Industrial Strategies for Economic Recovery and Long-term Growth in Africa
Arne Bigsten and Måns Söderbom, University of Gothenburg
In this paper we review the status of African manufacturing firms and long-run trends in their economic performance and discuss how industrial policies have evolved over time. We identify the constraints on manufacturing growth, and discuss what can be done in terms of policy to accelerate industrialization. We consider macroeconomic aspects, the investment climate, as well as firm capabilities. We discuss the scope for manufacturing growth from a comparative advantage perspective and draw some policy conclusions.