Preliminary assessment of the performance of the African economy in 1994 and prospects for 1995

Abstract

Preliminary data available at the United Nations Economic Commission for Africa on the state of African national economies in 1994 point to a modest increase in the regional economic growth rate. We estimate that during 1994, African economic output has grown by 2.8 per cent, up from 1.1 per cent in 1993 and -0.3 per cent in 1992. This notwithstanding, income per head is still declining and the region is continuing to lose ground both in absolute and relative terms. Over the period 1990-1994, GDP has in fact declined at a rate of 1.5 per cent per annum. Over this period, the proportion of the population living under conditions of poverty has increased at an even faster rate. This applies to both the rural areas where the economy continued to decline and the cities where efforts at fostering growth and job creation in the industrial and service sectors have yielded poor results.