Addis ababa: Africa must become the next engine of global growth or risk exporting instability, says Mr Claver Gatete, UN Under-Secretary-General and Executive Secretary of the Economic Commission for Africa (ECA).
According to News Agency of Nigeria, the Communications Section of ECA disclosed in a statement that Gatete was speaking at the Ninth Africa Business Forum in Addis Ababa. The ECA boss emphasized that while global capital remains available, it is becoming increasingly selective amid economic uncertainty. He pointed out that investment is now directed towards scale, security, and future markets.
Gatete posed the critical question of where the next engines of global growth will emerge, suggesting that the answer lies within Africa’s demographics, urbanization, and digital expansion. He described the continent as “the growth frontier of the century.” He highlighted the African Continental Free Trade Area (AfCFTA) as a significant development, forming a single market of more than 1.5 billion people.
He cited examples such as C´te d’Ivoire’s youth-led cocoa processing firm, which has created 1,000 jobs, and Morocco’s automotive value chain, which employs over 220,000 workers. However, he warned that Africa’s transformation is not reaching its full potential due to infrastructure financing gaps and billions lost annually to illicit financial flows.
The News Agency of Nigeria reports that Africa holds more than 1.1 trillion dollars in domestic institutional capital but lacks mechanisms to link funds to bankable projects. Gatete stressed the importance of productive employment for young Africans, stating that if they find such opportunities, Africa becomes the growth frontier; if not, instability could become globalized.
He described the forum as a “delivery platform” aimed at connecting investors with viable projects and tracking their implementation. Gatete urged four priorities: scaling domestic capital, strengthening credit ratings, fully implementing AfCFTA, and investing in innovation, skills, and data systems. He concluded by warning that the opportunity cost of not investing in Africa will soon exceed the risk associated with investing in the continent.