Star Performers

Yes, Africa has its failures. But on a continent of sustained economic growth, of fewer conflicts, of doubling of remittances and of exponential increases in foreign direct investment, failure is the exception, not the norm. While the stories out of Africa's failed states are well-documented, the stories of the countries that are quietly recovering, reforming and flourishing are not. In fact, it's hard, not easy, to pick just ten of Africa's star performers because, believe it or not, there are more than a handful of them. However, the hard work is not over yet and African economies still have much to do in terms of positioning themselves to be competitive on a global level if they are to succeed and prosper in the long-term.

The tale of the failed Africa, of the likes of Sudan, Zimbabwe, Chad, Mauritania, Niger and Somalia is oft told. Less told is that of Africa's success stories. What follows is a tale of eleven countries in sub-Saharan Africa that prove that there is indeed another face of Africa, a face of hope, of growth and of opportunity.

 

Angola

Planes to Luanda are always fully booked and hotel rooms are not easy to come by, reason being, that the whole world wants to do business in this southern African country. Angola, which emerged from a 27-year civil war in 2002 and successfully held elections in 2008, is one of the fastest growing countries in the world with a growth rate of 18% expected for 2008. This is largely as a result of it having recently overtaken Nigeria as Africa's number one oil producer but the country is also moving quickly to diversify its economy and rebuild its infrastructure.

 

Botswana

At independence in 1966, Botswana had just two secondary schools and 12km of paved road, and relied on the UK for half of government revenues. Today it is Africa's golden child. Between 1966 and 2001 it was the fastest growing economy in the world (China and Singapore were tied for third). This is thanks to the discovery of diamonds, a win-win partnership with mining company De Beers, and effective use of the diamond revenues to provide health, education and infrastructure. It is also thanks to a government that has ruled democratically and remained stable - today it has an A+ credit rating (the highest of any African country).

 

Cape Verde

In 2007 the tiny archipelago of Cape Verde became only the second country ever to be "graduated" by the United Nations from the ranks of the world's fifty "least developed countries" (Botswana was the first). The decision was due in part to its impressive economic growth rate (above 6% in 2006 and 2007) driven by the light industrial, services, and tourism sectors. Foreign investment as a percentage of GDP is now three times more significant than economic assistance. It is ranked among the best countries in Africa in human development and governance indicators and is the most advanced African country in achieving the Millenium Development Goals.

 

Ghana

There is an oft made comparison between Ghana and South Korea, whereby at independence Ghana was richer than the Asian giant. But in recent years Ghana has moved to reverse off its post-independence failures by ensuring political stability, reforming at a rapid rate (Ghana was listed as one of the top ten business reformers in the world in the World Bank Doing Business report 2008) and revamping its cities. This is attracting investment and resulting in growth rates of close to 6% an annum.

 

Liberia

Nearly 20 years of civil war had turned Liberia into a story of unbelievable brutality and deemed it a classic failed state. But today, under the leadership of Africa's first democratically elected woman president, Ellen Johnson Sirleaf, Liberia is quickly turning itself around. The country is reopening its mines, forestry and oil palm plantations, replanting its rubber, reconstructing its roads and schools and clinics, and restoring its lights and water. In just three years it anti-corruption campaign has seen the country jump up 73 places on the World Bank Institute's "control of corruption" index.

 

Mauritius

Since independence 40 years ago, Mauritius, with no mineral resources and far from major markets, has flourished using trade preferences from Europe on its key sugar and textile sectors. Thanks largely to its enviable political stability, the World Bank and other groups now rank Mauritius as Africa's top country for economic freedom, ease of doing business and good governance.

 

Mozambique

Mozambique was one of the world's poorest nations at the end of a 17-year civil war in 1992, but has had one of the fastest growing economies in southern Africa over the past decade. Working together with South Africa it has effectively courted international investment, most notably at its deep-water port just outside Maputo where the Mozal Aluminium smelter has been built. The Maputo Development Corridor between Mozambique and South Africa has also brought investment and trade traffic to the country. It has also quickly established a thriving tourism industry, immensely popular with South African holidaymakers.

 

Nigeria

With immense oil wealth and a massive population (and therefore potential market) Nigeria is a country not to be overlooked, despite its notoriety for corruption and the splurging of petrodollars by the country's elite. Goldman Sachs considers Nigeria among the next 11 quickly emerging economies (N-11) after the BRICS - Brazil, Russia, India, China (Egypt is the other African country on its list). Goldman Sachs predicts that Nigeria's economy could by 2050 become one of the largest in the world, outstripping those of France, Canada and others with a GDP of $4,64 trillion.

 

Rwanda

In 1994 close to one million people lost their lives in a 100-day genocide in Rwanda - 15% of the population. Yet, today Rwanda, under the leadership of Paul Kagame is rebuilding itself and former enemies are working side by side. Although heavily reliant on coffee and tea for the vast majority of its foreign exchange revenues, the country is intent on building a knowledge-economy. Between 2001 and 2006, the financial and insurance sector grew 13,3% a year and mining grew 41% a year.

 

South Africa

The world watched in awe as South Africa successfully entered into democracy in 1994. But perhaps even more remarkable was how a "revolutionary party" with a communist background has steered Africa's greatest economy into a period of growth never before imagined. In mid-2008 Africa's economic powerhouse celebrated its 39th quarter of consecutive economic growth; the effects of which are being felt throughout the continent. Since 1994 South African annual trade with Africa has increased fivefold, to more than $7bn and the country is now the biggest foreign direct investor in the continent.

 

Uganda

Uganda is one of the poorest countries in the world, but the country's firm commitment to poverty reduction has been remarkable. The poverty headcount dropped from 56 percent in 1992 to 31 percent in 2006. What is also remarkable about Uganda is that its HIV/AIDS prevalence declined significantly over the last decade from about 18 percent in the early 1990s to 6.7 percent in 2005 thanks to effective Government intervention.

Note: This not a exhaustive list of sub-Saharan Africa's top performers (indeed there are many others including Kenya, Namibia and the Seychelles), but rather a snapshot of eleven African countries in east, west and southern Africa, chosen at the editor's discretion to illustrate Africa's successes.