GB502 Week 3 Discussion
Unit 3: Lecture
Food for Thought
Prof P.L.O Lumumba: "Africa is on dinner table Eaten by Superpowers"
Africa is viewed as one of the world's most disadvantaged continent, but there is optimism for change. Many countries in sub-Saharan Africa are displaying signs of economic growth, reflecting the application of improved economic policies and essential reforms. These countries have efficaciously cut domestic and external financial inequalities, improving economic proficiency. They have given greater importance to public spending on health care, education, and other basic social services. In addition, there has been a upward movement toward more open and participatory forms of government that inspire cooperation between the state and civil society.
Nevertheless, the economic and social situation in sub-Saharan Africa remains delicate and helpless to domestic and external shocks, and the region has a long way to go to make up for the ground lost over the past two decades. Despite some perfection in economic growth rates, poverty is still prevalent and in many parts of the continent extremely critical. Investment remains subservient, limiting exertions to diversify economic structures and increase growth. Furthermore, a number of countries have only recently emerged from civil wars that have cruelly set back their development efforts while, sadly, new armed conflicts have erupted in other parts of the region. These skirmishes and other adverse factors, notably poor weather conditions and a decline in the terms of trade, have led to some loss in economic momentum in the region over the past two years.
Sub-Sahara African countries therefore face major challenges: to continue to raise progress and reduce poverty, and to assimilate themselves into the world economy. Economic growth rates are still not high enough to make a real dent in the pervasive poverty and enable these countries to catch up with emerging and/or other developing countries. What is needed is a sustained and substantial increase in real per capita GDP growth rates in these countries, coupled with significant progresses in social conditions.
Conduct your own research to learn more about the political and socio-economic environment within which business operates.
Reference
· Doing Business in Africa: A Risks, Trends, and Opportunities Roundtable (Links to an external site.) . (2016, July 29). Retrieved from https://www.brookings.edu/events/doing-business-in-africa-a-risks-trends-and-opportunities-roundtable/