1.12.2011

Goudou Goudou

As we welcome in the new year we can reference the Andinkrah symbol, Sankofa:

Literally translated from the language of the Akan people (W. Africa) as "it is not taboo to go back and fetch what you forgot;" we need to know where we came from to know where we are going! With that, the Delasol Group begins 2011 looking at the progress and setbacks experienced by the Haitian macroeconomy since the devasting earthquake one year ago.

Haiti is a country steeped in stories of triumph and scandal. Located on the eastern side of the island of Hispanola, the French exploited hundreds of thousands of African citizens to develop sugar and coffee plantations; the most profitable of all the French colonies at the time. In 1791, when slaves outnumbered colonists 10 to 1, a violent uprising resulted in the country becoming the only nation to gain independence following a successful slave revolt. For the African Diaspora, Haiti represents hope against all odds and freedom by any means. The new flag was France's, turned on its side and devoid of the white stripe, for obvious reasons.



Prior to January 12, 2010, Haiti was the worst off economy in the Western Hemisphere. Over half the population lived in abject poverty. The majority of production is agricultural, so the Carribbean nation is subject to frequent natural disasters that completely disrupt commerce. In 2008 alone, four hurricanes ripped through the island (Fay, Gustav, Hannah and Ike) in less than a month's time, causing billions of dollars worth of damage. The lack of technologically-efficient industries and domestic investment means that aid and financial captial to rebuild must be obtained from external sources.

One year ago today, the country was brought to its knees by the most devastating earthquake in two centuries. Close to 300,000 human beings lost their lives and the total cost of the disaster was estimated between $8-14 billion by the Inter-American Development Bank*. So what, if any, is the upside for Haiti?

A strong dose of resilience for starters. The term 'goudou goudou' (pronounced "goo DOO goo DOO"), the title of this post, is Creole slang for the disastrous earthquake. Saying it quickly over and over mimics the sound of buildings unrelentlessly shaking free of their foundations. A lighthearted attempt to bounce back from the darkest hour in recent history.



Another bright spot is legal measures that improve trade. The HOPE Act manifests an appropriate acronym: the Haitian Hemispheric Opportunity though Partnership Encouragement Act; specific legislation aimed to increase exports of Haitian goods and services (namely, apparel) to wealthier customers in the U.S. A very BIG deal, because exports are a boon to a country's production capacity, or GDP. While great in theory, HOPE I (passed in 2006) needed some tweaking, which necessitated the need for HOPE II (2008); legislation that broadened the scope of what types of goods are traded. Early evidence supports a positive response to HOPE II initiatives.

A third area is external aid. To date, world governments have committed more than $9 billion, including over $1 billion from the United States. But perhaps the best way to help a person or a country in need, is to help them help themselves. We here at the Delasol Group are staunch advocates of learning from experience and education: rather than depend on others to solve our economic problems, what common sense tactics and bold steps can we take to secure our own future wealth? Will Haiti summon the Sankofa principle to create a better tomorrow for its children? The selection of an incorruptible, solvent government by the people would be a step in this direction. Unfortuantely, there's still much work to be done.

Peace and Prosperity to Haiti!


delasol


*Established in 1959 to support development efforts in the Caribbean and Latim America to reduce poverty and income inequality. Visit their site here.

More info on the HOPE ACTs (PDF file)

No comments:

Post a Comment