Nigeria’ll be middle-income country by 2030’

: BAYO AKINLOYE 

   

 

 

Nigeria map

Nigeria and some other African countries considered to be low income will transition to middle income within 15 years, says the latest Annual Trends and Outlook Report.

The publication added that only one African country would remain low income by 2050.

The ATOR, released by the Regional Strategic Analysis and Knowledge Support System, a programme facilitated by the International Food Policy Research Institute, said it examined “the current and future trends that are likely to shape the trajectory” of Nigerian and other African economies.

“As the second-fastest growing region in the world, Africa has enjoyed robust economic growth in recent years. However, that progress has not been enough to make up for the lost decades of economic stagnation that preceded the recent recovery. And secondly, the benefits of this growth have not trickled down to the wider population. Today, too many people experience poverty and food scarcity,” it stated.

It further noted that while the recent growth performance was encouraging, Nigeria and other African countries still faced major challenges in terms of reducing poverty and eliminating hunger and malnutrition.

According to the IFPRI Director for Africa, Ousmane Badiane, the report shows that policymakers need to continue to refine policies, improve institutions and increase investments to sustain and accelerate the pace of growth.

“As well as its inclusivity or broadness -and the outcomes of their decisions can be the difference between persistent poverty and future shared prosperity for many of Africa’s most vulnerable populations,” Badiane said.

The report disclosed that Africa south of the Sahara was projected to experience more sustained economic growth in Gross Domestic Product per capita between now and 2030 and 2050.

“By 2050, climate change will result in a 25 per cent increase in cereal prices compared with a no-climate change scenario. Trends that are likely to influence the trajectory of African economies include more volatile food and energy prices; rapid urbanisation, increasing incomes, and the rise of a middle class; rapid increase in a young population entering the labour force; greater climate variability; and agriculture as the largest source of employment.

“African diets are changing in response to rapid urbanisation and the rise of a middle class. Fifty per cent of Africa’s population is projected to live in urban areas by 2020. Processed food now represents a significant share of food purchases, even for the rural poor. Industrialisation in Africa has been weak, and has contributed little to Africa’s recent growth. A new industrial strategy needs to focus on investing in infrastructure, especially energy, transport, and water supply,” the ATOR said.

source:PUNCH.