– Andrew Wilson during the Welcome Address
On October 9th, CIPE hosted the 4th annual FEDN Conference under the theme “Democratic Crossroads: Activating Leadership for Democracy that Delivers.” FEDN members, CIPE partners, and democracy practitioners from around the world gathered to discuss the past, present, and future of democracy and open markets.
To welcome attendees, CIPE Executive Director Andrew Wilson emphasized CIPE’s 40-year history of advancing democracy and free markets and introduced the phrase “democracy that delivers” to encapsulate the ideal that a strong democracy means a strong and inclusive economy. Wilson underscored new focuses such as the digital economy, business for peace, and private sector support for civic engagement, highlighting the intertwined nature of democracy and private enterprise. Wilson stressed the importance of using past lessons to inform future decisions and new approaches for addressing democratic governance and economic policy.
“Two things we should be asking – “What is the market and democratic systems actually delivering? What do people see and understand from this success?” – Ruslan Stefanov, during the “Promises of the Past” panel discussion
The opening panel, “Promises of the Past: Reflecting on 35+ Years After the Berlin Wall,” explored the successes and shortcomings of democracy and free enterprise over the past decades. CIPE Director of Policy & Program Learning Kim Bettcher moderated the session, which featured Gala Díaz Langou, Ali Riaz, and Ruslan Stefanov.
Ali Riaz, author of How Autocrats Rise and Distinguished Professor at Illinois State University, highlighted the importance of democracy’s ability to protect ethnic, religious, and political minorities. While democracies provided opportunities for citizen engagement, Riaz mentioned how issues like COVID-19 and rising inequality created a perceived lack of progress among the public, establishing a link between domestic and international issues. Riaz identified this discontentment as a driver for corruption, and argued that democracies must showcase their benefits to combat it.
Expanding on Riaz’s points, Gala Díaz Langou, Executive Director of the Center for the Implementation of Public Policies Promoting Equity and Growth (CIPPEC), described the “poly-crisis” the world faces today, including climate change, conflict, and increased global poverty and hunger. Díaz Langou linked these dynamic trends to weakening democratic institutions. Using Argentina as an example, she noted that only 17% of its population trusts democratic institutions due to the lack of economic advancements, job creation, and low quality of life over the last thirteen years. The lack of trust in institutions makes it harder for the government to collaborate with citizens and solve problems. To combat this distrust and increase citizen engagement, she communicated the significance of showing that a healthy democracy will drive sustained and inclusive economic growth.
Ruslan Stefanov, Program Director and Chief Economist at the Center for the Study of Democracy, explored the economic implications of democratic frameworks in Eastern Europe. He acknowledged issues that democracies are grappling with, mentioned by Riaz and Díaz Langou, but also highlighted ongoing successes of the market economy, such as entrepreneurship and innovation. While shortcomings in various democracies may raise questions about their effectiveness, Stefanov emphasized that democratic representation is the only viable option for providing a platform for different voices. Consequently, he advocated for more initiatives to reinvent democracy and develop solutions that focus on the beneficiaries of this system.
“We should look carefully at collective action where collective action works very well; the results can be pretty outstanding. The collaboration can go on for much longer than expected” – Soji Apampa
Present Progress: Models of Impact featured presentations by FEDN Members and CIPE partners on recent success stories in their regions. CIPE Program Officer Tamari Dzotsenidze facilitated the event.
Mieczyslaw Bak, President of the Institute for Private Enterprise and Democracy, discussed his recent FEDN small grant project, “The Rule of Law – Our Future.” Emphasizing the importance of youth engagement in elections to combat populism and Poland’s gradual shift towards clientelism, Bak spoke about the significance of upcoming elections. Marek Tatala, Vice President/CEO of the Economic Freedom Foundation (EFF), underscored the need for businesses to participate in democratic processes. Bak noted that NGOs must carefully tailor their messaging to engage business communities without politicizing the issues.
Nishan de Mel, Executive Director of Verité Research, explored the role of technology in enhancing accountability in democracy. He demonstrated how technology can bridge the gap between elected officials’ work and the public’s understanding of policies. De Mel showcased the Manthri.LK platform, which synthesizes key points from politicians to make the information more accessible to citizens.
Louisa Tomar, Director of CIPE’s Center for Digital Economy and Governance, moderated a discussion on digital transformation among SMEs in Colombia. Pablo Lemoine, President of Centro Nacional de Consultoría, shared survey results from 4,000 SMEs, revealing insights into technology adoption. This information helped identify knowledge gaps, improve capacity building, and further digitization efforts in the country. Lemoine explained how the survey aids in capturing information and determining next steps.
Soji Apampa, Founder & Director of the Convention on Business Integrity, discussed Nigeria’s maritime anticorruption initiative. He described the establishment of a help desk for shipping vessels, which increased the number of vessels to Nigeria and reduced complaints, alleviating trade concerns in West Africa and efficiently resolving problems by reducing bureaucracy. Apampa credited the success to cross-sector collaboration and noted that Nigeria’s bottom-up approach serves as a model for other countries like India and Egypt to address corruption.
“If autocracies are so strong, why do they feel the need to clothe themselves in the terminology of democracy?” – Eric Hontz
Moderated by CIPE Program Director for Policy & Program Learning Mikra Krasniqi, the session explored autocratic threats to democratic institutions and future strategies for advocates to sustain democracy.
Joseph Siegle, Director of Research at the Africa Center for Strategic Studies, urged democracies to leverage their advantages, such as free media, transparency, and independent justice systems, to self-correct. He discussed the relationship between democracy and the private sector – democratic governance fosters healthy environments for international investment and capital. Siegle also highlighted the threat of foreign interference to democratic frameworks and called for strengthening information ecosystems.
Eric Hontz, CIPE Director of the Center for Accountable Investment, discussed the synergy between democratic governance and free markets. Hontz argued that the economic benefits of democratic states, including wealth creation and intergenerational mobility, lend democracies a long-term advantage. Hontz also noted that increased free trade and access to cross-regional markets create opportunities for economic expansion, which democracies facilitate.
“Leadership is about new types of partnerships. How else can we prepare communities to deal with the transnational threats and opportunities and how else can we leverage private sector support for civic causes?” – Toki Mabogunje
In her closing remarks, Toki Mabogunje, Vice Chair from Africa for the ICC World Chambers Federation, offered her insights on the sessions. She called on the business community to uphold the rule of law and individual freedoms to maintain free markets. Mabogunje emphasized the importance of leadership in shaping the path to stronger democratic governance and highlighted the need for partnerships to address both domestic and international issues.
“Leadership is about new types of partnerships. How else can we prepare communities to deal with transnational threats and opportunities, and how else can we leverage private sector support for civic causes?“
