MTN urges Africa to strengthen institutions for economic growth

Chairman of MTN Group, Mcebisi Jonas, has urged African governments to strengthen independent public institutions, saying sustainable economic growth and long-term investment depend on credible governance and the rule of law.

Jonas made the call on Monday during MTN Group’s The Y’ello Chair vodcast, where he examined governance challenges and their implications for Africa’s economic transformation.

He said weak governance frameworks continue to undermine investor confidence and economic inclusion, stressing that resilient institutions insulated from political interference are critical to democracy and sustainable development.

According to him, countries weaken their development prospects when they undermine independent institutions, as governance driven by political expediency discourages investment and erodes public trust.

Drawing from South Africa’s experience, Jonas said judicial independence helped prevent systemic institutional collapse, adding that governments must respect court decisions and uphold the rule of law.

He identified independent courts and credible electoral bodies as essential pillars of democratic governance, noting that investor confidence depends on predictable legal systems that guarantee transparency, accountability and policy certainty.

Jonas cautioned governments against pursuing short-term fiscal measures that weaken institutional credibility, saying lasting economic growth requires consistent governance and strong public institutions.

According to the UN Trade and Development (UNCTAD) World Investment Report, Africa attracted 97 billion dollars in foreign direct investment in 2024, raising its share of global inflows from four to six per cent.

The report attributed the increase largely to pro-investment policy reforms but warned that sustained investment remains vulnerable to political instability and weak institutions, reinforcing Jonas’ call for stronger governance across the continent.