African economies should continue strong growth in 2008
(dpa) - African economies are set to experience further strong growth of 6.2 per cent in 2008, according to a UN report published Wednesday - higher than the 5.8 per cent seen in 2007.
The trend of previous years would continue though growth would be patchy. The risk of a sharper US slowdown and fall in global commodity demand and prices could pose a major challenge stated the annual Economic Report on Africa.
Other potential problems included high oil prices for importers said the report by the UN Economic Commission for Africa and the African Union.
Although 30 countries recorded higher economic growth rates in 2007 compared with 2006, performance varied greatly across countries and regions.
Three countries, Somalia, Zimbabwe and Chad, registered a shrinking economy.
Ten countries recorded economic growth of over seven per cent including Angola ( 21 per cent), followed by Sudan (11), Equatorial Guinea (10), and Liberia and Ethiopia (ever 9.5).
Continued political instability in some countries, inefficient public infrastructure and unreliable energy supply at national levels were all constraints to future development, said the report.
The report also said economic growth recovery in Africa had not translated into "meaningful social development" and had not benefited vulnerable groups.
Commission head Cornelius Mwalwanda said growth in 2007 "was not sufficient to lead to substantial employment generation and poverty reduction."