Limited access to finance is a major obstacle to development of SMEs in Africa as their inherent higher perceived risk makes financial institutions reluctant to lend to them and adequate financial instruments lack.

The focus on war and anecdotal evidence hides real progress towards more stable and open political systems in Africa. This is demonstrated by a new indicator based on a systematic screening of political events and decisions over the last ten years. The diagnosis for 2004 and 2005 is more...

Limited capacity to pay, large infrastructure needs and a huge backlog in the construction of sanitation facilities make recourse to cross-subsidies and government-funded subsidies a necessity in Africa. * This Policy Insights introduces the African Economic Outlook 2007.

Africa’s economic progress now seems on a firm footing after a third straight year of satisfactory performance in 2005, with overall growth of 5 per cent, average per capita income up 3 per cent and inflation steady at under 10 per cent. Two-thirds of the 30 countries surveyed in the Africa...

MDGs and new aid-effectiveness targets are an opprtunity for donors to explain what they do before growing scepticism erodes taxpayer support for aid.

Access to energy is essential for economic, social and political development. Despite its enormous potential in fossil and renewable energy sources, Africa suffers from major energy deficits. The continent’s resources are underexploited or exported in raw form or wasted in the course of...

Africa is unlikely to reach the drinking water and sanitation Millennium Development Goals. Disparities among countries are large, and the deficit in sanitation is greater than that for drinking water. Serious reforms in institutions, legal frameworks, and policies are needed.

Citizens in OECD countries quite unambiguously support more solidarity and justice at the international level; however, despite the adoption of the Millennium Development Goals (MDGs) by their governments in 2000, they remain insufficiently informed and educated about global development...

Transport infrastructure has been dangerously neglected in recent times. Lack of transport infrastructure impedes economic integration and poverty reduction. Involving the private sector in financing the transport infrastructure is proving harder than anticipated.