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South–South cooperation

Topic: Finance

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South and South–South cooperation Definition

South-South cooperation is closely related to the term "South" where the two have differences regarding the terms used.

The term South is defined as regions in the world that have similar political, social and economic histories that are rooted in disparities that occurred during the colonial or imperialist era. The South is understood as an ideological expression of the concerns facing developing regions, which are increasingly diverse in economic and political experience.[1]

South-South Cooperation (SSC) is a term historically used by policymakers and academics to describe the exchange of resources, technology, and knowledge between developing countries, also known as countries of the Global South. The Global South is making increasingly significant contributions to global development. The economic and geopolitical relevance of many countries has grown. In the past, south-south cooperation focused on sharing knowledge and building capacities, but the countries of the Global South and new financial institutions have recently also become increasingly active in development finance.[2] This collaboration refers to the long-term historical project of liberating communities and nations from the remnants of colonialism, poverty, oppression and backwardness.

This cooperation becomes the main organizing concept and set of practices in achieving historical change through a vision of mutual benefit and solidarity among groups that can be said to be 'disadvantaged' in the world system. This conveys the hope that cooperation through the development sector can be achieved by these 'disadvantaged' communities through their mutual assistance to each other, and the entire world order is transformed to reflect their shared interests from the domination of the Northern countries.[3]

History

The formation of SSC can be traced to the Asian–African Conference that took place in Bandung, Indonesia, in 1955 which is also known as the Bandung Conference. The conference has been largely regarded as a milestone for SSC. Indonesia's president at that time, Sukarno, referred to it as "the first intercontinental conference of coloured peoples in the history of mankind."[4] Despite Sukarno's opening address about the conference, there had been gatherings similar to the Bandung conference in the past. Nevertheless the Bandung Conference was distinctive and facilitated the formation of SSC because it was the first time that the countries in attendance were no longer colonies of distant European powers.[4] President Sukarno also famously remarked at the conference that "Now we are free, sovereign, and independent. We are again masters in our own house. We do not need to go to other continents to confer."[4]

The conference was sponsored by Burma, Ceylon, India , Indonesia, and Pakistan , and was attended by these 29 independent countries: Afghanistan, Burma, Cambodia, Ceylon, China , Egypt, Ethiopia, Gold Coast, India , Indonesia, Iran, Iraq, Japan , Jordan, Laos, Lebanon, Liberia, Libya, Nepal, Pakistan , the Philippines , Saudi Arabia, the Sudan, Syria, Thailand, Turkey, the Democratic Republic of Vietnam, the State of Vietnam, and the Kingdom of Yemen.[4] Each country supported the continuation of decolonization efforts happening in both Africa and Asia at the time. Although many countries disagreed on some issues, the Bandung Conference "provided the first major instance of the post-colonial countries' collective resistance to Western Dominance in International relations."[4]

In 1978, the United Nations established the Unit for South–South Cooperation to promote South–South trade and collaboration within its agencies.[5]

However, the idea of South–South cooperation only started to influence the field of development in the late 1990s.[6] Due to the geographical spectrum, activities are known as Africa–South America (ASA) cooperation[citation needed] as well as, in the Asia-Pacific region, South–South cooperation.[7]

The ASA cooperation has so far held two summits. The first summit was held in Abuja, Nigeria, in 2006 where 53 delegates from Africa and 12 from South America attended. The second and most recent one was held on the Margarita Island in Venezuela in September 2009 where 49 heads of states from Africa and 12 heads of states from South America attended.[8][9]

South–South cooperation has been successful in decreasing dependence on the aid programs of developed countries and in creating a shift in the international balance of power.[10]

Normative Principles of South-South Cooperation

  • Mutual respect regarding state sovereignty
  • Partnership between equal countries
  • Obtain benefits related to cooperation evenly
  • Does not depend on conditions
  • There is no intervention between countries that cooperate with each other (Non-Interference)

Direction

The Leaders of South American and African countries hope that this cooperation will bring a new world order and counter the existing Western dominance socially, economically and politically. Late president Hugo Chávez saw the formation of this cooperation as the "beginning of the salvation of [the] people."[11]

Economic cooperation

Special Event on UN Day for South-South Cooperation

One of the key goals of the cooperation is to strengthen and improve economic ties. Some of the areas which these "southern" nations look forward to improving further include joint investment in energy and oil, and a common bank. Among other regional trade agreements[12] which were reached during the 2009 summit was Venezuela signing an oil agreement with South Africa and a memorandum of understanding with Sierra Leone to form a joint mining company. Meanwhile, Brazil has developed an increasingly successful model of overseas aid provision of over $1 billion annually (ahead of many traditional donors), which focuses on technical expertise and the transfer of knowledge and expertise. Most of Brazilian aid is allocated to Africa, specifically to Portuguese-speaking African countries, and Latin America.[13] Brazil's form of South–South development aid has been called a 'global model in waiting'.[14]

The two continents have over one quarter of the world's energy resources. This includes the oil and natural gas reserves in Bolivia, Brazil, Ecuador, Venezuela, Algeria, Angola, Libya, Nigeria, Chad, Gabon and Equatorial Guinea.[15]

Banks to finance infrastructure projects

One challenge for South–South cooperation has been the lack of sufficient capital to start a South–South bank as an alternative to the IMF and the World Bank. This has changed with the launch of two new 'South–South banks'. At the sixth summit of the BRICS countries (Brazil, Russian Federation, India, China and South Africa), in July 2014, the five partners approved the establishment of the New Development Bank (or BRICS Development Bank), with a primary focus on lending for infrastructure projects. It will be based in Shanghai. A Contingency Reserve Agreement (CRA) has been concluded in parallel to provide the BRICS countries with alternatives to the World Bank and International Monetary Fund in times of economic hardship, protect their national economies and strengthen their global position. The Russian Federation is contributing US$18 billion to the CRA, which will be credited by the five partners with a total of over US$100 billion. The CRA is now operational. In 2015 and 2016, work was under way to develop financing mechanisms for innovative projects with the new bank’s resources.[16]

The second new bank is the Asian Infrastructure Investment Bank. It has also been set up to finance infrastructure projects. Spearheaded by China, the bank is based in Beijing. By 2016, more than 50 countries had expressed interest in joining, including a number of developed countries: France, Germany, the Republic of Korea, United Kingdom, etc.[17]

Asia–Pacific Free Trade Area

China is spearheading the creation of an Asia–Pacific Free Trade Area, which, according to China’s vision, would override existing bilateral and multilateral free trade agreements in the region. The Asia-Pacific Economic Cooperation summit in November 2014 endorsed the Beijing Roadmap for completing a feasibility study by late 2016.[17]

Special economic zones

China's overseas SEZs are another example of South-South cooperation.[18] From 1990 to 2018, Chinese enterprises established eleven SEZs in sub-Saharan Africa and the Middle East including: Nigeria (two), Zambia, Djibouti, Kenya, Mauritius, Mauritania, Egypt, Oman, and Algeria.[19] Generally, the Chinese government takes a hands-off approach, leaving it to Chinese enterprises to work to establish such zones (although it does provide support in the form of grants, loans, and subsidies, including support via the China Africa Development Fund).[19] The Forum on China-Africa Cooperation promotes these SEZs heavily.[19]As Professor Dawn C. Murphy summarizes, these zones "aim to transfer China's development successes to other countries, increase business opportunities for China manufacturing companies, avoid trade barriers by setting up zones in countries with preferential trade access to important markets, and create a positive business environment for Chinese small and medium-sized enterprises investing in these regions."[19]

Role of regional economic communities

Countries of the South are developing cooperation through regional economic communities. For example, the Russian Federation is developing co-operation with Asian partners within the Shanghai Cooperation Organisation and the Eurasian Economic Union. The latter was launched on 1 January 2015 with Belarus and Kazakhstan and has since been extended to Armenia and Kyrgyzstan. The Eurasian Economic Union replaces the Eurasian Economic Community.[citation needed]

Other cooperation South-South cooperation organizations include the China Arab States Cooperation Forum and the Forum on China-Africa Cooperation (the latter has a significant political collaboration component, in addition to economic cooperation).[20]

South-South cooperation in agriculture

In light of its ideological commitment to South-South Cooperation (and motivated by a pragmatic desire to increase food security) China has established a series of Agricultural Technology Demonstration Centers in Africa.[21] These are a highly visible component agricultural cooperation between China African countries.[22] The function of these centers is to transmit agricultural expertise and technology from China to developing countries in Africa while also creating market opportunities for Chinese companies in the agricultural sector.[22]

China first announced its Agricultural Technology Demonstrations Centers at the 2006 meeting of the Forum on China-Africa Cooperation. It launched 19 of these centers between 2006 and 2018, all in sub-Saharan Africa.[22] As of 2023, Agricultural Technology Demonstration Centers exist in 24 African countries.[23](p173)

South-South cooperation in science

Bilateral collaboration

Countries are also co-operating in science, technology and innovation on a bilateral basis to develop infrastructure and diversify the economy. There is ‘dynamic bilateral collaboration’ between China and the Russian Federation, for instance. This cooperation stems from the Treaty on Good Neighbourliness, Friendship and Co-operation signed by the two countries in 2001, which has given rise to regular four-year plans for its implementation. Dozens of joint large-scale projects are being carried out. They concern the construction of the first super-high-voltage electricity transmission line in China; the development of an experimental fast neutron reactor; geological prospecting in the Russian Federation and China; and joint research in optics, metal processing, hydraulics, aerodynamics and solid fuel cells. Other priority areas for co-operation include industrial and medical lasers, computer technology, energy, the environment and chemistry, geochemistry, catalytic processes and new materials.[16]

Role of regional centres

Increasingly, countries of the South are fostering cooperation in science and technology through regional or international centres. Regional and international centres have been set up under the auspices of United Nations agencies. One example is the International Science, Technology and Innovation Centre for South–South Cooperation (ISTIC) in Malaysia. It was established in 2008 under the auspices of UNESCO. In 2014, the Caribbean network of scientists, Cariscience, ran a training workshop in Tobago on Technopreneurship for the Caribbean, in partnership with ISTIC. Another example is a centre which uses Synchrotron-light for Experimental Science and Applications in the Middle East (SESAME).[24]

Space technology

China and Brazil have successfully cooperated in the field of space.[25](p202) Among the most successful space cooperation projects were the development and launch of earth monitoring satellites.[25](p202) As of 2023, the two countries have jointly developed six China-Brazil Earth Resource Satellites.[25](p202) These projects have helped both Brazil and China develop their access to satellite imagery and promoted remote sending research.[25](p202) Brazil and China's cooperation is a unique example of South-South cooperation between two developing countries in the field of space.[25](p202)

Climate change

China is a clean energy leader and both exports its technology to other developing countries and is a source of bilateral cooperation programs with other countries in the global South.[25](p202) The "Ten, Hundred, Thousand" program is China's overarching initiative for South-South cooperation in addressing climate change.[25](p224) Announced in 2016, it aims to establish ten low-carbon demonstration zones, 100 climate change mitigation projects, and 1,000 cooperation projects for climate change training.[25](p224) As of 2023, China had signed partnerships with at least 27 other developing countries as part of this initiative.[25](p224) The Seychelles, Sri Lanka, and Myanmar have signed memorandums of understanding to develop low carbon demonstration zones.[26] China has supported numerous climate change training programs as part of the initiative.[25](p224)

Brazil and China have established the China-Brazil Center for Climate Change and Energy Technology Innovation, which is one of the most ambitious South-South bilateral clean energy programs.[25](pp201-202)

Security cooperation

Peace and security responsibilities are also on the top of the agenda for cooperation. During the 2009 Africa-South America Summit, Colonel Gaddafi proposed a defence alliance between South America and Africa. He called the alliance "a NATO of the South."[27]

Sources

Definition of Free Cultural Works logo notext.svg This article incorporates text from a free content work. Licensed under CC-BY-SA IGO 3.0 UNESCO Science Report: towards 2030, 621, UNESCO, UNESCO Publishing. To learn how to add open license text to HandWiki articles, please see this how-to page. For information on reusing text from HandWiki, please see the terms of use.

See also

References

  1. ↑ Alden, Chris; Morphet, Sally; Vieira, Marco Antonio (2010). The South in World Politics. United Kingdom: Palgrave Macmillan. p. 3. 
  2. ↑ Ramalho, Luiz; Walraf, Rita; Müller, Ulrich (18 July 2019). "Cooperation of the future". https://www.dandc.eu/en/article/south-south-and-triangular-cooperation-are-important-achieving-sdgs. 
  3. ↑ Gray a, Kevin; Gills b, Barry K. (2018-10-11). South–South cooperation and the rise of the Global South. Routledge. hlm. 1–18. ISBN 978-1-315-23219-5.
  4. ↑ 4.0 4.1 4.2 4.3 4.4 Acharya, Amitav (2016-07-03). "Studying the Bandung conference from a Global IR perspective". Australian Journal of International Affairs 70 (4): 342–357. doi:10.1080/10357718.2016.1168359. ISSN 1035-7718. 
  5. ↑ "United Nations Office for South-South Cooperation". ssc.undp.org. http://ssc.undp.org/. Retrieved 18 January 2014. 
  6. ↑ "openDemocracy". opendemocracy.net. http://www.opendemocracy.net/. Retrieved 18 January 2014. [citation needed]
  7. ↑ Shikha Jha and Peter McCawley, South-South Economic Linkages: An Overview , ADB Economics Working Paper Series, No 270, August 2011.
  8. ↑ "Africa, South America strengthen ties". http://www.southafrica.info/news/international/southsouth-280909.htm. 
  9. ↑ "First Africa-South America Summit – English pravda.ru". english.pravda.ru. December 2006. http://english.pravda.ru/world/americas/01-12-2006/85748-summitlatinamericaafrica-0. Retrieved 18 January 2014. 
  10. ↑ "South-South Cooperation Defies the North | Global Envision". globalenvision.org. http://www.globalenvision.org/library/3/1371. Retrieved 18 January 2014. 
  11. ↑ "Chavez, Gaddafi push Africa, South America unity – ABC News (Australian Broadcasting Corporation)". abc.net.au. http://www.abc.net.au/news/stories/2009/09/28/2698057.htm. Retrieved 18 January 2014. 
  12. ↑ Jo-Ann Crawford and Roberto V. Fiorentino (4 June 2007). "The Changing Landscape of Regional Trade Agreements". World Trade Organization, Geneva, Switzerland. http://www.wto.org/english/res_e/booksp_e/discussion_papers8_e.pdf. Retrieved 18 January 2014. 
  13. ↑ Abellán, Javier; Alonso, José Antonio (2017). "The role of Brazil as a new donor of development aid in Africa". Africa, New Powers, Old Powers. University of Bologna. https://www.academia.edu/32887067. Retrieved 2017-10-06. 
  14. ↑ Cabral and Weinstock 2010. Brazil: an emerging aid player . London: Overseas Development Institute
  15. ↑ "Inter Press Service – Journalism and Communication for Global Change". ipsnews.net. http://ipsnews.net/news.asp?idnews=48606. Retrieved 18 January 2014. 
  16. ↑ 16.0 16.1 Gokhberg, Leonid; Kuznetsova, Tatiana (2015). Russian Federation. In: UNESCO Science Report: towards 2030. UNESCO. pp. 344. ISBN 978-92-3-100129-1. http://unesdoc.unesco.org/images/0023/002354/235406e.pdf. Retrieved 2017-04-04. 
  17. ↑ 17.0 17.1 Cao, Cong (2015). China. In: UNESCO Science Report: towards 2030. UNESCO. pp. 621. ISBN 978-92-3-100129-1. http://unesdoc.unesco.org/images/0023/002354/235406e.pdf. Retrieved 2017-04-04. 
  18. ↑ Murphy, Dawn C. (2022). China's rise in the Global South : the Middle East, Africa, and Beijing's alternative world order. Stanford, California: Stanford University Press. pp. 182. ISBN 978-1-5036-3060-4. OCLC 1249712936. https://www.worldcat.org/oclc/1249712936. 
  19. ↑ 19.0 19.1 19.2 19.3 Murphy, Dawn C. (2022). China's rise in the Global South : the Middle East, Africa, and Beijing's alternative world order. Stanford, California: Stanford University Press. pp. 177. ISBN 978-1-5036-3060-4. OCLC 1249712936. https://www.worldcat.org/oclc/1249712936. 
  20. ↑ Murphy, Dawn C. (2022). China's rise in the Global South : the Middle East, Africa, and Beijing's alternative world order. Stanford, California. pp. 60. ISBN 978-1-5036-3060-4. OCLC 1249712936. https://www.worldcat.org/oclc/1249712936. 
  21. ↑ Murphy, Dawn C. (2022). China's rise in the Global South : the Middle East, Africa, and Beijing's alternative world order. Stanford, California. pp. 182–188. ISBN 978-1-5036-3060-4. OCLC 1249712936. https://www.worldcat.org/oclc/1249712936. 
  22. ↑ 22.0 22.1 22.2 Murphy, Dawn C. (2022). China's rise in the Global South : the Middle East, Africa, and Beijing's alternative world order. Stanford, California. pp. 184. ISBN 978-1-5036-3060-4. OCLC 1249712936. https://www.worldcat.org/oclc/1249712936. 
  23. ↑ Shinn, David H.; Eisenman, Joshua (2023). China's Relations with Africa: a New Era of Strategic Engagement. New York: Columbia University Press. ISBN 978-0-231-21001-0. 
  24. ↑ UNESCO Science Report: towards 2030. Paris: UNESCO. 2015. ISBN 978-92-3-100129-1. http://unesdoc.unesco.org/images/0023/002354/235406e.pdf. Retrieved 2017-04-04. 
  25. ↑ 25.00 25.01 25.02 25.03 25.04 25.05 25.06 25.07 25.08 25.09 25.10 Lewis, Joanna I. (2023). Cooperating for the Climate: Learning from International Partnerships in China's Clean Energy Sector. Cambridge, Massachusetts: The MIT Press. ISBN 978-0-262-54482-5. 
  26. ↑ Lewis, Joanna I. (2023). Cooperating for the Climate: Learning from International Partnerships in China's Clean Energy Sector. Cambridge, Massachusetts: The MIT Press. ISBN 978-0-262-54482-5. 
  27. ↑ "Venezuela summit criticises West". BBC News. 27 September 2009. http://news.bbc.co.uk/2/hi/americas/8277016.stm. Retrieved 18 January 2014. 



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