Growth in Africa

Urbanization in Africa is comparable with India and China

Few­er wars, less civ­il strife, bet­ter con­trol of dis­ease and famine have made way for an eco­nom­ic rebound on the African con­ti­nent based on the resur­gence of a huge con­sumer mar­ket.

Africa has Chi­na-scale demo­graph­ics. Today, there are more than 500 mil­lion peo­ple of work­ing age on the con­ti­nent. By 2040, their num­ber is pro­ject­ed to exceed 1.1 bil­lion—larg­er than the work­force in Chi­na or India—lifting GDP growth.

[M]any of Africa’s 50-plus indi­vid­ual economies face seri­ous chal­lenges, includ­ing pover­ty, dis­ease, and high infant mor­tal­i­ty. Yet Africa’s col­lec­tive GDP, at $1.6 tril­lion in 2008, is now rough­ly equal to Brazil’s or Russia’s, and the con­ti­nent is among the world’s most rapid­ly grow­ing eco­nom­ic regions. This accel­er­a­tion is a sign of hard-earned progress and promise.” Extract from McK­in­sey Quar­ter­ly

Over the last 20 years, three-quar­ters of the continent’s increase in GDP per capi­ta came from an expand­ing work­force, the rest from high­er labor pro­duc­tiv­i­ty. An impor­tant fac­tor explain­ing this pro­duc­tiv­i­ty boom, accord­ing to McK­in­seys, has been anoth­er Chi­na-scale event

The rise of African cities.

In 1980, just 28 per­cent of Africans lived in cities. Today, 40 per­cent of the continent’s one bil­lion peo­ple do—a pro­por­tion rough­ly com­pa­ra­ble to China’s and larg­er than India’s (Exhib­it 2). By 2030, that share is pro­ject­ed to rise to 50 per­cent, and Africa’s top 18 cities will have a com­bined spend­ing pow­er of $1.3 tril­lion.

Australian merchandise exports to Africa

Australia’s trade with Africa? Not so hot.

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