Rate of Growth in Africa

782 WordsFeb 20, 20183 Pages
In Africa, the rate of growth has been greatly affected by the political, economic and social changes. This is an analysis of the current events and how economic, political and social changes can affect growth in this region. In terms of economy, Africa is said to lag behind the other world regions simply because most of the countries within it are very poor and underdeveloped. These countries depend on loans from developed countries in order to run their economic activities. The GDP is anticipated to increase by 6% between the years 2013 to 2023 if it went on at the same rate. Growth has been experienced throughout the continent, with over a third of sub-Saharan Africa countries having 6% and another 40% having 4% to 5% growth rates. The current GDP growth of Africa is 5.16% with the total capita being US$1,200 per capita. 36.2% of people in Africa earn less than US$ 1 in a day which means they live below the poverty line. The economy consists of trade, industry, agriculture, and human resource (OECD, Africa, 2008). If the economy of Africa falls, the rate of growth will be very minimal. The drop in the economy means that there will be less money generated within the internal income sources. This means that the countries cannot get enough cash to make major developments such us infrastructure, education, health and so on. The countries will have to turn back excessive borrowing from the developed countries (Yansané, 1996). If the African economy rises, the growth rate will
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