The world is being increasingly integrated politically, economically, technologically and scientifically. For countries this means that mutual dependence and relationships are being strengthened. At the same time the divisions between the rich and the poor are greater than ever before - within and between countries and continents.

All the more people are succeeding in escaping from poverty. Since 1980 rapid economic growth, chiefly in Asia, has led to an increase in the standard of living of about one and a half billion poor people. But at the same time even more have become poorer in the approximately 90 countries, many in Africa, where the population has increased more rapidly than the national income.

In 20 years time there will be between two and three billion people on earth. The greatest growth is taking place among poor people in the poorest countries. The most rapid increase is taking place in Africa. Population pressure has a severe effect on the environment. A degraded environment leads to increases in the numbers of refugees. In 20 years it is estimated that 200 million people will be on the move, away from degraded areas.

The concept of globalisation summarises the on-going processes of change and integration. It involves radical consequences for economies, welfare and the environment, for the political freedom of action of central and local governments, and for the opportunities available to people to make their own decisions in respect of their own lives.

National governments no longer have control over financial flows and developments in their countries. Cultures and life-styles are being spread from major centres to the most distant parts of the world. The potential of information technology to provide information rapidly constitutes a threat to authoritarian regimes. The new technology creates opportunities for greater cooperation - for those who have the ability to participate.




International trade and the division of labour can lead to greater prosperity, more contacts, greater mutual dependence and thereby fewer conflicts. Freely moving capital can now be invested where it provides the best yields, including the poor countries. This has already happened in East and South-East Asia. On the other hand the mobility of capital, in combination with pressure for increased production and consumption, can lead to environmental degradation and the marginalisation of certain parts of the world.

Globalisation involves both threats and opportunities. There is an obvious risk that the richest countries can take advantage of the opportunities while the poor countries receive the threats.

Development cooperation cannot change these trends but it can exert an influence. It is a challenge for development cooperation to create the conditions necessary for an increase in the flow of private capital to the poor countries in Africa. International development cooperation can improve the ability of the poor countries to benefit from international participation by providing support for higher education and research. With the aid of international cooperation special cultures threatened by extinction can be protected.



Courtesy: Swedish International Development Agency (SIDA)