Africa's Economic Advantages and Disadvantages

In recent years, the growth rate of Africa's GDP has remained at about 5%, which is next only to Asia’s and far higher than Europe’s. The World Bank estimates Africa's GDP by 2050 is expected to increase 15-fold. According to the UN's "2015 World Economic Situation and Prospects," Africa's economic growth is expected to reach 4.6% this year and 4.9% next year. French Havas group’s surveys show that all foreign investors in Africa are optimistic for short-term and medium-term economic growth prospects in Africa.

Some economists believe that on the African continent there is a huge demand for investment in infrastructure, it is an important condition for economic take-off in Africa. Former French Foreign Minister Hubert Vedrine and another economist, Lionel Zinsou drafted a report for the French Ministry of Economy, showing that in the next few years, the investment Africa needs in this area will reach $118 billion. African Development Bank President Donald Kaberuka believes that infrastructure construction has become a symbol of Africa's development. In the past 10 years, the African Development Bank invested $28 billion for infrastructure development in Africa.

Secondly, the African continent trade liberalization process is moving forward, in the future the level of trade between African countries is excepted to be greatly enhanced. On June 10 this year, the COMESA, the Southern African Development Community and the the East African Community successfully signed a free trade agreement, the FTA covers 26 countries, 625 million people, some countries’ total GDP reached 1.2 trillion US dollars, accounting for 58% of Africa's gross domestic product. 5 days later, the African unio member States launched the African continent free trade agreement negotiations, aimed at establishing a super FTA covering all of Africa's population, economic output reaching $2 trillion in 2017.

In addition, the demographic dividend will gradually release, which is also an important factor in Africa's promising economic outlook. African Development Bank released figures showing that Africa's population will double by 2050, the total number will reach two billion, then those middle-class who have a certain payment ability will reach more than 1.4 billion.

Of course, to make a better vision into reality, Africa also needs to withstand the extreme tests. After all, about 600 million Africans (equivalent to two-thirds of Africa's total population) still have no access to electricity; 60% among urban residents live in slums; 36 per cent of people have no access to tap water qualified. Although rich in land and water, but Africa has low food production , in 2013 83% of African food are met by imports, Africa is facing a severe food crisis.

As described in an article written by Alfred Minho then published at the French "Tribune" website, today Africa is like a half full bottle of water: In the "Afro-pessimists" eyes, it seems an empty bottle; in the "Africa optimists' eyes, it is a bottle full of real opportunities. From now, policy-makers of the world's major countries have joined the "African optimists' camp, they actively participate in African economic affairs, which will contribute to the early realization of Africa's economic take-off. (www.chinainout.com)