Description

This book describes Africa's position within the current industrial global setting and analyses the recent performance of African manufacturing relative to that of other developing regions. It stresses the rapidly changing technological challenges faced by African economies and Africa's poor response to the threats posed by other developing regions such as East Asia. This analysis is based on the examination of a set of drivers of competitiveness related to technology, skills and foreign direct investment. With some exceptions for the two outliers (South Africa and Mauritius), African scores in all these indicators are far behind the international dynamics. The observation of these drivers suggests that the basic problem of African industry lies not in the investment climate (which can certainly be improved) or in gaining market access to rich countries but in the low level of its industrial capabilities. It concludes with a set of policy options, enhancing the role of the international community and the need to improve the effectiveness of African 'national learning systems'. This book points out the urgency of reconsidering current African industrial strategy and evolving a new strategy focused on building capabilities.