Africa policymaking improving

CAPE TOWN – Africa is becoming a more attractive investment destination as governments pursue economic and political reforms that are firing up their economies, business executives and bankers say.

“What we are seeing is that economies that are not dependent on oil or minerals are growing, which is an indication that African growth is not being determined alone by minerals, commodities and such like,” said Obiageli Katryn Ezekwesili, vice-president of the World Bank in Africa. “Africa is beginning to do certain things right,” Ezekwesili said.”The kind of sustained growth we’re seeing, where at least 36 per cent of the population on the continent is living in economies that are growing around five per cent …is an indication that the right policy choices are growing,” she said at the opening of the World Economic Forum on Africa on Wednesday.Africa’s 53 economies grew at an average rate of 4,9 per cent since the turn of the century, according to the International Monetary Fund.This year the U.N.expects them to expand at six per cent, outpacing the global rate of 3,4 per cent.Nevertheless, Africa has only managed to attract a fraction of the estimated US$30 billion it needs each year to improve infrastructure alone.Economists at the WEF forum noted huge constraints to Africa’s advancement including woeful transport and electricity networks, but said there were tentative signs of a shift in the right direction.”In relation to the investment climate, it’s clear there has been significant reform taken by African nations and, specifically, Tanzania and Ghana rank among the top 10 reformers worldwide,” said Anglo American chief executive Cynthia Carroll.Ghana and Tanzania last year ranked as the ninth and 10th biggest business reformers out of 175 countries tracked by a World Bank survey.Ghana has introduced steps like cutting business registration costs while Tanzania, among other measures, halved the time it took to clear customs.It was the first time African countries have reached the top 10 of the Bank’s index.Nampa-Reuters”Africa is beginning to do certain things right,” Ezekwesili said.”The kind of sustained growth we’re seeing, where at least 36 per cent of the population on the continent is living in economies that are growing around five per cent …is an indication that the right policy choices are growing,” she said at the opening of the World Economic Forum on Africa on Wednesday.Africa’s 53 economies grew at an average rate of 4,9 per cent since the turn of the century, according to the International Monetary Fund.This year the U.N.expects them to expand at six per cent, outpacing the global rate of 3,4 per cent.Nevertheless, Africa has only managed to attract a fraction of the estimated US$30 billion it needs each year to improve infrastructure alone.Economists at the WEF forum noted huge constraints to Africa’s advancement including woeful transport and electricity networks, but said there were tentative signs of a shift in the right direction.”In relation to the investment climate, it’s clear there has been significant reform taken by African nations and, specifically, Tanzania and Ghana rank among the top 10 reformers worldwide,” said Anglo American chief executive Cynthia Carroll.Ghana and Tanzania last year ranked as the ninth and 10th biggest business reformers out of 175 countries tracked by a World Bank survey.Ghana has introduced steps like cutting business registration costs while Tanzania, among other measures, halved the time it took to clear customs.It was the first time African countries have reached the top 10 of the Bank’s index.Nampa-Reuters