African economic growth is not transformative per capita still low

[KenyanPlato]

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Look at Kenyan growth even after attaining low middle income status most Kenyans are very unproductive. Even a Kenyan maid has no work to do. Whenever I visit my mum I find about 3 grown adults who are doing nothing but hanging around her to get freebies. In my rural farm the workers have to be supervised with a whip to be productive. The only productive employees are tea pickers because they get paid by the kilo picked

"Over the past five years, only three of the 54 African economies have grown at an annual rate of more than 6 per cent: Ethiopia, Benin and Rwanda...

Not a single African economy has seen a transformative gain in average per capita income....

Africa is adding workers but not… pic.twitter.com/yxGrnwghyK

— OK Then (@Kdenkss) December 18, 2023

?s=20

[RV Heavy Hitter!]

The problem is Government-driven development/hiring. Private sector tend to produce more output from workers, but mali ya umma, most of the time is to be abused. I think Kenya will be a different place in a year because we have a President that understand productivity ecionomic input and output. Another problem is that the young folks of today are addicted to phones, ticktock, Youtube, facebook, and would rather burn data than produce! It is a global phenomena, but worse in African countries!

[Kadudu]

Will remind you of your words come December 2024.

The problem is Government-driven development/hiring. Private sector tend to produce more output from workers, but mali ya umma, most of the time is to be abused. I think Kenya will be a different place in a year because we have a President that understand productivity ecionomic input and output. Another problem is that the young folks of today are addicted to phones, ticktock, Youtube, facebook, and would rather burn data than produce! It is a global phenomena, but worse in African countries!

[RV Heavy Hitter!]

Will remind you of your words come December 2024.

The problem is Government-driven development/hiring. Private sector tend to produce more output from workers, but mali ya umma, most of the time is to be abused. I think Kenya will be a different place in a year because we have a President that understand productivity ecionomic input and output. Another problem is that the young folks of today are addicted to phones, ticktock, Youtube, facebook, and would rather burn data than produce! It is a global phenomena, but worse in African countries!

Yes, but more so in 2031 after 9 years of integrity-driven leadership. Have you heard of any credible scandals like Kemsa since Ruto came in? After digitization, 80% catels have been cut down to size! Give credit where it is due. Corruption will be a thing of the past too in 2+ years!

[KenyanPlato]

Rv you post a  of bs not backed by data. Most Kenyans work in informal sector which is privately owned, the rest are peasant farmers..private corporate sector is small and govt civil servants are not as you liberals think there are less than 700k civil servants in Kenya ..of the 19 Million

[gout]

Mwafrika government officials are terrorists when dealing with fellow mwafrika doing business or any production. Young people have watched their parents slave as coffee, tea, maize, pyrethrum & dairy farmers; mama mbogas, mechanics, hawkers, stall owners, keroches only to be brutalised by the government agencies and officials.

Much is yet to be felt on this from Hasla who no longer spends time with mama mbogas but is all over laying red carpet for so called foreign investors. For FDI to have returns we need thriving hasoras.

The problem is Government-driven development/hiring. Private sector tend to produce more output from workers, but mali ya umma, most of the time is to be abused. I think Kenya will be a different place in a year because we have a President that understand productivity ecionomic input and output. Another problem is that the young folks of today are addicted to phones, ticktock, Youtube, facebook, and would rather burn data than produce! It is a global phenomena, but worse in African countries!

[KenyanPlato]

The civil service is at 980k that is 50% of formal employment

https://src.go.ke/2023/01/25/2018/#:~:text=According%20to%20KNBS%20(2022)%2C,and%20the%20private%20sector%20employees

[hk]

Productivity growth is more important metric than economic growth, below 10% gdp growth coupled with more than 3% population growth means continued subdued standard of living. 

[KenyanPlato]

Productivity growth is more important metric than economic growth, below 10% gdp growth coupled with more than 3% population growth means continued subdued standard of living.

I agree. Productivity is very low in Kenya

[sema]

workers have to be supervised with a whip to be productive

Lol...saying 6% growth for countries that are starting at the very bottom means very little.

Average per capita in rwanda is what? $900 dollars a year? Kagame is full of optics and has a big mouth, but rwanda remains dirt poor. Same with Benin and Ethiopia.

In order for Africans to become more productive, they have to start making real things.  I keep asking here what it is that Africans actually make? I have yet to come up with an answer.  As long as Africans continue making nothing, they will remain the poorest continent in the world.

[RV Pundit]

Kenya is growing...nowadays even little shopping centers have hardware shops, agrovet, small stores, decent bar, computer cyber...gdp has grown relentlessly by almost twice pop growth..so gdp per capita increasing..for two decades...info tech n related are allowing africa to leapfrog..traditional model of growth...we might not need industralisation..can jump direct to service sector middle class economy. We might not need to produce much as long as we increasing our economy efficiency n velocity. We are in cusp of interesting leapfrog story.Most of kenys have more superior telcom n banking services than advanced nation.Now 14000 gov services are online.
You can buy insurance online, attend school online, work remotely earning top dollar.

[RV Pundit]

workers have to be supervised with a whip to be productive

Lol...saying 6% growth for countries that are starting at the very bottom means very little.

Average per capita in rwanda is what? $900 dollars a year? Kagame is full of optics and has a big mouth, but rwanda remains dirt poor. Same with Benin and Ethiopia.

In order for Africans to become more productive, they have to start making real things.  I keep asking here what it is that Africans actually make? I have yet to come up with an answer.  As long as Africans continue making nothing, they will remain the poorest continent in the world.

kenyans might not have produce traditional stuff but can make money from youtube or service sector like you abroad.

[sema]

so gdp per capita increasing

It's still only around $2,000 dollars a year

What do you mean by we might not need industrialization?

There's a reason the state of florida is described as being a 3rd world economy and it's because all they have is tourism and agriculture (growing oranges)

Services and agriculture alone will not be enough for a population heading towards 60 million.

[gout]

Hasora transformation model is real: tried and tested. 

One matatu from fabrication to pimping to music is a whole economic ecosystem. This is nowhere in the textbooks thus the bewilderment of Kenya's trajectory. 

Eventually the investor will get some 10-15,000 per day even with high fuel prices, monthly that is 375,000. In first year you clear the loan and use sacco savings to get another one, in the second or third eye you flip the old ones for 3-4 million.

The guy says some taxes have been removed. This is a good strategy removing government boot on the neck. Traffic police bribes equals some good tax collection.

Upperdeck Kenyans keep shouting how we need to invest taxes or loans to build public transport yet these matatus work day and night for cheap. 

[KenyanPlato]

workers have to be supervised with a whip to be productive

Lol...saying 6% growth for countries that are starting at the very bottom means very little.

Average per capita in rwanda is what? $900 dollars a year? Kagame is full of optics and has a big mouth, but rwanda remains dirt poor. Same with Benin and Ethiopia.

In order for Africans to become more productive, they have to start making real things.  I keep asking here what it is that Africans actually make? I have yet to come up with an answer.  As long as Africans continue making nothing, they will remain the poorest continent in the world.

kenyans might not have produce traditional stuff but can make money from youtube or service sector like you abroad.

We Wacha kuleta ulevi kwa swala zito kama hili

[Nefertiti]

Kenya is growing...nowadays even little shopping centers have hardware shops, agrovet, small stores, decent bar, computer cyber...gdp has grown relentlessly by almost twice pop growth..so gdp per capita increasing..for two decades...info tech n related are allowing africa to leapfrog..traditional model of growth...we might not need industralisation..can jump direct to service sector middle class economy. We might not need to produce much as long as we increasing our economy efficiency n velocity. We are in cusp of interesting leapfrog story.Most of kenys have more superior telcom n banking services than advanced nation.Now 14000 gov services are online.
You can buy insurance online, attend school online, work remotely earning top dollar.

Yes global south is skipping manufacturing... first due to factory automation there is no longer need for western companies to offshore for cheap labor. Robots are way more efficient than men. Second due to protectionism or end of globalization. Western governments have resorted to industrial policy to compete with China - and are forcing or incentiving companies to set up at home. Biden Inflation Reduction Act, CHIPS & Science Act, etc - is pure protectionism. China and maybe Bangladesh, Vietnam are the last to ride the globalization off-shoring windfall.

 GDP per capita aka real growth or productivity - grew 5X since 2002 - according to World Bank.

https://data.worldbank.org/indicator/NY.GDP.PCAP.CD?locations=KE

https://www.statista.com/statistics/451113/gross-domestic-product-gdp-per-capita-in-kenya/

[Nefertiti]

so gdp per capita increasing

It's still only around $2,000 dollars a year

What do you mean by we might not need industrialization?

There's a reason the state of florida is described as being a 3rd world economy and it's because all they have is tourism and agriculture (growing oranges)

Services and agriculture alone will not be enough for a population heading towards 60 million.

Florida is PURPLE state - so don't buy into the political smearing. The have $63K per capita - top 10 in the world.👀

Florida agric is just like here in California - world class wineries, etc compared to rest of the world - but economically agric doesn't move a needle. Any advanced country has a <1-20-80% economic structure. So 1% agric is nothing to debate. Ditto for tourism.

https://en.wikipedia.org/wiki/Economy_of_Florida

In output, the five largest sectors are: finance, insurance, real estate, rental, and leasing, followed by professional and business services; government and government enterprises; educational services, health care, and social assistance; and retail trade.

Kenya is skipping manufacturing because reality says so.

[RV Pundit]

You're one person who seem to think making physical things or goods is nirvana to development.
Making things like china or veitnam is doing is poorly paying hard breaking useless job - that are just slightly better than agri.
If one can skip and go directly to services -  the better.

IT revolution is offering countries in Africa the chance to leapfrog and skip manufacturing.

People in kenya are skipping agriculture to drive bodas bodas, ubers, airbnbs, salons ( transport, hotel, etservices) - and will not accept min wage salaries to work in factories. Bangaldeshi work for 20-50 dollars. Most live in maid in Kenya will not accept such wages.

Of course it could also be pre-mature to move to services if we cannot increase productivity - like boda boda guy get stuck there - without upward mobility.

so gdp per capita increasing

It's still only around $2,000 dollars a year

What do you mean by we might not need industrialization?

There's a reason the state of florida is described as being a 3rd world economy and it's because all they have is tourism and agriculture (growing oranges)

Services and agriculture alone will not be enough for a population heading towards 60 million.

[RV Pundit]

You have half my IQ my friend.
These things are beyond your simpleton brain ya CPA.

We Wacha kuleta ulevi kwa swala zito kama hili

[RV Pundit]

We just need to accelerate the investment DIGITAL ECONOMY and invest in QUALITY EDUCATION.
These will fix many things.

People here despised M-PESA when it started - now it behemoth moving 350B dollars annually - and has transformed many services - made many businesses in kenya possible - and these services are now more world class than abroad.

Hasora transformation model is real: tried and tested. 

One matatu from fabrication to pimping to music is a whole economic ecosystem. This is nowhere in the textbooks thus the bewilderment of Kenya's trajectory. 

Eventually the investor will get some 10-15,000 per day even with high fuel prices, monthly that is 375,000. In first year you clear the loan and use sacco savings to get another one, in the second or third eye you flip the old ones for 3-4 million.

The guy says some taxes have been removed. This is a good strategy removing government boot on the neck. Traffic police bribes equals some good tax collection.

Upperdeck Kenyans keep shouting how we need to invest taxes or loans to build public transport yet these matatus work day and night for cheap.