Rethinking Growth: Towards a New Development Paradigm

This chapter critically re-examines the dominant growth paradigm, highlighting the limitations of traditional development strategies centred on industrialisation, export-led models, and structural adjustment programmes. While such approaches have delivered Gross Domestic Product growth in some parts of sub-Saharan Africa and Asia, they have failed to resolve persistent challenges of inequality, poverty, ecological degradation, and resource depletion. The chapter argues for a rethinking of growth beyond Gross Domestic Product, drawing on three alternative frameworks—Degrowth, Doughnut Economics, and the Circular Economy—as pathways to more inclusive and sustainable development. Degrowth challenges the orthodoxy of continuous expansion, promoting localised economies, resource conservation, and social well-being, as illustrated by Malawi’s agroecology initiatives and Bhutan’s Gross National Happiness model. Doughnut Economics provides a balance between social foundations and ecological ceilings, exemplified by Cape Town’s urban water resilience strategies and Indonesia’s Blue Economy policies. The Circular Economy emphasises resource efficiency and waste reduction, with Rwanda’s plastic ban and India’s e-waste management demonstrating how sustainability can drive employment and innovation. These models reveal both opportunities and trade-offs. Degrowth addresses ecological limits but risks slowing industrialisation in low-income economies. Doughnut Economics offers holistic policy guidance but faces political resistance. The Circular Economy creates green jobs but requires heavy investment in infrastructure and behavioural change. By synthesising lessons from case studies, the chapter develops policy recommendations focused on shifting development metrics beyond Gross Domestic Product, promoting localised strategies, expanding circular initiatives, mobilising green finance, and strengthening regional collaboration in sub-Saharan Africa and Asia. Ultimately, the chapter argues that rethinking growth requires systemic transformation—an “economic paradigm shift” that integrates equity, resilience, and environmental stewardship into development strategies. For sub-Saharan Africa and Asia, this means moving from extractive, growth-dependent models towards more inclusive and sustainable pathways that safeguard both people and the planet.