MAVIS OFFEI ACHEAMPONGBY:
The importance of reshaping credit policy as a key driver of state-led development in emerging economies has been the point of discussion at an economic forum in Dakar, Senegal. An Economist Daniela Gabor underscored the State’s role in steering credit toward strategic and green sectors, noting that targeted financing can accelerate growth, reduce poverty, and support broader economic transformation.
Credit policies, rules that guide how money is lent across an economy, shape who gets access to finance, at what cost, and under what conditions. But many countries shifted away from these policies under the Washington Consensus, which favored market-led approaches. At day two of the Young Scholar Meeting in Dakar, an Economist and Professor at SOAS University of London, Professor Daniela Gabor argued that strong credit policies are essential for today’s developing economies.
Speaking on Green Credit Policies, she said a robust, state-led credit framework signals a government’s capacity and political will to direct resources into priority sectors, driving sustainable growth and long-term economic transformation.
In his presentation on the Political Economy of Financial techecnology-Fintech, in Africa, the Research and Program Manager, of IDEAs Senegal, Mr. Isaac Abotebuno Akolgo, highlighted rising transactional cost, excessive foreign financial interest, taxes on digital finance and gender disparities as some of the challenges in with Fintech. He called for the reframing of Fintech in Africa to promote equity and development.
As young scholars continue to engage with leading experts, they remain optimistic about shaping economic frameworks that balance liberal principles with Pan-African priorities—aimed at delivering practical, homegrown solutions for the continent’s evolving economic needs.
The conversations in Dakar signal a growing resolve among Africa’s next generation of economists to rethink financial governance and craft bold, innovative policies tailored to the continent’s development realities, laying the groundwork for a more resilient and self-determined economic future.
