Africa 'sees 6% economic growth'
An
appetite for oil has driven interest in Africa business
found at http://news.bbc.co.uk
Monday, 14 May 2007
African economic growth is set to reach nearly 6% in 2007, the highest in 20
years, according to the African Development Bank (AfDB).
Overseas demand from China and other rapidly-growing nations for natural
resources, including oil, has been a cause for growth, the bank said.
The data was issued at the bank's annual meeting, being hosted by China.
The region's economy grew by 5.5% in 2006, with South Africa, Nigeria and
Algeria among the strongest nations.
Oil-rich Nigeria saw its GDP grow by 5.3% last year and is set to expand 7%
this year.
In contrast, Zimbabwe, which has been beset with soaring inflation and
slowing agricultural output, shrank by some 5% during the same period.
Mauritius and Madagascar, meanwhile, have suffered in the wake of Asian
textile producers.
Even as growth is set to increase, the bank's chief economist, Louis
Kasekende, warned that the projected figures would not be adequate for Africa to
hit its goal of halving the number of people living in extreme poverty within
eight years.
To attain that goal, economic growth would have to be some 7-8% annually.
Asian growth
The AfDB event - taking place in Shanghai - comes as China has shown
increasing interest in investing in Africa.
The Asian nation's appetite for raw materials has boomed as part of its
breakneck economic growth.
China's Premier Wen Jiabao is expected to address the event, which is set to
run to 17 May and includes 53 African states.
Topics to be discussed include education, telecommunications and
infrastructure schemes.
