Development Finance: SMEs, Finance, Growth

This post has some interesting findings in the development economics/SME realm – in particular the impact of lack of finance for SMEs on exports and thus employment, innovation and growth. As in microfinance, the micro-level, anecdotal evidence differs from statistical analysis; Thorsten Beck et al previously found that although there is a correlation between SMEs and growth they cannot say that one causes the other.

Other interesting subjects include the benefits of diversified conglomerates in emerging economies – which they say is derived from internal capital markets, a phrasing which does not necessarily highlight their primary advantage; that of helping the company weather shocks.

In the same vein, but not mentioned in the blog, is the phenomena of clustering in emerging economies. Why do all the TV, scooter, book etc sellers in Hyderabad group together? Couldn’t they make more money by serving customers closer to their home and raising prices for the convenience? Surely, some entrepreneurial trader would have discovered the profit, so the answer is not only in tradition. Why does it take big corporate building malls to realize underlying value? Answers anybody?

Sangodare

The Adunni Olorisha Trust, the organization that is trying to maintain and promote the legacy of Suzanne Wenger, and in doing so protect the Sacred Groves of Osogbo (one of only two UNESCO World Heritage Sites in Nigeria), is at work. We've organized an exhibition of Sangodare's work - one of the adopted children of Suzanne and the most promising artist amongst the New Sacred Art movement. The event's on Saturday in Lagos - email me if you want to come.

I help the Trust out as much as I can and am up there quite often as a result. If you're in Lagos and would like to come to Osogbo sometime, let me know.

Voyeurism in the news

Voyeurism and exhibitionism hit the news in different ways recently. One way struck me when I was scanning the BBC website today (see pic). I don't know if this widget was intentional or not but it sure came out funny/strange. How twisted to you have to be to (a) want to watch somebody get electrocuted (b) electrocute somebody (c) be electrocuted on live TV. The latter made me think of a piece on psychopathy and reward, which I guess we all knew about. But even so - aren't all those seeking recognition on Big Brother & Co. just psychopaths in their own little way?

Femi

High time I let Femi Kuti leave his mark on this site. I've been to the New Shrine a couple of times now (the dancers have got to be seen to be believed), and his latest grammy-nominated album has been on repeat in the car for a while. Gotta say that I though Seun, his younger half-brother, was stronger but he's blown it of late with poor performances, empty words and an arrogant attitude. Plus, Let's Make History (called Day by Day elsewhere) has really pulled through for me. Check out the intro on this:


(Artist: Femi Kuti; Title: Tell me; Album: Let's Make History [Nigeria])

Finally Digging, or: Mr. T's magical musical wonderland

Finally got to hang out with Mr. T, a record collecting legend in Lagos. Tony has been collecting records around Lagos for decades, and has built a massive collection. Scavengers like me have been to his Afrobeat section before me, so there's only a couple of hundred left, but that's still pure gold. As are his high-life, jazz, funk and "sentimental" sections.

Tony's business has seen better times. Formerly a DJ, he now sells rips of his records after leaving the party business to one of his apprentices because, he says, the young guys don't understand music and he doesn't have the time for the new stuff. After being kicked out as a resident DJ at an Ikoyi hotel that's now been replaced by the Southern Sun, he set up shop in a central market. Now his landlady there has kicked him out he's back to the "ghetto" (his words), the village on the outskirts of Lagos where he's been building a house for the last 20 years. I think the house may need another 10 or so, but he's got an amazing garden, and more than enough room to stack all the music (see photo, with Mr. T).

Spent a good couple of hours digging around, and as a start I've asked him to make a list of what he's got. The good man doesn't even know how many records he has (I reckon 6 to 10 thousand). He's also given me the names, numbers and addresses of most of the other big music oga's in Lagos, so I should be set digging wise for the next few months. Amazing!