Economic Development in Africa report 2014

Catalysing Investment for Transformative Growth in Africa

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The Economic Development in Africa Report 2014 addresses the current state of development in Africa. Over the past decade, African countries have had relatively good economic growth performance. But average investment rates on the continent remain low relative to what is considered necessary to achieve national development goals and relative to the average rate for developing countries. These facts suggest that Africa’s recent growth may be fragile and that it is unlikely to be sustained in the medium to long term if current trends continue. The key question, then, is how can African Governments catalyse investment for sustained and transformative growth? This report addresses that question

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Investment, growth and transformation in Africa: some stylized fact

This chapter provides an analysis of the trends, patterns, and other characteristics of investment in Africa. It also highlights differences in the characteristics of investment across countries and, where possible, discusses how they might explain observed economic performance between high- and low-growth countries on the continent. The chapter also presents more detailed information on the nature of Africa’s recent growth and its implications for economic transformation on the continent. The aim is to establish some stylized facts on investment, growth and transformation that will form the basis for formulating policies to catalyse investment for transformative growth on the continent. The main facts emanating from the analyses are described in the following paragraphs.

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