Economic problems of post-colonial development of countries of Global South
Introduction :
The immense economic inequality we observe in the world today didn’t happen
overnight, or even in the past century. It is the path-dependent outcome of a multitude of
historical processes, one of the most important of which has been European colonialism.
The question of the development of the countries of the South has its origins between the
14th and 19th centuries, with the colonization of the world by the Western European states,
and more particularly at the time of the industrial revolution in Europe at the end of the 18th
century. The Industrial Revolution increased Europe's economic and military power tenfold,
led to the conquest of Asia and Africa, and ensured Europe's undivided rule over the world, at
least until the First World War.
Colonization is an important historical process of territorial and demographic expansion. It is
a phenomenon characterised by migratory flows that involve the invasion, occupation and
exploitation of a geographical space, the subjugation and political, cultural, religious and
economic domination, and even the genocide, of the populations that had previously settled
in that territory. It is an expansionist process of occupation, which consists in bringing other
territories under foreign influence.
Despite the overall improvement in living standards through the establishment of hospitals,
schools, roads, and the development of agriculture and industry, the colonized found that
private and foreign interests benefited more from these new structures than the local
population.
For example, in several colonies, the new administrators had eliminated local agriculture in
favor of export crops that did not feed the local population. In fact, the colonized nations
criticized the fact that there was no real profit for them while the metropolises profited from
the natural resources and got richer. In addition, the independence movements criticized
social inequalities and laws that favored one part of the population over another.
By the end of the First World War in 1919, the great colonial empires were at their peak.
Their strength and wealth came directly from the overseas resources they drew from their
colonies. On the other hand, in the inter-war period, the first movements demanding
autonomy and independence emerged. Led by educated elites, these movements protested in
the name of democratic principles, valued by the metropoles and flouted in the colonies, as
well as in the name of national identity, which was also flouted. Despite these protest
movements, the metropolises were still very strong on the eve of the Second World War.
At the end of the war, demands for freedom and autonomy increased.
Decolonisation is a fairly recent historical phenomenon that stems from
colonial conquest. It is the access of a nation to independence and sovereignty over territories
formerly administered by foreign colonizing powers. This phenomenon has left deep traces in
human history as well as in the global economic hierarchy.
There are two types of decolonisation: violent decolonisation and negotiated decolonisation.
In the first case, decolonisation is achieved after many demonstrations, riots or wars. In the
second case, the process of autonomy and independence is initiated by negotiations between
the metropolis and the colony.
But what are the economic consequences of decolonisation on the countries ?
1- Historical point
Although the beginning of decolonisation is dated 1776, when the United States of America
proclaimed its independence, this is only a "precursor". Decolonisation really began in 1945.
In 1945, when the United Nations was founded, 750 million people - almost a third of the
world's population - lived in territories that were not self-governing and were dependent on
colonial powers. Today, there are still 17 Non-Self-Governing Territories with less than two
million people living in them. The UN played a historic role in the wave of decolonisation
and continues to work towards the decolonisation of these territories.
Since its inception, the UN has welcomed into its membership many nations that have broken
free from colonial rule or trusteeship arrangements and have become sovereign and
independent states.
With the hope of accelerating the progress of decolonisation, the General Assembly adopted a
Declaration on the Granting of Independence to Colonized Countries and Peoples in 1960.
This Declaration asserted that all peoples have the right of self-determination and proclaimed
the need for a speedy and unconditional end to colonialism. Two years later, in 1962, the
Assembly established a Special Committee to monitor the implementation of the Declaration
and made recommendations on its implementation.
The UN also set up trusteeship regimes with the aim of fostering political, economic and
social development and developing the capacity of peoples to govern themselves with the aim
of achieving true independence. The trusteeship regimes had to ensure that the governments
in place achieved these goals, while respecting human rights. All the Trust Territories became
independent or associated with neighbouring states.
In 1990, the General Assembly subsequently declared the years 1990-2000 as the
International Decade for the Eradication of Colonialism and adopted a plan of action to that
effect.
2- The affirmation of the Global South
This period saw the affirmation of the Global South as a new political subject. In 1955, the
Bandung Conference in Indonesia brought together the leaders of twenty-nine African and
Asian countries, newly independent or still colonized.
Afghanistan, Cambodia, People's Republic of China, Egypt, Ethiopia, Gold Coast
(present-day Ghana), Iran, Iraq, Japan, Jordan, Laos, Lebanon, Liberia, Libya, Nepal,
Philippines, Saudi Arabia, Sudan, Syria, Thailand, Turkey, North Vietnam, South Vietnam
and Yemen.
All of these countries had similar colonial histories and severe development problems.
Together, these countries made up half the world's population, but accounted for only 8% of
the world's wealth.
Distancing itself from an alignment with one of the two blocs resulting from the Yalta
agreements, it affirmed the right of peoples to self-determination. The objective of
development is therefore first and foremost a continuation of nationalist and anti-colonial
struggles. Since the 1930s, populist governments in Latin America have also been pursuing
economic strategies aimed at achieving greater independence from the economic and political
domination of the United States.
This conference also mentions the problem of underdevelopment as a major issue in the
Global South. According to the representatives, political emancipation should be
accompanied by economic and social emancipation.
They also proclaim equality between states, sovereignty over national resources, international
solidarity and the development of peaceful coexistence.
3- The consequences of decolonisation
The formation of new independent nations created the global south countries
(underdeveloped and developing countries). As they emerged, these new countries
immediately asserted their independence from the duality of the Cold War blocs.
a) Unstable or confiscated political life
After gaining political autonomy, many of the new nations were confronted with ethnic and
religious conflicts, the foundations of which had been laid during the colonial period. Some
of these conflicts led to genocide. Democratisation is still difficult. Several countries that
gained their independence at that time still have problems with dictatorships and totalitarian
governments.
Indeed, the transition from colonisation to independence often leads to a power vacuum and
political unrest that tarnishes the early years of independence.
In Africa, the most striking example is the former Belgian Congo, which became Zaire in
1965.
The first head of government, Lumumba, was assassinated in 1961 and a phase of political
anarchy only ended with the establishment of a dictatorship with Mobutu.
The new states therefore frequently develop into despotic regimes. Only a minority of
decolonised countries, such as India, managed to establish a lasting democracy.
There are many reasons for this: colonisation did not allow people to learn democracy;
illiteracy makes it difficult to participate in political life. Moreover, a small elite has
appropriated power and wealth. The countries of the global south were dependent on the rich
countries because they were still too indebted and dependent on agriculture to develop a
profitable and dynamic economy. In general, global south countries have a high birth rate, a
low standard of living and much poverty. For this reason, most of the former colonies have
strong political ties with the metropolis. Moreover, the culture and language of the former
metropolis still influence these young countries.
Finally, social, ethnic and religious divisions maintain instability. Finally, the intervention of
foreign powers is the biggest problem.
The economic effect is that it also destabilizes the productive system, leading to poverty,
malnutrition, famine and epidemic. These countries cannot focus on developing their
economies if they cannot maintain political stability on their territory
b) A need to build nation states
The challenge for these states is to build a national feeling among their population. This is
not an easy task, as many borders (made to order) have created states without a common past.
There have been several attempts to unite these new countries, but apart from the symbolism,
these attempts have been in vain.
In the Egyptian revolution of 1952, the Free Officers established a Military Command
Council with the aim of abolishing the monarchy. On 23 July 1952, Nasser and his officers
overthrew King Farouk. In 1956 he nationalized the Suez Canal. The Franco-British
intervention against Egypt federated Arab nationalism.
In Africa, the Ghanaian Nkhrumah wanted to rethink African unity around the idea of
pan-Africanism. Movement that seeks to unify culturally and politically the African peoples.
Elsewhere, it was communism and revolution led by the people that was to bind the nation
state together (Cuba, Vietnam, Cambodia)
4- Conquering economic independence
The economic development of the global south implies freeing itself from its dependence on
the countries of the North.
a) The economic fragility of the new states
The 1/3 world includes all countries with limited economic development and serious social
and health problems.
The starting indicators are poor:
- low average per capita income
- large gap in resources between a minority of rich and a majority of poor
- high fertility and illiteracy rates, or poor or under-nutrition
1st factor: a colonial past to which some economists attribute the current economic
difficulties
The economy is dependent, they export raw materials but have not been industrialized (like
cocoa in Ivory Coast)
2nd factor: internal factors
The exploitation of resources enriches a power elite that lives on corruption.
Underdevelopment is therefore explained by poor management and a waste of the
environment and the ecosystem.
b) Different choices to break dependency
1st choice: in the 1950s and 1960s, Asian countries opted for industrialisation. Most often
this involved developing what are known as industrializing industries, those that would allow
other sectors to develop in their wake.
The example of the TATA group in India is significant: it launched itself into car
manufacturing, trucks and then electronics.
2nd choice: Many have tried a socialist path of development.
It is based on the nationalization of resources, such as gas or oil in Algeria, rice, coffee or
sisal in Tanzania .
The revolutionary path has been more dramatic (Bolivia, Congo)
3rd choice: the liberal choice: compete between Europe, USA and China
Countries also need to improve their educational infrastructure. The level of training of
human resources plays a role in African economic specialization. In the extractive economy,
abundant resources and a relatively unskilled labor force lead to the export of raw materials;
this is also the case for agriculture. Transport and communication infrastructures are also very
important for trade.
The economic activity of the colonies is based on local natural resources, which means that
areas without these resources are totally neglected.
The colonial economy has neglected or even discouraged industrialisation and the processing
of raw materials and agricultural products.
c) For a new world economic order
In 1964, a United Nations conference on trade and development met in Geneva (120 states,
including 77 developing countries).
The aim was to give the South a satisfactory place in world trade by rebalancing the terms of
trade. The UN wanted to promote the control by each State of these resources, which until
then had been in the hands of multinational companies.
Countries wanted to express their demands in the area of trade relations, so that the most
fragile states could enjoy specific advantages over the already developed states.
In 1960, OPEC, the Organization of Petroleum Exporting Countries, was created.
In 1963, the Organization of African Union and ASEAN (Association of SouthEast Asian
Nations) were created.
The "New International Economic Order" officially came into being at special sessions of the
United Nations: in May 1974, a declaration on its establishment and a programme of action
were issued, and in September 1975, a Resolution on Development and International
Economic Cooperation was approved without opposition, but not without reservations on the
part of some countries.
Conclusion :
In conclusion, the countries of the South, after years of colonization, are facing major
challenges in developing their economies and asserting themselves on the international scene.
Indeed, after decolonisation, these countries, occupied for so long, have faced many
instabilities. However, by reorganizing themselves politically and improving the standard of
living of their people, they will be able to overcome these economic problems.