African economy records best growth in nine years

ED RICHARDSON ECONOMIC ACTIVITY in sub-Saharan Africa expanded by an estimated 3.8% in 2004, the best performance for the region since 1996 and the eleventh straight year of positive growth, according to the latest World Bank report on prospects for the global economy. The economies of “a large number” of countries are estimated to have increased by five or more per cent in 2004, says the report. Part of this good performance can be attributed to the strong expansion in world trade. Regional trade volumes increased 8.7%, which is one of the best performances of the past 25 years. The relative absence of important conflicts in the region during 2004 (with the notable exception of Cote d’Ivoire and Zimbabwe whose economies contracted, and the Sudan) also contributed to the strength of aggregate growth, it says. Similarly, the absence of major droughts or other natural disasters played a role – particularly in the Central African Franc zone.