By

Madayese John Oluwashola

Student, Obafemi Awolowo University Ile-Ife, Nigeria

j.madayese@student.oauife.edu.ng

+234(0)8181576559

ABSTRACT

“Africa is rising! Africa is transitioning!” (Ellen Sirleaf, 2013). Although Africa is rising but

she is progressing at a diminishing rate. Certain barriers have been limiting her prosperity.

However, there is a way out to unchain Africa from this sort of economic bondage. This essay

tries to identify some of these barriers and how to unchain Africa’s economy through

economy freedom.

Keywords: Prosperity, Security, Africa, Corruption, Unemployment and Economy

INTRODUCTION

“There cannot be more of a conducive business environment than Africa”, said Winifred

Byanyima, Executive Director, Oxfam International, UK. Africa, the world’s second largest

continent after Asia, has 54 independent countries; 48 on the mainland and 6 island states and

its current estimated population of 800 million is expected to rise to 1.8 billion by the year

2050 (James Shikwati, 2006). Africa is endowed with numerous natural resources. The

copper belt in Katanga, the diamond mines in Sierra Leone, Angola and Botswana, crude oil

in Nigeria and other 20 oil producing countries in the continent, all these among others are

well known for their abundance and rich produce. Despite all these, there have been some

factors which have been plaguing the economy and have restricted Africa’s level of progress.

Some of these factors which are termed the barriers to prosperity are corruption, illiteracy,

security threats, poor infrastructure and poverty. These factors like cancer have eaten deep

into the economic freedom of Africa. However, there are some ways which can help to

unchain Africa’s economy in order for her to prosper.

BARRIERS TO PROSPERITY IN AFRICA

Firstly, massive unemployment in Africa today is undoubtedly linked to the high rates of

corruption in the system. In 2003, two African countries were rated as the most corrupt

countries in the world. Corruption has absolutely undermined Africa’s social, economic and

political institutions and erode the political will of the governments to create, manage and

sustain enabling job environments for their fast growing youth workforce.

Secondly, many Africans lack the rights skills to enable them become valuable. A continent

becomes valuable when the people in it begin to apply the right skills, but illiteracy is a

menace in Africa which has made Africans themselves to be obstructing their development.

People are unwilling to learn new things, the Africa Illiteracy Rate as obtained from the

Africa Literacy Facts set at 63% accounts for this situation.

Thirdly, Africa is facing significant security threats and experiencing high levels of violence

and human right abuses”, said panellists at the World Economic Forum in Africa. To make

the matter worst the way security agencies handle this situation is appalling. They tend to

foster curative measures rather than preventive measures, and this is not obtainable in some

of the developed countries like the US.

Furthermore, poor infrastructural development and finance is a big barrier. KPMG identified

infrastructural development as an incredibly expensive business. African banks have been

able to bridge this gap through project financing, but with reduced liquidity, credit challenges

and increasing regulation on capital requirements, these financial institutions have not been

able to participate at this level as it were in the past.

Lastly, lack of basic human needs faced by certain people in the African society has affected

their standard of living. In 2009, 22 of 24 nations identified as having “Low Human

Development” on the UN Human Development Index were in Sub-Saharan Africa. Most

Africans struggle to meet their physiological needs.

UNCHAINING AFIRCA’S ECONOMY THROUGH ECONOMIC FREEDOM

Economic freedom is the key to greater opportunity and an improved quality of life. It is the

freedom to choose how to produce, sell, and use your own resources, while respecting others’

rights to do the same. The Africa’s Transformation Strategy for 2013-2022 as researched by

the Africans Development Bank (AfDB) identified sustainable growth as that agent of

economic freedom which must bring jobs and opportunities for all. However, that will

happen if this sustainable growth leads to the structural change and economic transformation

that will enable the continent to join global value chains. It will do this by closing the

infrastructure gap, speeding up economic integration, dealing with conflicts old and new, and

developing human capital.

CONCLUSION

Africa is not poor; it only has this stunted growth problem due to the existence of these

numerous barriers as identified in this essay. If appropriate monetary and fiscal policies can

be implemented to foster sustainable development then these barriers can be removed to

release Africa to move forward.

REFERENCES

1. Africa Development Bank (AfBD) Strategy for 2013 – 2022 (2013)

2. James, Shikwati (2006): The Future of Africa in the World, Inter Region Economic

Network

3. https://en.m.wikipedia.org/wiki/Natural_resources_of_Africa

4. http://www.vanguardngr.com/2014/05/inclusive-job-creating-growth-strategies-drive-

africas-prosperity-wef/

5. https://www.linkedin.com/pulse/20140812123829-18978562-corruption-in-africa-the-

bane-of-massive-youth-unemployment?forceNoSplash=true

6. https://www.africanlibraryproject.org/our-african-libraries/africa-facts

7. http://www.economicfreedom.org/about/what-is-economic-freedom/