Restarting and sustaining growth and development in Africa : A framework for improving productivity

This report is one of a series. It looks at how improved productivity contributes to the overall task of restarting and sustaining growth and development. The factors that undermine productivity and the opportunities for making major improvements in productivity are discussed. The report comes to five main conclusions. First , macroeconomic stability and a predictable policy direction are essential to any attempt to foster sustained improvements in productivity. Second, productivity improvements cannot persist without the types of generalized capital accumulation associated with broad-based improvements in health, education, food security, and institutions that sustain social stability. Third, a major stimulus to both productivity and growth in Africa could be achieved relatively rapidly through concentrated efforts to reduce waste and inefficiency. An obvious place to start is the government's own operations. Fourth, there needs to be a renewed focus on improving management at all levels. A useful start has been made by liberalizing markets and opening African economies to competition. Finally, major sustained improvements in productivity would occur across Africa if governments began emphasizing the large untapped agriculture sector.