Africa’s consumer spending to hit $2.1trn by 2025
Consumer spending across Africa is expected to rise from the $1.4trillion recorded in 2015, to about $2.1trillion by the year 2025 owing to its steady population growth.
The Consumer Protection Council, CPC, said the spending will also be driven by key factors such as a young and growing population, rise in incomes, rapid urbanization and widespread adoption of technology.
The Director General of the Council, Babatunde Irukera, Irukera stated this while making a presentation at the Africa Policy Forum of the University of Leeds’ Centre for African Studies.
A statement made from the council, quoted Irukera as describing the African population as one of its greatest economic assets and advocated the implementation of strategies to reduce poverty and achieve significant economic growth.
He said, “Coordinated policy and execution that recognise our asset, and regulate access in a manner that advances our causes and economies is the curve we need to turn to see the continent’s wide growth.
“The kind of growth that connects the numbers to people and lives such as moving people up from poverty to shared prosperity.
“Therein exactly lies the secret, rule and purpose of governance. At the heart of this is promoting a robust market and asset management modified only by market regulations that catalyse and protect.”
He therefore called for the prioritisation of robust regulation and stronger competition policies as a core strategy in the quest for Africa’s economic renaissance in a changing world.
Irukera advocated for the implementation of simple widely acknowledged principles of asset management and strategies to maximize the benefits from markets in order to overcome poverty and achieve significant economic growth.
He noted that “asset management essentially refers to a systematic approach to governance and realization of value.”
Irukera cited statistics to underscore the burgeoning population which is driving the growing expansion and importance of its market as including 16percent of global population (1.2 billion) living in Africa; more than half of global population growth between now and 2050 expected to occur in Africa; and Africa’s population to reach 2.5billion by 2050 (more than double its current population).
He said: “Considering population and age, it is clear that Africa’s greatest assets are its people and skills. Sadly they are also our greatest export.
“Africans are key applicants to nations with skills acquisition immigration policies which focus on highly skilled migrants. Whether it’s USA, Canada or UK, essentially these countries benefit from people who have acquired certain skills they need without the time and resource required to invest in development,” he added.