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WP/47 Should Africa Industrialize?

Africa should industrialize. Without structural change it cannot sustain recent growth. Economies with more diverse and sophisticated industrial sectors tend to grow faster. But since 1980 Africa has deindustrialized. The paper shows that between 1975 and 2005 the size, diversity and sophistication of industry in Africa have all declined. An industrialization strategy containing two elements is needed. The first is straightforward: refocusing current investment climate reforms on infrastructure, skills, and regional integration. These actions alone will not be sufficient, however. Africa must also learn to compete through strategies to create an export push, develop industrial clusters, and attract task-based production.
Publisher:
UNU-WIDER
Series:
WIDER Working Paper
Volume:
2011/47
Title:
WP/47 Should Africa Industrialize?
Authors:
John Page
Publication date:
August 2011
ISBN 13 Print:
978-92-9230-414-0
Copyright holder:
© UNU-WIDER
Copyright year:
2011
Keywords:
Africa, industry, industrial policy, growth, sophistication, exports
JEL:
025, 055, 057
Project:
Promoting Entrepreneurial Capacity
Sponsor:
UNU-WIDER acknowledges the financial contributions to the research programme by the governments of Denmark (Ministry of Foreign Affairs), Finland (Ministry for Foreign Affairs), Sweden (Swedish International Development Cooperation Agency—Sida) and the United Kingdom (Department for International Development).
Format:
online
 
This study has been prepared within a joint project of UNU-MERIT, UNU-WIDER, and UNIDO on Pathways to Industrialization in the 21st Century: New Challenges and Emerging Paradigms.
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