ABSTRACT
Africa is mostly characterised by small economies, with obvious disadvantages particularly as regards economies of scale that make for greater competitiveness. African governments and the international community have been aware of the dilemma of the continent's enclave economies, which are not driven by national or regional forces but by external forces through linkages with the global economy. The three most important factors that should influence the growth and diversification of Africa's industrialisation are the political/government, macroeconomic, and meso-level spheres. Trade policy orientations of main African countries have been characterised by shifts between protectionism and liberalisation. In the 1970/80s, there were the heavily protected import substituting industrialisation (ISI) policies, only to be replaced in the early 1990s by the Structural Adjustment Programmes (SAPs) under which trade liberalisation was a key component. As infrastructure forms a crucial base for any form of development, it is important that African policy makers promote its development.
