The basis for much of the recent optimism that Africa is rising is the nearly steady annual growth rates of over 5 percent in the past decade and that the African continent has 14 of the top 30 worldâ€™s fastest growing economies. Can we stop and ask a question? So that's it? No, that's certainly not all of it. Clearly, Sub-Saharan Africa has made significant progress in the last decade. Malaria deaths in Africa declined by more than 30 percent between 2000 and 2012 with life expectancy increasing significantly. A booming economy has probably made a difference. Africa is the world's second fastest-growing sub-region, behind Emerging Asia and FDI has gone from $15 billion in 2002 to about $57 billion in 2013 and $46 billion in 2012. However, in spite of all this, Africaâ€™s apparent addiction to foreign aid betrays the continent's economic confidence. People now ask, whether Africa can rise when it is still dependent on financial aid. This means that African governments apparently cannot resolve their seemingly intractable natural resource governance challenges. Otherwise why so much dependency when sitting on such massive mineral wealth? To confirm this, critics have argued that Africa loses twice as much in illicit financial outflows as it receives in international aid. Taking together, I believe Africa is rising, but just not fast enough. In addition it appears the fast growth rate is leaving many of the people behind in unemployment and poverty which is still around the 50 percent rate. Over the past 10 years economic growth averaged over 6 percent in Sub-Saharan Africa, compared to just 5.1 percent over the past 5 years, confirming a the story of a slower pace of growth. Africa of the next decade will go the way its leaders decide today. Leaders have to ensure better management and investment of proceeds from natural resources and strengthen economic integration and common economic frontiers to achieve stronger global bargaining powers. I think this can be done. I am Magnus Kpakol and that's my view.
Posted: Nov 18th, 2014 @ 02:09:44 AM