American warning, Saddam was leading its mighty army towards

Kuwait, allegedly attacking for “aggression” reasons as but the actual interests of was the oil

reserves and the dominion of Iraq in the Persian Gulf. Saddam has a new plan for his

dominance in the Gulf, this pushed Saddam to engage in the previous Iranian war (Saddam

was secular as the Baath party too, the taking over of a Shia régime posed a threat to his rule

in the Gulf), although, he was backed by the US, Saddam and his squad were vanquished by

the Islamic revolutionary guards corps. Saddam is taking another move against the

Americans in this region, he develops great relationship with France in exchange of the Iraqi

oil monopoly for nuclear power equipment. This could become an ultimate game changer in

the international business of oil. How does Historical materialism explain the move of

Americans against Saddam? Saddam takes moves against the Bretton Woods agreements, he

wants to sell Iraqi oil in Euro rather than dollar in order to fight the American hegemony,

and Saddam can do it only when he has an upper hand of oil around the region. Well,

Saddam was a powerful and ambitious warmonger, the possibility to conquer the whole

region was envisioned and this was compromising the American business in terms of oil.

Saddam Hussein therefore became absolutely against the American hegemony, an previous

ally became a foe, and with the invasion of Kuwait (one of the oil biggest partners of the

USA), through Operations Desert Storms, it became Washington’s priority numero uno not
only to go to war in Kuwait and deter the expansion of the Saddam regime in the Persian

Gulf but also to showcase the American dominance in the world after the dismantle of the

Soviet Union, America was sending a clear message to the World so every nation knows

who’s the boss. In 2003, finally through “misinterpreted intelligence” saying Iraq detains a

weapon of mass destruction (WMD) was an opportunity to finally get rid of the Baath régime.

This move however; was ethically justified by the previous use of chemical weapons by

Saddam in the Iran Iraq War. Washington and its coalition finally invaded Iraq, took Saddam

Hussein to justice which ended with a final verdict to hang him. The Baath régime gone,

American democratic theory was finally established and more lenient and a Democratic

regime was put in place to further more liberal politics and the economic status quo

established by Bretton Woods agreement. I dub this as “violent primitive accumulation” in

contemporary times. In this primitive accumulation, capitalism as mode of production, must

chase “the landlords” who are leaders and any other ideology Americans qualify as

“dictatorship or tyranny” since they are not using a commodity to its potential to contribute

to the entire international community. Therefore, the new capitalism has a duty to ensure the

Bretton Woods agreements remain in effect although it has dumped it in the 70s towards the

OPEC countries. The installation of lenient regime will favor further economic interests of

capitalism. Such moves also occurred in Iraq, Guatemala and Libya, violent primitive

accumulation occurred in Iraq and chased Saddam Hussein who could not use the oil

reserves in Iraq appropriately to increase its economy under the conditionality of the Bretton

woods institutions and put in place a government capable of liberalizing the market for

international investors (multinational corporations) and sanctions were then being lifted.

However, the population, hence constitutes a big reserve of labor for the new companies

instituted either in infrastructure development or investment for little wages. This disaster
capitalism hence lets the population poor by focusing on profit maximization sometimes at the

expense of their well-being.

There’s one question of why did the US as a protector of human rights and democracy did

not intervene in Rwanda in 1994 when a genocide broke out costing the lives of the

approximately 900 thousand people. is simply perhaps the US did not have any interest in

Rwanda or no business deal with Rwanda?

Shortly after couple months, capitalism under the US reins, deployed troops in Europe and

chased Nazism and fascism, in Asia, they dealt with nuclear weapons on Japanese industrial

suppliers Hiroshima and Fukushima and the war was over, Capitalism came out victorious. A

new economic order was established and General Marshall framed a plan, a plan of

restoration dubbed as Marshall plan and to sustain Bretton woods institutions, this plan paved

a way to the American dominance/ influence in Europe and put international financial

institutions central to revive capitalism in Europe. The American strategy to lead the world

takes other directions rather than the ones used by Europeans (colonial imperialism), for

Washington, ways to impose its power internationally became institutionalized, because on

one side there was a political, and social institution that was being framed, discussed and

planned under Dumbarton Oaks conference in 1944, designed to maintain peace by the victors

of the war called the United Nations (initiated by Washington) which by its structure has five

principal organs with the most powerful organ, the United Nations Security Council,

composed of five permanent members having each a veto power on particular decision.

Following the end of Second World War, the victors were primarily in the number of four

(USA, Britain, China and Soviet Union), France was demolished by the Nazis during the war,

France’s power and its introduction in P5 was questioned, the four countries were divided into

two blocs, the communist side (USSR) and the capitalist side (USA and Britain), the UK
convinced the USA the inclusion of France and China to fight a new enemy respectively in

Europe and Asia. the USA needed allies in a most powerful organ in the world (UNSC).

Later, China turned its back to Americans and adopted communism, but France has continued

to provide significant and continuous military support to NATO when there was an Iron

Curtain during Cold War, and for then, a new threat to Bretton Woods was communism. If the

US is called a land of free people, it is because Americans fought the British empire during

mercantilism, a system that subjected them to solely trade with Britain, America was only an

extracting point of raw materials and direct taxation, this was exploitation and actually led to

their fight of independence, but after independence, it was a challenge to control the

bourgeoisie across the country in this anarchy, and the bourgeoisie was referred to any master

having economic power, however, rivalry among the bourgeoisie was high and this

immediately led to the American Civil War, due to that, there was a need to have a central

government to regulate the conducts of bourgeoisie and their affairs, different from any other

country’s history. It’s therefore clear to see how American government was created with a

purpose of managing the interests of the bourgeoisie especially, i.e. Americans are

businessmen (bourgeoisie) and understand well the language of economic power and their

foreign policy is intended to achieve mostly the interests of the American people, in this

reality, it is the interests of the American bourgeoisie, and tools used are no longer

colonialism or imperialism but an invisible economic order enforced by international

institutions; to maintain this status quo, America has been the biggest funder of most

international institutions promoting its interests. Immediately after achieving its

independence, the US used imperialism as a foreign policy to foster markets in the Caribbean

and Latin America, it needed to annex more states to increase its economic power, the wars

against Mexicans and Spanish in which they were victorious are also some “end justifies the

means” by Americans back then.

 Americans secured then Cuba, Guatemala and states in the south; once more primitive

accumulation of capitals was applied by American capitalism and this was a violent primitive

accumulation but this move of capitals needed to be justified or legitimized in the 20th

century. In the capitalism’s expansion, we have noticed that economic interests or historical

materialism has shaped or influenced the state and social organization either in Europe or in

America but in Africa most of state organization are driven by political issues mostly of the

political elites, this continues to make Africa dependent on western countries. However, in the

early 20th century, foreign policy started to change and the needs to control the world

intensified, there are some events which shaped to economic power of the USA such as

human capabilities, war economy (first world war), natural resources etc. following the end of

the war in 1920s, America experienced its golden age or economic boom, known also as

Roaring twenties, Therefore, to foster its foreign policy with an hegemony of free

businessmen on another side, Marshall plan became essential to foster foreign direct

investments in Europe and the rest of the world through financial institutions which are: the

IMF (International monetary funds), the World Bank (WB) and the World Trade Organization

(WTO) that have been established to regulate trade among countries, the capital flows and

regulate exchange rate of all Central Banks across the globe, each of these institutions was set

up to ensure the future of capitalism and indirect control of the Bretton Woods agreements

through which the world economic affairs couldn’t be managed through imperialism,

colonialism but through neocolonialism, liberalism, modernization theory and globalization.

In order to impose its economic order in the world, Bretton Woods institutions have

conducted research across the globe and possess a database with all needed information for

the survival of capitalism. Here are several functions they play in international system in

terms of economy:
Balance of payments (BOPs): if a country adheres to one of these institutions, he must be a

member of all the three institutions because they are one i.e., if a country becomes a member

to the IMF, he must abide to all rules, and of them is the balance of payments, by which the

country must register every transaction of citizens and government commerce and must not

exceed a particular number of transactions according to its economy. The financial institutions

have a role to control any transaction of imports and exports of all member countries, the

balance of payments is an indirect control and also a measure of security for capitalism.

Structural adjustment programs (SAPs): these are policies that a country is required to

implement in order to receive the loans from the IMF and WB, these policies can include,

reduction of the government expenditures or to liberalize the trade with other countries, and

this clearly demonstrates the preparation of a business area before the capitalist bourgeoisie

comes in to conduct business, this is a new form of imperialism seen during colonial era, in

which European bourgeoisie conducted business under colonial rule imposed by the

metropolis but this time, itʼs through foreign direct investments in which the rules still being

dictated by an external actors (IMF and WB), and profits are still taken by the external actors,

and government’s power across the world (especially in developing world) has become a click

of managing affairs of bourgeoisie.

Favoring the foreign direct investment (FDI): this foreign direct investment permits citizens

from another country to invest in another without restriction, and even sometimes collaborate

with the government as shareholders to run the business in that country, in the same

perspective, capitalism looks into the profit maximization, this means after the market being

saturated at national level, commodities of capitalists are affected by the supply and demand

and strong competition which leads to the risks of the investments to collapse by price drops,

but with an ideology favoring foreign direct investment, liberalizing trade, give capitalists a
new market in other countries and hence capitalism will spread across the globe, this ideology

was strengthened during Cold War, but become more applicable in the post-Cold War.

Tax reform: this constitutes the way the government manages the tax, either to improve the

taxes or to cut taxes, this tax reform must abolish higher taxation on foreign direct

investments.

Fiscal discipline: principles by which a budget of country balances the revenue and

expenditures, this means when a country frames the budget, the later must match with the

revenues to accomplish everything on the budget or possibly to have extra revenue.

Realistically, the financial institutions are the instruments or tools used by the capitalism to

spread their control across the globe, the tool for the American neocolonialism in the

globalization era, because history indicates that in 1995, capitalist countries declared new

world order, what followed was the reformation of financial institutions and the UN which

has been down throughout the cold war. Hence the GATTs became the World Trade

Organization in order to regulate the trade among states. The European Union policy for

single currency was promoted in order to complement the Bretton Woods fixed exchange

rates established in 1944. We have learnt how capitalism has survived multiple threats during

the Great Depression and the Second World War and what significant strategies were used to

maintain its power in the world. These strategies are among the most important that could be

used in the second part of this book to give Africans new perspectives to achieve economic

development. However, let’s look into another bulwark to capitalism during Cold War and

what strategies were used by capitalism to still maintain its position in the globe.
 5

COMMUNISM AND CAPITALISM.

One kingdom, two kings

“Capitalist production, therefore, develops technology, and the combining together of

various processes into a social whole, only by sapping the original sources of all wealth” the

soil and the laborer”.

Karl Marx.

M
arx agreed the importance of capitalism as a great source of wealth in the

first place but criticizes its social class struggle throughout the world. Karl

Marx (1818-1883) was a German philosopher, economist, writer and

political scientist and his writings on socialist system have influenced many international

actors in the early 20th century. Marx criticizes the capitalism and qualifies it as exploitation

of the working class by the industrial masters, causing hence alienation of the laborer. He was

the first to coin the word” primitive accumulation” and emphasizes on the society rather than

the individual as a unit of production. He is a revolutionary thinker and suggested socialism

rather than capitalism. together with Engels argued that capitalism has brought up rapid

growth, advancement of technology and urbanization, but their focus is on the surplus value

that derives from labor and continue to enrich the bourgeoisie and as long as the technology

will grow, this will mean the capitalist will not need many working men and will impoverish

the working class, for Marx the proletarians should rise and chase their masters and establish

industries owned by the working class. The working class should become the unit of
production and self-management of the workers in a particular industry or society, that is why

he even called upon women’s rise in that struggle. He also explains that the source of conflict

throughout the world is caused by capitalist system that results in the creation of classes in the

society, notably the bourgeoisie (the high class or owners of industries) and the proletariat

(labor class or the working people in the industry), therefore the bourgeoisie constitutes the

minority and the proletariat is the majority and it is the proletariat that makes the mass

production possible and hence should be considered as the unit of production rather than an

individual, and this was his conception of socialism. He coined for the proletariat to create a

class of people that negotiate to the owners of industries the wages and the welfare of the

workingmen in the industries, (Syndicate) if the owner of industry could not satisfy, then a

strike should be a solution until a new agreement is reached. This mode of production has

inspired a lot of state actors across the globe, leaders like Lenin of Russia who led the Russian

revolution in 1917 took away the tsar régime (described also as a feudal mode of production)

and installed the socialist mode of production as an alternative to capitalist mode of

production. Inspired by the communist manifesto, in his book “state and revolution” Lenin

pledged for communism as political, social, economic reform and practices to cut off property

rights by eliminating the classes in the society, the elimination of private ownership is at the

center of communism and everything to be owned and run by a leading communist party.

evolution of communism

Communism started few centuries ago, however, during the 18th century industrial capitalism

just started calling for social reform and for that reason, communism became more prominent

in the early 20th century in the Soviet Union. communism is a mode of production based on

capitals owned by the state or public body. the red army marched towards Moscow from Saint

Petersburg when they chased the emperor of Russia in 1917 with Lenin as the head of the

Bolshevik party. Vladimir Lenin (1870-1924) was the most inspired by socialist thinking of
Karl Marx and Frederic Engels who after reading socialist mode of production decided to

radically revolt (using his book, State and Revolution) against the royalty in Russia that was

governed by an aristocratic Emperor Nicolas the second. Lenin perceived this regime

embedded by feudalism and by people of high rank’s status with full exploitation which was

not in favor of the citizens. After his exile in Germany, England and Switzerland, he had

opened himself to read many works of Marx which inspired him to form a political party:

Russian Social Democratic Labor Party (RSDLP) and when he returned to Russia, he formed

a government’s regime based on communism, granting the ownership of properties to the

leading party which was the communist party or Bolshevik party. After the death of Lenin in

1924, Stalin took over the communist party and led as an incontestable leader and took many

radical actions. During his reign the communist party enlarged the heavy industry and

abolished any form of individualism in the country and thus, communism in less than half

century, the Soviet experienced mega advancement in industrialization and started competing

with the capitalist countries that have indulged into heavy industrialization two centuries

back. It has gained popularity in the world as it challenged the long ruling mode of production

(capitalism). Due to its ideology against capitalist’s expansion, the foreign policy of the

Soviet Union became to deliver other states from capitalism present in Western Europe after

the Second World War and the causing factor of conflict was the occupation of Germany

which later led to the Cold War. The war between the capitalist and the communist blocs

broke out. the capitalist block responded by creating a military alliance known as NATO

which was designed to inhibit the expansion of communism through Turkey in the Middle

East and through West Germany to western Europe. This was not just a war of ideology to

expand geopolitical ideology as many perceive but was the war of economic interests as well.

Give me a break, if communism reached the capitalist countries in the Western Europe such

as France, Belgium and Britain, this would mean the end of the Bretton Woods agreements,
its institutions, Marshal plan and more. First, the investments and funds granted by the USA

after Bretton woods consensus through Marshall Plan would serve nothing for America when

those states could be sieged or under the jurisdiction of the Soviet Union, the Soviet Unions

could eliminate the private ownership and would take those industries and investments found

in those countries to strengthen their economy and become much stronger than the US briefly

saying, this would the end of the capitalism. Secondly, the private ownership could go to its

end, many private organizations, firms, companies constitute the source of economy in the

capitalist world but communism could abolish that and make the multinational companies’

owners in the working class. But this was unbearable for capitalists due to their huge

investments, their time to build big cooperation’s and surely, it was unfair for capitalists.

Therefore, capitalist promoted whatever endorsements and funds in all sectors to deter

communism’s expansion in the Western Europe. In Asia, the countries such as south Korea

was granted a lot of funds by America to strengthen its military sector to resist communist

threat of North Korea. In Africa leaders were individually supported by the US, leaders such

as Mobutu Seseko were given funds and privileges, he was maintained in power by the United

States of America. In other countries coup d’états were observed, the socialist thinkers did not

have places in Africa and hence the United States took an upper hand to the Soviet Union in

Africa, but how? When African states were under colonization, the United States, under the

charter of the United Nations enacted a Trusteeship council in order to control the African

countries that were under colonization but as the cold war became intense, the United States

put pressure on the European metropolis to grant independence to the African states. It was

easier to control and influence African states through the use of money through their inception

in the world’s politics and due to their immaturity in the international scene rather than

cooperating with European colonies, and hence Europeans under the pressure of the UN

granted African states independence but neocolonialism was just at the corner, and the
elimination or toppling of any leader who would pledge allegiance to the Soviet Union

became a new normal. This leads us to analyze how capitalists secure their properties.

Capitalism and its security

Adam smith in the Wealth of Nations, talks about the expense of the security in the capitalist

mode of production saying, there must be an established and permanent army that trains every

day, moth and year to protect the properties of the capitalists whose taxes will pay taxes will

pay sovereign for the services rendered by the State (sovereign) to the capitalists, thus a clear

division of Labor. The capitalist to respond to the threat posed by communism responded by

creating a military alliance named NATO. NATO (Northern Atlantic Treaty Organization) is

an intergovernmental military alliance created in 1949. The alliance is composed of 29

capitalist countries that implement the rules established by alliance in order to ensure the

security of western states in regards to the “communist imperialism”. In response to the

creation of NATO, the eastern wing (communists) created a pact to deter any attack from the

western countries. The Warsaw Pact was the military complement to the Council of Mutual

and Economic assistance (CoMEcon), the regional economic organization for the socialist

states of Central and Eastern Europe. The Warsaw Pact was created in reaction to the

integration of West Germany into NATO in 1955, under Paris and London conference, but it

is also considered to have been motivated by Soviet desires to maintain control over military

forces in Central and Eastern Europe. During Cold War, the manufacture of nuclear weapons

was accelerated by the two wings, the world politics split into two blocks, other states were

aligning either with capitalism or communism. At the end of the Cold War with the collapse

of the Soviet Union, the power and influence of communism diminished and its threat swiped

away, the United States and its allies finally declared a new world order but in fact this order

was already framed since 1944. During the cold war, the IMF continued to influence some

countries with foreign aid, loans and military assistance in order to win the war. But, since the
enemy has been defeated, new ways of leading the economy of the world needed to be

reviewed. the formation of ICC, the World Trade Organization as well as the raise of the

United Nations that was really not working well during the cold war. After communist defeat,

capitalism survived and become incontestable, it thus, survived the communist threat, but

whatʼs really next? When you defeat an enemy that was so powerful, the next step is to ensure

thereʼs no rise of such a threat anymore. You have got to establish a system in which you have

full control and that’s what the free world did.

Globalization and neoliberalism.

At the end of the 20th century. After capitalism to have vanquished communism, the fall of

the Berlin Wall was celebrated in the free world, communism wasn’t anymore and the world

politics was peaceful, however it is important to signal that the world became more

troublesome to the economic order set in 1944 aimed at achieving international peace in order

to favor trade cooperation among states, as Robert Grave stated "we have before us a world

even mysterious than ever before" This caused a deep challenge to capitalist states due to

interdependency of economic activities, the new order under Washington DC aimed at

assimilating everything from political to social features. As Ramonet stated “It was clear that

the plan to unite the world under Washington guidance became an illusion, the reformation of

the UN; NATO itself couldn't answer who's the enemy” Liberalism became the only way to

control the world through " invisible hand of market “therefore it became the only way to

control the world economy, through capitalism, this new order was implemented by the

bourgeoisie in developed states and in developing states by financial institutions, in the 1980s

(Ramonet&Secara, 1998). Washington and London implemented those policies with

consistency though its negative impacts on common individuals. Hence it became clear for

America to impose those policies in other countries, that is why democratic fights became

common in the world, pluralism of political parties was imposed in dictatorial ruling regime
country. According to America, the world remained most unstable if the ultraliberal wave was

not exhaust, in developed society, technology has increased unemployment, the bourgeoisie

produced more wealth without creating jobs through high tech. in the south, liberal policies

brought serious damages, the governments were growing rich and citizens poor. For instance,

in the south as the president of Peru, Fujimori took over the country by force for his liberal

plan, the ousting of Mobutu in Zaire by Laurent Desire Kabila’s invasion, the assassination of

President Kabila due to his attempt to divert liberal policies until liberal laws were

implemented in 2006 elections by Joseph Kabila. As David S. Lander puts" all

underdeveloped countries of the globe are converted to the religions of industry and wealth,

and their faith exceeded those of the missionary leaders” Lander tries to explain that the role

of governments in developing countries to manage affairs of western bourgeoisie has outdone

that of the developed states which have been preaching the gospel (liberal policies) to them.

The establishment of the troop’s bases were promoted across the globe, troops’ bases in Iraq,

in Djibouti, Somalia etc. were set to enforce peace in order to smooth trade cooperation. This

marked the beginning of western domination across the globe as the western world declared a

new world order in 1995. That is why the global concern shifted from warfare to international

peace during globalization era, it is an ideology of diverting people interests from war, not

because of loss of lives, destruction of infrastructure as it is ethically described but because in

this era, stability is needed due to historical materialism. international business, economic

cooperation and prosperity among nations require international peace as well as stable

governments in different countries, to achieve this, democracy is used as a tool, imagine a

nonstable government in Somalia, unable to impose total jurisdiction and power on its

territory, also being at the same time the longest cost in East Africa full of pirates of Al

Shabab troops where most ships carrying valuable products pass through, business will

obviously be at risk and that is why US deployed its troops in 1993, though the mission failed
but capitalism is not deemed to fail, it used “mercenaries” through AMISOM to settle the

country’s situation. Threats of war are deemed to be eliminated, therefore, in the

contemporary times, threats have become terrorism, food insecurity, diseases such as

HIV/AIDS, Ebola, COVID-19 etc. Let’s see how capitalism therefore, during Cold War and

Post-Cold War sounded for Africa.

 6

MODERNIZATION THEORY

Neocolonialism in Africa

U
nder what impulses did traditional, agricultural societies begin the process of

their modernization? When and how the regular growth did become a built-in

feature of each society? What forces drove the process of sustained growth

along and determined its contours? What common social and political features of the growth

of the growth process may be discerned at each stage? What forces have determined relations

between the more developed and less developed areas? And finally, where is the compound

interest taking us? Is taking us to communism; or to the affluent suburbs, nicely rounded out

with social overhead capital; to destruction; to the moon; or where?

Rostow

What does capitalism’s power sound for Africa?

African states being independent from colonial masters did not mean their economic freedom,

after the departure of the Europeans; the latter continued to control the African states

politically, economically and culturally.

Another ideology came in the scene, Washington wanted to know the culture of Africans and

this was quickly followed by the mainstream of research in Africa purposely to understand

how Africans organized their societies after the departure of colonial masters. Likely in

Europe, Washington has proceeded with Marshall plan, but in Africa, modernization theory

was opted this time around in order to foster Washington’s economic interests as well.

Research were carried and recommendations were given to modernize Africa and to achieve

it, the following factors should have been considered:

1. Low level of technology: Africa is underdeveloped because the tools Africa is using are

still “archaic” agriculture’s tools such as hoe instead agricultural tractors that can be allow

fine ploughing and facilitate a mass production to change the economy of the country.

widely, Road doesn’t facilitate transportation still in the countryside, to travel, they use canoe

and footing.

2. Traditional culture: African culture is static and not changing therefore contributes to their

setbacks, the beliefs and customs of Africans are still indigenous.

3. The religious beliefs: the African religious beliefs are too traditional and not modern

therefore contribute to the setback of Africa.

4. Poor political system: that the African states have no democracy and have no formal body

to govern their communities.

Dictatorship and military rule being the most used systems in Africa.

5. Social bonds of kinship: there is no individualism in the African community, social

relations drive the communities and the latter help each other to reach a certain need, the

solidarity of Africans contributes to their setbacks because some people will not work hard.

Once more, Capitalism takes an opportunity at right time and period according to the

circumstances to expand itself across the globe, and when it expand, it is sought to spread

their interests of the bourgeoisie across the globe.

In Europe, it was Marshall plan to aid all the countries to overcome

the ruins and devastation of the war, at  that time, loans and credits were given to these

countries and therefore contributed their attachment to the new economic order under

Washington. Until today, states like France, Belgium and other capitalist countries owe much

to Washington in several ways.

In Africa things are more different, as Africans states have already received independence
through the American efforts to dismantle colonialism under the pacific treaty with Great

Britain, Africans were unstable in terms of economy as their masters did not prepare well the

countries after their departure, they were also poor in terms of economic statistics, through

this poverty, America chose the modernization theory to spread their control not by using

force but by foreign aid and this accordingly to their needs.

By conducting research in Africa, Washington wanted to know the modus vivendi of Africans

and to know what was really going in the continent, what feature can be changed in order to

integrate it in the economic new order and what role will they play in.

Something to recall is that imperialism has seized under American regime and the

deployments of troops can only be made in the name of humanitarian intervention or

peacekeeping mission, the protection of the minority, so in order to preserve and maintain

their economic system under the Bretton woods capitalism imposes its control through the

“unholy trinity” institutions terms and conditionality.

Any attempt to divert these interests, then any national organization, political party, rebel

group, or military officials to be used either to orchestrate a coup or to squeeze the ruling

regime that is against the economic status quo.

That is why after carrying out the research about Africa, to spread their dominion in Africa

they proposed the following solutions:

1. Transfer of technological equipment: they started assisting African states with computers,

agricultural equipment, the military equipment, but one question to ask is there not any

transfer the machinery for heavy industrialization if really the motive was to help African

countries to reach development level of developed states?

2. Education and training: they provided experts from developed countries to educate and

train scientists, military commanders and as well spread liberal culture through education.
When community that doesn’t abide by its customs and abandons its culture will remain

captives of another.

Africans welcomed the western culture and this became an easier way for capitalism to divide

and rule them, they considered the western culture as superior to theirs and they

psychologically remain captive

3. Change of political system: the introduction of democracy to be promoted rather than other

political system.

through democracy, multiparty and pluralism has come into existence as reserve for

capitalism and it can be used destabilize the ruling party anytime when the ruling regime is

not complying with the liberal politics agenda.

if the ruling regime puts in place liberal policies while dumping the programs that were threat

to the capitalism’s new order, therefore, it is right to maintain it even though it doesn’t no

respect human rights or it breaches of any international law, as long it serves capitalism’s

interests, hence it must be maintained.

Moreover, another political phenomenon is when a country is engaged into an armed conflict

but when settled, usually through a peace treaty and a new regime takes power.

this government will need to reconstruct infrastructure, social facilities and foster the

economy of the country and this requires funds which the state doesn’t possess therefore

pledges to get the grants, then Washington under its international financial institutions will

assist the state and make the latter to adhere to the new world order. therefore, the

liberalization of trade through structural adjustment programs of the Bretton woods

institutions.

4. Change of social relations: communal relations and African solidarity to be abolished

totally and establish individualism or privatization.

I have two questions to ask here,

if privatization is the new world order, why are foreign direct investment only present in the

privatization arena?

Why the privatization of resources only occurs from national assets (public assets) to the

multinational corporations and not from the government to its own citizens?

These questions are essential since they will shape the Second part of this book.

African leaders hence become middlemen of the capitalism system and leave their

populations under an extreme poverty. Who to blame? I really don’t know.

Thus, according to scholars, if those factors are to be considered, while assisting the third

world states, including Africa, they will reach a higher level of development.

They related development with modernization for rapid growth of heavy industrialization in

the globalization world, also links modernization to democratization.

Modernization theory became hence , a solution for African development which must

emanate from the developed countries such as the USA, but realistically, the actual interest

was to further the foreign policy of capitalism in Africa to outdo the Soviet Unions in Africa

during Cold War, because the USA had a lot of wealth enough to have an upper hand on

Africans. Most new African states were poor and immature in international scenes to cope

with international politics and they needed an external party for support.

But, truly modernization theory has brought a crisis known as Crisis of modernization which

here, refers to the desire of Africans to be modernized at a very quick pace, and its negative

impacts in Africa. History tells that Africans have been enslaved, colonized, what a fate! so,

in order to catch up the gap of being late on infrastructure development, level of technology,

etc. therefore, Africans use whichever means and resources they have, including taking loans

from international financial institutions which later hinder the decision-making at national

level due to the interference of financial institutions, in order to satisfy this desire of
modernity, Africans forget true stages which the loans they take were generated under

capitalism as well as the steps through which those developed countries went through to

amass such wealth.

Should Africa keep relying on foreign aid? If yes why? If not, what should it do to contribute

to the world economy?

 PART TWO

CAPITALISM AND AFRICA

 1

POSITION OF AFRICA IN THE GLOBAL ECONOMIC SYSTEM

The impacts of Capitalism and Neoliberalism

I
t is true that an African has always been on the other side of the oppressed and a victim

of all influent economic ideologies, particularly communism and capitalism; capitalism

and all its expansion’s models were designed to take over the continent since the

Europeans set their feet in the continent. First, Europeans used the African youth as labor,

they took away the working force that could develop Africa to work in different plantations in

America. Africans were shipped and tied as animals and were forced to labor in sugar,

tobacco plantations, construct homes, roads, railways in period of more than 400 years. What

a fate! During slavery, many ideologies were taught to the people of color that Europeans

were superior to them and hence had to be obeyed and they should execute whatever their

masters asked them to do. This helped the capitalists to get richer, because there was no wage

for a slave, the profits were tremendous, and the slave was purchased once and could be sold

later if his/her master desired to sell him/her to any other master. The impacts of this period

left Africa in a setback of 400 years and during this period, it was when industrialization was

tremendously evolving across the globe but Africans were still praying to God to liberate

them from the evil of the Europeans. Their desire was freedom and not wealth. The setting of

European colonies in Africa during the 19th century did not have the purpose to civilize the

African people but to forcibly control them in their own land and this was dubbed as colonial
imperialism. As Africans are from slavery, their focus was freedom, everything they aspired

was to get rid of the domination of the European master.

After the abolition of slavery, it only took few years to see Europeans settle in Africa with

missionaries to spread European religion and culture in order to use the same African labor

and extract raw materials and the raw materials were exported in Europe for value addition.

Everything about Africa was considered as indigenous and hence ought to be changed to

European practices, customs and cultures. This was a setback for Africa in terms of economic

development because; Africa was just a mine and a field of plantations and its population was

only in the working class and could not decide or influence political or economic orientations.

While other parts of world were getting industrialized, was trading, Africa was industrializing

European states either in Africa or in Europe or North America. The disconnection of

Africans with their descents in America, Caribbean, and Latin America caused by the Atlantic

slave trade had a huge impact on the economic setback of Africa, since the fight for their

freedom could only come with Harambe (togetherness) of the African children across the

globe. In the 1960s, most African states got “independence” from their colonial masters,

Africans celebrated freedom from torture, forced physical labor or briefly direct control of

Europeans, but realistically they were not free, the hardest part has come for African children

to overcome, the neocolonialism era. Europeans never wanted to leave Africa since they have

come to depend on it and if Hitler and Mussolini did not ruin Europe, surely Africa could still

be under colonization till now. African independence comes from Washington because after

the fall of the British Empire; America wanted to dominate the global economic stream

hereby creating new institutions such UN and its agencies in order to stay behind those

institutions, and it wasn’t possible to dominate the entire world with other countries under

colonization. In the current world system, realism still persists, the anarchic system is hidden

by the liberalism and idealism of the Americans... but the truth Americans still pledge for the
principles of Machiavelli the world is not regulated by any global institution; therefore, the

countries enter in relations with others if they will and attack any state that can stand as a

threat to them, That is why they have attacked several countries such Iraq with the statement

“you are either with us or against us,” George Bush calling upon a coalition force to attack in

Iraq 2003, however, this doesn’t mean American values for liberty and freedom are wrong

since it led towards independence of African states. The same happens for Africa which still

constituted of weak states in terms of defense, they can enter into diplomatic relations if they

desire, if not, some private actors fund rebels either for disaster capitalism or it’s just a

consequence of an attempt to promote liberal policies and thus destabilizes the state and

humanitarian intervention may therefore follow.

A case of study

The deployment of NATO forces in Libya is a typical example on the realist orientation of

capitalist world, hereby willing to take over the Libyan oil and destroy Kaddafi regime that

constituted a threat to them in terms of the single currency (dinar gold) that could replace the

dollar and euro as the medium of exchange in Africa. Gaddafi was a terrorist leader and I

donʼt support all his manipulations to outdo the western world, but my point is to show how

capitalism couldn’t allow a man like Gaddafi has an economic dominance in Africa through

the Dinar gold. He therefore, traveled across the African continent to influence the rest of

Africa after his failure with the Arab league to adjust the Bretton Woods agreements, to

radically start trading with capitalist countries in gold dinar. it was clear that NATO didn’t

have to negotiate with Gaddafi because he represented a threat and he has become a solely

man left by his Arab brothers and the sub-Saharan Africa. It was clear that the Bretton

Woods agreements was under threat and that threat was only one man, Gaddafi and he had

to go.
And since the American regime has come into the global economic affairs, Africa has never

been ready to get into the new world order and globalization has ever put Africa

underdeveloped, and the system is the same, the bourgeoisie gets richer and the laborer gets

poorer. But one thing Africans must know, is that economic freedom cannot be acquired from

the Bretton woods institutions aid but it is planned and fought. Because neocolonialism is

fueled by the financial institutions which grant loans and aids to African states, taking into

this into account, it affects the economic growth in way that conditionality of the financial

institutions is strict and inevitable, once a country becomes a member to the institutions, it has

to abide to the conditionality which in any case favors the Bretton Woods agreements. With

the financial institutions, for as long as many African governments are corrupt and when they

fail to pay back the loan, that country can be declared bankrupt, but a loan can be paid in kind

or in cash, therefore some natural resources are taken over by capitalists. For that reason,

many African leaders become puppets today. Modernization theory has brought a range of

problems to Africa; this was just another way of exploiting Africans, not with force but

financially. While embracing modernization theory, Africans have forgotten the economic

stages to follow in order to have an economic boom, Africa doesn’t have to jump steps. Here

are the three stages of the economy: The primary; the secondary; and the tertiary stage and

Each of these steps must be pragmatically addressed and followed in order to combat

underdevelopment and the negative effects of capitalism. Modernization has mostly come

with the primary and tertiary stages which generate a broad of problems to the economy of

Africa. There have always been grants and loans for agriculture, farming which produce the

raw materials and later to be sold at the initial state instead of commoditizing the products, to

increase the value of the products, and the raw materials are normally used for local

consumption. These grants come with the creation of non- governmental organizations, which

some are profitable and other many are nonprofitable and they solely employ people and
guarantee them a small wage because there is no increase in the value of economic standards

in the community. it is preferable to supply the manufactured computer rather than telling you

actually how to make one computer yourself or/and supply you with machines needed for the

making the computer. It’s actually said that African countries are incapable of dealing with

such advancement, that Africa doesn’t have funds and human capabilities to fulfill and run

them. realistically it’s true and but ideally and logically, it’s not; just close your eyes and

think about heavy industrialization in Africa with its abundant natural resources! This will

translate as the end of smuggling of minerals, the competition that will nor favor the business

of big boys and also the end of an effective supply from which they fetch raw materials. But

that’s not at all true, African can become industrialized without causing any damage to the

Bretton Woods agreements.

So, what can Africa do?

Walk away from the new world order?

 REMAIN BUT ACT WISELY

A
frican states should not hence quit the current economic order though

geopolitics continue to threaten its stability but they should remain and deal

with these issues (negative impacts of capitalism) to build a strong economy

and get leverage in international business, through capitalism African countries should

consider how capitalism evolved in order to fill the gap of development that emanated from

historical materialism. Africa is a big continent of more than 30 million km square (Sayre,

1999) which most of it still idle (uncultivated) and a population of more than 1.2 billion (with

a big percentage of young people) (Swanson, 2015) with potentials to develop in less than a

half century. the only factor that African states have to consider is the commodification of

their raw materials, the influence of historical materialism, a systematic connection of

business or trade area, as well as the political economy that will boost their economy and not

that can make it sink. According to a report published by the United Nations in 2003, Africa’s

GDP was less than of the USA, France, Japan and China combined whereas in Africa there

are many countries that are rich in terms of natural resources, but not all of them are at same

level of resources. Countries like Nigeria (oil and arable land), D.R. Congo (cobalt, tungsten,

diamond, gold, lithium and gold, arable land), Sierra Leone (diamond and arable land),

Somalia (oil, fishery and livestock), Mozambique (fishery, arable land and oil), Angola (oil,

diamond, arable land), Botswana (diamond), South Africa (diamond, gold, arable land), South

Sudan (oil and arable land), Gabon (oil and timber), Ghana (gold and oil), Cote dʼIvoire

(arable land, oil, cocoa) etc. making Africa very wealthy in terms of natural resources and if

these countries for instance, manage their economies well and promote trade among them,

Africa’s development will be exponential, they can be the liberation of other states from the

bondages of financial institutions’ loans or Chinese loans. However, most of those countries

are already considered as failed states because of armed conflicts that are caused by the
primitive accumulation of capitalism (geopolitics) and media around the world that keep

airing bad images of these countries and ranked them as failed states, full of miseries, hunger

and insecurity, this also creates a certain bad perception within Africans towards their fellows

making each state to carry its own cross, this is the “divide and rule” principle that creates

division among African states to combat the African unity since Europeans landed in Africa

during mercantile era. Not all countries can get to economic growth rapidly, but achievement

of this will guarantee the African economy’s recovery and restore Africa’s dignity, once again

every African will feel comfortable home as before in the precolonial era. But how is this

possible with this system which is bond and interconnected to liberate from the impacts of

capitalism and neocolonialism? Most of African leaders are perceived to be puppets of the

western world while leaving the African population in deep misery by waging clashes or wars

for their political interests allegedly influenced by international actors who have long terms

interests in the countries. The western superpowers as well as eastern powers such as China

and India give aid to African leaders to influence their political decisions in order to guarantee

them overstay in power; for the greed of power African leaders sign treaties and agreements

that destroy their economies in the name of national interests while wars, hunger, poverty

continue to spike across regions. The creation of employment is not promoted by these

governments as it was done by President Franklin Roosevelt during the great depression but

they opt for foreign direct investment or foreign portfolio investment to create employments

while forgetting that capitalists always endeavor to minimize cost of production, African

employees receive less wage than internationals, therefore international investors continue to

amass wealth from the poor population; ethically this is not wrong, but the taxes paid to

government’s coffers are not utilized for population’s sake but either for personal use of

corrupt government officials or the interests of ruling parties. Out of that, it is the African

population that is marginalized indirectly by the western countries through their own their
leaders “their partners”, Africans have been condemned to hustle, survive or die in everlasting

poverty. People are living below poverty line i.e.; African people are living under 1 dollar per

day (according to World Bank), The political classes that have been established through “so-

called democracy” or military coup have been the source of systematic and continuous looting

of resources in Africa leading to economic degradation during Cold War and pos Cold War.

Too many political clashes have resulted in huge conflict in most African countries, in which,

first the population doesnʼt have any influence to alter some political decisions or situation; a

typical example can be South Sudan, in which, president Salva Kiir have disagreed on power

sharing with his Vice President Riek Machar in 2013 plunging the whole country into a civil

war until 2020 (Thea Gutschke, 2014). This chaos is influenced by power struggle of leaders

and divert the intentions of African leaders not to focus on their economic priority or quests

for economic power but only on the political power, at the end of conflict, there are loose of

lives, infrastructure destruction, economic decline, political instability, raped women,

migration, etc. and since out of any conflict, there are losers and winners and this

phenomenon raises political tensions that result into conflict, African leaders are blind to

realize that a conflict only puts in danger their own countries, in-spite of working together.

Mobutu said at UN conference in 1971 “Africans should avoid small rivalry among them and

start working together” this rivalry leaves the state collapsed which will require many years

for the state to recover its economy, meanwhile multinational companies will continue

coming and plundering the resources of the nation sometimes without paying appropriate

taxes because of chaos. Then who wins!? The above situation leaves African population

victims of the situation, most of African leaders donʼt bother about the fate of their population

because there is no strong system that regulate the conducts of both, the governments and the

populous; I will argue that African governments possess feeble armies only to protect their

political power and since they donʼt have anything to protect like big companies owned by
their nationals that can generate a lot of tariffs or taxes to the governments, and since in

modern era, governments are meant to protect the interests of bourgeoisie (which most

Africans aren’t); most economic sectors have been privatized to the multinational companies

and most of them actually hire some private security companies to protect their firms, i.e. the

coffers keep increasing and most of this money is utilized for militarization and leaders’

luxury, therefore for a conflict/ war to last long while resources are being plundered by the

capitalists doesnʼt have any effect to African leaders as long as the latter maintain their power.

(Jordi, 1998). But can the governments really deliver themselves from these pressures or

impacts of capitalism even though it was sought to? No country is destined to starve, but it

becomes very clear that the African governments are unable to change the situation of

poverty, to lift up the rank of the undeveloped countries, to alleviate hunger and eradicate

internal conflicts due to international interference and the economic interconnectedness,

without counting other domestic issues stated earlier. Most African governments are in

democratic rule which involves accountability to the people, the people who elected them for

representation at regional or national level; but in Africa mostly, the masses are left away

from political life, when a government stays long in power and no longer serves the interests

of capitalists, it is dubbed as a dictatorial or authoritarian rule, sanctions will be imposed on

that government in order to force compliance, when democracy (multiparty politics) has been

instituted, it becomes easier to use a political party within the state in order to dethrone the

ruling regime, and most of the time, this political party has the masses and that is because of

masses hatred towards the ruling regime due to their long services of western powers that left

the country’s economy in ruin; meaning that the major actors and motives remain the same,

only regimes and leaders change, it is only the game of both African regimes and superpowers

while the masses are used for public opinions purposes; democracy has its pros and cons, but

seems like democracy in Africa has more cons than pros, as President Kagame puts “Africa
does not have to imitate some western political systems” if democracy worked in USA, it is

because of the American bourgeoisie who fought for “true freedom” in order to have a

political representation to further their business free from any crown or aristocrats, and in the

contemporary times, it is used to further their business across the globe, but does Africa have

such a powerful population to influence their governments to shape policies to achieve their

interests?

If democracy fails, a military intervention is another remedy, superpowers invade the country

in the name of liberal internationalism (human rights, democracy, humanitarian intervention),

violently to make a regime change, but realistically regime change is motivated by economic

interests, once democracy established “peace” will reign and eventually international

firms/investors will be allowed to operate business. liberal internationalism, it is explicitly

defined as a concept of interventionism of liberal states in other sovereign states and promotes

liberalism, this includes ending dictatorial, monarchic, aristocratic regime (regime change)

and establish a regime of democracy in that country, the new established regime is actually

established by the interventionist states, and the initial motive will be the liberalization of

trade that put an end to economic nationalism as stated earlier. This concept became more

vibrant in Post-Cold War, when the US actually wanted to impose its economic order

established in 1944 which was hindered by communism rivalry in cold war, there was a need

to reform the world under a liberal regime enforced by liberal factors i.e., democracy, free

market, regional economies to reduce threats to the economic status quo, humanitarian

intervention etc. This doctrine of liberal internationalism justifies their intervention through

democratic peace theory which argues that undemocratic countries are likely to get into

conflicts due to dictatorial or tyrannical regime that will undermine security of the population

and their properties but democratic countries in which rule of law, political representation and

a clear and strong separation of power are not likely to fail into conflict. Moreover, after
achieving democracy at national levels, it is the duty of liberal states to intervene in

undemocratic states using troops deployment; this sounds ethically right to liberate other

nations from dictatorship or tyranny but the motives are more economic i.e., interests of

interventionists. This explains also assassinations, coups and military interventions in past

three decades after Berlin Wall failure, any leader who tries to apply isolationist policy as a

foreign policy to deal with external powers on minerals in Africa, will be either assassinated

or toppled, Thomas Sankara can serve as typical example of an African leader who walked

away from capitalism in Burkina Faso and he ended up assassinated by his close friend

Compaore Blaise. if the leader cannot be reached, sanctions will be put in order to destabilize

the economy threatening it to liberalize trade, e.g., Libya during Ghaddafi’s rule received

sanctions on its oil as well as arm embargo in order to devalue Libyan economy when

Gaddafi nationalized the Libyan oil which could have threatened capitalism rule in Arab

world and Maghreb (Bule, 2011).

So, for a government to liberate itself from this bondage or impacts of this system, it is

subliminally and absolutely impossible since economic sanctions and other measures that can

be imposed on them by a strong invisible hand. In every sense of this, there is no spirit of

sacrifice in African leaders, and those who tried were assassinated or toppled by a coup d’état,

they all know that if they change their ideological orientation, they are exposing themselves to

a sure decline and, serious consequences will ensue including insecurity of the population and

this put them into a dilemma which they resolve badly. Instead of trying anything new or

elaborate long term goals that will later have positive impacts to liberate the continent from

neocolonialism in the near future, they choose to remain in old habits, hence they only come

to power either to maintain the status quo and continue enjoying the privileges of presidency.

This hinders the African development, because a government can have an agenda that can

achieve economic growth during its mandate but if the agenda doesn’t match with capitalist
standards and threaten the economic status quo of the world, it faces sanctions and other

challenges that will make them adjust to the system and surely renounces the agenda that it

intended to work on.

But one thing African leaders should bear in their minds is, you can work with western

countries and when both your interests overlap, and if you are not aligning to their terms, and

find ways to get rid of you, that’s human nature. They will systematically replace you with

someone else, as seen throughout this book, historical materialism determines the motives of

human beings. the next page of the book is, even the population that you rejected in order to

conserve your power will also be against you too. The typical example of this was the end of

the Cold War, Washington has been supporting Mobutuʼs regime for almost 25 years in Zaire,

they needed Mobutu with the giant Congo to win the war against the Soviets Union but when

the war ended and their interests to democratize Zaire overlapped, they cut ties with him,

Washington couldn’t assist him when the AFDL of Laurent Desire Kabila attacked the

country in 1996. Washington sent the American ambassador to DRC to clearly tell to Mobutu

that Washington is no longer assisting him, so he could prepare himself to fight back the

rebels meanwhile the population who he did not serve well during his reign abandoned him

too. They all wanted him to go (Winternitz, 1997) Africa has been subject to numerous

economic exploitation patterns that made African governments dependent on developed

countries, this system is complex and cannot be simply overturned, this influence is not only

ideological but also psychological to African people. But in the middle of darkness, only

lights can overcome, there are still other mechanisms that Africans can do in order to change

the system of their governments’ domination. As it has become difficult for the governments

to carry out their duties properly because there are under pressure of the western world, it is

time to consider the coming generation for what they can inherit. For a state to be recognized

a state, it must have a territory, a government, a population and its sovereignty but the most
acting element either in politics or economy in Africa is government, as Muamar Gaddafi

argued that in representative democracy “the masses are completely isolated from the

representative”. The population elect representatives but after electing them, they don’t fulfill

their promises leaving the masses isolated in the political economy in most African states.

most of African land is still under governments’ appropriation and policies are made by the

government which have already been under the politics of exploitation by the western powers,

it is time to change that! One class of the population conducts micro economics of small

enterprises that cannot even influence the economic policy of their states, another class of

people use farming for subsistence purpose or sell their farm products with less or no added

value. African people are not economically strong, therefore can’t influence economic

policies. Therefore, I would like to argue that governments have many tasks to accomplish in

developing countries such as ensuring defense of the entire territory in order to defend its

sovereignty, ensure the infrastructure development, reaching out the needs of population that

they cannot do every time, and it is under these duties, they are trapped by international

financial institutions to continue serve their economic interests, as long as this continues,

nothing will change this situation until African leadership considers the primary element of a

state which is population or the masses. time has come to use the masses to achieve economic

power, that is the only way to achieve economic growth and development under capitalism

and make harmony with of the western powers while eliminating middlemen (African

leaders) and this will be considered as veridic independence or liberty, the effective weapons

of every revolution have ever been population. in 1789, France in comparison, this revolution

to establish a new regime that of liberty has been fueled by the population and not by the

crowns. Therefore, for this situation to change, African governments have to share the tasks or

responsibilities in order to adequately carry out duties that will guarantee the security, the

economic growth of the population itself and promote the image of the state at the same time;
the governments and their citizenries must be driven by a high degree of nationalism and

economic interests to work together and achieve the unthinkable.

AFRICA, WHAT TO DO?

“it’s not good for man to be alone”

T
he involvement of the masses or common individuals must be in economic sector

in order to create African corporations and their regulations by market’s drivers

(under capitalism’s rules) rather than the governments as it was in the mercantile

period in Europe. The government will involve individuals in terms of private sector to create

big corporations and they can transform the economy of Africa, especially in the countries

that possess tremendous mineral resources and other potential natural resources. But they

must work hand in hand with governments to achieve economic freedom from international

loans, and they will bring a new social relation among African societies that will be

influenced by economic foundations and not political pressures and clashes. In fact,

dependency theory explains how capitalist countries promote unequal terms of trade; it

explains how the raw materials are flowing from the underdeveloped countries to the core

countries which are developed. Given this situation, Africa must rise and stand up for the

coming generations, because not only the western countries are taking over Africa but also

countries such as China and India are emerging and have already stepped their feet in Africa,

thus becoming threats to Africa’s economic growth of Africans are not raising. And since any

nation can rise and exploit the continent, if this situation persists, meanwhile Africa has the

potential to become a leading economic power in the world if only there is a proper
management of resources and advancement of educational and technological sectors. So far

there have been two wings that proposed a solution: One, that of radical Africans who are

opting to cut all economic ties with the western powers, including their backed institutions,

this means to delink any trade cooperation and start a new African economy afresh but

moderate Africans are lenient and advocate for harmonization between the western powers

and underdeveloped countries, therefore, they proposed the following: Transfer of

investments; labor; experts, industries etc. Fair terms of AID, thus, aid with low interest rates

with long duration and fair bilateral trade. however, till now, the situation has prevailed and to

make matters worse, it’s degrading. Due to climate change in certain countries, environments

are no longer habitable, with famines, diseases, modern primitive accumulation of violence, to

name some: Somalia, Democratic Republic of Congo, South Sudan. Etc. There are still many

problems to resolve in Africa for it to build an economic power and get leverage in the

international business, but to be realistic, not all the countries can stand quickly to that level.

It is time for African countries with potential natural resources to rise and become

economically powerful that will eventually make human security possible and later create

financial regional blocs to serve as alternatives to international financial institutions or

Chinese loans. Here what they should do:

1. Instead of walking out the current economic system that has been unfair to Africans which

is capitalism, they should remain but act wisely.

2. To form financial blocs in order to accumulate funds through private companies to serve as

an alternative to the international financial institutions.

3. To consider the economic process as provided in this book that were used by developed

states to achieve their economic power.

4. To provide grants/ loans to the vulnerable economies in terms of private companies

transfer. 5. Private companies to be held in form of oligopoly regime by families under the

government control and rules.

6. Education and technology should be one of the state’s priorities, most of them should be

privatized to ensure an adequate quality.

7. The transformation of raw materials into manufactured goods to be promoted (heavy

industrialization should be among the top three state priorities).

8. Creation of private security branch to protect the companies and interests from invaders in

conflicting zones.

9. Finally, creation of a stock exchange which will guarantee only 20% of shares in any

company willing to cooperate with any foreign shareholder and the rest should be reserved to

national shareholders, this 20% can increase when African corporations are settled. the

creation, power, organization and evolution of these African corporations are described in the

next chapter.
 2

OLIGOPOLY THROUGH FAMILISM

the lights in the Middle of the African shadow

“We see, therefore, how the modern bourgeoisie is itself the product of a long course of

development, of a series of revolutions in the modes of production and of exchange. Each step

in the development of the bourgeoisie was accompanied by a corresponding political advance

of that class, since the establishment of Modern Industry and of the world market, conquered

for itself, in the modern representative State, exclusive political sway. The executive of the

modern state is but a committee for managing the common affairs of the whole bourgeoisie.

The bourgeoisie, historically, has played a most revolutionary part. The bourgeoisie,

wherever it has got the upper hand, has put an end to all feudal, patriarchal, idyllic relations.

It has pitilessly torn asunder the motley feudal ties that bound man to his “natural superiors,

and has left remaining no other nexus between man and man than naked self-interest” (Marx

& Engels, 1888).

I
n the above quote Karl Marx describes the importance of a bourgeoisie in a society,

therefore African countries must privatize the most valued and biggest economic

backbones to their citizenries with a purpose of creating an African bourgeoisie and the

governments will concentrate on regulating the powers of these companies to remain in their

gravitation. Most African countries have been ranked on the list of poor states, this

program/strategy aims to remove rural exodus of the young people who constitute the labor

force in their continent and will greatly alleviate poverty in Africa. So how can common

individuals be made bourgeoisie and become able to transform the economy of their countries

and get a leverage in international business?

Familism

First, the government should approach familism as an ideology and consider a family as a

unit of production just as in form of individualism, since a family is bond with cohesion and

devotion, everything is done for a family’s interests and wellbeing, this actually leads a

society to true nationalism, For every human being, from antic era to date, there has never

been an important thing rather than a family, therefore to consider as a unit of production will

impact positively the African economy to start with. Note: family is refreshing to a tiny one

and not a big one. When some families will get involved in economy, they will be motivated

by great achievement mostly fueled by certain level of pride and this will eventually lead to

competition, that familial pride is a true source of nationalism and the competition is the root

of economic growth, by doing this the government puts or charge economic responsibilities in

its citizenries such as Nyerere J. (first president of the republic of Tanzania ) Considered a

village as a unit of production with Ujamaa in Tanzania, Ujamaa literally meaning socialism

within a village helped Tanzanians to come up with an alternative economic ideology

different from all dominant ideologies notably communism and capitalism during Cold War.

Ujamaa consisted of agrarianism as its major mean of production; people in a village farmed

on large hectares, they worked together to achieve huge yield of crops and when harvested,

they were quickly transported to Dar es Salam port and to the rest of the world, some incomes

were later used to build social facilities and local infrastructures and the rest was distributed to

every family in the village. Nyerere entrusted economic responsibilities to a whole village and

this actually worked for Tanzania but this mode of production quickly collapsed because it

lacked some motivational recipes such as competition among people in a village,

misunderstandings arose when some individuals could work hard and others not, since every

family received same amount either you worked or not. Therefore, to promote both
nationalism and economic growth, government must consider family as a unit of production

not a village.

The achievement of nationalism will occur when systematically social relations rely on

common interests of different families in that society, none can exclusively build a strong

social bond without considering materialism because human beings are naturally selfish, they

tend to achieve their interests in detriment of others, therefore to achieve this social bond

embedded with nationalism, common interests is the only masterpiece of that cohesion.

Corruption and treason are mostly influenced with personal interests, when a human being is

left to hustle, survive on his own and when there are no shared interests in the society that

emulate nationalism, he betrays where he belongs, and when he/ she betrays his society, and

because there’s no social bond, punishment will rarely occur. This explains corruption and

greediness in Africa and should be dealt with such ideology of familism and unless Africa

deals with corruption in this way it’s not going to greatly reduce. Tackling it through

institutions is also another mechanism to deal with corruption but due to poverty, this will

only increase its secrecy.

Oligopoly theory

This theory bases its assumption on the monopolies of different companies over other

companies, the economic activities, sales and price market being mostly influenced by a

certain group of companies, therefore the economic system should be influenced by the

competition of these companies. In this context, this oligopoly theory should be based on

individualism through familism for the reasons explained earlier. But one thing to notice is

this oligopoly theory should only be applied in a period of a 50 years, i.e., for the sake of

achieving economic power, governments should restrict other nationals to deals in some

sectors in which these companies will be venturing in that period of time and must ensure that

there is no overexploitation of the consumers (population).

This is, a period to apply oligopoly theory in Africa in order to build big African corporations

and other joint companies, Africa having tremendous mineral resources, arable land, in a

period of 50 years, these tremendous resources should be managed, used or traded by these

companies, and this permit African companies to possess a leverage in international trade

hereby having total control of the flow of resources within national boundaries or in

international arena. Africa has a setback in terms of development compared to other

continents and through these companies, Africa can rise. The companies should have

monopolies to exploit lands, minerals and natural resources but other new local families’

companies should be created and they will manage the primary and secondary sectors and will

not have monopolies as these other companies but, after the period of 50 years, these

companies will no longer hold monopolies over strategic sectors. This assumes that

companies and governments will be driven by positivistic nationalism with initial interests of

achieving economic development; this favors primarily the national companies that are under

families and in contrary will disfavor the multinational companies already in the country and

therefore, for international companies operating in the country, they should continue operating

until their running agreements with the governments are done, if there is any pay back, it

should be done and African companies should rise and start taking over natural resources to

achieve economic prosperity. If there is any debt from international financial institutions, the

government should endeavor to clear the debt from in order to set themselves free from any

further interference; however, Bretton Woods agreements will continue to be in place without

altercation. Second, the government should mobilize funds from taxes in a period of 5 years

reserved solely for the programs and these funds will be distributed to all regional

governments in order to generate new programs that will change the state mode of production

and will lift up the economy of the state while lifting up the living standards of the population

too. After settling the above situation, privatization through families must get a green light.
Here is what the regional governments should do:

The creation of an Entrepreneurial center/ institute of science management and operations

Research.

Within a province, state or county, the regional government will select 30 individuals who

must learn patriotism and hence be nationalistic and must have descendants. These 30

families or individuals must be trained for a minimum of 9 months the skills in operational

research and entrepreneurship and nationalism in a new institute established by the regional

government, and this must be done by the regional government and only the descendants of

these families will pursue the course after the wave of their predecessors and since this should

be from their childhood until they replace their fathers at the heads of their companies which

should be created after the course at the institute. Once the companies are established, the

government needs to enact new laws that will guide these companies in order to harmonize

the markets for all 30 biggest companies in that province, state or country reflecting to

Keynesian thought of government’s intervention, this intervention should only cease when

these 30 families are well established. The government hence; has to fix some rules in order

for the companies to run, while emphasizing on mass productivity of raw material, industrial

outputs of these companies and consumer’s disposal incomes. Each company will be required

to meet a certain number of products that is to be fixed by the government in order to reach

the goals to be set by these companies. The primary purpose of these companies is to

eliminate extreme poverty in Africa and once grown up to gain leverage in the big family of

the international companies and establish local mining companies. In every province/state/

district, these 30 companies will work hard while being supported by the government to

replace all the companies across the country. To deal with big and wealthy companies in

province, the all 30 families must boost their economy and act as shareholders to compete
with international mining companies, the idea is to concentrate funds within these 30 family’s

companies that will make them strong enough to establish two or more mining corporations,

and thereafter secure a standing point in international market; and in a province where there

has not yet been an international mining company, therefore these 30 companies will work

together to raise funds and establish one or two mining corporations in the region.

How can hence these families meet this capacity to take over these international

businesses?

THE MODERN ECONOMIC REVOLUTION OF AFRICA.

E
verything should start by the government willingness to sink appropriate

and considerable funds into these programs that can change the continent,

Government must intervene in economy as John Maryland Keynes

advocates during economic crisis (not assuming but Africa is in crisis). the economic

revolution comprises new African initiatives that consist of:

Establishing an advanced sophisticated agricultural center seconded by an efficient Biotech

institute in agriculture, fishing and farming. This center should be equipped of the new

technology features to facilitate the research and improvement of products in every province.

It will be constituted of all active biologist experts in genetics, the agronomist experts to

improve the agricultural knowledge, as well as the experts in veterinary in order to prevent

the animal disease and regulate the behaviors of animal, to study the soil composition and

structure, to collect necessary information of climate around the state/district/province the

possible diseases that can affect the flocks in the region, as well to present new solutions to

overcome any related challenges. Skills and nationalism are the most important factors to
consider and should be at the center for selection criterion of experts; hence this center will

grow around the province and should teach new materials to students that will enroll to it. The

students and their teachers must be fast learners and capable of generating new ideas ranging

from developing new antidotes to any disease, the vaccine for the prevention of any disease

that could possibly affect the productivity of these companies on big scale. The use of tractors

and drip irrigation to be promoted by the center, due to climate change, this will help the

companies to produce even in the dry season or in the region where agriculture is impossible

because of climate. It will recruit and form agronomists especially geneticists of plants in

order to create hybrid breeds of plants resisting diseases and this for the flocks too. This

center will teach students that will focus on practice rather than theory while emphasizing and

combining their knowledge with technology provided in the technologic center (that will also

be created) in order to have an advanced agriculture that could nurture the population in that

particular province affordably. The center will have to admit a certain number of students in

proportion to the number of the population in that particular province. This center will have

the mandate to produce experts that will work for the companies established by those families

and hence together with the population and the companies will boost their incomes that will

first provide employments to the class of experts on the field of agriculture. Each and every

year, every student in the finishing class must make a project that must be approved by the

center in order to be applied for the advancement of agriculture in that province. The corn, the

coffee, the cocoa, the tea, the cotton, the wheat, the sorghum, soya farming and other cash

crops that can be transformed into the manufactured commodities will be tackled.

Center of technology

This center will be composed of experts having the high computer knowledge, programming,

computer science in order to make the tasks easy for the companies. This center will have to
establish high speed internet connection and the new room for all experts that can create new

application software to control and smooth the productivity in the field, the automatic

irrigation such as the Netafim technology, the modern housing with full automatized feeding

system for the animal farming sector.

Importance of agricultural engineers.

Agricultural engineering is the use of mechanics, chemistry, and biology to process raw crops

into finished goods. Agricultural engineers will have to increase the values of the crops by

making new schemes prior to create and manage the machinery of the industries; they will

have to come up with new solutions to improve the products and this will increase the

livestock, management of breeds, crops and irrigation as well the environmental management

will be ensured by the latter. The agricultural engineers have also the duty of innovating new

machines in the agricultural sector. Hence there will be a huge market and formation at

national and at continental level of agricultural engineers. This center will have also the

school of mechanics in order to deal with all mechanical issues in the companies. The center

will have a school of techniques that will be assigned to innovate and mount up new machines

in order to complement the work of the primary sector; they will operate and manage the

machines in every sector. Technology will bring up new systems of dealing with machines in

order to increase the productivity of a particular farm. This school will also be assigned to

innovate or come up with new projects of handling agriculture, farming and fishing to permit

mass production of raw materials as well as the commoditized products. From this center,

every year, at least 10 new projects will be enhanced in order to build new machines

increasing deemed to increase the productivity of the agriculture and industrial output. The

center should receive every year one student that will be assigned to acquire all possible

knowledge to be acting as the chief of the operations in the plants on the techniques sector;

this means 30 students will be considered as the next chief of machine’s operations in the
firms. This sector will be the widest of all, since it is the base of change and the

commodification process starts by improving the efficiency of machines. For that same

reason, this sector will also go ahead and develop the new machines to start mounting big

boats that will fish in the oceans, river or lake. The engineers to generate new schemes for the

floating boats for fishing purposes to work hand in hand with the technicians and this should

not limit itself here, later on, this branch will also be assigned to start new plans and schemes

to manufacture tractors at the local level. The selection on this center should be very strict, the

door will be opened for the genius picked from school in order to generate those plans as well

as skilled technicians picked in the province for their skills, this will help the country to

employ even the skilled person that receive a little wage in the street and guarantee him a

good job. But other engineers will be picked from the universities in order to complement the

work products from the center and the school. These two centers and one school, to be opened

in every province/district/state and must not be under the government jurisdiction, they will

be privatized, the government should give lands and properties to this center in order to

operate independently but programs of scholarship should be tackled by these centers and the

30 companies after being fully established will grant the center 1% of their profits all

together. These funds including that of land products of the centers will guarantee studies

abroad to those who having high performance, they will study abroad in order to come back

and serve their countries to develop, “zero tolerance” will be applied to the students who want

to remain in Europe or America, this should sound as a pact between the students and the

centers. These centers will accompany the students and enroll them in their respective

universities and continue to support them until their studies are done. From the western

countries, they are all expected to come up with new skills that they will employ to boost the

economy of their countries.

CREATION OF COMPANIES (African Silicon Valley).

T he companies will be created at different levels, at the national and the international

level,

1. At the national level

At the national level, the good system for a quick economic growth, the countries should work

in the province/state/ district as unit of production; hence number of companies should be

created in the province to ensure prosperity in that particular area. The federalism,

decentralization while leaving these states to manage their economy and set their budgets on

defense will be a move to the economic development. Just as we saw in the first part,

historical materialism should influence how societies are organized. The role of the federal

government to be shared in order to decrease the government’s burden to secure the

properties, the population etc. Here are how the companies in the province/state/district

should be organized in the province: The companies to be divided into two sectors, The

primary sector will be composed of the companies that will make raw materials. And the

secondary sector will be focused on processing the raw materials into the commoditized

products. Here are, how these companies should be structured in a province: there are 30

families/ individuals in a single province to be a startup of new mode of production. The 30

families should be hence divided according to their tasks to fulfill in the province; therefore,

10 families will deal with crops such as corn, wheat, cocoa, tea, cotton which will be

produced in big quantity. The government will give lands to these ten families and will be and

these ten families, the first customers of the centers described above.

Why would government give land to the families? here I reflect a passage of Adam Smith in

the Wealth of Nations through which he describes how industries in colonies evolved at a

great pace because taxes were low and land were accessed free of rent. In order to increase

their productivity, the companies will have to hire and employ the experts from the center of

agriculture. To increase the productivity of the crops, they will have to use new forms of
technology such as the latest tractor equipped with advanced motors in order to reduce labor

cost and maximize profit while gaining time. The use of biochemicals that will be analyzed

and processed in the Biotech section to be applied by the ten companies and use of automatic

drip irrigation and other form of technology to increase the yield of the crops in a particular

province. These ten families will have stores and silos in order to keep the products that are

freshly harvested from the fields. These companies must ensure to store the crops at a possible

favorable temperature in order to be transformed in order for crops to increase their values.

The consumer or the population will also be one of the customers of this sector. This sector to

be the supplier of the animal farming sector as feeds and also to the industries under the

manufacturing programs.

10 other families will focus on animal farming and fishing.

In this context, talking about modern farming, this is a new form of managing the animals

while reducing at all cost the risk of disease by immunizing the animals and reduce the infant

death of animals. The 10 families should focus on the cattle farming, pigs (in the region in

which there are no majority of Muslims and Jews), the goat farming, the sheep farming and

chickens, and other breed farming in the province. When it comes to fishing, the school of the

techniques and mechanics should coordinate and provide mechanicals and technicians from

the center of technology in order to mount and run the fishing boats that can make even weeks

to months while fishing in the oceans or lakes, the boats to be provided by the center under

the primary funds. These fishing boats will help the province to accumulate a large scale of

fish in the provinces that are opened to the oceans or possess lakes or rivers but for the

provinces that don’t possess any water body within or even not opened to any oceans, will opt

for pisciculture hereby enclosing the fish into big ponds that will be nurtured and put under a

close regime of surveillance in order for the fish to grow healthily. The fishing families and

the farming families will be equipped with sophisticated refrigerators in order to keep the
flesh of animals fresh that can be processed later or to be sold raw. The current families will

hence provide food to the whole population at a cheap price that will constitute the first

customer of these companies for the consumption without exploiting population on prices.

These companies will serve also as the supplier to processing industries that will increase the

value of the commodities. The remaining 10 families will constitute the transformative sector

of all the primary commodities. The setting of new industries to process all agricultural raw

materials into finished goods in order to add value and sell these commodities across the

state/province/district and if the market is saturated, the commodities to be sold through

regional blocs. This first stage, these ten families will be constituted of processing foods in the

sector of cereals to produce flour necessary for bakes and foods, sugarcane transformation to

produce the sugar destined for the population consumption. Therefore, first plants that are to

be set will be the followings: Meat processing plants; Milk processing plants: milk generated

from dairy farming from the above families; Fish processing plants: to stock the fish and pack

them without bones and sell them in national market or in the regional blocs. Flour processing

plants: from all cereals produced in the province that will supply to the population enough

quantity of food they need and even the demands of other countries across Africa. The

beverages processing plants, Tomatoes processing plants; the cosmetic processing plants, the

paper making plants, the cooking oil making plants; The margarines processing plants, etc.

just imagine 10 companies such as NESTLE or Danone to be created.

All transformative plants needed should be mounted and these plants will be modernized and

mechanized by the new efficient equipment managed and run by the mechanicals and

technicians from the centers and its schools. After ending this process, then it will only be the

end of the first stage of economic growth of the countries, after trading and generating funds

for the next step. This will constitute the benchmark to the path of economic development.
But before talking about the second stage of economic growth, there is a question that arises.

This is about the agrarian question. How is the land to be used by these companies?

PRIVATIZATION OF THE LAND.

T
he land should be granted by the government with certain conditions to these

families, the logic is to give first monopoly to these companies in order to evolve

and have the capacity to set the companies capable of extracting minerals. These

30 families must organize themselves and coordinate in order to work hand in hand to attain

that objective of setting up new companies. The first condition the government will impose is

that of 10 years of using the land without any returns to the government treasury but the

government part to be put under construction of infrastructure such as the rehabilitation of the

railways, the of roads, the rehabilitation of dams in order to facilitate the running of the

industries. The rehabilitation of the old idle industries under government should hence be

privatized to those families in the second sector by the 10 families. After the 10 years of using

the lands with assignments of rehabilitating the infrastructure in the province/state, the

following companies are to be fully privatized and will operate independently and run their

business without interference of the government in terms of land issues. How will the

government sell its lands to these families and empower the economy that will impact even

the lives of the citizens in the country? Hence repartition will be as follow:

agriculture families

Each family will create its own company i.e., 10 companies will be created, in these 10

families the 3 families will focus mostly on the corn production and thy will be granted a

large land to plants their crops. At least every province/ district/state must have the 3 families

cultivating the corn seeds because corn is the major crops that are used mostly in Africa. 2

other families should establish each an organization to deal with the wheat production and
will have the second largest land in the province. 1 family will be charged to produce rice and

will have the third big lands 2 families should emphasize on the coffee, tea, cocoa and other

stimulus plantations, its lands will be bigger according to the region in which these plants are

cultivated; if these plants can’t be cultivated in that province, then another crop can be planted

as alternative. 1 family to focus on cotton production as well as the sugarcane production. 1

family to focus on the fruit plantations, and other plantations, groundnuts and other j. crops

necessary. If possibly they should be given in total of the half of the arable lands in the

province, The lands to be distributed to the centers too on agriculture will almost take 1/8 of

the arable land in that province.

the rearing families

The second group is the farming families that will be divided in the following:

3 families to make each, an equipped farms of cows and will be the first customer of the

agriculture families, the feeding coordination to be done by the experts from the center and

ingredients preparation in order to ensure the good health of cows.

The 3 families will have to determine the maximum number of cows each to handle and must

be provided a certain portion of land on which they will have to grow their grass and other

plants to nurture the animals with the purpose of achieving the high productivity of milk. The

farmers will have all necessary equipment for extracting the milk and ensure clean placements

of the latter. 3 families will deal in pig farming for the meats and other products from them

such as the raw materials to make cover of some medicines. Pigs are ones of the most

lucrative animals for their meat since the largest population in Africa are not Muslims or

Jews; this will help to increase the productivity of food in the local market and in the regional

bloc as well as across the globe. The families will have a number of pigs in the region where

there is no Muslims and Jews in order to feed and meet the demands of the people in the
province, the purpose of the companies is not just accumulation of wealth but also to ensure

the provision of foods in the country while eliminating hunger at all cost at the district and

state level. The center will have to provide the experts on pigs in order to avoid diseases and

coordinate the genetic combinations in order to improve the quality of breeds. These farms

will also be buying the food for their pigs from the agriculture sector and will have also a

portion of land to be used after the first wave of production i.e., that after the agriculture

sector has accumulated its wealth, then the companies on pigs will grow their own food in

order to reduce the cost of the feeding. The families will use of sophisticated equipment of

farming in order to ensure hygiene and reduce risks the disease. The effective ventilation and

automatic feeding and drinking system to be used in order to have good quality of meat to be

desired by the customers at local, national and international level. In region of Jews or

Muslims, these 3 families should farm sheep. The 3 families will specialize in the fishing in

the region where there are water bodies (lakes) and flowing water (rivers) and regions opened

to the ocean and the pisciculture for the region without the access to any water body. 1 family

to handle the goat, poultry and other birds farming as well as other small farming necessary in

that region. And the land for this should be enough to accommodate all the animals. The

primary sector could have been granted the lands, what of the secondary sector? This

constitutes the last sector to be granted land by the government, this is the industrial sector

and will constitute the mass production of commodities, and these industries will be at the

center of economic growth and primary move towards prosperity in the country. The lands

will be granted by the governments for the purpose of mounting industries in the province, the

lands on which there will be houses of workers, the lands on which the schools of children of

workers will be constructed, the lands on which laboratory will be constructed, the lands on

which the seniors of the industries will be living. Here are the stages to be taken by these

families to develop industries in their region: The setup of factories able to transform or
process the food commodities, this will include the milk, meat, sugar, juice, fish, flour

processing plants etc. That step hence constitutes the first move of these families; they are the

main and primary source of wealth at this stage because Africa still in hunger, the primary

goal is to eradicate hunger within Africa and good nutrition to all the people guarantying a

good health in the continent as it is paradoxically and commonly said “It is so sad to know

that Africa has the potential to nurture the whole globe but canʼt even feed its own people”

People are starving in Somalia, in DR. Congo, Zimbabwe, Madagascar etc. while Africa

possesses the capacity to feed these people, but it is normally preferred to wait for a

developed country to provide with their food assistance. If, in a region with all the 10 families

handling industries are to collect the inputs from the twenty families engaged in agriculture

and farming and commoditize them and produce a huge number of commodities, hunger will

be eradicated, food will be available and it will even reach abundantly in warzone region. This

will generate funds to the families hereby selling its commodities within the state/

province/district and also outside that limit but it must first satisfy the needs of the people in

that region. A thousand of tons of raw materials to be targeted and attained every year and

later to be processed and sold, After generating funds from this sector in a period of 5 to 10

years, and remember that they owe no tax to government until their 10th year of operations,

These 10 families should leave this sector and will embrace other stage of manufacturing; this

move will go to the plastic factory, the textile factories, medicine factories/ pharmaceutical

plants, the cosmetic factories, the metal melting processing plants etc. The food industries will

not be abandoned, instead they will be replaced by the farming families that will sink their

funds into the sector for the period of 10 years, the farming families will also be replaced by

the agricultural families and the agricultural families will be replaced by a set of new 10

families that will operate on the agricultural sector and make hence this a cycle. The shift of

lands from one family to another will be done through payments, hence guarantying the funds
to buy the lands for the next move. But the new integrating families (the family on

agricultural sector will be granted loans by the existing companies each on 1% of their

incomes in order to purchase the lands to their predecessors) of the cost of lands left by

agricultural families. This new 10 families will be granted the also 10 years of not paying tax

“the starting grace” will only be employed to the new companies integrating to the system.

This cycle has to continue until the 30 first established families possess each one mining

company and hence all created mining companies will be shareholders in 3 corporations with

a purpose to balance the power of the 30 companies. In that same period of 5- 10 years, the

companies through the cooperation of the governments with other countries on bilateral trade

and bloc in the region, companies will generate enough funds to move from the plastic, metal,

cosmetic, textile factories to embrace the industrialization of engines, machines, the industries

of electronics. That is when the center of technology becomes relevant as it has to play a

significant role in preparing and providing to the companies the projects and experts in order

to change completely the mode of production and climb to another level of economies. This

stage is a stage through which these companies will work to manufacture the machines that

are necessary for drilling the wells of gas, petroleum and any other engines, the setup of

refinery will view the days, the machines necessary for the ethanol production, medical

equipment and any other machines necessary in the industries. So here is the order of

succession: The sector of agriculture will be replaced by the new families, the animal farming

families to replace the food processing families, the latter to replace the plastic factories, the

cosmetic factories, other related factories of this stage, and the 10 first families in the food

processing will be in the industries of engines or machinery and this will progressively done

in a period of 50 years and the same rules of buying and selling their properties to the same

companies will remain in place. After setting up the machines of extracting the minerals from

underground, these companies will move ahead and set up the new mining corporations that
will result on the shareholders of all created companies in the province. The mining

companies will be constructed safely and equipped with full technology in order to reduce any

risk to the personnel working underground. The mining companies will set up commercial

blogs or companies that will represent and sell the products across the continent and deal with

the western countries as well. That’s why I said, thereʼs no need to continue using force or

violence or threat to make work this system, all is needed is the division of labor of

companies, let each company do its part and peace will be achieved. In the countries with

precious metals such as gold, diamonds, copper and other should be extracted by the total

companies and instead of speculating or sell it at lower price, the companies should store their

minerals, process and sell the commodities and or store them in order to process, sell them to

any person or company. For the countries possessing oil as a major source of wealth, they will

drill and extract the oil, proceed and create their joint companies in order to trade with other

African countries; they should spread their companies across the continent and should reserve

a certain quantity for their developed partners through fair bilateral trade. They will continue

to sell some quantity of oil to their economic partners but they have to concentrate on the

processing their own petroleum into refined products which will even permit them to

construct the good roads with the poor products of oil that is bitumen. These stores should be

secured by the same families’ companies to privately secure their wealth. After the creation of

a corporation, the regional government will gain a 10% of the total funds generated from the

minerals in order to pay all the civil servants a decent wage in the province or state and to pay

pensions to the retiring personnel and avoid public debts and finally to improve the standards

of life of people hereby building new modern schools, hospitals or/and other needed public

facilities. This stage will bring a new repartition of companies across the province and the

first 10 industrial companies will evolve to become the first to reach to the level of managing

the mining sector. The 90% will belong to the companies, but why a huge amount of funds to
go into the hands of those companies? First, the companies are constituted of many

shareholders including a 20% of international investors, local companies, and the latter will

have to gain its shares from the mining companies, with this movement, the first 10

established companies will have to work hand in hand with others, this will limit the personal

decision-making of those families. In that same scope, it cannot sell an asset of that value as a

government could so in order to satisfy certain political goals at the expense of the

population’s well-being, while the other funds to be dumped in embezzlement. Second, the

families will have to pay the personnel employed in their firms, the centers of technology and

agriculture and the operations Research that were established should also be paid by the

companies in order to maintain the great work provided by the centers, though they focus on

maximizing profit but they will have a purpose of creating other small companies to other

people in order to be acquiring their shares in the small companies. This is to say, these

established companies will not guarantee all needed services in the province, for that reason,

the 10 big corporations will have to support investments ideas from other citizens who wish to

open new companies in other sectors rather that those described earlier. The corporations will

therefore fund these companies and will be paying back some % to the companies in order to

recover the total amount of money granted to remote companies for startup.

FROM ECONOMIC GROWTH TO ECONONIC DEVELOPMENT

E
conomic growth is defined as the boost of the economy of the country from

one point to another; this includes the growth on GDP, and an increase

number of the output of the country. The economic development consists of

transforming the means of production not only by increasing the GDP but also by increasing
the living standard of the population while eradicating all forms of poverty in the country and

this through the increasing the disposal income or the power purchase of the people. The

economic development is a result of a refined management of the economic growth; in this

way the companies in these provinces/states/ districts should expand their wealth in the region

in order to eradicate poverty. As stated in the above paragraph, the first firms to be established

are the ones to evolve faster and theyʼll fund other entrepreneurs aspiring to create new firms

and this will avoid monopoly by these companies in the purpose of slashing a gap between the

companies which could become richer and the other people poorer. The 30 first families and

other families that have been replacing them when they have been upgrading their levels will

move ahead from their state nature and set up factories in the province to process raw

materials. As it is well known with cereals such as corn, wheat, rice, sorghum etc. can be

processed into a special flour that latter will generate a lot of products such breads, donuts,

cakes, porridges. The companies handling the food processing plants will lend funds to the

small companies willing to set up small companies or enterprises to make breads, cakes in the

province. These companies will be efficiently organized and many new baking enterprises

will be created in the province and they will become a great supply to the province or state.

From that point, the small companies funded by the old companies will be paying their debts

with some interest rates in a period of a maximum of 25 years.

The idea is to generate a certain percentage of funds from the small companies to move from

the small scale of economies to the large scale of economies. in that period, established

companies will have enough funds to move ahead, though this will look as exploitation but it

will have a good purpose in the economic development in the coming years. Once the first 10

families have settled up financially in 25 years, they will stop being the masters of the

conglomeration and each of the small companies will not owe any interest to the 10 big

corporations. After enough funds being generated from their own sales and the interestʼs from
small companies in that period of 25 years, the corporations will move into energy technology

(renewable energy), the phoneʼs manufacturing and other electronics manufacture such as

computer, the cosmic explorations to be promoted, the carsʼ plants, the oil refineries, and

other advanced technology. The number of the small companies will depend on the living

people around the province; this will also permit those who donʼt have a degree or any other

skill be part of this economic system. For instance, a person having a skill in cooking, to work

in the bakeries giving hence employment to more unemployed people. The meat processing

plants will also lend funds to a number of remote companies to establish big market through

butcheries, so the products which the processing foodʼs companies buy from the farming

families will be sold to the different people and the same families (companies) that lend the

money to different butcheries. Not only stopping on that but setting new renowned restaurants

in the province and hotels which will also generate a considerable number of companies. The

idea will be to generate funds through small companies hereby allowing the rest of the people

to have incomes which will make investments possible to move ahead. The families handling

the agricultural sector will be providing cottons to the textile industries, the latter will

transform cottons into clothes. Each of these companies dealing in the textile industries

should fund remote companies under some models; many design models such as Adidas or

Louis Vuitton to name some will therefore, come into birth. The design or models of various

textile products such as the clothes, the shoes, bags, caps etc. By opening the model/

designing companies, this will ensure the advertisement and promotion of the textile factories

which later increase competition among textiles industries and the result is a daily improve of

the quality of products needed. Without forgetting some motivational ingredients, the Awards

every end of the year to any company that sold a lot of products to be organized by the

conglomeration of the companies in that particular province. The companies on the plastic

industries, with the rubber trees to provide to such companyʼs raw materials, they will have
many remote companies such as: The manufacture of tires of vehicles with rubber can even be

a footprint towards vehicle fabrication in Africa by these companies to be and become hence

alternative to those second handed products imported from Japan. The manufacture of leisure

products such as football, basketball, rugby balls, the children parks tools in plastic, toys and

other essential for making life easier. But for all of the above to happen, the school of

techniques should gear up to develop new technologies to move to the economic

development, only the technology will do so.

OTHER REMOTE COMPANIES

Real Estates companies.

Other types of remote companies will be the Real Estate companies, in order to improve also

the sanitation in the environment, the companies will have to lend the money to the Real

Estates companies to start their business in the province. the big corporations own enough

lands somewhere in the province and hence should construct the houses on that land. These

houses will be modern, hence, in every empty neighborhood the companies will build and

share the returns with the governments. In the poor neighborhood, the companies will have to

demolish all the houses and build new building with rules, the rent in those neighborhoods

will be less than that in the rich neighborhood, and the poor will stay without any payment
until in a partnership with the government, corporations will secure a job or grant them loans

in order to start small business in the province which permit also the poor to pay his rent.

However, anyone in the province possessing the capacity to purchase the houses can do so

and this will expand the work of the remote companies and permit also the companies to go

ahead and buy other land and build on them. This will be a benchmark to modern building in

the countries, even those who canʼt afford will be considered playing a role in the economic

development hereby becoming an entrepreneur or availing products of companies. The liberal

system of letting whoever has the capacity to buy and build can increase competition which is

a good masterpiece for development. 2.The establishment of private schools, universities and

library by the companies. In order to improve health in the province, each of the 30 first

established companies will build modern hospitals.

The health sector’s companies, as the primary set companies, these companies will be

established in the region/district/state to overcome different diseases that the continent has

been facing for many years, such as malaria, tuberculosis, kwashiorkor, typhoid fever, that

keep killing young people in Africa. There shall be a sophisticated BioPharma center of

research in every district or province which shall be funded by all 30 companies. The health

sector is important as thatʼs why, all the 30 should establish these big hospitals in the province

or state. These Hospitals will therefore be in a number of 30 but all the thirty will be

shareholders in every company. their funds wonʼt be considerable such as that others, and

they will focus on building new hospitals across the state/province, they will be in partnership

with the school of techniques to elaborate new facilities susceptible of developing the health

sector. There shall be a branch of Biomedical engineering under the Medical Research center

that will have to come up with new project designs in order to provide machinery innovations

to these hospitals. These companies must establish their new institutions in which they will

form doctors, nurses and other related workers, and these companies will ensure that their
products (students) are skilled and competent and can be hired by the same companies in

different departments. The personnel such as doctors, nurses must be well trained and will not

only work in the hospitals but also in the laboratories or the medical research center. Note: the

health research center will be another private body as other company, the same way the land

will be privatized or granted with the same policies and agreements illustrated in chapter four

but medicines will be made in industrial companies.

THE SCHOOL OF TECHNIQUE

In this section, I will stretch on the evolution of the school of techniques and how it can

provide such technological needs to the corporations. Each province will have its own school

and during this time, the companies will be struggling to get funds to move from a level of

economy to a larger scale of economy, this school will be generating new projects and

necessary machines to be of importance in the economic development, that is why it must be a

priority since the genesis of these programs. It will have to expand at the same speed as the

companies to produce new high-tech plants. These plants will be divided into automotive,

electronics, computer software technology, telecommunication and electricity.

Its evolution will go as follow:

1. The plants of making new machines of industries to be set up, all the schemes will be

innovated by engineers and must be designed and performed while the companies will be

growing. this is a division of labor, each sector works on its own while the companies are

evolving, so does the school of techniques but with the solely purpose of achieving economic

growth.

2. The plants of making engines of the vehicles, all the engineer sent abroad to study

electromechanics will come up with new projects to mount huge engines. All the physicians
and scientists to be put on board for success of the programs, this only requires expertise and

skills of the labor force.

3. The plants of making cars, tractors, electronics, trains, boats feature to be envisioned and

promoted.

4. The assembling plants to assemble all the parts that have been made by the companies

charged of making engines.

5. The making of satellite programs, today without having your own satellite that grants you a

personal network, so in order for the school to work perfectly, it has to design a satellite and

launch it the space. for instance, the republic of Rwanda that have launched one its satellites

in the space to develop its technologic sector and provide internet access to the rural areas in

the country. But the same can be applied by these companies in order to secure their crucial

data. The chronological evolution of the 10 big corporations.

Taking a look at the first 30 established families, I take an example of the 3 fishing families

that will evolve in the province, the school of techniques will have to mount boats equipped

with refrigerators for companies to be fishing in the ocean or any other lakes or rivers. The

first 10 companies established in the food processing in the first stage should set up

processing plants for fishes and put them into boxes and sell them across the country or export

them to other countries. In the 25 years, when the companies are ready for large scale

economy, they will construct dams, at least one or two dams in order to operate independently

from the country’s electricity which will be difficult to be shared by such industries and the

population. The dams will provide electricity to the whole province/state/district including the

companies ahead of them. By building these dams the technicians will be offered great jobs

because 2 dams and other solar and wind plants or (any other source of electricity) is a huge

investment. After setting dams in the province, a number of companies to be created by each
of these companies, there will be electricity distributing companies, the idea is to provide to

the province a permanent electricity to the population through competition. The money of

these electricity companies will be serving the technical school to further its research and

generate new projects; these projects will be carried with the purpose of designing and

making a sample set machines (system). After generating funds from these remote companies

in a certain period of time, the latter should now make new machines capable extracting the

minerals in that particular region, and after generating funds from their sales in those years.

After 25 years, the whole 30 will come as a conglomeration together to put their money into

those ten companies that have been supporting the school of techniques as shareholders to

form hence mining companies. In a province there will be a maximum 10 mining companies

handling all the sites according to the resources available, if there are fewer minerals, then the

companies will have set a number according to the resources available in the province. The

mining companies include the following; The gold mining companies, the coltan mining

companies; copper, cobalt, and zinc mining companies, Oil offshore companies; Natural Gas

extracting companies; Ethanol processing companies. Etc. After generating enough funds

from this sector, the 10 companies will be ready to enter into the new game of business, which

will grant African companies the leverage into the international market. While the total

companies are extracting the natural resources (minerals), the school of techniques will be

ready to develop a new way of making new machines to process the raw materials into

finished goods in order to commoditize the minerals. The projects of the school of techniques

programs to reach here should just start before the setting of the 30 families in the province;

the other part will just be the concretization or fulfillment of the projects. Through its

existence, the school of techniques will be making sample of phones, computers, engines and

another sector illustrated above. So, when the companies reach this sector, they will be

introduced to these projects, this will take up years but it is worthy of it, the companies around
the world did not evolve in quarter of century, they had to take some steps and challenges as

seen in the first part in this book. With the melting plants of metals, many things will come up

such as the manufacture of cars, electrical facilities such as the wind energy equipment, the

phone etc. The next step will be of setting the factories of such products then.

The following companies; will be those 10 families to open 10 the new biggest companies

(corporations) on:

1. The companies of manufacturing cars motors;

2. The companies of making car equipment;

3. The companies of biofuel;

4. Companies of manufacturing phones;

5. Companies of making solar energy components;

6. Companies of making transistors;

7. Companies of making electronics;

8. Companies of making computers;

9. Companies of making high-tech equipment.

10. Companies of making transport equipment.

AT INTERNATIONAL LEVEL

After establishing those companies in a country, so what is next for other countries that do not

possess enough minerals?

In the international system, things sound a bit different compared to the mode of production at

the local level; on the international level, the companies of all the countries involved in that

mode of production have to extend this evolutionary process by introducing a system of

loaning to the new families that will start their companies in their homeland. Hence the

technology of the schools of techniques to be transferred in the regional bloc and help the new

companies to establish sufficient products to trade with its members of the bloc. New centers

to be established in the country to form their national experts, however the experts from the

countries that have achieved those programs can be also provided to train the new centers,

they can be professors of genetics, of technology, of mechanics and any other relevant sector

to economic development. The countries will create companies according to the numbers of

their provinces/states/ districts to lever the market in the regional blocs. The process of

evolution of the companies will remain the same; the free market should hence be promoted

between the countries to regulate a determined number of products to trade with and their

price. The natural resources of such countries to be extracted, and once they are extracted, the

need to be transformed into manufactured goods. But the trade on raw materials among the

members in the bloc should be promoted in terms of fair trade. After achieving the economic

boost through private companies then the challenge is to regulate the market and the price of

the goods. The countries having cheap labor, actually will have lower price rather than those

that possess the high labor; hence the sovereign of the blocs should create a new institution

with the purpose of regulating the companyʼs market within the bloc and outside the bloc.

However, in this institution each country will have delegates from the companies, the

lobbyists should further companies’ interests to avoid such a solely political decisions that

ignore economic implications of such policies. Hence new policies to be implemented by the

institution (will be composed of experts on economies and macro finance). The countries in

the regional bloc have to increase the productions of commodities using the principles of
comparative or absolute advantages. In this context if a country A focuses on the production

of clothes, phones, computers and a country B focuses on the production of phones,

agricultural products, computers, cosmetic products, these two countries will do trade with the

products that one state produce in great quantity at a cheaper cost and which the counterpart

doesn’t possess in big quantity, i.e., they will trade on the clothes, agricultural and cosmetic

products rather than phones, and computers products. This process also goes with other states

that will trade with the above like if another country produces fuel and doesn’t produce

computers, then the trade could occur between the two. After regulating the market through

comparative advantage, the countries will have to go out from their sphere and start dealing

with other blocs within the continent, this means the same way as the European Union

structure and functions, the same will be done by the regional blocs across the continent, and

this is where the politicians have to play big roles to support the companies at their home

countries. Through this, unity will be brought among African, the unity that will not be ideal

based on the “hypocrisy” through African Union but through the companies that try to

achieve their interests in terms of profits, through which all African governments will benefit

when these companies prosper and the lifting up of the living standards of the population in

their respective home country.

Due to companies and their operations, one state will abstain to go to war with another

because of the risks of destructing all the companies that generate employment for their

citizens in the bloc. This is where the national interests start to be abolished, because actually

the collapse of one state will affect also the companies in the other state. Just as the US and its

allies did in 1992 In Kuwait, if there is a war or any attack carried on one of the members by

factions or rebels not and no due to friendship or any other ideal that bound the state but due

their mutual economic interests, member states have to deploy collectively deploy troops from

their national armies and JMO to fight back the enemies of development in the region. The
current system will be bond and will have to subsist and flourish since it will be based on the

common interests of the individuals in cooperation with their governments while

compromising on protectionism. Liberalism and free movements of goods to be promoted by

the governments of such companies, the degree to which the sovereign will surrender its

sovereignty will compromise the sovereignty of the country but for economic cooperation,

this will be worthy of it. The exports and imports must be promoted among the members

hereby reducing and cutting off tariffs when trading. To reduce the barriers among the blocs

in the continent, some trade partnerships will be made in order to reduce tariffs and quotas,

also the goods from one bloc to another. On this level, there must be also another institution

that will have to make new policies and implement these policies on trade with the companies

in other blocs. None of the families will want to step back in such system, always competition

will be observed and this will bring out developments. If these trends can escalate into a

conflict, these cannot go far away, that is why the JMO should not be under their controls but

they will be working under directions of the national army. The only troops they will possess

will be that of the intelligence services but will be few and their jobs will be within the

territory of their countries. An independent intelligence services to collect information and

therefore report to the regional institutions that will be created. This intelligence service will

be totally independent from any governments and companies with a primary role to detect any

threat that can affect the economy of the regional bloc, either at the national or international

level. And this intelligence services will have members through branches in all the countries

but they must be citizens of that particular country and must be independent from the

government and companies. Since conflict will occur between the members, and that should

be resolved in terms of compromising the interests of those companies. How about a company

discovered operating with contrabands? That is where the second role of the international

intelligence services comes in, the collection of intel at national by the branches in that
country, then be submitted to justice of the country, and the country will have to apply its

jurisdiction over the company through the laws that the state has ratified before creating those

companies, this will deter any threat by one of the companies in that particular state or

province/state/district.

RESOURCE RESERVES BANKS

Most of African resources are traded with low prices, they are speculated, therefore to curb

this situation, there should be resources reserves banks in order to reserve precious minerals in

the country, it will serve as a store and as banks, this bank will be an alternative to central

bank’s loans but central banks will be in charge of printing money in reference to the quantity

of precious minerals and economic activities of the resource reserve banks in concordance to

Bretton Woods institutions. International banks will be there in order to facilitate international

transactions when trading with internationals but these banks will be a little bit different from

the existing ones. these banks will be created by big mining corporations with support of

government at national level; these banks will serve both government and companies/

corporations; it will be tasked to collect and accumulate taxes from the companies in the

province for the government, it will act as a public treasury of the country with a purpose of

curbing embezzlement of funds by governmentʼs officials, mining corporations will be paying

taxes in terms of precious minerals. These banks will operate as a paying point of civil

servants to avoid late payments of the latter, if a public project is to enacted in the province,

projects will be funded by these banks using the taxes collected from companies, this will be

put in order to divide the tasks of government on the financing sector, because of

embezzlement in the public treasury, RRB must handle finance of the project hereby

contracting a national specialized company in the domain, governmentʼs officials will be

tasked to coordinate and oversee the project only. The resources reserve banks will not have

to store cash but must work hand in hand with central banks to give them cash but these banks
will be valued in terms of gold, diamonds, red mercury and other precious minerals. The most

important feature is; if an inflation is to occur, it will neither affect the value of such banks

nor the economy of the country in time of economic crisis, these banks will be used to lift it

up the economy by infusing gold in the market; instead these precious minerals will be used

to print more currencies and generate more economic activities, Gold especially is a true value

that any commodity should be referred, and a currency is just a medium of exchange in which

the reference is gold or any precious minerals. Therefore, to have RRB across the province, it

will ensure economic strength; with Gold, corporations can finally have opportunity to buy

any currency at its true price at international level, it will guarantee the strength of the

national currency and it will pave to a strong single regional currency that will be equalized to

the Bretton Woods agreements of 1944. For corporations/ companies, The RRB will be

funded by the families that own the companies, about 5% of the profits of any registered

companies in the province to be given to the banks to sustain their works and roles and all

minerals of the corporations must as well be stored in the RRB. Due to the monopoly of such

banks to possess big reserves in provinces/states/ districts, they will become a selling center

point of all minerals in the province and this will help African corporations to gain their

leverage in the international system in terms of trade, and some quantities will be reserved for

processing purposes with melting companies notably steel, gold, copper, aluminum, coltan,

tungsten corporations etc. and will pave to self-reliant Africa in terms of materials and

technology. In every province, there must be such a bank; they will be established for the

purpose of developing entirely the province. Since all incomes of corporations will be stored

in RRBs and the Research Centers are part of corporations’ programs through partnerships,

Research centers through wealth accumulated by RRBs, an additional 5% of profits of all

companies registered in a single province will be meant to sustain them as well as other

important institutions that are non-governmental. That constitute the primary role of the
RRBs. Another purpose of these banks will be the purchase of the minerals from illegal

dealers using the 5% of corporations’ profits generated from families in a province, In this

context, the RRB will have to cut those people from dealing with some actors who give less

prices hereby increasing the offer of minerals to the dealers, This will be in the case where the

dealers still controlling the mineral sites with guns (militias); this will help the government

with the bourgeoisie to buy time to establish their rules over their national resources and as

long as the companies are growing, the capitals of shareholders will increase to the mining

companies as well the defense sector provided by JMO; when this will be done, it will permit

to eliminate illegal dealers of the minerals and take control and install a strong defense

system. Other militias in some strategic mining sites should be taken into consideration, they

control some wealthy minerals that they exploit and deal illegally with some international

actors, so for the rebels; the negotiations should be approached instead of using force towards

them. The main suggestions of the RRB will be that of incorporating the rebels into the

national army and not in the JMO; But for the rebels to be incorporated into national army,

they must be nationals by jus sanguinis. All the warlords to be granted immunity and

incorporated into national army, and remember, the RRB is the only institution to be paying

the soldiers, the teachers, the nurses and doctors, police, so it should ensure that the rebels get

incorporated instead of fighting them in order to reduce war expenditures on national treasury

but if there no deal, the last resort will be war. As stated above, in every province there should

be at least one mining corporation extracting gold or any other precious minerals and this to

be made under partnership of all companies in that particular province; they will be the

shareholders. But if there are several types of minerals in the province, this means that other

companies must come and exploit those minerals, and then there will be many companies on

the mining sector, so the latter with the first established companies and other remote

companies will have to store their minerals in the RRB rather than speculating or trading
unfairly with other countries. The RRB will have to buy also the minerals from the companies

apart from the 5% generated from them to serve as its own mineral reserves that can be used

to sustain its works in the province, therefore, the RRB will serve as a national mineral

reserve of the governments, corporations and itself in a province, and that is the only way to

promote unity among families of a capitalist society in a province, the economic interests and

interdependency of interests among families/corporations and between government and

corporations will lead to mutual interests, liberty and nationalism that is why the RRB will be

highly secured because it will be the only place in which wealth in terms of gold and other

minerals will be stored. The minerals such as Gold and after being extracted they should be

treated processed and later put into RBB, by doing that, RRBs will give to countries

possessing precious minerals a strong and stable economy, because they wonʼt be speculating

it at cheaper price, instead they will be transforming them and store and if possibly to make

commodities with them. And the purpose of the RRB will be to cut off unfair trade; it will

have to compete with other countries that make those unfair deals and start dealing with them

fairly. Imagine a country like D.R. Congo with 60% of cobalt, if it stores, this means that the

price of cobalt will climb, the supply and demand principle. So, DRC will have an upper hand

in terms of supplying the minerals to the globe especially cobalt which is important for the

manufacturing of the electrical cars nowadays. After taking control of the minerals in all the

sites in the province, then they should store the minerals and it will constitute the value on

weight of those banks and will hence have leverage in international trade since it will have

total control of minerals either for private companies or an unexploited site. Other purposes of

the RRB. Another major purpose of the banks is to gain control over all resources that belongs

to the country using population (families) owning those corporations. Another purpose of the

banks will be that of funding the governmentʼs programs that the latter cannot sustain in times

of crisis such as the COVID-19 pandemic, or if a country needs to go for elections and
doesnʼt have enough funds, the RRB will serve as an alternative and fund the government

from the 5% generated by the bank in particular region. These RRB to be in every province,

and they should have an headquarter in the capital city of the country and thatʼs where the rest

of the reserves will be transferred after the civil servants being paid by the RRB and necessary

regional programs have been funded. Then few minerals should then be transferred to the

capital city and get stored there, every month the same operation will be executed, with the

collection of taxes, the governmentʼs funds will increase as well as the budgets in defense but

the minerals stored at the capital city, at regional level, these banks will play a big role to help

other countriesʼ governments to liberate them from international loans. How will the RRB

liberate other states from foreign aid? One thing to know is, these banks will be set in

countries with potentiality in minerals, precious minerals such as gold, diamonds in order to

develop a flowing of capitals without risks of inflation of the central banks and other ordinary

banks. So, these programs on the RRB will only start in countries with potential minerals;

countries like Botswana with diamonds, Sierra Leone with diamonds too, country like Ghana

with gold, country like DR. Congo with gold, diamonds, cobalt, coltan, after developing those

companies at national levels, the latter should expand the empire in their respective bloc

(regional bloc). Remember the banks have the purpose of accumulating all minerals in the

country or province, both for the companies and the 10% of the government’s part. Then for

the government, this will be serving as provider of loans to other governments in the regional

bloc. This will permit the receiving country to start the programs of creating the companies

within the society in the province in terms of families and all the due process to be followed.

For the companiesʼ side, the latter will have to cooperate with the recipient government and

companies, these companies will have to provide the latter with trainings and manuals for the

upcoming success. After generating funds from the programs, then the companies in the other

state will have to further the RRB programs. Africa is continents full of potentials and most
the countries though they donʼt have tremendous reserves of minerals but they possess at least

some reserves in their territory. Besides that, the companies in the wealthy country will flow

the RRB minerals in those banks, it will be purchased by the money generated through the

commodities, these banks will have also the same purpose in the recipient countries. Hence all

the companies across the bloc will have minerals to transform into certain commodities or to

trade with other countries outside the bloc. The purpose of flowing the capitals in terms of

minerals is to bring the countries of the same regional bloc at a certain level of economic

development approximately equal in order to trade smoothly in the region. The regional bloc

thereafter will pledge for a unique currency that will be operated according to the value of

gold among the companies. The central banks and other private banks will be in the country

but for the safety of the wealth of these companies, it is better to store their wealth through

minerals and buy dollar when needed. A strong entity or institution should then be created to

regulate the conducts of such programs of RRB. With the RRB, the defense of the all

members will be stronger because of the soldiers will be paid well, and in due time. The

healthy service of the population will be effective because doctors and nurse will be well paid,

Corruption will diminish as technology will be controlling every transaction in the country

and outside the country; the salary of civil servants will also be high. This will grow not only

at the regional level, but it will expand to involve the countries in other blocs. The RRB will

latter generate a unique currency for all countries to use because the level of wealth will

almost be equal. This will constitute the economic development in the country as well as in

the regional bloc. Surprisingly, these programs have been endorsed by the regional blocs

across Africa, besides that was the purpose of the regional blocs across the continent when the

AOU was created in order promote trade, establishment of common fund, abolition of trade

barriers and customs duties and create a single currency. But why are the latter programs

remaining dreams in some regional blocs? It’s because of the national interests of each
country in that particular bloc, the national interests of these countries being manipulated by a

political interest over time, hence, it compromises the working of those programs in the

region. Sometimes the neighboring countries are supposed to be watching the scenarios in

another because they have nothing to lose in. That is “ideal hypocrisy”, through which,

African leaders meet and discuss about how to resolve a problem in one country while they

are also manipulated and contributing to the problem. This must cease, the government to

intervene in another state must have normally something to gain in that country. So, for the

African countries to succeed the need for unity among them, they will start by applying the

above programs to shift from the national interests to the common interests of the region in

terms of private companies regulated by the governments and the institutions at international

level. The creation of the RRB will work and lift up the economy of Africa because it will be

on the individuals (powerful companies able to influence the policy of the governments and

institutions).

THE ROLE OF GOVERNMENT

The government will have to regulate the conduct of these families (companies) at local and

national level but should never meddle into the market regulations of the companies. It should

have a definitive constitution that could not be amended on the issues of companies; and can

only be amended with the compliance of the House of the Lords. the companies will have all

the decisions concerning the economic issues in the country through the House of the Lords.

A committee from the companies to be created within the House of the Lord in order to

protect the interests and wellbeing of the companies. The idea is to set a state that is driven by

the economic interests rather than political conflicts that continue to sink the economy of the

country while jeopardizing the population, since, in Africa, states most sectors on economy of

large scale are managed by the government and if a government is under political crisis, they

can opt to go to sink a country in a conflict because they will lose nothing. However, if there
is a strong committee of companies within the House of the Lords who would reject such a

bill in the parliament in order protect companies and their properties, therefore, even a

conflict becomes a disadvantage and will not be opted. Hence, the companies will constitute a

bulwark for the state to go to war, because of too much sacrifice done to ensure the existence

of the companies. Not only at the national politics but also on the international one, it’s clear

that the government will be influenced by the mainstreams of globalization, some

superpowers put some conditionality to these countries, the conditionality of aids that cannot

be ratified or applied at national level because the conditionality will be vetoed by the

committee at national level. there will be a huge number of the companies in the countries; in

country for example with 10 states, this means with this mode of production, there will be

almost 300 corporations operating in the soil without counting the joint companies to be

created and supported by the former; so, this will constitute a big opposing force to deter the

government to take upon the decisions that will later jeopardize the country’s economy. The

government should then somehow divide its power on the total control of everything, because

the government cannot use the total arable lands of its territory therefore will give a privilege

to the new companies to be created and build a strong balance of power within the country,

because the governments take decisions that hinder economic growth while emphasizing on

political goals such elections etc. The power of government will remain intact, the police to

maintain order in the territory and protect against criminals in the country, the judiciary

branch to work on the individuals either to be of powerful companies, justice to not being

compromised, the companies as another supplementary actor in the state will have also

representatives according the number of members in the institutions, so the parliaments will

enact new laws that should not compromise the national business. The army will still be

guarding the territorial integrity and defend the latter against the invaders. The country should

at his round make bilateral trade with other countries in order to expand the market of the
companies in international system, the countries in the regional blocs to have free movement

of goods, the free trade agreements and while favoring the companies in the bloc to export the

goods in the countries and the latter to import the goods in order to create the have

comparative advantages such that of that of the Portugal and England in the genesis of

industrial revolution. The diplomacy of friendship based on economic exchange to be

promoted and applied by the government. It is on the role of the government to protect its

citizen from the exploitation of the companies, laws and process to increase the price on the

basic products such as water and food should be taken under consideration in the court in

order to take effect. Another role of the government will be of ensuring the harmonization

between the international companies and the national companies. The major role of the

government in the prosperity of these companies will be on the foreign policy design, which

kind of foreign policy the government should use?

THE DESIGN OF FOREIGN POLICY.

Before shaping a foreign policy in order to work, these countries must consider the external

powers, the foreign policy should be friendly in order to facilitate even fair-trade exchange

with these countries but the foreign policy should not be that of pleasing the external powers

while jeopardizing the working of companies and the population. The first external power to
be considered will be the colonial masters, such as France that have weakened the economy of

its former colonies, there are economic agreements that have been implemented by the former

colonies in order to secure their interests. This has been affecting the economies of these

states in their post-independence era. For instance, for such countries, the main focus of the

countries is first to get the economic freedom from France. The good foreign policy is to

isolate the working of the government in the economic affairs of the companies in order to

ensure the development of the country; the government will continue to develop diplomatic

relations but in terms of investments and economic trends, the government will not. The

government will conduct political relations with these masters but when it comes to the trade

negotiations, the companies will embody a group of skilled diplomats to negotiate those deals;

in order to avoid unfair deals that will be based on political goals. The companies will not

have any political goals to compromise on, instead they will have the economic interests to

further.

The idea is not to isolate the economic deals with their colonial masters or other economic

powers, the idea is to isolate the African political goals that hinder the economic development

hereby leaving the companies to decide on the economic matters of the country in order to

start making fair trade with financial powers, thus, a win-win deal. Another foreign policy of

the countries will that of making friends in the region, furthering the regional integration, to

make the free market in the region, support other investors outside the countries and regions

and also favoring their investments across the region. Friendly relationship with the

neighboring countries while emphasizing on trade exchange permitting hence the two

countries to have common interests in order to avoid interstate conflicts, to collaborate

mutually and deter rebels and criminals across the region. The foreign policy of attracting the

investors from outside the continent should reduce, the national and regional investors ease of

doing business should be promoted and hence, unity will not come upon speeches because
speeches are full of idealism and are easy to break! but unity will come upon the shared

interests of the population through corporations and not the governments. The regional bloc

will have the common intelligence services that will be very independent from the

government and the companies across the region.

SECURITY AND COMPANIES.

With the new companies established, the strategies and tactics on how to secure the properties

by the army from invaders or rebels should be addressed. That being said, a new policy by the

government must be enacted and implemented with the purpose of strengthening the security

and deter attacks from rebels and terrorists.

The security of such companies will also guarantee that of the citizens in that province, with

the RRB that will be created in the provinces, the security should be tightened enough to

secure the gold and other precious minerals. To ensure security in the province to keep the

companies and the citizen safe, the country should go for two options:

First, the country should pass a law allowing the companies to fund and create the joint army

organizations to ensure the security of the former.

But in this book, I recommend, the use of private military organizations created under the

auspices of the companies. I will name them “Joint military organizations” since they will be

created and funded jointly by the companies and the Joint military organizations will operate

jointly to ensure security in the province or state.

Second the government to increase the number of troops in the province, the companies to

increase their shares in the defense services.

1. The joint military organizations (JMO) Security is the most expansive features of all.

“Si vis pacem para bellum” meaning “if you want peace, and then prepare for war”
These companies will be targeted by different militias or terrorists, in order to be well

protected, the companies should sink their money to create joint military organizations. The

security of the companies hence, should be guaranteed by the joint armies funded by the

companies but they will be independent from the decision-making of the companies; however,

the main purpose of the joint armies is to ensure the security of the companies. The

government to control a total number of arms that a joint military will possess, ideally there

should be 10 joint military organizations with a mandate to protect he companies and citizens

in collaboration with the national army in the province. The joint military organizations

should not be funded in the way that one company funds and creates its own joint military

organization but the conglomeration of the companies will generate funds for the creation of

those military organizations and hence; to continue providing the funds and materials to the

joint military. In other words, the joint military will receive orders from the government’s

institutions and if there is a threat to the security of the province, the national army will be the

first to intervene because it is the primary duty of the latter, if the war is becoming intense, the

joint army organizations from all provinces/sates/districts to come and fight for the honor of

their country. The rebels or terrorists cannot attack on every part of the country but on a

particular region, so it will be easier for the country with these joint army organizations

together with the national army. If the threat is big, then the national army and the joint

military organizations will come together and fight to ensure the threats is eliminated.

On the tops of the joint military organizations, there should be women as CEO, but why

women? Women are less likely to start conspiring to form a rebel group and start fighting

back their own countries. Each of these joint military organizations should have at least 500

(the number can increase accordingly to the size of population) troops in which there must be

special troops or elite class of soldiers, the entrusted! Then for a province to have 10 joint

military organizations which possess each 5000 troops who are well trained and together with
the national army, they will be able to provide the ultimate security of the population and the

companies. These joint military organizations should make sure their special troops train hard

both in the country and outside the country. That is why is, the country should maintain the

friendly relationship with developed countries.

The payment of these soldiers in the JMO will be ensured by the companies, education

should be granted free for the soldiers’ children and retirement pensions to be given to

veterans from the JMO. The children of these soldiers will be studying in the schools built

with the companies’ funds and be staying in the military neighborhood constructed with the

funds of the military, these military services can as well be bought by external parties.

The second option is the national army to be reinforced at the local level (province) with more

troops and financially supported by the companies. These companies will be generating funds

every year in order to support the total number of 5000 troops in a particular province under

the national army. Together, with the total number of the national army and joint military

organizations combined, this will constitute an ultimate arsenal to deter the rebels and

terrorists from attacking the province. The government in this case should share the defense

expenditures with the companies; the number of the soldiers in a province from the

government should hence be established and the companies will fund only the number of

5000 troops in that particular province. The houses of these soldiers should be built with the

government and companies ‘funds. Their children also must study in the schools that will be

constructed by the funds of government and the companies.

Another aspect of security is the intelligence services of these companies that must be

inquiring and collecting the information in the province concerning security. So, what will be

the role of national intelligence services and those owned by the companies?
 THE ROLE OF INTELLIGENCE SERVICES

The companies should create a common intelligence service in order to avoid conflict among

them, but this intelligence services will be overseen by the government with the purpose of

ensuring that operations are known, each transaction of the companies and the companies

have to know any new policy drafted regarding the running of the companies. In other words,

this intelligence service has to play an impartial role between the government and the

companies. It will then submit suspicious information on the companies to the government

and submit the suspicious information to the intelligence services. The province intelligence

services must intensify the intelligence services not only to oversee the operations of these

intelligence services, but also to have inquiry of the rebel groups in the region and prevent

next attack by the latter. The intelligence services must be intensified at the borders of the

country susceptible of hosting rebel groups and also strategic points having resources in order

to guarantee its security and that of the population in that specific part.

The intelligence services must have all needed privileges to operate in the province; the

intelligence services of each province will be cooperating mutually on the same basis and

keep flowing the information from one point to another. This will permit to know the

movement of terrorists and rebels in the regions and hence draft an attack plan and get rid of

them. Another role of the intelligence services will be to form inside their units the troops able

to carry their own operations rather than the military or police. This requires a lot of money

and that is why those companies exist, to guarantee the security of the people and the

territory.

These intelligence service will be divided into three branches or institutions which are:

1. The inquiry cases or investigation cases: will be charged to look upon the top cases that

involve some ambitious and greedy politicians’ cases, the corrupt people in the
government, the people who constitute the threat to the national security, the top leaders in

the companies who try to exploit the population on their own benefits.

2. The territorial security institution: the branch of territorial integrity is the most

important that should be emphasized on, the use of rebels and terrorists have

developed in the globalization era, the arms merchants have increased too, especially

in the countries possessing natural resources. This branch will have the mandate to

collect all the information of the rebel’s movements in the province by all means and

deploy some operatives in strategic points in order to acquire intel and tighten the

security of the country. The sharing duties of the companies and the government also

relies on this, the government sometimes have responsibilities or even a role to play in

that rebels attack, but if the government has collected all intel needed while the

situation gets worsen and not willing to take any action to stop them because the

companies will also inquire and the whole information has get to them, these

companies will have the right by the law to attack and defend their companies and

those of the citizen through the House of Lords. This branch must be funded

tremendously for the purpose of acquiring new technological features capable of

ensuring the security. Such as the use drones flying in the province to detect the

movement and localize from the technical centers or at the international level through

diplomacy. The launch of satellite not for geographic purposes only but the registering

of the images of the rebels and the intimate network which will be secured and

independent from that of the government.

3. The intelligence service on foreign ministry: This branch will have to collect all the

information of different countries, strategies that can alter the working of the

companies or the political stability in the country, all the political opponents that are
 funded by people to benefit from the sinking of the systems, they should use all the

means to acquire that intel and report to political should be studied by the latter and

hence deals with these issues earlier. The intelligence services troops will have to

work with the special troops in the Joint army companies as they are all funded by a

same patron to carry out some operations in the country.

Now we have talked about the process of accumulating wealth, but Africa must remember

another feature, which is the environment. It’s good to achieve economic development, but

the world today, climate change is hitting the world including Africa. So, the health of the

population must be taken into consideration too. As long as there is heavy industrialization in

Africa, there will be even greenhouse gases in the atmosphere that will make the earth

warmer. So, what are the environmental issues to be considered when running these

programs?

ENVIRONMENTAL ISSUES MANAGEMENT BY THE COMPANIES

The working of industries should be organized by the governments at the local level as well as

national level, we are living in the globalization era, humanity has given a lot of consideration

to the environment well-being, therefore states in the regional blocs will enforce the policy to

the companies to possess a certain group of people interested in conservation of the

environment and the species at national level and international level. The waste disposal must

be ensured in order to avoid pollution of the air, water and soil. As we all know sub-Saharan

Africa is the biggest provider of the oxygen to the entire humanity, amazon forest is
threatened by the acid rains and climate change, and the second largest forest is in DR. Congo

Business on trees should be restricted by the government to avoid massive deforestation that

will possibly engender climate change and reduction of O2. If the warm increases in Africa,

this will be worse because, it affects even the air we respire. So, the firms must consider the

emission of gases and use all means to contain and reduce the emission of gas to preserve the

ozone layer depletion. With the climate change, in less than a century, Africa will be the

destination of people from Europe, Asia and America, but only if the firms keep the

environment safe. For instance, the equatorial forest in the central region in Africa must be

preserved at all cost and the conservation of wildlife should be guaranteed as they constitute

the heritage of the country. This can be done by creating new companies that deal with the

environmental issues, they will be charged of overseeing the degradation process of the

environment and look the ways how to improve the latter. They will be funded by the RRB;

their budget should be considered crucially. These companies will have a group of people

investigating on all firms that violate rules on the environment; the firms that violate the laws

should be face trials to justice. The companies of waste disposal to be enacted too in order to

keep the entire province clean. This will constitute “the green industrialization” that consists

of industrializing the country meanwhile preserving the environmental biodiversity:

INFRASTRUCTURE DEVELOPMENT
 Waterways’ initiatives:

“All the inland parts of Africa seem in all ages of the world to have been in the same

barbarous and uncivilized state in which we find at present, there are in Africa none of those

inlets, such as the Baltic and Adriatic seas in Europe, the Mediterranean and Euxine seas in

both Europe and Asia, and the gulfs of Arabia, Persia, India, Bengal, and Siam, in Asia, to

carry maritime commerce into the interior parts of that great continent to give occasion to

any considerable inland navigation. The commerce besides which any nation can carry on by

means of a river which does not break itself into any great number of branches or canals, and

which into another territory before it reaches the sea, can never be considerable; because it

is always in the power of the nations who possess that other territory to obstruct the

communication between the upper country and the sea” (Smith, 1776).

Adam smith tried to analyze why the trade in Africa has not been effective since the

eighteenth century; the trade has never been effective because of less connections among

African’s entities, since there are not enough canals and the cost of transport on soil route in

much costly than the maritime making the economy of African countries stagnant. Hence the

infrastructure development is much important since there will be new transport companies

that will have to ensure the canalization of waterways of important locations of commerce

with others on which the cost of using the roads could be higher. This will be a big initiative

in which almost all big companies will have to invest because all the advantages will be

shared, not the present but also for the future these companies will benefit from the

waterways. The companies will support the initiatives through the RRBʼ revenues to finance

it in order to connect different locations in one province; hence each company will sink its

10% of its annual revenues and will gain profits through taxes on every commercial ship.

Hence with multiple big and small companies registered in a single province, the annual
budget of the project to connect strategic commercial milestones will be huge enough to

achieve the project.

Hence, in another province, the same initiatives will be tackled, after the connection of body

waters through canals among provinces/ states/counties; the connection of the whole country

will be achieved. Trade will be the major target to account for such an achievement and

economy will prosper. The same will apply at regional level, hence, states in one region will

depend on each other, and the war will less be likely to occur because they will be sharing

common interests.

Railway’s initiatives

But in the lands where there no enough water bodies to dig canals to connect important

locations of commerce, therefore the railways are a better option. The idea is to amass a lot of

profit hereby using means that are less expansive, hence the ships or wagons that can

transport thousands of tones by less than three men will be cheaper compared to the use of

planes, lorries and tracks on which much fuels while transporting less than five hundred tons

of goods. In a country like DRC for instance, which is almost drained by the river Congo that

only passes through, it needs to have sophisticated railways to connect where the river has

downfalls. For this same case, new companies will be created in order to build and ensure

transportation of goods from one place to another; the already existed companies will invest

too as shareholders.

Other infrastructure’s initiatives.

To develop infrastructure, in the country; the same initiatives should be applied; the opening

of remote affiliated companies. Each company in the province must venture in those remote

companies, empower them, funds them and give them plans, such as the plants on electrical

plants. In the globalization era, the internet has played a big role in advancing technology, so

the purpose of those remote companies will be of running the internet smoothly and ensure

that the big companies have strong internet that will be fast, constant and permanent. The

dissipation of internet by the remote companies must be promoted to cover the

province/state/district as long as the companies grow.

The construction of highways from urban areas to the suburb’s areas, villages must be

ensured by remote companies created with the purposes of building good roads. And this

program will be the first for the companies which grant access to the countryside. The

telecommunications companies still, to be ensured under remote companies; and the owners

should be the nationals primarily. The telecommunications companies will have the role to

cover the entire province with a strong network, and the latter can be spread across the

country; and since they are private companies, they can merge to make one company to

diminish competition. Once these companies are settled, then international companies that

are in this category could land and start making business Once they are settled, the

international companies will have to employ its entire member staff with their nationals or

not.
 Green Belt initiatives

In terms of neighborhood’s construction and the home luxury’s construction, the companies

will have to construct 10 building sites constructed in form of villas, and step by step

demolish old houses in the neighborhood purposely to build modern and western

neighborhoods. These homes will be owned and operated by the Real Estate companies; the

latter will be under the big companies through which they will receive directions and rules.

Each big company in every province/state/ district should at least have a project of building a

skyscraper in a period of 7 years, if the conglomeration is of 30 companies in a province, it

means 30 projects of skyscraper will be planned and executed.

The provinces/states/districts’ companies will run these projects under the tension of

competition. Through this mode of production emphasizing on oligopoly through families,

the companies and the government will grow richer while eliminating poverty, hunger,

misery and bloody war in Africa. This will permit the countries to have leverage in terms of

bilateral trade in the international system because power does only respect power.

Through, this program, everything will be interconnected in Africa, states and individuals

will share common interests and Africa will cease to be a dark continent since the lights will

finally dwell into the middle of the African darkness.

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