Sub-Saharan Africa's Recent Growth Spurt : An Analysis of the Sources of Growth
Since the mid-1990s, Sub-Saharan Africa has experienced unprecedented levels of high economic growth. A key question follows: What accounts for the turnaround of the growth performance in the mid-1990s? The answer can provide insight into whether t...
| Main Authors: | , |
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| Format: | Policy Research Working Paper |
| Language: | English en_US |
| Published: |
World Bank, Washington, DC
2014
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/2014/05/19460685/sub-saharan-africas-recent-growth-spurt-analysis-sources-growth http://hdl.handle.net/10986/18350 |
| Summary: | Since the mid-1990s, Sub-Saharan Africa
has experienced unprecedented levels of high economic
growth. A key question follows: What accounts for the
turnaround of the growth performance in the mid-1990s? The
answer can provide insight into whether the recent growth
spurt in Sub-Saharan Africa is merely temporary or the
beginning of a sustainable takeoff. This paper examines the
sources of growth of 32 countries in Sub-Saharan Africa in a
growth accounting framework. The findings suggest that the
recent growth spurt is largely associated with an increase
in the share of working-age population, capital
accumulation, and total factor productivity, unlike previous
periods. Resources play a role by attracting capital
inflows, particularly from foreign direct investment and
shifting labor away from agriculture. However, the growth
prospects for Sub-Saharan Africa seem promising beyond
resources, with steady progress in decreased fertility,
increased foreign direct investment, political stability,
and structural transformation. |
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