For Consideration • This country was considered an unviable project as a nation (1965) by the West • No national resources • Population largely comprised of low skilled Asian workers • Western military provided 20% of the GDP • Trade unions controlled by communist sympathizers • Corruption was endemic • Full blown insurgency in 1965
For Consideration • Singapore Today – Per capita GDP higher than UK ( 2011) – Ranked 4th of 179 countries Corruption Perception Index ( 2007) – Worked with private sector: Strategized its focus on supply chain management practices to ensure reliable access to supplies and developed the construction sector to address the people and businesses
Consideration • “A moment has arrived when a great power with global responsibilities is having a crisis of confidence. Financial pressures loom; it is losing longstanding superiorities;... this great power, whose diplomats and military leaders manage active or potential conflicts from Afghanistan to Europe...confronts the need for constraints on its global ambitions and posture....â€?
Consideration
Strategic Opportunity • Mental models need to change regarding Afghanistan • Shift from International Donor Nations to International Private Sector • The West can lead by enabling private sector investment • Two approaches
Financing • First: allow and encourage surety bonding instruments from international underwriters, beyond ILOC and Bank Guarantees from Afghan contractors; • Second: Initiate and specify PPP (P3) projectsPublic Private Partnerships: the electrical energy sector needs this to be built – Revenue collection is underwritten by a Donor Nation if necessary