No Longer a Sleeping Giant: Africa’s Rapid Economic Rise
Africa, with a population expected to roughly double by mid-century, has become recognized as the world’s fastest growing continent. But the less-told story is of Africa’s economic rise. In the last decade Africa’s overall growth rates have quietly approached those of Asia, and according to projections by the IMF, on average Africa will have the world’s fastest growing economy of any continent over the next five years.
Seven of the world’s 10 fastest-growing economies are African. The continent is famously resource rich, which has surely helped, but some recent studies suggest that the biggest drivers are far less customary for Africa, and far more encouraging for its future: wholesale and retail commerce, transportation, telecommunications, and manufacturing.
The African Development Bank has projected that by 2030, much of Africa will attain lower-middle -and middle-class majorities, and that consumer spending will explode from $680 billion in 2008 to $2.2 trillion. According to McKinsey and Co., Africa already has more middle class consumers than India, which has a larger population.