ABSTRACT
A recent report on the business environment of the twenty largest sub-Sahara African (SSA) countries by Spring and Rolfe (2011) showed that most of the countries have experienced significant positive changes in their integration into the global economy. Exports increased in many of the countries in 2009 with the most significant increases registered in Uganda (147%), Ghana (55%), Cameroon (43%), Ethiopia (43%), Sudan (37%), Namibia (36%) and Senegal (28%). There were also significant increases in foreign direct investment (FDI) flows in some of these countries in 2009. Examples include Nigeria's FDI inflows of U.S.$ 5.8 billion in 2009 (as against U.S.$ 2.1 billion in 2004). Similarly, FDI flow into South Africa was U.S.$ 5.6 billion in 2009 (as against U.S.$ 0.799 billion in 2004) and Angola received U.S.$ 2.2 billion in 2009 (as against U.S.$ 1.45 billion in 2004), while Ghana received U.S.$ 1.7 billion (as against U.S.$ 139 million in 2004). However, some of the countries have experienced increases in their external debt burdens; this is possibly as a planned external capital inflow to boost investments that would otherwise not take place. These include South Africa (U.S.$ 42.1 billion), Sudan (U.S.$ 20.1 billion) and Angola (U.S.$ 16.7 billion). These internationally related economic activities have contributed to an overall GDP growth in SSA of about 6 percent in 2009, with East Africa recording a growth of 8.2 percent, Southern Africa 6.7 percent, West Africa 5.5 percent and Central Africa 4.9 percent. The McKinsey Global Institute Report provides a similar overview and concludes that global business cannot afford to ignore the business potential provided by these growth trends (McKinsey 2010).
