A new generation of competent African entrepreneurs and a remarkable shift in economic management by African governments. Those are two of the reasons why Africa has a good chance at sustaining the growth miracle of recent years, according to Fantu Cheru, research director at the Nordic Africa Institute.

Increased global demand for Africa’s energy and natural resources has permitted many countries to start diversifying their economies and invest in the strategic infrastructure necessary for raising productivity and growth. There has been a significant shift in economic management by African governments, an indication that state capacity to manage complex issues is improving.

– There is a willingness by governments to explore new opportunities, prudently manage public finances, minimize economic risks and engage with domestic economic actors more constructively on the way forward. This is very encouraging and part of the reason Africa has done well in recent years, says Fantu Cheru.

Moreover, rising commodity prices, increased investment in vital infrastructure by China and India and access to information by ordinary citizens thanks to the mobile phone revolution, have opened up new opportunities for rural producers to increase production.

This domestic dynamism has in turn contributed to significant growth in the number of Africans who view themselves as middle class. With increased opportunities for employment and rising income, large numbers of Africans have become the new consumers, further spurring on the domestic economy.

Apart from the policy dimension, one of the most significant reasons for Africa’s renewal has been the emergence of an internet- and mobile phone-savvy citizenry, empowered by increased access to information about their own country and the world beyond. The flag bearers of this economic renaissance are to be found in the private sector and the informal economy.

Average incomes in sub-Saharan Africa have grown steadily since 2000. More than one-third of Africans live in countries that had grown by more than 4 per cent annually for 10 years, and 18 countries are classified by the World Bank as ‘diversified and sustained growers’.

A full-length article on Africa’s economic miracle is featured in the coming Annual Report from the Nordic Africa Institute entitled “The Rise of Africa – Miracle or Mirage?”. The report will be out 6 April.

In the Annual Report the scholars of the Nordic Africa Institute write about their research in an accessible and intriguing way. Last year’s report “Africa in Uncertain Times” was awarded for its high quality and engaging articles.

For more information contact Professor Fantu Cheru at +46 18 56 22 27, fantu.cheru@nai.uu.se, or Mattias Sköld, press officer, at +46 18 56 22 47.