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Sub-Saharan Africa's recent growth spurt : an analysis of the sources of growth

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  • Cho, Yoonyoung
  • Tien, Bienvenue N.

Abstract

Since the mid-1990s, Sub-Saharan Africa has experienced unprecedented levels of high economic growth. A key question follows: What accounts for the turnaround of the growth performance in the mid-1990s? The answer can provide insight into whether the recent growth spurt in Sub-Saharan Africa is merely temporary or the beginning of a sustainable takeoff. This paper examines the sources of growth of 32 countries in Sub-Saharan Africa in a growth accounting framework. The findings suggest that the recent growth spurt is largely associated with an increase in the share of working-age population, capital accumulation, and total factor productivity, unlike previous periods. Resources play a role by attracting capital inflows, particularly from foreign direct investment and shifting labor away from agriculture. However, the growth prospects for Sub-Saharan Africa seem promising beyond resources, with steady progress in decreased fertility, increased foreign direct investment, political stability, and structural transformation.

Suggested Citation

  • Cho, Yoonyoung & Tien, Bienvenue N., 2014. "Sub-Saharan Africa's recent growth spurt : an analysis of the sources of growth," Policy Research Working Paper Series 6862, The World Bank.
    • Handle: RePEc:wbk:wbrwps:6862
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    1. Le miracle de la croissance africaine
      by ? in D'un champ l'autre on 2014-05-14 03:56:00

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    3. Lucas Njoroge, 2021. "Capital Inflows and Economic Growth in Selected COMESA Member Countries," Journal of Finance and Investment Analysis, SCIENPRESS Ltd, vol. 10(4), pages 1-3.

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    Keywords

    Economic Growth; Achieving Shared Growth; Economic Theory&Research; Emerging Markets; Population Policies;
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