National
IMF boss hails 'remarkable' African growthPublish Date: May 29, 2014
IMF boss hails 'remarkable' African growth
  • mail
  • img
IMF managing director Christine Lagarde: "There is still a long way ahead to meet the aspirations of the continent". PHOTO/AFP
newvision

MAPUTO - IMF managing director Christine Lagarde on Wednesday hailed the leaps made by African economies in the last decade as "nothing short of remarkable."

On the eve of a major conference in Maputo that will bring together policymakers from across the region, Lagarde said it was time to kick start the "next phase of its economic development."

The sub-Saharan Africa region is expected to grow at more than five percent this year according to the IMF's latest projections, after similar growth last year.

But there was a note of caution amid the breakneck economic expansion.

"There is still a long way ahead to meet the aspirations of the continent: extreme poverty is still too prevalent and there are new challenges posed by the global economy," she said.

As policymakers take stock of Africa's strong economic performance, many are also looking at the risks that lie ahead.

The region could face lower demand for its exports should growth slow in increasingly important emerging markets like Brazil, India and, in particular, China.

Beijing is a top buyer of African resources from copper to oil and gas.

In rapidly growing cities like Maputo the Chinese presence is manifest, from a Chinese-built airport to the country's businessmen chattering on cell phones as they walk from meeting to meeting.

But poverty perhaps remains the continent's biggest challenge.

Ahead of the meeting, rights groups questioned the current optimistic view of "Africa's rise."

"Africa is not rising for ordinary citizens," said Oxfam International's Executive Director Winnie Byanyima, who said she intended raising issues of growing inequality at the IMF conference.

She added that tax dodging multi-nationals were draining revenue from the continent.

"We have six of the top 10 fastest growing economies in the world, and the fastest rising number of dollar millionaires of any other region in the world.

"Yet Sub-Saharan Africa is home to six out of the 10 most unequal countries in the world. The 50 richest people in Africa own about 15 percent of Africa's GDP," Byanyima added.

The conference's host nation Mozambique, provides a stark example.

According to Byanyima, it is still one of the poorest countries in the world despite recording galloping economic growth of over seven percent a year over the past decade.

Two decades after the end of a devastating civil war the country is experiencing vast foreign capital inflows on the back of coal and natural gas discoveries.

AFP


Also related to this story

African growth miraculous, says Museveni

Taking Africa’s growth seriously

Museveni speaks on Africa’s growth challenges

Turkey sets eyes on Africa, inspires Ugandan growth

Uganda tops Africa in tourism growth

The statements, comments, or opinions expressed through the use of New Vision Online are those of their respective authors, who are solely responsible for them, and do not necessarily represent the views held by the staff and management of New Vision Online.

New Vision Online reserves the right to moderate, publish or delete a post without warning or consultation with the author.Find out why we moderate comments. For any questions please contact digital@newvision.co.ug

  • mail
  • img
blog comments powered by Disqus
Also In This Section
Gang rape victim testifies in court
The 23-year old woman at the center of a sodomy case has narrated to court how she was sexually abused by four Pakistani businessmen...
2000 policemen deployed for Kabaka security
Over 2000 policemen have been deployed in Sembabule district to reinforce security ahead of tomorrow's (Wednesday) fete to commemorate Kabaka Ronald Muwenda Mutebi's of Buganda 21 coronation anniversary...
Two grade one magistrates commissioned
Principal Judge Yorokamu Bamwine has advised magistrates in the country to avoid being “terrorists” to the public when doing their judicial duties in their courts....
The beauty and the beast at Makerere University
Makerere University is one of the few remaining areas of Kampala that is still left with old indigenous trees....
Minister Kutesa meets Indian Premier Modi
The foreign affairs minister Sam Kutesa is leading a delegation on cabinet ministers and government officials on a five-day official trade mission to India....
Kyambogo admits 12,000 private students
KYAMBOGO University has admitted over 12,000 students under the private sponsorship scheme. This is on top of the 900 students the university admitted under the government sponsorship...
Should voters be given poer to recall their MPs?
Yes
No
Can't Say
follow us
subscribe to our news letter