The World Bank Group (WBG) has released a follow-up report titled "Africa in the 21st Century: Governance and Inclusive Green Growth," revisiting priorities from its 2000 publication, "Can Africa Claim the 21st Century?" The original report outlined four areas of focus: improving governance and resolving conflict, investing in people, increasing competitiveness and diversifying economies, and reducing aid dependence and debt.
Over the past 25 years, Africa has seen progress in some areas while facing stagnation or decline in others. The sequel report assesses these developments against global megatrends such as the digital revolution, changing economic relations with China and other partners, a pan-African free trade area, and climate change.
The report highlights that Africa contributes only 2-3% of global carbon dioxide emissions but faces significant impacts from climate change. It suggests that climate action could create 65 million additional jobs by 2030 through new markets like renewables.
Economic partnerships have evolved since 2000, with China and India becoming Africa's top trading partners. Chinese lending to Africa rose from $121 million to $30.4 billion between 2000 and 2016, focusing on infrastructure rather than social sectors.
The digital revolution is positively impacting African economies by enhancing government operations and private services. Mobile technology has particularly advanced financial inclusion in Sub-Saharan Africa.
Continental integration remains limited, with intra-African exports comprising less than 20% of total trade in 2019. However, the pan-continental free trade zone agreement among 54 nations could boost internal and external trade significantly.
The sequel report aligns with frameworks like the Sustainable Development Goals by 2030, the Paris Agreement on Climate Change, Agenda 2063 by the African Union, and the Africa Continental Free Trade Area (Fakta). It emphasizes growth through productivity across all sectors, inclusion through shared wealth investment for development participation, and sustainability by addressing environmental degradation alongside economic challenges.
Good governance is deemed essential for achieving these objectives. Competent governments must set rules, balance interests, ensure market provision of goods not supplied independently, and guarantee fair distribution of labor fruits.
"Africa’s leaders must find a unique pathway to inclusive green growth," states the report. The decisions made today will affect not only current residents but also an expected population increase of two billion over this century. The document explores priorities related to investment diversification, digitalization and trade growth aspects; human development focusing on skills; environment; and climate resilience.