boost economic growth. Nonetheless, the flow of FDIs is notably low to many SSA
countries, mainly due to corruption and weak institutions, among others (Gossel
2018). Similarly, many SSA countries do not use efficiently ODA, or even do not
use it for the intended purposes due to corruption or technical incapability, thus
discouraging donors to continue their much-needed support (Ndikumana and
Pickbourn 2017).
Finally, apart from sustaining economic growth and creating decent employment,
it is also important to ensure the fair distribution of economic benefits and employment opportunities. However, this is a major challenge for most countries in the
region (Arndt et al. 2016). In fact, the high prevailing economic inequalities are one
of the major reasons behind the growth constraints facing many national economies
(World Bank 2016) (see Sect. 1.2.10 for more details). Institutional failures related to
corruption and inadequate policy frameworks have often been blamed as serious
challenges for curbing economic growth through increasing inequality (Sect.
1.2.10).
1.2.9 SDG 9: Industry, Innovation and Infrastructure
With a few exceptions, most SSA countries have not developed a strong industrial
and manufacturing base (AfDB 2019b). The share of manufacturing in the regional
GDP is low (just under 10% in 2017, and has hardly increased in decades). While
SSA lags far behind the rest of the world (including most developing countries) in
terms of manufacturing value added (MVA) and manufacturing exports (Signé
2018). More troubling is the fact that the proportion of medium–high and hightech MVA in the total MVA is one of the lowest in the world and has actually
declined between 2000 and 2016 (UN 2019). This is reflected by the fact that most
SSA countries have also rather poor innovation performance,
6 usually ranking in the
lowest parts of global innovation indices (WIPO 2019). Similarly, infrastructure is
rather underdeveloped, costly, unreliable and prone to significant disruptions in
many SSA countries (World Bank 2019b). As already mentioned, water, sanitation
and energy infrastructure are rather underdeveloped and face significant challenges
across the region (Sects. 1.2.6 and 1.2.7). Similarly, transportation networks are
underdeveloped (with only a quarter of roads paved), airfreight and air travel
unpopular and rail transportation still in its infancy (UNECA 2017).
At the same time, internet use is quite low for global standards, with less than
25% of the population having internet access in two-thirds of SSA countries, and
practically all countries falling below the global average (SDG Centre for Africa
2019). However, the continent has also made impressive improvements over the past
few years. For instance, the proportion of the population covered by 3G mobile
6 South Africa is the innovation leader in the continent, but only ranks 63 out of 129 countries
globally (WIPO, 2019).
22
D. Juju et al.
countries, mainly due to corruption and weak institutions, among others (Gossel
2018). Similarly, many SSA countries do not use efficiently ODA, or even do not
use it for the intended purposes due to corruption or technical incapability, thus
discouraging donors to continue their much-needed support (Ndikumana and
Pickbourn 2017).
Finally, apart from sustaining economic growth and creating decent employment,
it is also important to ensure the fair distribution of economic benefits and employment opportunities. However, this is a major challenge for most countries in the
region (Arndt et al. 2016). In fact, the high prevailing economic inequalities are one
of the major reasons behind the growth constraints facing many national economies
(World Bank 2016) (see Sect. 1.2.10 for more details). Institutional failures related to
corruption and inadequate policy frameworks have often been blamed as serious
challenges for curbing economic growth through increasing inequality (Sect.
1.2.10).
1.2.9 SDG 9: Industry, Innovation and Infrastructure
With a few exceptions, most SSA countries have not developed a strong industrial
and manufacturing base (AfDB 2019b). The share of manufacturing in the regional
GDP is low (just under 10% in 2017, and has hardly increased in decades). While
SSA lags far behind the rest of the world (including most developing countries) in
terms of manufacturing value added (MVA) and manufacturing exports (Signé
2018). More troubling is the fact that the proportion of medium–high and hightech MVA in the total MVA is one of the lowest in the world and has actually
declined between 2000 and 2016 (UN 2019). This is reflected by the fact that most
SSA countries have also rather poor innovation performance,
6 usually ranking in the
lowest parts of global innovation indices (WIPO 2019). Similarly, infrastructure is
rather underdeveloped, costly, unreliable and prone to significant disruptions in
many SSA countries (World Bank 2019b). As already mentioned, water, sanitation
and energy infrastructure are rather underdeveloped and face significant challenges
across the region (Sects. 1.2.6 and 1.2.7). Similarly, transportation networks are
underdeveloped (with only a quarter of roads paved), airfreight and air travel
unpopular and rail transportation still in its infancy (UNECA 2017).
At the same time, internet use is quite low for global standards, with less than
25% of the population having internet access in two-thirds of SSA countries, and
practically all countries falling below the global average (SDG Centre for Africa
2019). However, the continent has also made impressive improvements over the past
few years. For instance, the proportion of the population covered by 3G mobile
6 South Africa is the innovation leader in the continent, but only ranks 63 out of 129 countries
globally (WIPO, 2019).
22
D. Juju et al.