A booming continent?
Blogged by: Nina Brenjo
Its economy is likely to enjoy above average growth for a fourth successive year, and only six countries on this continent have experienced declining incomes per head this year. Is it Europe we're talking about? The tiger economies of Asia?
Actually, the continent in question is Africa, which, according to the World Bank, is expected to do well - yet again - in 2007, Britain's Economist magazine reports.
The World Bank's 2007 Global Economic Prospects predicts that sub-Saharan GDP will increase by 5.3 percent in the coming year.
The only countries that have seen incomes per head decline are two oil exporters Gabon and the Republic of Congo, together with Eritrea, Swaziland, the Seychelles and Zimbabwe.
The Bank attributes the general positive trend to "favourable international conditions, improved economic policies in Africa itself, accelerated regional exports (to China especially), and higher commodity prices, most notably for oil and metals", The Economist reports.
However, it seems that what China gives with one hand, it takes with another. The report points out that the continents' manufactured exports have been hit by competition from China and India.
And it's not necessarily all good news. As Africa relies heavily on commodity exports, any drop in mineral or energy prices would severely affect its economies.
But as long as that doesn't happen in 2007, sub-Saharan Africa appears set for another good year.
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2 responses to “A booming continent?”
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20 Dec 2006 15:12:44 GMT
Great...so the fat cats in Africa get richer while the ordinary people are still denied electricity, water, education, health care and any decent future. Welcome 2007 as we see the end of 2006 with fuel ques here in Nigeria, because due to a nice high price of petrol we shorten supply and allow huge black market trading...thus a massive increase in prices for the ordinary decent citizens. Welcome 2007 as we see the end of 2006 all the supposed returns form oil exports getting nicely exported back again away from the niger delta and landing happily into foreign bank accounts. Welcome 2007 as we see the end of 2006 and we still do not have a decent water system, electricity services like a roller coaster and people living on $2 a day. So if 2007 is anything like 2006 we will still have conflict in this continent , greed, corruption and innocent people fleeing for their lives....welcome 2007...
21 Dec 2006 10:24:57 GMT
i think that government should take a serious loook on the the health front by funding or from treasury. poor sanitary conditions, poverty are the main reasons for the degration. especially in africa government is spending huge amounts on investigation of new species found in the forest. i think government is much bothered about the wild life than human life.