Panel, Keynote, Fireside Chat, Other
Investing in African Prosperity
Milken InstituteTony Blair, Bill Gates, H.E. Paul Kagame, Strive Masiyiwa, Rhonda Zygocki, Michael Milken
- Economic Progress: Out of 54 African nations, 25 have achieved or are approaching middle-income status, with a continental ambition to eliminate poverty and reach this status by 2015.
- Investment Thesis: Investment in Africa is characterized as a "win-win" scenario offering high financial returns alongside significant social impact and improved quality of life for the population.
- Health Statistics: Under-five mortality rates in Africa have dropped from 20% to 10% over the last decade, though this remains 20 times higher than rates in wealthy nations.
- Hidden Costs of Mortality: For every child who dies before age five, three others survive with malnutrition or diseases like cerebral malaria that impair brain development, preventing them from reaching their economic potential.
- Demographic Dividend: Improvements in child health and survival rates have led to a voluntary reduction in population growth as parents choose to have fewer children when they are confident their offspring will survive.
- Rwanda Case Study: Rwanda is cited as a model for self-sufficiency, having invested in a "magic mix" of health, agriculture, governance, education, and infrastructure.
- Vaccine Adoption: Rotavirus vaccine coverage in Africa is projected to reach 60% currently and 100% within two years, driven by volume commitments and manufacturing partnerships.
- Agricultural Transformation: The Agricultural Transformation Agency in Ethiopia, led by a former foundation employee, increased national agricultural productivity by 30% through policy changes and market trust, turning a nation prone to famine into a future grain exporter.
- Corporate Commitment (Chevron): Chevron has invested over $25 billion in Africa since 2007, with operations in 16 countries and 80% of asset management staffed by local talent.
- Angola Post-Conflict: Chevron partnered with USAID and UNDP in Angola post-2002 to rebuild infrastructure and establish a microcredit bank, helping the nation transition from emergency aid reliance to economic stability.
- Governance Standards: The Extractive Industries Transparency Initiative (EITI) has secured disclosures of nearly $1 trillion in government revenue from extractive industries across 37 countries involving 70+ companies.
- Capacity Building: Tony Blair's organization deploys external expert teams to work directly with African presidents and ministers to execute specific government programs, such as infrastructure delivery and service expansion.
- Private Sector Resilience (Strive Masiyiwa): Econet Wireless in Zimbabwe survived 500 billion percent hyperinflation by hiring local professionals, adapting pricing strategies, and utilizing mobile platforms to serve 8 million customers.
- Mobile Penetration: Cell phone penetration in Africa has risen from 70% of the population hearing a ringtone 20 years ago to over 70% ownership today, with some markets exceeding 100% (multiple devices per person).
- Mobile Financial Services: Mobile money services are gaining traction rapidly; in Zimbabwe, 20% of GDP now flows through mobile money platforms, growing at a compound rate of 10% per month.
- Rwanda Education: 90% of students who leave Rwanda for university return to the country, demonstrating a high level of national commitment and human capital retention.
- Polio Eradication: Global polio cases have plummeted from 360,000 annually in 1988 to fewer than 300, concentrated in only three countries: Nigeria, Pakistan, and Afghanistan.
- Funding for Polio Elimination: A new six-year, $5.5 billion campaign aims to eradicate polio, with a funding split of 60% from governments and 40% from philanthropic sources.
- Community Trust Challenges: Eradication efforts face hurdles regarding vaccine skepticism, including rumors of sterilization plots, requiring engagement with religious leaders and local communities to ensure safety and access.
- Healthcare Infrastructure: Success in disease eradication is viewed as a proxy for building broader health systems that can treat other diseases and improve overall child survival.
- Chevron Health Initiative: Chevron reported zero cases of mother-to-child HIV transmission in its workforce in Angola (9 years) and Nigeria (12 years), now expanding this effort to eliminate transmission across three African countries.
- Niger Delta Investment: Chevron has committed $50 million in the Niger Delta region, leveraging an additional $50 million to engage 17 other partners in breaking economic barriers and reducing conflict.
- Digital Leapfrogging: Africa's lack of legacy infrastructure allows for rapid adoption of digital solutions, such as mobile-based education and agricultural market data, potentially bypassing traditional development stages.
- Investment Strategy: Successful investment in Africa requires partnering with local entities who add value to the supply chain, rather than serving merely as political intermediaries.
- Food Security Tech: Mobile technology is being deployed to reduce the "last mile" cost of food distribution, where prices can double before reaching the consumer.