World Bank Report Notes Rapid Growth of Ethiopia

The World Bank's "Africa Pulse" report, an analysis of the issues shaping Africa's economic prospects which comes out every two years, has underlined that despite disparity in growth rates in Africa "several countries within the "non-resource rich" county group have achieved sustained high growth rates for over a decade; Ethiopia, Mozambique and Rwanda have registered rapid economic growth for over a decade."

The report, which was launched on Tuesday (October 8) noted: "Economic growth in Sub-Saharan Africa (SSA) remains strong with growth forecasted to be 4.9% in 2013. Almost a third of countries in the region are growing at 6% and more, and African countries are now routinely among the fastest-growing countries in the world." The major drivers of growth are identified as rising private investment and remittances worth US$33 billion a year supporting household incomes.
The report believes GDP growth in Africa will continue to rise and reach 5.3% in 2014 and 5.5% in 2015. The report also indicated that strong government investments and higher production in the mineral resources, agriculture and service sectors are supporting economic growth. The report, however, noted that poverty and inequality still remains major challenges to Africa's growth and it underlined the need to sustain growth in order to continue the efforts to lift populations out of poverty.