Nigerian industrialist and Chairman, Heirs Holdings Group, Tony Elumelu, has reinstated that Africa needs to rethink its relationship with business.
Elumelu explained that “Africapitalism” means the private sector can transform Africa’s economy and society for the better.
The serial entrepreneur in an interview with the British Broadcasting Corporation also discussed a number of problems slowing economic growth in Africa.
He said this included young, well-educated people leaving for better opportunities elsewhere and a lack of investment in the tech sector.
Elumelu stated that jobs needed to be created in Africa and the private sector must keep investing in the continent for this to happen, noting that when this is done, it attracts global investors to Africa.
He said in the 21st century, it is in the best interest of the private sector that the society is also being carried along because by that they are helping to elevate people from poverty and capitalising economic development.
He stated that profit making is not bad, but what is bad is that you make profit in a manner that is not acceptable by normal human standard.
Elumelu told the BBC: “We also need to understand that it is the private sector that creates jobs, government per say don’t have the capacity to create jobs.
“If we realise this, then we should not frown at private sector making profits but we should encourage them to do well because when do, it will impact the society.
“It is what Africapitalism is all about.
“Let join hands to develop Africa.”
Speaking on what the governments in Africa needed to do for development to happen, Elumelu said it is by playing a perfect role in regulations and policy formulations.
He said: “Government has some roles by way of regulation, policy formulation and enforcement.
“Then private sector must operate within the ambience of the law that the governments have set.
“The government should not go to bed.
“Ultimately, we need to enter the era of self revolution, knowing what is right and doing it.
“Child labour and labour exploitation is not acceptable.
“If your people are not happy, they won’t give you the kind of productivity that you need to be successful in business.
“I think that as we get more aware and informed, knowing that things are changing in the world that we leave in and as the market gets more competitive, it will shape our behaviour as participants in the market place.
“And the global community has a role to play in the development by holding institutions, practitioners accountable to higher standards.”
On brain drain among African youths, Elumelu said: “Personally as an economist, I like the concept of free market because it will help people make rational decisions.
“The reason I founded the Tony Elumelu Foundation in 2010 is to further Africapitalism.
“I have realised that we do well in business but how about getting dedicated vehicles that help to further prioritise and give attention to our young people and women.
“That is why we try that we give support and access to the young ones.
“The people we give support at the Tony Elumelu Foundation, (they get) $5,000 every year.
“Minimum of $1,000 to young people.
“Some of them can do better in a good operating system.
“So we say that government, if you can’t give money, improve your policies, tax laws, security.
“At least, let this young ones have the opportunity to do well so that all can do well.
“We are in a partnership with foreign bodies and countries like the United Nations, United States of America, European Union and the likes, collectively to make more impact on the continent.
“What I also preach to other African countries is that in the 21st century, let’s think more and see how we can further impact and touch the lives of other young Africans so that collectively we begin to create a saner and more happy environment.
“This is what we give us ultimate security.
“When almost everyone is happy and content, life will have meaning.
“Otherwise people will want to create anarchy for everyone because they cannot have three square meals and sleep well at night.
“So, why should you?
“We want to see a lot of people come together and think less about self, more about impact and legacy.”
