Despite global financial crisis, Africa’s Pulse, a World Bank semi-annual report on issues shaping Africa’s economic prospects records a steady growth for Sub-sahara Africa.
It estimates a 5.2% this year from last year’s 4.9%, a growth above pre-crisis average of 5%.
The reports also indicated that GDP growth from 5.2% in 2012 to 5.6% in 2013 a bit shy from IMF’s prediction of 5.4% growth this year and 5.3% in 2013. World growth will be 3.5%, IMF predicts.
Also, capital flow into the region increased from $8billion in 2011 to $48.2billion in 2012; thanks to the 83% increase of the Foreign Direct Investment (FDI).
The recent FDI increase is spurred by the growing global competition for natural resources, higher commodity prices, robust economic growth and a fast rising middle class.
”African economies continue to show resillience and some fastest growing economies in the world are now in Africa. The urgent agenda remains sustaining the micro-economic reforms while accelerating the structural reforms that will deliver the right quality of growth that will create jobs and raise income in the continent,” World Bank Vice President for Africa, Obiageli Ezekwesili said.
The region is increasingly seen as an investment destination.