Why Africa is the next big thing in the world scene
The African region has been widely tainted, a lot of news showing the poor state of the continent.
You might wonder if there is anything good coming from the region.
In this article, we will expound on the positive strides made by the continent over the decades.
1. Economic stability
Many economies in sub-Saharan Africa grew at a record pace before the pandemic. Ethiopia and Rwanda, for example, saw some of the fastest expansions in the world—an average of more than 7.5 percent per year over the past two decades.
Inequality tends to increase in countries with high, persistent inflation characterized by high standards of living through erosion of the purchasing ability of consumers, reducing government spending in real terms, and disincentivizing private investment. The continent recorded improved economic stability with increased foreign exchange and increased per capita output.
2. Trade
Easier access to global markets supports convergence by increasing the value of a country’s resources like raw materials, producing capabilities, ease of transportation, and attainable tariffs. Established trade in the region meant more exports at improved prices. Last year, activity finally bounced back, lifting GDP growth in 2021 to 4.7 percent.
Its gross domestic output increased significantly in 2021 by an estimated 6.9%. The anticipated real GDP growth for Africa in 2021 was higher than both the global average and other regions' growth rates.
Four of Africa's top six countries had an increase in their Purchasing Managers' Index readings, indicating an improvement in economic activity. Egypt, Kenya, Nigeria, and South Africa's PMI values in 2021 (which collectively accounted for 52% of Africa's GDP in 2021) were usually over the 50-point threshold and closer to the pre-pandemic level.
3. Political stability and strong institutions
Since the beginning of 2015, Africa has experienced more than 27 leadership changes, emphasizing the continent-wide push for greater accountability and democracy. Countries like Mauritius, Botswana, Cape Verde, Namibia, and Ghana rank relatively high as politically stable, democratic countries. These countries, as well as other rising democracies across Africa, serve as an incentive to international investors that ability can be achieved throughout the continent.
4. Health and nutrition
There have been considerable declines in maternal and child deaths, and the incidence of chronic malnutrition among children under five has decreased by almost 10 percentage points from 1995.
Most countries are making good progress on preventable childhood illnesses and communicable ones like cholera and typhoid. Across the continent, life expectancies and healthy life expectancies are rising.
Africa has made great strides in solving the hunger crisis, achieving a 30 percent drop in the proportion of its people facing hunger over the 1990-2015 period.
5. Education
Since 2000, the number of African children enrolled in primary school has increased from 60 million to 150 million. Adult literacy rates are up by almost 10 percentage points from 1995, and the gender gap in literacy is shrinking, partially driven by massive improvements in gender parity in school enrollment. However, this gender parity has to shrink further, especially in the sciences, if African countries are to make further economic, political, and social gains.
6. Gender equality
Africa spearheads gender equality. For example, in 11 African countries, women hold almost one-third of parliament seats, more than in Europe and the United States are still struggling to give a favorable environment to complete too. Women, citizens of democratic countries, and workers are receiving greater autonomy and power throughout Africa because leaders have started to recognize the need for inclusive participation. With various laws, policies, and affirmative actions are meant for women's welfare.
The number of women holding political positions has increased significantly, with more women participating at local, national, and international levels. In Kenya for example, women hold positions of power from Members of County Assemblies, Members of Parliament, and Governors to Ministers.
According to the latest report by the World Bank, Rwanda leads globally with 64% female representation in parliament. Tanzania is at 37%, Sudan at 31%, South Sudan at 29%, Uganda at 34%, Kenya at 20%, Ethiopia at 39%, and Burundi at 36%. At the same time, women are increasingly holding ministerial positions and portfolios that have previously been the preserve of men including foreign affairs, defense, finance, and in some countries the vice president.
Rwanda has made great progress in promoting gender equality, largely driven by government commitment. This has put Rwanda in the second position after Sweden in the gender parity index. Gender equality is enshrined in the constitution and Rwanda was the first country in the world to have more than 50% female members of Parliament.
7. Urbanization
Sub-Saharan Africa is often regarded as the world's fastest-urbanizing region. Urban areas currently contain 472 million people, and this will double over the next 25 years.
The global share of African urban residents is projected to grow from 11.3 percent in 2010 to 20.2 percent by 2050. SSA’s 143 cities generate a combined $ 0.5 trillion, totaling 50 percent of the region’s gross domestic product (GDP). Urban centers play a critical role in fighting poverty and sustaining economic growth and are often considered the future of prosperity in the developing world.
In the next 30 years, urban dwellers will outweigh rural residents in Africa's history. This is already the case in some African countries; in Gabon, for example, urban residents represent 87 percent of the total population.
8. Regional integration
The East Africa Community is one of the leading regional economic organizations in sub-Saharan Africa and has made great strides in recent years toward integrating the economies of its member states. It has established a free trade area and a customs union and is working toward a common market. Communities and blocks reserve more power and bargaining strength in the world market.
On July 16, 2008, the United States and the East African Community signed a United States-EAC TIFA in Washington, DC. Trade ministers and other senior officials from the five EAC member states, which include Burundi, Kenya, Rwanda, Tanzania, and Uganda approved and witnessed the agreement.
The purpose of the TIFA is to strengthen the United States-East Africa Community trade and investment relationship, expand trade capabilities and establish a favorable environment for both East Africa Community firms and US firms.
It's estimated that in Africa with its highest population comprised mostly of young people, with rising literacy levels and resources, 2100, will be a region to reckon with.
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