Economy

18th African General Assembly ongoing in Accra

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Agricultural exports from sub-Saharan Africa continue to decline, although the region possesses about 12 percent of the world’s arable lands. Officials from the African Rural and Agriculture Credit Association are meeting in Accra to find solutions to the dwindling fortunes of the sector which plays a critical role in most economies across the continent. Agriculture continues to be the economic mainstay of most African countries. Most national economies on the continent continue to depend largely on agriculture as a source of employment and income. The sector has a high multiplying effect, meaning investments made there yield high socio-economic returns and enhance economic diversification as well as social development. A research conducted by the African Development Bank indicates, growth stimulated by agriculture in Africa, is twice as effective in reducing poverty as compared to growth based on other sectors. Furthermore, research has shown, growth originating from the sector is two-to- four times as effective as non-agricultural growth in the area of poverty reduction. Most African countries are yet to meet the criteria for a successful agricultural revolution. Agricultural productivity in Africa remains lower than on other continents, resulting in slow development of rural areas and low farmer incomes. This is said to be as a result of bad land tenure systems, poor infrastructure, inadequate financing, market inaccessibility and inadequate processing among others. The Economic Development in Africa Report- 2012 indicates that per capita agricultural output and productivity in the region are still low compared to the global average, with dire consequences for food security and social stability. Deputy Governor of the Bank of Ghana, Millison Narh at the opening ceremony of AFRACA conference, raised concern about the continuous decline of the sub-Saharan international export) AFRACA Chairman, Jules Bondombe Assango, also reiterated challenges facing African countries in the sector and expressed the hope that the three day conference will help find a solution to the problem. Other participants and stake holders also took turns to address the conference.

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DISCLAIMER: The Views, Comments, Opinions, Contributions and Statements made by Readers and Contributors on this platform do not necessarily represent the views or policy of Multimedia Group Limited.