P Mlambo-Ngcuka: International Education Conference Going Global

7 December 2006

Martin Davidson, Chair of the Session and Deputy Director-General of the
British Council
Lord Kinnock, Chair of the British Council
Philip Rycroft, Head of Scottish enterprise and life long learning
Fellow Speakers
Ladies and Gentlemen

I wish to thank the British Council for their hospitality and for inviting
us to this conference. Education and skilling is a very important focus area
for South Africa, and indeed a lot right now depends on what we will do, and
can do with our local and international partners to close the gaps in our
system. The value we put on Education is also important. Is it a right? A
commodity for those who can afford it and so forth.

International 'trade' in education services, particularly at the higher
education level, has grown significantly in the past period, with increasing
numbers of students studying outside their home country, increased
international marketing of academic programmes, the establishment of overseas
'branch campuses,' etc.

Terms such as 'trans-national' and 'borderless' education have gained
currency to describe "real or virtual movement of students, teachers, knowledge
and academic programmes from one country to another" (Knight, 2002). By 1995,
the global market for international higher education was estimated at US$27
billion. The United States (US) is the leading exporter of education services,
with higher education being the country's fifth largest service sector
export.

The main export markets are in Asia, accounting for 58% of all US exports,
followed by countries in Europe and Latin America [World Trade Organisation
(WTO) Council for Trade in Services Background Notes, September 1998]. Many of
us attach a lot of importance in enabling students and faculty members to be
exposed to education beyond what their country can offer without diminishing
the country's own capacity to generate and provide knowledge to citizens.
Indeed, education should enable the development of a national identity and in
our case national cohesion as well.

In the main, as far as trade in education is concerned, the movement of
students and staff is from the south to the north, while export of educational
services in the form, amongst others, of educational information, provision and
facilities, such as branch campuses etc., is in the reverse direction.

The General Agreement on Trade in Services (GATS) identifies four 'modes of
supply,' i.e. ways in which services can be traded. Let me touch on examples of
their potential reach in higher education.

Firstly - cross border supply where the service crosses the border. This
would include distance education, e-learning and virtual universities.

Secondly - consumption abroad where the service involves the movement of the
consumer to the country of the supplier. This includes students who go to
another country to study.

Thirdly - commercial presence where the service provider has facilities in
another country to render service. This includes branch campuses and
franchising arrangements.

Fourthly - presence of natural persons where persons travel to another
country on a temporary basis to provide a service. This includes academics
working outside their own borders.

As you know, within the WTO, each county is expected to identify those
services for which it wishes to provide access to foreign providers, including
the extent of commitment and the conditions for such access. Notwithstanding
this, there are a number of general obligations, such as the 'Most Favoured
Nation' (MFN) element, applicable to all trade in services, which, as some have
argued, may apply even when a country has made no specific commitments to
provide foreign access to their markets.

This provision requires equal and consistent treatment of foreign trading
partners, although exemptions for a period of 10 years are permissible. This
may have particular implications for countries that already provide access to
foreign providers. For example, it is possible that the provision of government
subsidies to public institutions could be challenged as unfair treatment. And
for many countries like mine that is unthinkable.

It could be argued that subsidies should be provided to all institutions,
public and private. It is also important to note that, once a commitment is
scheduled, it cannot be changed, even in the light of subsequent changes to
local regulatory frameworks/contexts, unless such amendments are
re-negotiated.

In terms of coverage, GATS applies to all services with two exceptions, one
being services provided in the exercise of governmental authority and the other
to air traffic rights. "In the exercise of governmental authority" is said to
mean that the service is provided on a 'non-commercial basis' and 'not in
competition' with other service suppliers. However, these terms are subject to
interpretation. Some contend that education provided and funded by governments
is exempted while others argue that public sector service providers are not
exempt, especially in countries where there is both public and private
provision of education.

South Africa has not made any commitments in education. A few countries have
made requests of South Africa.

How then should we act, given this complex terrain? Our response should be
firmly located within a commitment to genuine international collaborations and
partnerships in education, which is critically important to the health of any
higher education system. It should not be informed by one-sided and narrow
commercial interest. Speaking as a teacher myself, I believe in the ability of
education and educators to uphold the role of education as the best investment
families rich and poor, countries rich and poor must make in order the make the
world better for all.

Regrettably, trade liberalisation in part is impacting on these noble
commitments efforts. Of particular concern is whether limited financial
resources might increasingly be used for trade driven activities rather than
those that emphasise intellectual and social gains.

GATS in education, then, has huge implications for our knowledge base. I do
not need to remind you that under globalisation, knowledge is indeed the
wellspring, the electricity of our country's economic and social development.
We aspire to be a knowledge economy. Countries like mine that are small and
emerging markets can only survive if we find our place in the knowledge economy
and our entry is eased, rather than constrained.

South Africa's experience of cross border higher education needs to be seen
against the background of three major factors. First, the return of South
Africa into the broader international community following the first democratic
elections in 1994. Secondly, the restructuring of South African higher
education to produce a system that is more co-ordinated, equitable and
responsive to the needs (social, political and economic) of the country.

Thirdly, the growth of private provision, in a context where the large
majority of private providers are for-profit institutions.[1]For many
developing countries, broadening access of affordability is paramount and in
our case on the continent, rebuilding African Schools of excellence following
devastating World Bank policies on education especially at higher
education.

However, we remain concerned that some elements of our regulatory frameworks
and noble intensions may be threatened under a GATS regime. For example, the
implications of the most-favoured nation status and potential threats to public
funding. It has also been pointed out that even where a country has not
scheduled any commitments in education, the GATS agreement still may apply to
the sector.[2]

In our view support for education by the Public Sector and generous and
increased inputs by private sector is necessary and desirable.

We also believe in the positive role of education in building global
citizens who can build a better productive world. We also believe in a need for
a global effort to address the global skills shortage, which is a challenge for
most nations, and especially us in Africa.

The trade agenda can easily compromise the building of a formidable Africa
with capacity and people to enter the knowledge economy. Many of our developing
countries lost out on the last industrial revolution; indeed, we were victims
of the needs of the industrial revolution for raw mineral.

There is chance that in the current wave of technology and knowledge driven
industrial revolution we could be victims again and not dynamic players. It is
important to pay attention to the skills demand and supply which will affect
everyone and the importance of mediating the brain drain and gain, while
allowing knowledge without borders and skills to circulate. For many developing
countries making knowledge relevant and responsive to their real needs, keeping
it affordable and globally competitive cannot be overemphasised even when
securing foreign skills.

There is room in this dilemma for an African concept letsema, or ilima or
ukusisa, which is about the sharing of resources and community-driven
upliftment of the neediest members in a community, by the 'haves' donating to
the 'have-nots,' while bringing out the best potential out of that needy
community/member/ family in the best interest of all members of the society. So
the whole village would bring seeds, labour, oxen or lease out land to a family
which, for whatever reason, was unable to be self reliant often a family
without cattle, children or land.

That is a north-south microcosm of sorts within a tiny village. The only
payback wanted by the rest is prosperity of the assisted member. Believing you
are because I am.

Some years back, when I was a student at the National University of Lesotho
(NUL) the law faculties of NUL and the University of Edinburgh did just that.
NUL students came to Edinburgh for their second and third year undergraduate
studies in law and back to Lesotho for their final year.

In the process, bringing to Edinburgh a diverse and international law class
while relieving NUL of a heavy burden as the University was still building
capacity and facilities. As some students would be away, that enabled the
limited staff members at NUL to attend to the other students especially first
years. A wonderful spirit of comradeship between the two institutions was born;
in addition to the good investment made by the Scottish missionaries in
education, Africa was enhanced. I must confess that is one reason I was glad I
could honour this invitation to thank the University of Edinburgh and the
community here for your letsema/ilima/Ukusisa.

I am wondering if there aren't more similar innovative ideas where this NUL/
Edinburgh Universities' model can be used to encourage other Institutions of
Higher Learning to establish such partnerships with developing countries that
are worse off. A true North-South partnership for education.

Indeed, international students today are more discerning, better informed
and more demanding than their predecessors. This conference and its sessions
will provide a special focus on international students and borderless
education.

There is a growing community of international education professionals
operating at all levels: in government and national bodies, public and private
education, training institutions and private companies. Their work covers a
multitude of tasks, including research and teaching, distance learning and
other forms of course delivery, recruitment and marketing, and international
student support.

Employers value international education experience as an asset � a highly
educated and trained workforce is essential for sustaining economic growth in
modern knowledge-based economies.

We attach a lot of importance of the partnership with private sector. The
growing impact of technology and the imperative for countries to keep pace with
innovation encourages internationalisation, promoting student mobility and
seeking new approaches in education and training. In South Africa we believe
strongly in these partnerships and actively seek them for our young and matured
minds.

Skilled migration and international education

International students are an increasingly important means of meeting skills
gaps in the labour force, particularly in countries like Australia, Canada,
Europe and the USA.

The last ten years have seen a tremendous growth in co-operation and
collaboration between state-funded and private education institutions.
International professionals from across these sectors, with experiences in a
variety of modes of delivery, will present and explore future directions. We
see and value this co-operation as long as it does not threaten the existence
and a desire for rebuilding of our own institutions. A degree of self-reliance
not so much self-sufficiency because we are internationalists but issues of
affordability and access are paramount.

South Africa is in a very unique position at this point of its economic
history:

* We have experienced economic growth that is unparalleled but still not
enough to meet all our needs � three percent of Growth Domestic Product (GDP)
per annum and we need to achieve a six percent growth by 2010. Indeed, Africa
has averaged a four to five percent growth in the last decade, which is just
above world average and outperformed the world on tourism.

* The growth experience in the first decade of democracy has not been shared
enough among South Africa's 45 million citizens. A third of this number is poor
and will need a concerted effort to realise their potential.

* South Africa's economy is divided into two - the first and second economy.
Brazil and South Africa are amongst the countries with the highest
socio-economic inequalities; added to this, in South Africa's case, is high
skills shortages � 'thanks' to a systematic assault on education through
policies such as Apartheid and Bantu education for almost half a century.

* In 2006 our economic growth has over-stretched our infrastructure,
distorted the already stressed skills demand and supply, challenges on the
delivery of basic services and spending capabilities of public funds to provide
services that so many lack in our country. While we have a bit of an economic
boom, as commodity exporter, which itself is not sustainable. We see education
as the most urgent and sustainable intervention to change our country as we
benefit from the current growth window.

* We have identified the growth sectors in our economy for example:

1. tourism
2. mineral export opportunities
3. construction
4. energy demand
5. opportunities presented by 2010 FIFA games especially in public transport
infrastructure investment by our government
6. having good macro-economic fundamentals and a robust democracy.

All of this works in our favour only if we close the skills gap sooner and
specifically the backlog and allow our public education system to rebuild
itself.

As we have said, South Africa's growth is largely driven by commodity
exports, a new black middle class and new black workforce's consumption.
Clearly both not ideal drivers of sustainable growth and not reliable for a
'shared growth,' hence the Accelerated and Shared Growth Initiative for South
Africa (AsgiSA), in which education is key.

Through ASGISA, we focus on:

* infrastructure
* industrial/ microeconomic reforms skills
* better delivery of government services
* bridging the gap between the first and second economies
* skills, hence the establishment of the Joint Initiative for Priority Skills
Acquisition (JIPSA), interest by all role players in education and skills;
government, business, labour, academia to gather the skills needed to survive
the boom.

JIPSA focuses on increasing the country's capacity in:

* engineers
* artisans
* public education capability
* health and education managers
* Adult Basic Education and Training (ABET)
* public health workers, nurses and doctors specifically
* finance and information communication technology experts
* sector specific skills for the growth of sectors such as tourism
* JIPSA is engaged with all parties in order to deal with the backlog and seek
partnerships with the Private Sector, Non Governmental Organisations (NGOs),
international connections that can help us fasttrack the acquisition of skills,
without which we will not manage to benefit the opportunities brought by a
growing economy.

We believe that education is the most reliable and sustainable strategy to
eradicate poverty, not just alleviate poverty.

Especially, when education is affordable and accessible to the poorest and
not subject to hurdles of a national and international trade system. We want
more South Africans to go all over the world in the context of knowledge
sharing and more educators and students to come to South Africa.

We have a growing number of vulnerable children and orphans because of HIV
and AIDS, who need us; and the education system is one anchor institution that
is playing a crucial role in helping us in this regard. Our work is to define
and continue to improve the response to this epidemic and have a strong vision
of an AIDS-free Africa and work for it - not a dying continent as we have a lot
to live for. Fighting, HIV and AIDS is about:

* investing in prevention of new infections
* care for the infected and prolonging their lives
* access to treatment
* research and development
* human rights to fight stigma and discrimination.

The HIV and AIDS fight is labour intensive, so we need skills in our
healthcare system and we need counselling in public education, monitoring and
encouraging compliance for those on treatment in the face of high compliance
failure.

We have always believed in:

* Prevention as the most urgent intervention.
* Delaying the progression from being HIV positive to AIDS is central for
wellness and extended productivity by telling our people to eat correctly and
pursue a healthy lifestyle and live healthier for longer. This highlights how
poverty works against us and greater survival. When people reach a stage when
they need treatment, they need access and support to optimally benefit from it.
So we cannot see ourselves as a dying continent but a people with a future and
much to live for, so we have to conquer.
* Behavioural changes especially for young people is a make or break in a
vision of an AIDS-Free future generation. The continent is presently having
many opportunities despite huge challenges, there are more countries at peace
than at war; the Democratic Republic of Congo (DRC) is the latest country
making strides towards the attainment of peace. Africa has huge potential for
progress with technology transfer; Africa is a serious good value
proposition.

Our Africa 2010 FIFA Soccer World Cup is a 'cherry on top.' The legacy that
we plan to leave behind from 2010 is:

* built infrastructure
* presenting efficient games
* better health for our people
* human resource development.

Under the slogan adopted by FIFA for the games "Winning in Africa with
Africa," we urge teams around the world to be part of that spirit to support
the legacy.

In all of these, education is key to making informed and correct choices. We
do not have the luxury of a massive commercialised education in our situation.
We need access and affordability, we think rebuilding developing economies is a
global project where all will win, and educators need to rise up to the
occasion, as it will benefit us all, and educating women is the noblest
objective in that scenario.

I thank you.

Issued by: The Presidency
7 December 2006