How’s Africa doing?
The World Bank’s report on the state of African development is being hailed as good news. That sub-Saharan African growth was 4 percent between 2000 and 2004, compared to 2.4 percent in the 1990s, is certainly a fact to be welcomed. It would, though, take a growth rate of 7+ percent to make a substantial ...
The World Bank's report on the state of African development is being hailed as good news. That sub-Saharan African growth was 4 percent between 2000 and 2004, compared to 2.4 percent in the 1990s, is certainly a fact to be welcomed. It would, though, take a growth rate of 7+ percent to make a substantial dent in the poverty figures.
The World Bank’s report on the state of African development is being hailed as good news. That sub-Saharan African growth was 4 percent between 2000 and 2004, compared to 2.4 percent in the 1990s, is certainly a fact to be welcomed. It would, though, take a growth rate of 7+ percent to make a substantial dent in the poverty figures.
Digging around in the numbers is a rather depressing experience. Only nine countries in sub-Saharan Africa have a real GDP of more than $1,000 per capita and just one country breaks the $5,000 mark. By contrast, 32 have a GDP of less than $500 per capita. Only two sub-Saharan African countries have a life expectancy of more than 65 and five have one of less than 40.
The most interesting stats are on AIDS and trade. In all but two sub-Saharan African countries, the HIV/AIDS prevalence rate among women aged 15 to 24 is at least twice that of their male peers. In South Africa, the numbers are 14.8 percent for women, compared to 4.5 for men. The bank calculates that comprehensive trade reform would benefit Africa to the tune of $4.8 billion, with 78 percent of the gains coming from agricultural liberalization. (How do defenders of agricultural tariffs and subsidies sleep at night?) But what really struck me about the trade numbers was how little Africa trades with itself.
Image courtesy of the World Bank
This illustrates the case for a pan-African free trade area. One way to help bring this out would be for developed nations to offer to unilaterally cut tariffs for all African nations prepared to sign up to such a scheme. Can someone please call Bono?
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