Arab Today, arab today wef no free rides ahead for african economies
Last Updated : GMT 04:05:52
Arab Today, arab today
Arab Today, arab today

WEF: No free rides ahead for African economies

Arab Today, arab today

Arab Today, arab today WEF: No free rides ahead for African economies

World Economic Forum meeting on Africa in Cape Town
Cape Town - AFP

There are "no free rides" ahead for Africa as it seeks to maintain strong growth in the face of fierce global competition, business leaders told the regional World Economic Forum on Thursday.

Beneath the familiar tone of the "Africa rising" theme, delegates to the "African Davos" in Cape Town sounded a warning of challenges ahead for a continent whose growth has outstripped global GDP by nearly three percentage points over the past 15 years.

In a world experiencing lower growth, "every part of the globe is going to have to compete aggressively and vigorously if it is going to stake its place in the global economy," said Antony Jenkins, Barclays group chief executive and co-chair of the conference.

"There are no free rides anymore. Africa has benefited of course from the growth in particular in Asia and the commodity-based economies, but it is going to have to work hard going forward."

While most speakers at the conference said they remained optimistic about Africa's future, concerns focused on falling commodity prices, power shortages, political instability and corruption.

The conference, an offshoot of the annual star-studded WEF meeting in the Swiss ski resort of Davos, has brought together a record number of more than 1,250 delegates from government and business for its 25th anniversary.

But even under the African sunshine, a little of the chill from Davos appeared to creep into presentations.

Jenkins' warning was borne out by WEF's biennial African Competitiveness Report, published Thursday, which said Africa's prospects for long-term growth are under threat from weakness in the core conditions for competitive and productive economies.

"Sustainable growth must be built on a solid foundation, and this means strong institutions, good infrastructure and targeted investments in health, education and skills," said Caroline Galvan, WEF economist and co-author of the report.

Poor performances in these basic drivers of competitivenesses were partly responsible for data pointing to low and stagnating productivity across the agriculture, manufacturing and services sectors, the report says.

It also points out that the benefits of more than a decade of consistently high growth rates have not yet trickled down to significant parts of the population, with nearly one out of two Africans still living in extreme poverty.

- Wary investors -

South African mining magnate and fellow co-chair Patrice Motsepe, executive chairman of African Rainbow Minerals, said it was "critically important" that Africa recognises the need to remain globally competitive in attracting investment.

"Sometimes we see good things and it's almost like we have a right to expect the African economy will continue to do well. That is not correct."
With South African President Jacob Zuma and government contingents from around the continent attending the conference, Motsepe noted: "It's not what the politicians say about investment in Africa, it's what the investors say -- they make the decisions."

Zuma regularly says South Africa has "a good story to tell," but the continent's most sophisticated economy has not matched its neighbours, facing predicted growth of just two percent this year.

An "Africa attractiveness" survey by accounting firm Ernst and Young found that investor perceptions of Africa have reached their lowest level since 2011, with just 53 percent of respondents saying it had improved, down from 60 percent in 2014.

"Political risk factors, such as instability and corruption, remain the main barriers that discourage investment in Africa," the survey found.

Despite the challenges, Africa's overall economy is expected to expand by 4.5 percent this year, according to a report last week by the Organisation for Economic Co-operation and Development, the African Development Bank and the UN Development Programme.

 

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today wef no free rides ahead for african economies Arab Today, arab today wef no free rides ahead for african economies

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today wef no free rides ahead for african economies Arab Today, arab today wef no free rides ahead for african economies

 



Arab Today, arab today
Arab Today, arab today Youssra depended on colored foam

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today Egypt tourism revival steady but slow

GMT 16:04 2017 Tuesday ,19 September

Egypt tourism revival steady but slow
Arab Today, arab today Etiquette expert underlines importance of gifts

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts
Arab Today, arab today 600,000 children may flee to Bangladesh

GMT 06:49 2017 Monday ,18 September

600,000 children may flee to Bangladesh
Arab Today, arab today Equifax executives step down

GMT 16:16 2017 Saturday ,16 September

Equifax executives step down
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Ministry seeks to improve education

GMT 14:49 2017 Sunday ,17 September

Ministry seeks to improve education
Arab Today, arab today New Zealand opposition looks

GMT 10:35 2017 Thursday ,14 September

New Zealand opposition looks
Arab Today, arab today 5,000 'Dieselgate' deaths in Europe per year

GMT 19:18 2017 Monday ,18 September

5,000 'Dieselgate' deaths in Europe per year
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Five trends at the Frankfurt auto show

GMT 12:04 2017 Monday ,18 September

Five trends at the Frankfurt auto show
Arab Today, arab today Renault-Nissan to launch

GMT 10:44 2017 Saturday ,16 September

Renault-Nissan to launch
Arab Today, arab today Eman Al Assy receives three offers

GMT 06:31 2017 Saturday ,16 September

Eman Al Assy receives three offers
Arab Today, arab today 'Severe' Typhoon Doksuri pounds Vietnam

GMT 15:49 2017 Friday ,15 September

'Severe' Typhoon Doksuri pounds Vietnam

GMT 11:10 2017 Friday ,15 September

Fadl Shaker retreats from surrendering himself

GMT 05:05 2017 Tuesday ,12 September

Pregnant woman's suicide roils China

GMT 16:53 2017 Saturday ,02 September

Mai importance of gifts during Eid Al-Adha

GMT 10:25 2017 Thursday ,14 September

Greece fumbled oil spill response

GMT 10:46 2017 Saturday ,05 August

Nanis reveals simple ideas for home renovation

GMT 04:45 2017 Sunday ,17 September

France's hurricane-hit St Martin

GMT 21:57 2017 Sunday ,17 September

Russia and Iraq restore air travel

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 12:56 2017 Friday ,15 September

Apple's grand plan in Ireland held up by a forest

GMT 11:37 2017 Saturday ,12 August

Fashion designer reveals her new collection
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday