The lingering economic impact of the COVID-19 pandemic, no doubt, is disrupting traditional financial inflows, especially, in sub-Saharan Africa, and as experts noted, it is equally revealing “the need to strengthen domestic resource mobilisation in the region.”
This unprecedented shock to the world economy, they said, has shown the volatility of financial inflows that African nations are dependent on: Indeed, foreign direct investment (FDI)—an increasingly important source of development financing traditionally rooted in oil, gas, and infrastructure projects— has declined approximately 12 per cent and 25 per cent in sub-Saharan and North Africa, respectively, between 2019 and 2020.
Reports have it that remittance inflow, which millions of African households rely on to support their families, has equally declined by 12.5 per cent throughout sub-Saharan Africa over the same period.
However, one sector whose strength can be properly exploited in these lean times is the…
Source: Guardian Newspaper