African incomes are rising, and consumer and business spending is vibrant — but the continent’s manufacturers are still not taking advantage of dynamic home and regional markets. This is a large lost opportunity.
New research from the McKinsey Global Institute finds that Africa could nearly double manufacturing output in less than 10 years, creating as many as 14-million wage-paying jobs.
Overall, African economies have underperformed. Value added from manufacturing increased at a rate of 2.5% a year between 2000 and 2015, far weaker than Asia’s 7.4%. Today’s $500bn of output is heavily concentrated in five countries: Egypt, Morocco, Nigeria, SA and Tunisia. And manufacturers sell comparatively little to the rest of Africa — just 10%. Read more. Source | Business Day Live