The paper examines the centrality of institutions and institution building in the implementation of the Economic and Corporate Governance programme of the New Partnership for Africa’s Development (NEPAD). It sees institutions in the broader context of organizational structures, systems, processes and procedures that are vital for the development and poverty reduction process in Africa. The paper posits that building appropriate and effective institutions in Africa is fundamental to good governance and thus the attainment of the overall objective of the NEPAD Initiative, which is Africa’s development. Given the current status of institutions and institution building efforts on the continent, capacity building in this area will need to be stepped up significantly. This paper attempts to highlight the centrality of institutions and institution building efforts in the context of a market-based development strategy, which is fundamental to the NEPAD Initiative and thus to growth and development of the continent.
