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EUROPEAN UNION AND CHALLENGES OF AFRICA’S DEVELOPMENT: A CRITICAL APPRAISAL, 1999-2010

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EUROPEAN UNION AND CHALLENGES OF AFRICA’S DEVELOPMENT: A CRITICAL APPRAISAL, 1999-2010

ABSTRACT

This study examined the European Union, EU and challenges of African development. Specifically, the study ascertained if the increasing rate of EUAfrican relations has increased the volume of trade between EU and Africaand secondly, ascertained if the increasing rate of EU-African relations has increased the volume of foreign direct investment from EU states to Africa. The study interrogated the following research questions. First, has the increasing rate of EU-African relations increased the volume of trade
between EU and Africa? Second, has the increasing rate of EU-African relations increased the volume of foreign direct investment (FDI) from EU states to Africa? The theory of complex interdependence was chosen as our theoretical framework. Our choice of the theory is because of its ability to highlight cooperative actions among states and facilitate deep understanding of global patterns of interrelationship. The study relied on secondary sources of data, and as such generated both qualitative and quantitative data. After a critical analysis of available data, the study revealed as follows: first, the increasing rate of EU-African relations has increased the volume of trade between EU and Africa. Second, the increasing rate of EU-African relations has increased the volume of foreign direct investment from EU states to Africa. Based on these findings, the study is of the view that Africa as a continent should deepen the rate of economic activities between her and EU in order to attract more FDI and trade deals. Further, Africa should cultivate, and compete for, foreign direct investment inflows to bridge their domestic saving-investment gap and therefore augment the available funds to finance development process through bilateral investment agreements like their developing countries counterpart in other regions.

TABLE OF CONTENTS
Title page —————————————————————————i
Certification ————————————————————————-ii
Dedication ————————————————————————–iii
Acknowledgement —————————————————————–iv
Table of Contents —————————————————————— v
List of Tables and Diagrams —————————————————–vii
List of Abbreviations —————————————————————ix
Abstract ——————————————————————————-x
CHAPTER ONE: INTRODUCTION
1.1 Background to the Study —————————————————-1
1.2 Statement of the Problem —————————————————-3
1.3 Objectives of the Study ——————————————————-5
1.4 Significance of the Study —————————————————–5
1.5 Literature Review—————————————————————6
1.6 Theoretical Framework——————————————————-21
1.7 Hypotheses ——————————————————————–24
1.8 Methods of Data Collection and Analysis———————————24
CHAPTER TWO: THE EVOLUTION OF EU AND EU-AFRICAN RELATIONS
2.1 History and Development of European Union—————————26
2.2 Organs and Institutions of European Union—————————–42
2.3 History and Development of European Union-African Relations——44
CHAPTER THREE: EU STRATEGY AND TRADE INVESTMENT IN AFRICA
3.1 EU Trade Policy Towards ACP Countries———————————54
3.2 EU Trade in Goods and Services in Africa——————————–58
CHAPTER FOUR: THE EU AND FOREIGN DIRECT INVESTMENT IN
AFRICA
4.1 Rational for Foreign Direct Investment ———————————–68
4.2 Why FDI is Important to Africa——————————————–70
4.3 Initiatives taken by African countries to attract FDI——————–72
4.4 Incidence of FDI Inflow from EU into Africa —————————–75
CHAPTER FIVE: SUMMARY AND CONCLUSION
5.1 Summary and Conclusion ————————————————86
Bibliography —————————————————————–89


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