The Covid-19 pandemic has caused a crisis worldwide, bringing into sharp focus and exacerbating the inequalities present in countries; however, it also presents opportunities to create more inclusive growth as the world moves forward.

During a webcast hosted by professional services firm Deloitte on May 7, speakers, including Mastercard Centre for Inclusive Growth founder and president Shamina Singh, Massmart chairperson Kuseni Dlamini and African Development Bank Group Agriculture, Human and Social Development VP Jennifer Blanke, noted that the crisis had put a spotlight on the severity of in-country inequalities, with people experiencing different versions of the crisis.

The world has not had inclusive growth, with many denied access to basic services that others grew up with and expect. There has, therefore, been a higher death rate among certain groups of people, owing to the inequalities and lack of services – for example, a lack of access to healthcare and knowledge.

However, moving forward, there is an opportunity for Africa, and other regions in the world, to move forward and create more equal, inclusive economies.

For example, the continent has shown before how it “leapfrogs” in terms of certain developments – such as increased mobile banking services, despite not having many banks.

The pandemic could result in similar developments, for example, in terms of telemedicine.

While the continent has a shortage of doctors, for example, telemedicine could be accelerated because it will be deemed safer, with people not wanting to expose themselves to the risk of infections from healthcare facilities. This is one small example of the way in which the world of work could change, as well as the development and innovation of new industries that could arise from the pandemic.

One of the biggest disconnects on the continent is having vast resources, such as a young population, unused arable land and raw materials, but not using these resources to their full capacity and capability, while also not creating sufficient numbers of jobs.

The pandemic has highlighted this even more, showcasing what the continent does not have or is not doing well, such as not meeting its manufacturing potential.

Manufacturing in particular presents an opportunity for the continent, with the pandemic expected to result in deglobalisation and the shortening of global supply chains. 

Many countries and multinational companies will be thinking differently about their supply chains and access to market owing to the pandemic, with a shift expected in bringing sources of supply closer to markets.

This presents an opportunity for Africa, to work in a coordinated, collaborative way to create regional centres of excellence in terms of producing products for both the continent, and more broadly, for global export.

However, this requires that the opportunity be seized, with the need for strategic planning, the necessary political will and commitment, and implementation of the required structural reforms and policies.

Speakers also emphasised the need for financial inclusion. While this was already being done to a certain degree prior to the pandemic, it had accelerated this, while also exposing the weaknesses in the system.