Southern African Development Community Member Research Articles

FinTech—A pathway to financial inclusion? Evidence from Southern African Development Community member states

AbstractThe study investigates the effect of FinTech on financial inclusion in Southern African Development Community (SADC) member states over the period 2011–2021, while also looking at the transmission channels. The study adopts a battery of econometric techniques such as ordinary least squares (OLS), the two‐step system generalized method of moments (GMM) and the Driscoll and Kraay covariance estimator. The study finds that FinTech (proxied by digitization) deepens financial inclusion (access to loan) and a decline in the number of bank branches in SADC member states. This is logical since the operations of FinTech are digital. This implies that an attempt to promote financial inclusion by traditional means such as building physical bank structures may be limited, especially in Africa where large swathes of the populace remain unbanked. As expected, FinTech (measured by automated teller machines [ATMs]) increases the number of bank branches in SADC. We also find that mobile cellular subscription, the share of population with access to electricity and Internet access and mean years of schooling are important transmission channels of FinTech to financial inclusion in SADC. In general, the result shows that FinTech enhances and deepens financial inclusion in SADC member states. The research and policy implications are discussed.

Balancing the three-legged pot: Benchmarking road safety institutional frameworks across SADC member states

BackgroundRoad deaths and injuries constitute a major global burden of disease, with Africa the worst affected region. Two successive UN Global Decades of Action (2011–2020 and 2021–2030) have focused on pillars of action aimed at halving road deaths. Pillar 1, Road Safety Management, requires a road safety institutional framework (RSIF) containing three legs: i) a road safety lead agency, ii) road safety funding, and iii) a national road safety strategy with timebound death reduction targets. MethodWe used a regional benchmarking approach to examine RSIFs in the 16 member states of the Southern African Development Community (SADC), which make up 26% of Africa's population and a third of its land mass. Using data from the World Health Organization's 2018 Global Status Report on Road Safety, we computed an RSIF score for each state and visually depicted its RSIF as a three-legged pot with full, partial, or missing legs. We also performed correlational analyses to determine whether there were relationships between member states' RSIF scores and WHO-estimated death rates, GDP per capita, governance scores on the BertelsmanStiftung Transformation Index (BTI-g) and scores on the Human Development Index (HDI). ResultsIn 2018, most SADC member states’ RSIFs consisted of “wobbly three-legged pots”. Leg i (road safety lead agency) was most present, being evident in 80% of the member states. Legs ii (funding) and iii (national road safety strategy) were each present in 73%; however, in most cases, they were deficient compared with global best practice. The only statistically significant correlation we found was between RSIF scores and BTI-g scores. DiscussionThe SADC lagged behind the continent as a whole with respect to lead agencies, with other researchers noting that >90% of African countries had such agencies. The two member states with the highest RSIF scores and lowest death rates (Mauritius and Seychelles) are amongst the wealthiest in the region and have extremely small populations. Overall, the SADC was skewed towards low RSIF scores (correlated with poor governance scores) and high death rates. ConclusionAlmost all SADC member states require strengthening of all three RSIF legs to bring them into line with global best practice for Pillar 1, Road Safety Management. Collective regional improvement could be facilitated by longstanding intergovernmental cooperation (with high levels of cross-border traffic) and growing civil society involvement in road safety. If the SADC could become an exemplar on the continent this would boost the chances of halving African road deaths and substantially reducing global deaths by 2030.

The Free Movement of People in SADC

The Southern African Development Community (SADC) member states committed under Article 5(2) (d) of the SADC Treaty to develop policies aimed at the progressive elimination of the obstacles to the free movement of capital, labour, goods and services. The 2005 SADC Protocol on the Movement of People was celebrated as a giant step towards the realization of the regional integration objective of building SADC into a regional community that is fully integrated where citizens enjoy the freedom of movement across regional borders. Whilst substantial efforts have been invested in developing various legal and policy frameworks to open up borders for the free movement of people within SADC, thirty (30) years since the formation of SADC in April 1980 as the Southern African Development Coordination Conference (SADCC); the region is facing serious challenges relating to the free movement of people, migration and labour movement. In reality, SADC member states’ governments have been confronted with serious feasibility challenges, complexities, risks and dilemmas as they attempt to implement commitments made towards the free movement of people in the region, with political, security, economic, strategic, and technical factors often cited as obstacles. This paper sought to critically reflect on the feasibility aspects, policy dilemmas at member state level as well as strategic considerations that stand on the way of free movement of people in SADC. The focus was on examining possibilities, capacities and prospects of SADC member states (in their collectivity and individuality) in addressing the underlying, structural and operational obstacles that are impeding the free movement of people in the region. Secondary data sources are used for analysis, and the three concepts of free movement of people, migration and regional integration provide conceptual lenses for analysis. Findings are key in providing perspectives on how SADC member states may need to collectively address the fundamental questions and issues that facilitate the free movement of people in the region.

Assessment of pharmacovigilance guidelines in the Southern African Development Community: A document review.

Lack of harmonization in pharmacovigilance (PV) practice in resource-limited states in Africa has led to differentiation and marginalization, thus creating an environment where weak or absent PV systems may benefit from regional guidelines. To compare the PV guidelines of Southern African Development Community (SADC) member states to international guidelines and identify areas for improvement for aligning PV practice within the SADC region. We utilized a 73-item checklist to assess the PV guidelines of the SADC member states. Checklist parameters were rated using binary scoring. Only seven (Botswana, Mauritius, Namibia, South Africa, Tanzania, Zambia, and Zimbabwe) of the 16 SADC member states had guidelines to assess. Of these, only four had supporting legislation. All seven national medicines regulatory authorities (NMRA)'s guidelines required reporting of local serious adverse drug reactions (ADRs). Four NMRAs implemented device vigilance; none specified submission timelines for ADRs associated with substandard or falsified medicines. Only three NMRAs required electronic transmission of individual case safety reports in the E2B format. Five NMRAs mandated safety monitoring during interventional clinical trials. Five NMRAs required aggregate reporting through periodic safety update reports. Only two NMRAs required submission of the development safety update report. Regarding risk management, four NMRAs required notification of actions taken by foreign NMRAs and four NMRAs expected to review Dear Healthcare Professional Letters before distribution by the marketing authorization holder. Areas for improvement of guidelines to establish common process standards and allow for synchronized submissions of comparable data to SADC NMRAs are provided.

Regional Mineral Beneficiation Policy Interventions in the SADC: Stakeholder Perspectives

The Importance of Mineral Beneficiation: Mining is a significant economic activity in most Southern African Development Community (SADC) countries, and mineral beneficiation has been identified and controversially discussed as one of the possibilities for industrialisation. The purpose of this article is to study mineral beneficiation policies and practices in the SADC countries with regard to the regional developmental agenda. Methodology and Interventions: With many member countries being economically too small to muster the human and financial resources, the recently adopted Regional Mining Vision (RMV) envisages interventions at a regional level. This study followed a qualitative approach with semi-structured interviews across the region mainly in English and seldom in French. Principal Results: Twenty-five semi-structured interviews were conducted with experts from SADC member countries during the 2019 Mining Indaba. Participants were divided on whether beneficiation should be carried out nationally or in the SADC region. While beneficiation could support value-keeping, key challenges named were infrastructure development (i.e. energy, water), scarce skills, access to technology and related cost, but also lack of free trade and movement. Conclusion: We submit that a more integrated beneficiation strategy for the SADC region, as was being developed through the RMV, would indeed be relevant in the future.

A Foreign Investment Destination Risk Framework: Evaluating the Southern African Development Community Member States

Potential investment risks need to be understood by an investor organisation, which implies that a host country’s environment plays a significant role in attracting foreign investment. This paper’s purpose was to propose a foreign investment risk conceptual framework to serve as a basis for evaluating the Southern African Development Community (SADC) Member States’ investment risk/attractiveness. Firstly, the most appropriate foreign investment risk indicators from the literature were identified to develop a foreign investment risk framework. Ten recent peer‑reviewed studies were used to identify the factors which drive investment risk in emerging markets. We developed a conceptual framework including 16 investment risk indicators grouped into four sections: (i) the business environment, (ii) related taxes on business operations, (iii) the economic environment, and (iv) the human and social environments. Secondly, a comparative analysis of the 16 SADC countries was performed, enabling the ranking of the countries in quadrants of investment risk/attractiveness. Data were downloaded from theGlobalEconomy.com (2022) website for six years, from 2015 to 2020. The literature suggests many investment risk indicators which are grouped differently by researchers to form a conceptual framework to evaluate investment risk. This study’s contribution is that the most popular/prevalent risk indicators were identified to develop the new proposed framework. Furthermore, evaluating the SADC region may also serve as an example of investment risk/attractiveness assessment of emerging markets or least‑developed countries. The practical implication of this paper is that the proposed framework enables transferability since potential investors may connect the fundamentals of this study with their own investigation.

SOCIAL BEHAVIOUR TOWARDS TAX PAYMENT: A SURVEY-BASED EVIDENCE FROM SADC COUNTRIES

Tax non-compliance and its consequences have become a subject of increasing interest in academic literature and economic forums worldwide. While most studies on this issue focus on developed countries, there is a growing trend to explore understudied developing countries. To fill this gap, we investigated tax evasion drivers in eight Southern African Development Community (SADC) countries, using the round 7 Afrobarometer survey data conducted in 2019-2020. The survey's comprehensive coverage of economic, political, and sociological questions made it one of the most extensive surveys on the continent. We used logistic regression and Empirical Bayesian estimation and found that political legitimacy significantly influences tax evasion behavior in the SADC region. Individuals residing within the SADC are more likely to engage in tax evasion activities when they perceive a lack of access to fundamental services provided by their governments or harbor doubts about the legitimacy of political institutions. Therefore, policymakers in SADC member states should prioritize reviewing and evaluating economic policies, the performance and efficiency of political institutions, and more inclusive governance. We suggest that a strong and legitimate political framework, coupled with effective service delivery, can contribute to reducing tax evasion rates and enhancing public welfare outcomes. Institutional reforms, increased transparency, accountability, and a more inclusive governance system are necessary for fostering a culture of compliance and trust, leading to improved revenue collection.

Financing Disaster Risk Reduction: Exploring the Opportunities, Challenges, and Threats Within the Southern African Development Community Region

The Southern African Development Community (SADC) region, a regional economic body comprised of 16 member states, is one of our planet’s most vulnerable regions to natural hazards, and has a complex disaster risk profile. The region has sustained several disasters over the past decades. These events include annual floods in 2004–2019 and extreme droughts (1990–1993); other climate-induced disasters, such as cyclones, also have had devastating impacts, particularly on the Indian Ocean island states and east coast countries. To reduce the risk and impacts of disasters, governments must invest in disaster risk reduction (DRR). However, interventions aimed at reducing social and economic vulnerability and investing in long-term mitigation activities are often few, poorly funded, and insignificant in comparison with money spent on humanitarian assistance, disaster relief, and post-disaster reconstruction. This study investigated whether DRR is adequately funded within SADC member states in light of the high stakes in human life, infrastructure, and economic losses and the potential savings involved. The study applied a qualitative research design with data collected through semistructured interviews and focus group discussions. Respondents were selected purposefully and through snowball sampling with a total of 67 respondents from Botswana, Eswatini, Namibia, South Africa, and Zimbabwe participating in the study. The study findings reveal that DRR is inadequately funded in all the member states consulted in comparison to funding allocated to disaster response. In light of the underfunding experienced by DRR activities, this study provides a platform for lobbying and advocacy for adequate funding for DRR.

On the asymmetric effects of trade openness on CO2 emissions in SADC with a nonlinear ARDL approach

In this study, the expected asymmetric relationship between trade openness and CO2 emissions is investigated for the Southern African Development Community (SADC). We make use of a nonlinear autoregressive distributed lag (NARDL) framework proposed to capture the short- and long-run asymmetries for increases and decreases in trade openness and its impact on CO2 emissions over the period 1960–2020. We proxy trade openness using an innovative approach that considers both a country’s trade share to GDP and its size of trade relative to world trade. Both short- and long-run nonlinearity are tested by deriving the positive and negative partial sum decompositions of the trade openness variable. The results show mixed evidence of asymmetric behaviour between trade openness and CO2 emissions. Long-run asymmetry is found for Botswana, Madagascar, Mozambique and Tanzania, while in Comoros, Namibia and South Africa, there is evidence of both short- and long-run asymmetry. The remaining cases (Angola, Democratic Republic of Congo (DRC), Lesotho, Malawi, Mauritius, Seychelles, Zambia and Zimbabwe) show ample evidence of symmetric behaviour and linear long-run relationships between trade openness and CO2 emissions. The policy implication is that the SADC member countries should amend and reinforce environmental policies that can promote production and trade of environmentally friendly goods. For instance, a “tax or subsidy” policy, which taxes the trading of environmentally damaging goods, while subsidizing the trading of eco-friendly goods, can be implemented.Graphical

Labour market segmentation in Southern Africa and its impact on vulnerable workers

AbstractThis article considers how the regulative functions of labour law have been developed within the Southern African Development Community (SADC) region and seeks to identify instances of legal segmentation. The authors provide an overview of the demographic nature of the informal economies in SADC Member States, drawing the conclusion that the labour law mechanisms employed in the region substantially contribute to the legal segmentation of the regional economies. This has occurred despite the constitutionalization of labour law in the SADC region.

Rising from its ruins? The Southern African Development Community (SADC) Tribunal

The Tribunal of the Southern African Development Community (SADC) was established to ensure adherence to and the proper interpretation of the provisions of the SADC Treaty and its subsidiary instruments, and to adjudicate upon such disputes as might be referred to it. However, since its establishment, it has had a troubled history. After the rulings it made against the Government of Zimbabwe in the landmark Campbell land seizures case, the Tribunal's operations were unceremoniously suspended. This was followed by a process to revise its mandate, one that ultimately condemned it to paralysis and ruin. The new 2014 Protocol on the Tribunal, meant to revise the mandate of the Tribunal to confine it to hearing disputes involving states only, has been criticised as an attempt to undermine the rule of law and human rights in the region. Since the adoption of this 2014 Protocol by the SADC Summit, stakeholders have mobilised regionally to resist its ratification by member states. In particular, lawyers in SADC countries are embarking on legal petitions to reverse the Protocol and promote the revival of the Tribunal in terms of its old mandate. So far, there have been victories in these cases in two influential SADC member states, South Africa and Tanzania. However, it remains important to assess the significance of these developments. As such, the article raises the question: Is the Tribunal rising from its ruins?

Planning Sustainable Energy Systems in the Southern African Development Community: A Review of Power Systems Planning Approaches

Southern Africa has a huge potential for renewable energy sources such as hydro, solar, wind, biomass, and geothermal. However, electricity access remains a key policy issue for most member states, with a global average access to electricity of only 54% in 2019. This low electrification rate is a strong motivation for member states to increase renewable energy use and improve access to electricity for all. The goal of this paper was to present a literature review of methodologies, energy plans, and government programs that have been implemented by the Southern African Development Community member states to address the region’s low average electrification rate and greenhouse gas emission reduction targets. The study presents the most commonly used methodologies for the integration of renewable energies into electrical systems, considering the main grid and distributed generation systems. LCOE minimization methodologies and software options, such as GIS, HOMER, LEAP, and EnergyPLAN, are the most common among the identified studies. The traditional method of electrifying by expanding the grid has not contributed to the eradication of energy poverty in rural areas. Therefore, to improve electricity access in Southern Africa, it is essential to consider off-grid solutions based on renewable energy sources.

Safe abortion policy provisions in the SADC region: Country responses, key barriers, main recommendations

Background. Abortion is the termination of an already established pregnancy. The abortion may be induced, voluntarily performed or spontaneous, but when it is done by persons lacking the necessary skills or in an environment that does not conform to minimal medical standards, it is considered unsafe. The Southern African Development Community (SADC) has a robust policy framework for combating unsafe abortion.Objectives. To examine the relationship between abortion laws and access to safe abortion services in the SADC region as an important and necessary yardstick for measuring the progress of a nation in securing reproductive and sexual health. To analyse the relationship between laws governing abortion, abortion and post-abortion national guidance, and access to safe abortion services by adolescent girls and young women.Methods. A desk review of all legal, policy and national guidelines for all 16 SADC member states was done. Secondary data were collected, and the knowledge, attitudes and practices reflected on abortion surveys were examined in 15 out of 16 of the member states in both rural and urban settings. Sixty-three focus group discussions were held across 15 out of 16 countries, and 127 key informant interviews were held with non-governmental organisations, government ministries and relevant departments in the 15 countries.Results. Countries with restrictive abortion laws are more likely to have a relatively high proportion of unsafe abortions. The results indicated a proportion of unsafe abortions ranging from 43% to 79% for those countries where the legal framework does not lend itself to ease of access. Liberal abortion laws and guidelines do not necessarily mean a reduced incidence of unsafe abortions, especially for adolescents, girls and young women. Multiple barriers still exist in practice. Conclusion. Limits and bounds of the law as a tool to enhance safe abortion exist. The importance of alignment of laws, policies and practices is noted, recognising that all may influence and affect access to safe abortion, and in turn, sexual reproductive health rights for women and girls.

Safe abortion policy provisions in the SADC region: Country responses, key barriers, main recommendations

Background. Abortion is the termination of an already established pregnancy. The abortion may be induced, voluntarily performed or spontaneous, but when it is done by persons lacking the necessary skills or in an environment that does not conform to minimal medical standards, it is considered unsafe. The Southern African Development Community (SADC) has a robust policy framework for combating unsafe abortion.Objectives. To examine the relationship between abortion laws and access to safe abortion services in the SADC region as an important and necessary yardstick for measuring the progress of a nation in securing reproductive and sexual health. To analyse the relationship between laws governing abortion, abortion and post-abortion national guidance, and access to safe abortion services by adolescent girls and young women.Methods. A desk review of all legal, policy and national guidelines for all 16 SADC member states was done. Secondary data were collected, and the knowledge, attitudes and practices reflected on abortion surveys were examined in 15 out of 16 of the member states in both rural and urban settings. Sixty-three focus group discussions were held across 15 out of 16 countries, and 127 key informant interviews were held with non-governmental organisations, government ministries and relevant departments in the 15 countries.Results. Countries with restrictive abortion laws are more likely to have a relatively high proportion of unsafe abortions. The results indicated a proportion of unsafe abortions ranging from 43% to 79% for those countries where the legal framework does not lend itself to ease of access. Liberal abortion laws and guidelines do not necessarily mean a reduced incidence of unsafe abortions, especially for adolescents, girls and young women. Multiple barriers still exist in practice. Conclusion. Limits and bounds of the law as a tool to enhance safe abortion exist. The importance of alignment of laws, policies and practices is noted, recognising that all may influence and affect access to safe abortion, and in turn, sexual reproductive health rights for women and girls.

Tax-Spend or Spend-Tax? The Case of Southern Africa

Whether to increase taxes or cut spending is an important question with profound policy implications, especially as countries attempt to deal with the consequences of the COVID-19 pandemic. This study, therefore, investigated the relationship between revenues and spending in the Southern African Development Community (SADC), where concerns about rising debt and deficits were raised prior to the pandemic. A panel bootstrap Granger-causality technique was used to analyze annual frequency data covering the 1980–2018 period. To our best knowledge, this was the first study in Africa to simultaneously account for cross-country differences and cross-section dependence. The findings of the study have in-depth implications for fiscal policy and adjustments towards budgetary equilibria. The study found no evidence of causality between revenues and spending in eleven SADC member states, suggesting that to balance their respective budgets, governments in these countries can alter either spending or revenues, or both. However, in Botswana, we found evidence of the tax-spend hypothesis, implying that governments should consider altering revenues to eliminate budget imbalances. Finally, evidence of the spend-tax hypothesis was found in Mauritius and Mozambique, suggesting that past and current expenditures drive revenues in these countries. Accordingly, cutting spending would be an ideal policy recourse to deal with budgetary disequilibrium.

Tax policy gap in southern African countries: Reflections on indirect tax coordination and tax diversity in SADC post Covid-19

The Southern African Development Community (SADC) tax policy on indirect tax coordination has mainly been guided by an approach toward the harmonisation of tax bases, the convergence of tax rates and the movement of taxes toward tax uniformity. This approach is one envisaged by the member states and reflected in Annex 3 of the Protocol on Finance and Investment. However, in recent studies, writers in this area opine that countries within a regional integration economic area (REC) should instead adopt an approach characterised by tax diversity of the indirect tax systems, as well as mutual coordination and cooperation to contribute towards economic integration. Recent literature proposes that tax coordination of indirect taxes must consider other options that move away from the uniformity of taxes, rates, and tax base. This paper considers this approach of placing tax diversity at the centre of the SADC tax policy of coordination of indirect taxes, particularly VAT and excise taxes. The paper reflects on the previous approaches that have characterised the implementation of the existing legal framework in tax coordination in the SADC and critically examines the implementation of the VAT and excise taxes guidelines and their significance in achieving tax coordination of indirect taxes. The article emphasises the importance of the SADC realising its goal of coordinating indirect taxes, particularly post Covid-19, due to the imminent need to raise more revenue from cross-border trade in the SADC member states to contribute toward the economic growth of member states.

BALANCING INVESTOR PROTECTION WITH A STATE’S REGULATORY AUTONOMY IN THE AMENDED SADC FIP

This article focuses on the 2016 Amended Annex 1 to the Southern African Development Community (SADC) Finance and Investment Protocol (FIP) (the Amended Annex), which entered into force on 22 August 2017. It aims at a comprehensive assessment of the adequacy of the Amended Annex in balancing investor protection with SADC member states’ quest for domestic policy space in the content of the treaty provisions. Prior to the amendment, the 2006 SADC FIP contained clauses that were considered challenging in the old international investment agreements (IIAs) – such as broad definitions of “investor” and “investment”, provision for international arbitration as a recourse, and according foreign investors fair and equitable treatment (FET) and most favoured nation (MFN) treatment. The challenges associated with bilateral investment treaties (BITs) (especially investor-state dispute settlement (ISDS) mechanisms, restrictions on sovereign policy space and regulatory autonomy) necessitated a review by the SADC member states of the 2006 SADC FIP. The purpose of this article is to reflect on the implications of the 2016 Amended Annex 1 to the SADC FIP with a view to finding a balance between protection enjoyed by investors and the host states’ right to regulate. The article adopts a comparative international law approach, which is useful in order better to understand a SADC member country’s approach to foreign investment protection.

Assessing infant and young child feeding priorities to inform the development of a nutrition social and behaviour change communication (SBCC) strategy during a pandemic threat

Objectives: This study was undertaken to identify stakeholder needs and wants in relation to an Infant and Young Child Feeding, Social and Behaviour Change Communication (SBCC) strategy for the 16 Southern African Development Community (SADC) member states during Covid-19 lockdowns and travel restrictions. Design: A rapid-assessment mixed-methods approach using qualitative and quantitative studies was adopted. Secondary data sources supported in-field findings. Setting/Subjects: Qualitative approaches included 17 key informant interviews from 7 SADC member states. Quantitative methods of an online survey elicited feedback from 61 participants from 11 SADC member states. Outcome measures: More strategic, best practice, infant and young child feeding SBCC programmes are recommended in SADC. Results: Programme challenges included increased demands on health systems from Covid-19, poor attitudes and beliefs toward IYCF behaviours, the dual burden of undernutrition and overnutrition, and financial and human resource capacity challenges to implement and evaluate SBCC campaigns at scale. Opportunities were also identified for improved detection, better meeting IYCF nutritional needs from locally sourced foods, training and capacity building for greater engagement of front-line field staff, effective policy development to support parent-friendly hospitals and workplaces, and improved regional integration. Conclusions: The needs assessment demonstrated that priority programme planning can continue while the health sector deals with a pandemic threat. The adaptation to virtual support provided a variety of learnings for research designs, data collection and analysis, albeit over an extended timeframe of six months. A number of innovative approaches were identified in the resultant SBCC strategy for SADC along with opportunities for regional efficiencies in adapting existing, best practice SBCC creative and programming approaches.

Interfacing Indigenous Knowledge Systems and Access to Healthcare in SADC through the Millennium Development Goals

There are eight health-related Millennium Development Goals (MDGs), the mandate of which is to ensure access to affordable healthcare for poor countries, especially in Africa. These MDGs were supposed to be reached by 2015, but six years have now passed with little success being realised. The cost of affordable medicines remains the main predicament for poor African countries. The focus of this paper is limited to the poor countries of the Southern African Development Community (SADC), a part of sub-Saharan Africa. I have previously written on other measures that have been employed to improve access to medicine, for example pooled procurement used by a number of SADC countries. Unfortunately the vast rural nature of SADC member states makes it prohibitively impossible to reach every citizen, let alone convince them of the usefulness of Western healthcare. A number of scholars have written about southern Africa’s riches in the area of Indigenous Knowledge Systems (IKS) that directly relate to healthcare. It is thus the objective of this paper to argue that both efforts of using IKS and the modern healthcare system can complement each other in the quest for the realisation of better healthcare and quality of life for the citizens of southern Africa. This paper starts with a motivation to indicate why IKS and access to healthcare are related. An analysis of the eight related MDGs follows as a way of measuring how far these have been realised post the anticipated date in 2015. In this analysis, it is critical to unearth how IKS can be used in the realisation of solutions to these shortcomings.

Effects of external financial flows on income inequality in selected Southern African Development Community member states

Background: The developmental goals of various emerging markets are quantitative targets set to reduce income inequality, alleviate poverty, reduce unemployment and achieve continuous inclusive economic growth amongst other key economic performance indicators. The interest is mainly on what can be done on economic performance to fight escalating inequality, increase economic growth and maintain low inflation amongst other economic indicators.Aim: The study investigates the effects of external financial flows on income inequality in the Southern African Development Community (SADC) region.Setting: The study shows the long-run stable relationship between the set of variables.Methods: The study have used the panel cointegration, autoregressive distributed lag and causality techniques.Results: The findings are that in the long run, remittances can strongly reduce income inequality, foreign direct investment (FDI) and cross border bank lending have an increasing effect and foreign aid can weakly reduce inequality. In the short run, FDI and cross border bank lending can strongly explain income inequality, and negative remittances and foreign aid are insignificantly explaining income inequality. Furthermore, the evidence from panel causality confirms the bidirectional causality amongst remittances, cross border bank lending and income inequality, and unidirectional causality in other sets of variables.Conclusion: It can be concluded that external financial flows can play a vital role to reduce persistent income inequality in the SADC region. It is recommended that the SADC governments need to formulate policies on remittances as they have positive returns on human capital, strengthen foreign aid institutions and create conducive environment to attract FDI.