Africa: The World Has Changed. African Countries Must Rethink How They Grow Their Economies

What the report says

A new analysis published by The Conversation Africa and distributed by AllAfrica argues that recent disruptions in shipping through the Strait of Hormuz have highlighted how exposed African economies remain to geopolitical shocks. The piece says elevated fuel prices are especially painful for countries that rely on petroleum imports from the Middle East, naming Ethiopia, Kenya, Mozambique, South Africa, Tanzania and Uganda among those affected.

Written by economist Jonathan Munemo, the commentary says the long-standing goal of structural transformation — shifting workers from low-productivity work into manufacturing and modern services — remains important, but needs to be updated for a more unstable global economy. It notes that Africa did not fully benefit from the earlier export-led industrialization path seen in East Asia and that current conditions are further complicated by trade weaponization, fragmented supply chains, automation and the rise of artificial intelligence.

The analysis outlines four priorities for governments: deepen regional integration through the African Continental Free Trade Area, invest heavily in reliable electricity, focus on sectors where Africa has comparative advantages, and treat agriculture as central to development rather than separate from it. The article also points to chronic power outages, high generator use and the resulting dependence on imported fuel as major constraints on growth.

Overall, the piece argues that Africa still needs job creation and higher productivity, but that future growth strategies will need to be broader than factory-led industrialization alone.