By Daan Marks, advisor to the Dutch Executive Director at the World Bank
Traveling always makes me reflect on my life and
surroundings. When I travel to Belgium (which is not too often), I realize that the Dutch transportation system is actually pretty good. Now that I live in the US, I have come to realize how efficient the Dutch public sector actually is. Last September I traveled to Senegal and Ghana and it made me realize how privileged I am to have a toilet. It is just a different dimension. The face of extreme poverty, and inequality, is obviously confronting. It is also frustrating to see that mismanagement and corruption put a halt on much needed social and economic development.
The economic perspective
Recent GDP figures show that the economies of Sub-Saharan Africa are generally on the rise (or ‘Africa rising’, as some have dubbed it). I think this picture is somewhat misleading. Given the very low starting point and rampant population growth, African countries need these high growth rates to raise living standards above subsistence levels, while absorbing the growing labor force. My guess is that GDP per capita growth is much less impressive, and that figures on GDP per worker do not show significant productivity growth. Simultaneously, the challenges remain immense: poverty figures are still shockingly high in many countries, the outbreak of Ebola shows the lack of capacity in the poorest countries, conflict and fragility continue to hamper economic development in Mali, Central African Republic and South Sudan and uneven growth and therefore rising inequality are leading to increased social instability.
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