Look Who's Growing Fastest

One of the world's poorest regions is coming up faster than ever before

By SIMON ROBINSON/Nairobi

Posted Sunday, Dec. 8, 2002; 2.02 p.m. GMT
Expect strong growth from an unexpected corner in 2003: Africa. According to the United Nations, Africa grew faster than any other region in 2001 and boomed this year as well. The International Monetary Fund expects solid growth again in 2003 — 4.2% — as commodity prices — on such African staples as gold, cocoa, coal and oil — increase and exporters get a boost from a raft of trade-related initiatives. Both the U.S. and Europe have opened up trade to thousands of products from Africa. Clothing manufacturers in countries like South Africa, Lesotho and Kenya are expanding to meet overseas demand. Asian manufacturers seeking cheap labor are starting to move in.

But the real test of the West's commitment to helping Africa help itself will come as trade ministers thrash out a new agreement on agriculture over the next two years. A breakthrough looks doubtful, mostly because rich-world farmers are fighting to stay protected. Opening up Western markets to African produce would jumpstart many of the continent's poorest economies. In 2003, for example, the U.S. and southern African states will start talking about a free trade zone that will extend the region's access to the world's biggest market.

Of course Africa must still do its part. Led by South Africa's Thabo Mbeki, the New Economic Partnership for African Development (NEPAD) aims to lure $64 billion in annual investment to the forgotten continent by tackling bad governance, ending conflicts, fixing infrastructure and making the continent more business friendly. So far NEPAD is more words than action but if Mbeki can make it work, even in a few countries, investors — and Africa — should benefit.

BACK TO TOP

<< CEO Revival | Going Private >>

An African New Deal? [Jun. 10, 2002] South Africa's Thabo Mbeki is trying to sell a plan to encourage both democracy and investment. It could be Africa's last hope for joining the global economy

Get the Magazine — Try 4 Issues Free!

	S O C I E T Y Islam In Europe An inside look at how Europe's Muslims adapt to secular society — and vice-versa T H E A T E R Boney's Part A stage extravaganza, a TV mini-series and a clutch of films put Napoleon in the spotlight again E U R O P E Outta Here A faltering economy and Schröder's policies have companies fleeing Germany P O L I T I C S Wages Of Spin Cherie Blair didn't know she was doing business with a con man, but it's Tony and New Labour who may pay the price