Projections of demand for many hard minerals show similar growth. (MGI research finds that internal services account for virtually all net job creation in high-income countries and for 85 percent of net new jobs in middle-income ones.) Hello constructafrica.com owner, Your posts are always well received by the community. They are among the continents richest economies and have the least volatile GDP growth. Urbanization has a key role in the economys rise, too. But in many African countries, urbanization is boosting productivity (which rises as workers move from agricultural work into urban jobs), demand, and investment. The intensity of conflicts in recent years remains lower than that observed in the 1990s. As these countries diversified, their annual real GDP growth accelerated from 3.6 percent a year in the 1990s to 5.5 percent after 2000. 6 Leading Factors for Africa's Economic Growth | ConstructAfrica In the East Africa region, trade and investment barriers hinder economic integration and rapid population growth, including a growing youth population, complicate efforts to reduce poverty. Libyas conflict and political instability have also had a major economic impact on neighboring countries. Domestic consumption is the largest contributor to growth in these countries. Government spending from resource-generated revenue contributed an additional eight percentage points. This is not to say that African countries must follow an Asian model of export-led growth and trade surpluses, but they do need exports to finance the investments required to diversify. i\^_&T(HF-'7R{~oxc08!(iIj5UW0(%-|/n{g=:_UUje\mMiB D&TpS6d8Zg*xuwMY1'Q^f*pn;Re~(4e:~D6R,1=6ZV8,U4>?H!Z"Aa 8Z2I4C1 j=CI#46,Hrk[C. This acceleration is a sign of hard-earned progress and promise. The level of education is widely accepted as a factor in economicgrowth. Education and economic growth in South Africa: an empirical In many cases, this turmoil is linked to the fact that resource wealth is closely associated with poor governance, clientelism, and the absence of a social contract between the citizens and their leaders. In addition, conflicts put pressure on public finances by reducing revenue, shifting focus away from capital investment to military spending, and increasing public debt. Through this, the construction sector in particular has significantly flourished. Weak structural growth and the COVID-19 pandemic have exacerbated socio-economic challenges. One would expect that this would be a bad thing, but it actually had a positive effect on the economy as it stimulated the transactions in sectors that use metals.