Mixed Development Messages from Africa: Macro-Economic Performance versus Poverty Models’ Tests Results

Richard T. Mpoyi¹, Jean-Marie Nkongolo-Bakenda²  
(1. Department of Management, Jones College of Business, Middle Tennessee State University, USA;
2. Faculty of Business Administration, University of Regina, Canada)

Abstract: This research is an attempt to explore what appears to be a contradictory development message coming out of Africa. On the one hand, several African nations are facing structural difficulties such as predatory regimes, political violence, civil wars, numerous diseases, and extreme poverty. An example of such countries is the Democratic Republic of Congo where what the United Nations called “Africa World War I” has caused the worst humanitarian disaster since World War II. On the other hand, the fastest growing economies are in Africa. An example is again the DR Congo, which, for the first fifteen years of the 21st century, has recorded growth rates higher than the average growth rates of all continents. The paper ends with one recommendation. With the exception of humanitarian aid, international institutions and Western governments should not provide financial assistance to African nations. Instead, a meaningful help should target institutional reforms in the political, legal and economic environments. Such reforms would give Africans a better chance to have legitimate, reliable and representative governments that formulate public policies that serve the interests of their people.

Key words: developing country; economic development; growth; least developed country

JEL codes: O1, O2, O4