African Economic Performance Improving, Says AfDB

The African Development Bank has published its 2020 report on the economic prospects of the continent. A report under the theme of training the workforce of tomorrow. And to boost growth and productivity, the AfDB recommends that African states invest more in human capital.

Economic performance in Africa continues, according to the AfDB, with a continent’s real GDP growth rate of 3.4% last year. It is expected to increase by half a point this year and slightly exceed 4% (4.1%) in 2021.

Growth was driven by thirty countries out of the 54 on the continent. AfDB Highlights that 6 of the 10 Fastest-Growing Economies in the World Are Now in Africa [Rwanda (8.7%), Côte d’Ivoire (7.4%), Ethiopia (7.4%), Ghana (7.1%), Tanzania (6.8%) and Benin (6.7%)].

The Pan-African financial institution notes that for the first time in more than a decade, growth is largely the result of investments – especially in infrastructure – rather than consumption or exports, especially of raw materials.

Moreover, the growth of economies that rely on petroleum or mining is today sluggish; the case of Nigeria and South Africa, the top 2 economic powers on the continent.

The AfDB makes a few recommendations to stimulate growth: accelerate investment in training at all levels by preparing young people for the job market and, above all, get on the train of the 4th industrial revolution and continue investing in infrastructure.

The AfDB President hails the performance of African economies, but for Akinwumi Adesina, ” it is not GDP growth that counts “. He hopes that the continent’s economic growth will benefit the greatest number of the African population.