Attention Economy


Saturday, May 28, 2016

Africa's Long-Term Economic Prospects

Africa’s Economic Development - Africa’s Rise—Interrupted? By Steven Radelet
Georgetown’s Steven Radelet notes:
“Is Africa’s surge of progress over? During the past two decades, many countries across the continent changed course and achieved significant gains in income, reductions in poverty, and improvements in health and education. But the recent optimism seems to have swiftly given way to a wave of pessimism. Commodity prices have dropped, the world economy has slowed, and economic growth has stalled in several sub-Saharan African countries. If high commodity prices alone drove recent advances, the prospects for further gains seem dim.
But the reality is more complex, and the outlook—especially over the long run—is more varied than many now suggest. To be sure, many countries are confronting some of the most difficult tests they have faced for a decade or more, and even with sound management, progress is likely to slow in the next few years. But for others—especially oil importers with more diversified export earnings—growth remains fairly buoyant. At a deeper level, although high commodity prices helped many countries, the development gains of the past two decades—where they occurred—had their roots in more fundamental factors, including improved governance, better policy management, and a new generation of skilled leaders in government and business, which are likely to persist into the future.”

Related:
http://vivekjayakumar.blogspot.com/2015/11/africa-and-premature-deindustrialization.html