Successful economies in the context of structural economic transformation are managed at 4 levels Philosophical Institutional Human development Macroeconomics

We focus a lot on macroeconomics but not on the other three.This leaves many African Countries in a defensive posture, always managing the consequences of our exposures, whether inflation from the war in Ukraine, or Iraq, or the spillovers from the monetary policies of advanced economies or excessive debt with the Africa risk premium built on.

We need to start that managing African economies to create opportunity capture and not just defensive macroeconomic management which has for decade been like a thread-mill.What if we created more effective industrialization at home that hedges us in our exposure to imported inflation?

What if we invested in electricity to tackle structural inflation from generators and then incentivize larger and more efficient productivity?

What if we tackled governance and institutional challenges that manage the risk of fiscal dominance such as effective fiscal rules that create better buffers of reserves or sovereign wealth?

What if we invested far more in education for skills so we are ahead of the curve with Africa’s projected population growth and global workforce dominance?

The major problem we face in Africa is undisciplined fiscal management both excessive and unproductive borrowing and spending. This is because the fiscal authorities are directly supervised by politicians.

Orthodox Macroeconomic management is important for stability but is not what delivers transformation. This is achieved by forward looking policy shifts that creates fundamental enablers and this begins with human development not macroeconomics.

We need to be conscious of what I call the Fallacy of ECONOMIC MAN in Africa.South East Asia developed with capitalism but with a huge dose of State intervention.The real problem is not State Intervention, it is incompetent and counter productive State engagement.

Prof. Kingsley MoghaluPerspectives at the Africa Economic Summit – AES 2026 at the Policy Center for the New South at the Mohammed VI Polytechnic University, Rabat Morocco. 16th July, 2026