Short takes -- 1Post-Ebola Sierra Leone, Nigerian devaluation, Africa’s economic growth, the African Peer Review Mechanism
Sierra Leone’s economy growing at 4.3 percent this year because of a pick-up in mining and other sectors following the end of the Ebola epidemic. Nigeria is under pressure to devalue its currency in order to aid growth and investment in Africa’s largest economy. After decades of underperformance, Africa had economic growth rates of 5.8 percent from 2004 to 2014, democracy is now the norm rather than the exception, and corruption is being tackled. Moves are afoot to inject new life into the African Peer Review Mechanism, founded in 2003, under which African states agreed to monitor good governance among themselves.
Post-Ebola Sierra Leone’s economy grows
Sierra Leone’s economy is expected to grow by 4.3 percent this year because of a pick-up in mining and other sectors following the end of the Ebola epidemic, the International Monetary Fund said Tuesday. The IMF says that the Ebola epidemic has battered Sierra Leone’s economy, which contracted by 21 percent last year. Ebola has killed some 11,300 people in Sierra Leone and its neighbors Guinea and Liberia since late 2013.”The improvement (in Sierra Leone) reflects the pick-up in economic activities following the end of Ebola and the resumption of iron ore mining early this year,” said John Wakeman-Linn, a senior IMF official.
Pressure mounts on Nigeria to devalue its currency
Nigeria is under pressure to devalue its currency in order to aid growth and investment in Africa’s largest economy. According to reports, the United States intends to press the West African nation to lower the naira in order to create more flexibility in its foreign exchange. The two countries are set to hold talks in Washington on Wednesday that will primarily focus on the West African country’s economy, security and development.
New trade deals challenge Africa to step on to the global stage
After decades of underperformance, Africa had economic growth rates of 5.8 percent from 2004 to 2014, democracy is now the norm rather than the exception, and corruption is being tackled as the rule-of-law has been strengthened in several countries. By 2030 sub-Saharan Africa could be adding more working-age people to the global labor force than the rest of the world combined. If jobs can be created, then this demographic transition alone could raise GDP per capita by a further 50 percentby 2050. Still, many challenges threaten to reverse this progress.
Can peer review unlock Africa’s potential?
Moves are afoot to inject new life into the African Peer Review Mechanism, founded in 2003, under which African states agreed to monitor good governance among themselves. Could this help solve Africa’s problems? Thirty-five African states have in the meantime joined the review mechanism, half of whom have subjected themselves to the complicated procedure of letting their economic, political and corporate governance be reviewed by other member states. Yet recently the initiative appears to have run out of steam.
