Type | Working Paper - International Institute for Environment and Development |
Title | Rural economic diversification in sub-Saharan Africa |
Author(s) | |
Publication (Day/Month/Year) | 2014 |
URL | http://pubs.iied.org/pdfs/14632IIED.pdf |
Abstract | Rural transformation is integrally linked with the wider processes of structural transformation taking place within a given country. Despite the recent upswing in growth within sub-Saharan Africa, economies are still narrowly based on the production and export of unprocessed agricultural products, renewable natural resources, minerals and crude oil. Even with optimistic scenarios on the growth of the manufacturing and services sectors, in formal job creation and agglomeration effects, it will take time to complete economic transformation. With some 80 per cent of the labour force estimated to be engaged in the informal sector, including low-productivity agriculture and household enterprises, increasing agricultural productivity and expanding agribusiness must remain a priority. Complementary and new efforts to support household income diversification by enabling the growth and security of the household enterprise sector will also be central to the transformation process. While continuing to place priority on economic and social sector investments, governments must seek to mainstream rural development within national strategies and commit to the long term. Rural and urban development policies and interventions should be brought together, ideally within a territorial or regional framework, to strengthen the market and service linkages between rural areas and small towns and secondary cities as drivers of local economic and social development. There remains a critical need to strengthen and make accessible the necessary evidence base to inform public policy on rural economic development. This should include increased investment in the production of quality agricultural and rural sector statistics and relevant social and economic research and its dissemination. |