/ 29 May 2003

Slowdown in Africa’s economy

Africa’s economy grew at 3,1% in 203 compared to 4,3% in 2001, largely due to the sluggish recovery of the global economy and the crises on the continent from conflict, drought and the HIV/Aids pandemic, a leading United Nations economist on Africa said on Thursday.

The GDP growth last year was barely above the average population growth rate and translates to less than 1% growth in per capita income, compared to about 2% in 2001, the Executive Secretary of the UN Economic Commission for Africa, Amoako, said.

”The slowdown of GDP growth in 2002 was due largely to the sluggish recovery of the global economy, decline in oil prices, drought conditions in certain parts of north, east and southern Africa and civil conflicts,” he explained.

The ECA chief made the remarks at the start of a two-day meeting of experts from ECA member states in preparation for Sunday’s session of an African Ministers of Finance and Economic Development meeting on mutual accountability.

The meeting coincides with the annual session of the African Development Bank (ADB) from June 3 to 5 in Addis Ababa.

He said that as a result of the slow growth in Africa in 2002, little progress was made in reducing poverty with most countries still preparing their respective Poverty Reduction Strategic Papers (PRSP).

”The pace of implementation will be largely determined by consistent high-level leadership support as well as the availability of human and financial resources in these countries,” he said.

The experts will also focus on the micro-economic impact of HIV/Aids in Africa and the future role of the IMF on the continent. – Sapa-DPA