African demographics an asset? As growth in sub-Saharan Africa continues to slow, weighing on poverty reduction goals in many countries, according to the World Bank’s latest economic outlook, released June 7, the United States wants to make strong population growth in sub-Saharan countries a strength.
A senior US Treasury official said demographic trends mean that US business leaders will look to Africa and South Asia in the coming decades. Remarks which intervene in a context of strong competition between the different powers that are China, the United States or even Russia.
In this sense, Jay Shambaugh, Undersecretary for International Affairs, US Treasury, argued that the United States was a more attractive funding choice than China for states in this region. “The growth is pretty clear,” he said Wednesday at a conference in Washington. “The story of the global economy for the next 50 years will be written in sub-Saharan Africa. »
According to the World Bank, the population will almost double in sub-Saharan Africa within thirty years, with rapid growth for the Democratic Republic of Congo or Tanzania, for example. This region of the world alone will contribute to half of global growth by 2050.
After years of neglect, his successor, President Joe Biden is bending over backwards to make up for lost time. Since the beginning of the year, more than five officials have already been dispatched to the continent? including Vice President Kamala Harris, American Ambassador to the United Nations Linda Thomas-Greenfield, Secretary of the Treasury, Janet Yellen, First Lady Jill Biden, and Secretary of State Antony Blinken.
On the ground, Treasury Secretary Janet Yellen has done everything to rekindle ties on the mainland and counter Beijing’s influence. She pleaded to advance the talks on the restructuring of the debt of several countries in crisis, including Zambia. In recent years, efforts to restructure the debts of low-income countries have been hampered by disagreements between traditional creditors like the Paris Club – mainly wealthy Western countries – and new entrants like China – the biggest lender. to developing economies.
For Jay Shambaugh, “the Chinese presence in the countries of the region sometimes suggests that international financial institutions and foreign direct investments have not provided enough funds. But if you ask them what they prefer if both options are on the table, I’d say our offer is the best,” he said, noting that “the United States has a lot to offer” to the country. south of the Sahara. As US-China competition intensifies, how will African countries balance their relationship with these two world powers?