Georgi Mirtchev

Cite as

Comittee: Economic and Social Council

Country: Japan

Delegate: Georgi Mirtchev, Deutsche Schule Sofia

Topic I: National Sovereignty and Foreign Direct Investment in Africa

Ensuring the basic Human Rights for African people and providing them with a good life — standard holds great importance on the global scale. Not only for ethical reasons is it important, but also for economic reasons.

The Africa economy has been rising, along with its population and along with the foreign investments on the African continent in the past years.
Yet the large — scale investments in Africa create problems as well. Big loans, for example, given to African countries for improvement of infrastructure, saddle the African countries with unsustainable debt. These African countries then have to potentially give up strategic assets, as a form of debt repayment, partly losing their sovereignty in the process.

Foreign investment in African countries holds benefits for both parties. Yet it is important for the investors not to exploit the African countries. Valuable investments are, for example, ones that aim to improve the quality of life and to better the economy in African countries. Such investments promote structural economic transformation through economic diversification and industrialization, as well as resilient health system for quality of life, for example.