Development and Globalization: - Unctad

8
1.1 Selected groups of developing countries
OVERVIEW DEFINITIONS
Africa’s economic performance in the past two decades
has been marked by slow and erratic growth. On average,
real per capita GDP growth was negative during the 1990s,
despite a marginal increase for West and North Africa. In
sub-Saharan Africa, per-capita income fell to below $300
during the mid-1990s and thereafter recovered only
slightly.
The continent’s share in world merchandise trade has
declined steadily since 1980, reaching around 2% in 2002.
Paradoxically, despite its heavy commodity dependence,
Africa has even lost market share for its non-fuel
commodity exports. Intra-regional trade, meanwhile, has
grown in value in some regional economic communities,
although it has not surpassed 13% of the total exports of
any community.
High commodity price volatility, along with a decline in
real prices and associated terms of trade losses, has
exacted a heavy toll in terms of low incomes and
investment and high levels of indebtedness and poverty.
From the late 1980s to mid-1999, the ratio of external
debt stock to exports deteriorated significantly, reaching
more than 300% before dipping to below 200% in 2000.
These figures are far above the ratios for the 1970s. Official
development assistance flows to the continent have
declined steadily since the mid-1990s, while foreign direct
investment inflows have remained minuscule and are
concentrated in a few countries’ extractive industries.
Increased inflows of external resources – according to
UNCTAD estimates, on the order of some 10% of GDP
yearly for a decade – are needed to close the savingsinvestment
gap. Only then can the continent diversify its
economic base, attain and sustain high levels of growth,
reduce aid dependence in the long term, and improve its
chances of meeting the Millennium Development Goal of
halving poverty by 2015.
To learn more
The sub-regions of Africa are as follows:
● North Africa: Algeria, Egypt, Libyan Arab Jamahiriya,
Morocco, Sudan and Tunisia.
● Sub-Saharan Africa:
- West Africa: Benin, Burkina Faso, Cape Verde,
Côte d’Ivoire, Gambia, Ghana, Guinea, Guinea-Bissau,
Liberia, Mali, Mauritania, Niger, Nigeria, Senegal,
Sierra Leone and Togo.
- Central Africa: Burundi, Cameroon, Central African
Republic, Chad, Congo, Democratic Republic of the
Congo, Equatorial Guinea, Gabon, Rwanda and Sao
Tome and Principe.
- East and Southern Africa: Angola, Botswana, Comoros,
Djibouti, Eritrea, Ethiopia, Kenya, Lesotho, Madagascar,
Malawi, Mauritius, Mozambique, Namibia,
Reunion, Seychelles, Somalia, South Africa, Swaziland,
Uganda, United Republic of Tanzania, Zambia and
Zimbabwe.
DATA SOURCES
[1] UNCTAD Handbook of Statistics 2003, tables 1.1, 1.4, 2.1, 6.5, 6.6, 7.1, 7.2 and
8.1.
Studies of Africa’s economic performance have appeared in the following publications (available via the UNCTAD
website): Capital Flows and Growth in Africa; Economic Development in Africa: Performance, Prospects and Policies;
Economic Development in Africa – From Adjustment to Poverty Reduction: What Is New; and Economic Development in
Africa: Trade Performance and Commodity Dependence. More detailed information can be obtained from the Office of
the Special Coordinator for Africa, UNCTAD.