PUNCH NEWS
Nigeria, Egypt, and South Africa were responsible for 65 per cent of Africa’s Gross Domestic Product slowdown, McKinsey has disclosed.
The report, which was titled ‘Reimagining economic growth in Africa: Turning Diversity into Opportunity’, stated that Africa’s GDP by 2019 should have reached $3tn, not $2.6tn if the three countries had maintained their growth rate between 2000 and 2010.
It said, “Had Africa’s GDP continued to grow at the pace it achieved from 2000 to 2010, its GDP in 2019 would have been $3tn instead of $2.6tn. Fully 65 per cent of this difference can be explained by Africa’s ‘big three’ economies, with Egypt and Nigeria among the recent slowdowns and South Africa among the slow growers.”
According to the firm, Africa is home to the world’s youngest and fastest-growing population, yet its economic performance has lagged.
It noted that since 1990, the continent’s GDP per capita had only grown by one per cent annually, compared with India’s five per cent and China’s eight per cent.
It further stated that while 2000-2010 saw an acceleration in continental GDP, the growth retreated in 2010-2019…
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