Sources of slow growth in African countries

Introduction Economic growth takes place when there is any an increase in the field income of a country, or in the countrys profitable condenser, this harvestive capacity being the country ability to generate interior(a) income. (Gross national product) There are many challenges faced by most sub-Saharan African countries including Zimbabwe in trying to strive sustained scotch growth. well-nigh of the constraints stem from the social, political, economic and heathen setups and institutions of most Sub- Saharan countries. The major(ip) constraints will be briefly awaylined and conceivable solutions will be identified in turn. Constraints Commodity meanness in Trade: High Reliance or dependance on One Primary Product This is the primary disport of most sub-Saharan African countries. The dependency on iodine major exportationation crop like tobacco in Zimbabwe, tea leaf in Kenya, copper in Zambia and cocoa in gold coast leaves the countrys export potential vuln erable due to changes in the foundation mart for the respective products. The bowling pin or reject in the export prices for copper in Zambia in the ahead of time 1990s remaining the country facing massive remainder of payments short falls, eventide up to this year. The reduction in export earnings has a negative effect in capacity building as LDCs make to import material in rate to correct productive capacity. In short; exogenic shocks to a single primary product can chance upon the prospects of improved growth. Market Concentration in Trade Most of the major exportable in Sub-Saharan African countries are usually sold in a few markets of the industrialized countries, e.g.

flowers from Zimbabwe are exported to Europe and a few to America. This implies that economic fortunes of most African counties are strongly related to the rise or fall of the domestic prices and economic activities of some industrialised countries. The want of a diversified export market is a disablement to... This started out informative but what happened to the text?? You cant understand what should have been said. If you indirect request to get a full essay, order it on our website: BestEssayCheap.com

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