By CHATULA KANGALI –
MOST African countries that today are considered low-income will transition to middle-income within 15 years, and almost all of them will become middle-income countries by 2050.
This is according to the Annual Trends and Outlook Report (ATOR) released by the International Food Policy Research Institute (IFPRI).
The report says the current and future trends of Africa are likely to shape the course of 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,” states the report.
The report indicates that policymakers need to continue to improve policies, improve institutions and increase investments to sustain and accelerate the pace of growth.
Africa south of the Sahara is projected to experience more sustained economic growth in GDP per capita between now and 2030 and 2050.
It further indicates that 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 are more volatile food and energy prices.
Others are rapid urbanisation, increasing incomes, and the rise of a middle class, rapid increase in a young population entering the labourforce; greater climate variability and agriculture, which is the largest source of employment.