Updated on 2/28/2003 -

Assist AU member States to achieve manageable levels of external debt

ALTHOUGH DEBT RELIEF will free up funds for vital services in poor AU communities and  member States, this alone IS NOT enough to break the poverty trap.

This is yet and by no mean the unique policy and strategy, this proposed AU Commission on regional and global Economic Integration (GEI) with collaborative efforts and supports of the International Monetary Fund/ World Bank's Heavily Indebted Poor Countries (HIPC) initiative, aims to implement for review by all stakeholders the interim Agricultural, Natural resources and Manufacturing Research and Information Development Global Network and Systems AUGEIP-ANMRIDS ( "AU-Global Network Systems") as the key in achieving manageable levels of external debt by:

1) Attracting more foreign direct investment

2) Increasing participation in international trade

3) Implementing sound economic policy ( Regional and Global Economic Integration)

4) Making structural adjustments completed by institution building, transparent governance and reduced corruption.

On budget, for most part AU countries need a budget with innovations not simply a ritual that has to be undertaken. Most States budgets lake creativity and innovation to take their countries to a position were it could generate growth.

Economic base have been eaten up and structures that support growth are for the most part missing. Funds are not made available to foster local entrepreneurs develop and the cost of borrowing in commercial banks are not favourable for the private sector to access.

To foster growth, government should cut spending, reduce borrowing from banks to pave way for the private sector and implement at tight monetary system.

The main objective of this proposed  interim Agricultural, Natural resources and Manufacturing Research and Information Development Global Network and Systems AUGEIP-ANMRIDS ( "AU-Global Network Systems") is to increase agricultural, natural resources and manufacturing productivity and stimulate produces diversification, technically assist in regional but with global reach trading and commercialization capabilities in an environmentally sustainable manner as follow: 

• Introduce a pluralist trading demand-driven extension global network;

• Strengthen AU farmers organisations, natural resources producers and manufacturing units and promote strong partnership between these organisations and Agribusiness, Industry product transformers, Service providers, Buyers, Traders and Investors to support adaptive and transformation technology generation (while reducing land degradation) and its effective dissemination in the region.   

• Stimulate diversification and commercialisation of agricultural, natural resources and manufacturing produces in order to increase farmers, miners, producers incomes and exports.

• Promote institutional development, capacity building and decentralized, streamlined systems of projects management.

The Proposed AUGEIP Commission  strongly emphasizes the use of modern, proven and secured technological systems to aid in the Consultative Process, for preparation and implementation of projects, for day to day management, controls  and to prevent fraudulent transactions and corruption, designed to fulfill the requirements of all stakeholders needs to openness and good governance:

They are interim comprehensive Communications and Information Management Systems designed and implemented to handle the following AUGEIP Consultative Process tasks: 

I) Project Co-ordination, Co-operative, Planning functions: These are intended to help Agribusiness, Industry product transformers, Service providers, Buyers, Traders and Investors support Development Programme duties:

This system includes the following components in a database storage and retrieval system:

- Project preparation Documents database sub-system :

a) Reports of all the components of the project.

b) Safeguard studies according to acceptable Bank guidelines.

c) The database will identify all the fiduciary documents and consultants selected for all the studies.

- Project Status database sub-system:

a) The database will identify the projects being considered, action taken on them and activities.

b) Reports on details work plan with clear benchmarks of the project.

c) Ad hoc reports on specific project preparation process:

- Tasks identification of each project by region

- Reporting capabilities to:

- Institutional investors; Private investors; Financial institutions, World Bank

-Pre-appraisal and appraisal missions reporting capabilities

- Project implementation preparation of the action plans, implementation, reporting capabilities during the implementation and follow up reporting including:

- Project Implementation manual (PIM)

- Project procurement manual (PPM)

- Hand book for community based Micro-projects

- Reports on contacts with concerned Ministries of member States where the project takes place and with other Agencies in connection with the project preparation, implementation and follow up tasks

- Consultants' study reports on the project and consolidation

- Recommendation to the financing institutions, government, private investors and national, regional and international level implementation arrangements reports

- Report of project appraisal missions

- Budget information database sub-system:

This database will describe:

- The early budget of each project in line item form. It will identify revenues by source and expenditures by purpose and geographic distribution

- Project budget for Project Preparation Office (PPO) activities

- Details estimated costs of the funding to be given to selected projects levels with outputs to be achieved with time bound schedule

- To head quarters levels with outputs to be achieved with time bound schedule

- Provinces levels with outputs to be achieved with time bound schedule

- Districts levels with outputs to be achieved with time bound schedule

- Issue Briefs database sub-system:

This database will include short summaries and analyses of important issues of interest to all stakeholders and the AU Assembly. It will also feature selected relevant articles taken out of news papers, magazines and wire services in the region where the implementation will take place.

- Legal status/ Institutional brief database sub-system:

This database will store and report:

- Program Steering Committee reports

- Board of management reports

- Secretarial and cross board financial and management status reports

II) Production and Processing Systems and Tools: These address some of the specifics systems needs for AU farmers organisations, natural resources producers and manufacturing units and extend practical technological, management, and production modern capabilities to each specific group:

This system includes the following components in a database storage and retrieval system:

- Project Status database sub-system (Logical component and relationship to above Project preparation Documents database sub-system):

a) Capabilities to store and report review of consultants' studies by  Agribusiness, Industry product transformers, Service providers, Buyers, Traders and Investors with stockholding interest in the outcome of the project

b) Capabilities to research, store and report national, regional and global research and  consultants' specific review studies on trade market AND global capital markets linkages

c) Capabilities to report (identification) of pilots that be eligible for support under Agricultural Commercialization and Investment Fund and other:

- Details preparation of the pilot operations selected for Agribusiness, Industry product transformers, Service providers, Buyers, Traders and Investors partnerships with investors

- details guidelines for designing and preparing project proposals under the accepted common practices and procedures for accessing global finances. These guidelines could be developed for Rural, District, Provincial, City or State investment and capability is provided within the system to expand to include criteria and requirements for income generating activities, including business and marketing plans.

d) Capabilities to prepare, store and report draft implementation manual and provide for review by appraisal mission (requirement for project negotiation). 

e) Capabilities to prepare, store and report Handbook for community level implementation and provide electronically and via Internet the draft to all stakeholders and concerned interests (including banks, investors on the global markets and institutions) for review prior to the arrival of the appraisal mission:

- Built-in system capability to monitor and ensure the implementation of the project related actions leading to appraisal

- Built-in capability to electronically and via Internet coordinate the preparation and guided multi-projects fields appraisals by stakeholders and concerned interests (including banks, investors on the global markets and institutions).

- Online Training and library database sub-system (Logical component and relationship to above Project preparation Documents database and Sub-systems):

- Included with the system is a comprehensive and complete built-in Online Training and library database sub-system capable of carrying out electronically and via Internet a training needs assessment to  all stakeholders and concerned interests (including banks, investors on the global markets and institutions) and District Councils selected to be included in the program in the first year and capability to to electronically prepare, store and produce a phased capacity building training program including a time bound schedule for implementation. 

III) Management Information and Trading Systems and Tools: These finally ensure that business transactions, management and reporting are done and reported in line with generally accepted accounting principles:

- Log procurement of goods and services for the Project Preparation Office (PPO) studies

- Log procurement of goods and services for the PPO.

This system includes the following components in a database storage and retrieval system:

- Accounting Controls and Reporting database sub-system (Logical component and relationship to above Project preparation, implementation and management sub-systems):

- This includes components dealing with management reporting and controls, salaries, payrolls, inventory, and purchasing and accounting sub-systems: 

a) Secured capabilities to electronically co-ordinate and controls the utilisation of financial resources available to the PPO:

- Effective and prudent maintenance of electronic accounting books to ensure accurate recording of business transactions, preservation of accounting records and timely provision of electronic accounting information to all stakeholders via secured Internet and other means of modern communication.

b) Secured capabilities to timely and diligently effect electronically all payments approved by relevant authorities:

- Built-in effective and diligent monitor expenditure system to ensure that all expenditures are in line with approved budgets and work plans, and in accordance with accounting procedures, and financial and regulations.

- - Built-in effective system for the issuance of imp rests and and staff advance to ensure compliance with relevant regulations and circulars, and conditions of service.

c) Secured capabilities to electronically prepare and submit as required periodic financial statements/reports, and appropriate accountings for purposes of auditing and management information.

d) Built-in secured capabilities for the appropriate authority to electronically prepare and submit Withdrawals Applications to the World bank and other Financial Institutions and ensure timely replenishment of the (project preparation Facility - PPF) Special Account.

e) Built-in secured capabilities to ensure prompt responses to audit queries and observations to enhance proper accountability.

- Project Implementation database sub-system (Logical component and relationship to above Project preparation Documents and  management database sub-systems):

a) Capabilities to prepare, store and report consultant studies on  AU farmers organisations, natural resources producers, manufacturing units and extension services.

b) Capabilities to electronically co-ordinate studies via Internet on AU farmers organisations, natural resources producers, manufacturing units extension including the review of the national and regional legislative provisions of the above stakeholders.

c) Capabilities to electronically advise via Internet  the concerned State's Ministries, and the World bank on matters of  AU farmers organisations, natural resources producers, manufacturing units and extensions within the framework of the project and funding support.

d) Built-in capability to monitor and ensure the implementation of agreed actions on AU farmers organisations, natural resources producers,  manufacturing units and extensions:

- Build-in capability to prepare, store and report details of the proposed awareness orientation program including the estimated costs, terms of reference for the contracted consultant, the invitation to bid and draft contract with a time bound implementation schedule according to project plan.

- Built-in capability to select and inform and electronically inform via internet and other modern communication means all Districts that will be covered by the implementation of the project within specific time frame according to the implementation plans.

- Online Training and library database sub-system (Logical component and relationship to above Project preparation Documents database and Sub-systems):

- Included with the system is a comprehensive and complete built-in Online Training and library database sub-system capable of carrying out electronically and via Internet a professional and business skills orientation program for development of the curriculum, the terms of reference for contractors, draft invitation to bid and draft contract and the estimated likely costs of providing the training. 

In view of the above proposed GEI policy, the following interim Agricultural, Natural resources and Manufacturing Research and Information Development Global Network and Systems UAGEIP-ANMRIDS ( "AU-Global Network Systems")  is proposed  by this Proposed AU Commission on regional and global Economic Integration (GEI) for implementation review by all stakeholders, AU communities and member Sates. Click here.