Jakaya Kikwete and Anders F Rasmussen African countries are still a long way from achieving the full benefits of globalisation, despite solid economic growth. In recent years, African economies on the whole have grown at an average of more than 6 per cent per year. But a look below the surface reveals that much of the growth has come from higher commodity prices. The trouble for Africa’s economies is that prices are now falling. And growth based on commodities alone is not enough to create jobs and reduce poverty.

A new approach to development is therefore needed. We must have a renewed international emphasis on improving the competitiveness of the African private sector. Pouring aid money into the continent is not sustainable or helpful in itself.

Africa and its partners should focus on reducing the costs of doing business by combating corruption, adding more and better post-primary education and skills training based on private sector demand, providing access to investment capital, better energy supply as well as basic infrastructure. These may look like steep demands, but the Africa Commission has been created to identify concrete initiatives that can facilitate this type of change. The commission brings together major stakeholders at the highest level: governments, researchers, civil society, the private sector, and international partners.

But where do we start? Africa’s numerous small- and medium-sized enterprises (SMEs) offer the best opportunities for growth and employment. They are the backbone of prosperous economies. A good place to begin is to address the constraints that SMEs face in accessing finance for investment. Another area for intervention is energy. Access to energy is too often unreliable and expensive. This reduces Africa’s competitiveness. Technologies for sustainable small-scale energy production and distribution are available today in areas such as wind, hydro, biomass, solar energy, and biofuel. So working on an initiative that can help scale up market-based clean energy production in Africa and take advantage of those technologies is a possible and effective step forward.

Then there is the matter of youth and employment. Young entrepreneurs in Africa face particular challenges, even when they are skilled and have innovative ideas. We’re planning a youth initiative to help young entrepreneurs start up and develop businesses and allow them to create jobs. By establishing the Africa Commission we have created a platform for finding effective means of improving job opportunities for young Africans.

In the coming months we will concentrate our efforts on transforming these principles into

concrete actions. Our aim is to assist Africa’s aspirations to achieve the full benefits of globalisation through a change of mind-set.

Most important, we must shift our focus toward enterprise-led development in Africa: Aid in itself will not ensure sustainable development. Improving Africa’s competitiveness will.